Frances Maude Project NT ELs 10043 and 10167 Pine Creek NT for the period 05 September 2006 to 04 September 2007

Abstract

On 25 January 2007 these tenements became subject to an Option to Purchase agreement with Thundelarra Exploration Ltd (THX), with their main target being uranium mineralisation. During this year soil sampling and five RC drill holes were sunk to test the magnetic anomalies on EL 10167. In addition ground radiometrics and access tracks were upgraded in preparation for drilling on EL 10043. The targeted ground magnetic anomaly at the Flying Fox grid on EL 10167 has been successfully explained with the five RC drill holes sunk. The very high 5000nT magnetic anomaly was found to be due to a high pyrrhotite content of the amphibolite and not due to magnetite as had been predicted by several geophysicists. None of the pyrrhotite was found to be significantly mineralised with either base metals, gold or PGMs. No significant uranium values were detected in the nearby associated dolomites and black shales. No further work is warranted on the Flying Fox magnetic anomaly. On EL 10043, past reported uranium prospects and anomalies have been revisited and prepared for follow up next year.