Annual exploration report on SEL 24352 Burnside year ending 29 May 2007

Abstract

SEL 24352 is the amalgamation of SEL9591 and EL 23543. The tenement is the most important and prospective of GBS Gold Australia tenements in the Burnside project as it contains extension to known gold mineralisation. The tenement is characterised by the presence of prospective lithology, structures and geochemistry. The Burnside Granite is a part of north-east trending intrusions of the Cullen Batholith, linked at depth and imparted a thermal aureole and concentric outcrop pattern on the sequence and warped pre-existing fold structures. It also appears to have been a buttress against which late stage directed stresses from the SW and SE were refracted. Significant deposits are also hosted by the Brocks Creek-Zapopan shear zone, the Hayes Creek Fault system and the Pine Creek Shear Zone. Field observations indicate that gold deposits occur within or just outside the contact metamorphic haloes of the younger granites, such as the Burnside Granite. The project area contains rocks of the Burrell Creek Formation, Koolpin Formation, Gerowie Tuff, Mount Bonnie Formation and Zamu Dolerite. This package is intruded by the Palaeoproterozoic Burnside Granite which is an I-type fractionated and oxidised pluton. During the reporting period, technical resources focused in identifying targets from previous geoscientific data, soil/rock chip sampling to generate new targets and preparation for drilling which included track construction and related earth work. In addition, a number of reconnaissance field checks were made to support planning for drilling and soil sampling. During the year, a high resolution IKONOS remote sensing data were obtained to further strengthen target selection, geological mapping and planning. During year 2007-08, a high priority program of geological mapping, data interpretation, soil/rock chip sampling and drilling will be carried out. Over 100 soil/rock chip samples have been collected and results will be reported in the next year exploration report.