Combined annual report MCN's 5180, 5181, 5183, 5184, 5185, 5214 and MLN's 697 and 698 Dorisvale NT

Abstract

Historically, the Dorisvale area is well known for Barite vein mineralisation. These tenements cover known barite deposits. There are workings known as Dorisvale (formerly called Pony Pocket) extending across both MLN 697 and MLN 698. An extract from a 1989 Northern Territory Geological Survey publication on Industrial Minerals demonstrates the level and detail of information known on the area: 'Four major Barite veins with traces of galena have been identified 9km south of Dorisvale Homestead in Pony Pocket Creek on the extreme western edge of the Daly Basin represented on the Fergusson River. The veins, which dip vertically, strike between 300 and 345 degrees and lie close to the similarly trending Dorisvale Fault. They are between 2 to 10 m wide, and are between 150m and 1km long. The host rock consists of ferruginous sandstone, siltstone and sandy limestone of the Middle Proterozoic Waterbag Formation. Movement along the Dorisvale Fault is postulated as the source of the Barite mineralisation, whereby low temperature hydrothermal mineralisation from groundwater sources has occurred along the active fault zone'. Dorisvale Station is located approximately 300 km south west of Darwin. It can be accessed from Darwin via the Stuart Highway to a point 20km south of Pine Creek where gravel road takes you to Dorisvale Station. A less well-formed gravel road beyond the station and series of tracks provide access to the various Mineral Claims and Minerals Leases described in this report. The central focus of activity is MLN 697 and 698, which had been mined recently by Capricornia Mining and Resources P/L. These tenements can be easily accessed via a gravel road approximately 9 km to the south-west of the Dorisvale Homestead. At the time of visiting these tenements, during late November, early rains, a precursor to the wet season, truncated the time available to closely view and assess each tenement. Therefore, for this reporting period the principal activity was a tenement visit, some limited sample collection and the taking of photographs of various barite vein mineralisation. In addition, a market study was conducted to better understand the key market drivers and market demand for the mineral Barite and to ascertain the longer term potential for meeting the market demand from Barite mined from the Dorisvale region. Barite vein mineralisation was observed in MCN 5180, 5181 and 5182. The barite vein measured approximately 1000m in strike length and fluctuated in thickness from 60cm to 200cm. The surface expression of the Barite vein was cream/white in colour with widespread rust staining and a typical high specific gravity. Barite vein mineralisation was clearly observed in MCN 5184 and 5185. The veins fluctuate between .5m and 2.0 in thickness. Although the strike direction is evident, the veins do not outcrop continuously over the strike length. The barite is pale cream in colour as shows evidence of ferruginous staining. A site visit of MLN's 697 and 698 showed the site well maintained with several small stockpiles of mined and screened Barite. The open cut has partially filled with water. Mining benches, access roads and infrastructure appear to be in good order. A market study is encouraging for local demand for Barite. Barite will continue to be in demand and there are opportunities to distribute significant quantities from Darwin to service particularly oil and gas exploration and production activities located in the Timor Sea. However, cumulative 'costs of production' will remain a significant consideration to market penetration. The aim over the next reporting period is to accurately locate, map and sample the vein mineralisation located in and across the granted tenements.