Second annual report on Mount Drummond project EL24840

Abstract

During the second year of the Licence, work was restricted to a study of open files available at the Department of Mines & Energy. The open file study demonstrated that there was some significant potential for copper, cobalt, uranium and gold in the area. In February 2008, Pedro Kastellorizos, Managing Director, Kastellco Geological Consultancy Ltd conducted a desktop study over the area and to recommend a detail exploration programme for the following year. During the month of December 2007 to February 2008, a review of re-processed and re-interpretation of magnetic and radiometric data from the Northern Territory Geological Survey Database was undertaken. This was conducted for the purpose of identifying exploration targets for diamonds and uranium. Extensive amounts of kimberitic and numerous radiometric targets were outlined. Several kimberlitic magnetic/radiometric targets were identified which warrant extensive work as no exploration work has been carried out over them. The targeting was undertaken at a high level to identify areas of interest that stand out in the regional data. Historical prospects were reviewed to determine the effectiveness of the previous exploration and evaluate remaining potential. Asis International Pty Ltd extracted the original line profile data for the airborne survey. This was acquired on 300 metre line spacing and is quoted to be reasonably modern data. The data was re-gridded it at 50 metres to extract the maximum detail. The re-processed data shows variations down to about 1-2 nT. On some images an N-S stiping can be seen in places; this is minor levelling errors from the contractor in the first place. The magnetic data has a few small amplitude dipolar anomalies that could be interpreted as diatreme anomalies. However, analysis of the RTP images shows a subtle background 'ripple' in the magnetics. It can be described as the same response from surficial maghemite and/or pisolites. Small concentrations of these can produce a small magnetic anomaly like that of a small diatreme.