Exploration licence EL 26045 annual report for period ending 2 December 2008

Abstract

Section 34 of the Mining Act requires the submission of an Annual Report prepared by the titleholder for each current Exploration Licence (EL). This first Annual Report for EL 26045 provides a summary of activities undertaken on the permit in the past year including any results produced by these activities. EL 26045 was granted on 3 December 2007 for a term of six years. Tri-Star Energy Company is the sole titleholder and the operator of EL 26045. The work and expenditure program for EL 26045 during its first year required a geological and geophysical review of existing data and information towards determining the location of Permian coals within the Purni Formation and specifically, their depth, thickness, lateral extent and quality. No field activities were intended during the first year and none were carried out. Tri-Star Energy Company commenced the review of existing data for the permit area and the Pedirka Basin in general to identify existing seismic, well and bore data, geology, cadastral information and topography. The geological investigations and the literature search commenced during the reporting period has indicated that the Purni Formation and its associated coals do not crop out within the area of EL 26045 but may occur at depth throughout the tenure. Tri-Star Energy Company has met all work and expenditure commitments for EL 26045 for the first year of the term, further work will be required to determine the location of the Permian coals with any precision and the second year of the term will focus on addressing this issue.