Annual exploration report Howley Ridge Tenement Group MCN's 377 to 380, 852 to 857, 1035, 3099 to 3115, 3117 year ending 31 March 2008

Abstract

The Howley Ridge mineral claims are located about 130 km SSE of Darwin and some 8 km NW of the Cosmopolitan Howley Mine within the Pine Creek Orogen. In 2005, GBS made a successful takeover of Northern Gold, and entered an agreement to purchase Harmony's 50% share of the Burnside JV, giving GBS 100% of the project. The tenements occupy a segment Howley Anticline axis where rocks of the Mount Bonnie Formation, Gerowie Tuff and Burrell Creek Formation are exposed.. The Zamu Dolerite is interlayered within the formations. The sequence has been folded into a macroscopic asymmetric anticline with parasitic flanking folds and thrust faults. This arcuate structure is termed the Howley Anticline and has been traced along strike for 30 km between the Cosmo Howley Mine and Mt Paqualin. The fold plunges shallowly to the NW in the vicinity of the Cosmo Howley. During the reporting period, work comprised of review of previous data, reconnaissance visits, planning for the upcoming field season, administrative duties and report preparation. Review of the data shows that Howley Ridge has some high grades, but appears to lack continuity. It is planned to re-evaluate the Howley Ridge mineralisation by modelling the data and evaluating it against other GBS resources. Further drilling has been planned to test the model, or to upgrade the resource. A program of RC drilling has already been designed to test northerly extension of Howley Anticline. In addition, some soil and rock chip sampling program may also be taken to assess the full potential of the area.