EL 23436 Sargents annual report for the year ended 29 December 2008

Abstract

This tenement is considered prospective for gold, platinum and palladium mineralisation. During the first year one short diamond drill hole was completed at the Sargents North Prospect. During the second year a planned drill hole was abandoned due to access difficulties following rain. In the third year two RC holes were completed at the Sargents prospect intersecting anomalous gold and platinoid mineralisation. A further two RC holes have been completed in the fourth year extending the zone of anomalism. During the period ending 29 December 2008, Compass has concentrated its efforts on historical data compilation in order to build a regional geological model from which to define potential drilling targets. This is part of the holistic regional approach being applied by Compass to exploration within the Rum Jungle area. Evaluation of previous drilling over the tenement is continuing in an attempt to further develop an understanding of the unusual type of mineralisation. A comprehensive GIS was built to contain all historical data and will be used extensively in the assessment of potential targets as the nature of mineralisation is further understood.