Annual report SEL 10012 Mt Ringwood Project for reporting period ending 27 November 2008

Abstract

SEL 10012 (Substitute Exploration Licence) is located approximately 110 kilometres southeast of Darwin, and 35km east of Adelaide River on the McKinlay River (1:100000) and Pine Creek (1:250 00) sheets. SEL 10012 was granted on 28 November 2003 for a period of four years, with two further extensions thereafter. SEL 10012 is situated within the Pine Creek Orogen which is a folded and metamorphosed sequence of Palaeoproterozoic pelitic and psammitic sediments, with interlayered cherty tuff units. These rocks have been intruded by the late-orogenic Palaeoproterozoic granites, causing wide spread contact/thermal aureole which contains most of the gold mineralisation in the Orogen. Much of the geology of the tenement is dominated by the Burrell Creek Formation, transected by the Pine Creek Shear Zone - an important structural feature for the localisation of gold mineralisation in the area. During the reporting period, a peripheral review of the project area was undertaken which identified significant potential in gold and possibly uranium mineralisation. No substantial ground activity was undertaken due to company resources being focused in bringing online projects such as Chinese South, Toms Gully, Cosmo Deeps and Maud Creek. Chinese South came online in April 2008 whereas Toms Gully re-commenced production in July 2008. GBS Gold has developed a genetic model can be used to describe the type of structures, and mineralisation styles that are expected to be encountered within the structural domains within the Pine Creek Orogen. SEL 10012 is considered to be prospective for gold and uranium mineralisation. In the next reporting period, targets identified during technical reviews will be checked in the field and a soil/rock chip sampling program will be undertaken. The area will undergo for further geophysical appraisal and refined targets will be drill-tested. During the reporting period, a peripheral review of the project area was undertaken which identified significant potential in gold and possibly uranium mineralisation. No substantial ground activity was undertaken due to company resources being focused in bringing online projects such as Chinese South, Toms Gully, Cosmo Deeps and Maud Creek. Chinese South came online in April 2008 whereas Toms Gully re-commenced production in July 2008. Other activities which were conducted were; Data validation, Reconnaissance visit, Report preparation and Tenement administration.