Annual exploration report Mount Bonnie Group MLNs 342, 346, 405, 459, 811, 1033, 1039, MCNs 504, 505, 3161 for the period ending 31 December 2008

Abstract

The Mt Bonnie group of tenements forms one of the significant projects which is located about 145km SE of Darwin NT and 11km ENE of the Hayes Creek road house. Probably, it was discovered during 1870s as part of the gold rush. First mining activity was recorded between 1913 and 1916 but no stoping was carried out. Intermittent mining activity took place from time to time and perhaps the most notable is in 1983, when a total of 110 000 t of ore at 7g/t Au and 230 g/t Ag was mined and processed. The tenement group comprises 108.75 hectares and is situated within Pastoral Lease No. 903, Douglas, held by Tovehead Pty. Ltd. The titles were originally granted to Zapopan N.L. and subsequently transferred to Dominion Gold Operations Pty. Ltd. The ground is now held by Territory Goldfields N.L, which is wholly owned subsidiary of GBS Gold Australia Pty Ltd. The deposit is hosted by Mt Bonnie Formation that lies within the upper part of the South Alligator Group. Rock types associated with the mine sequence are interbedded shale, siltstone, greywacke, dolomite and minor pebble breccia. A major stratigraphically concordant sill of the Zamu Dolerite underlies the mine sequence. The Mt. Bonnie lode system dips 40 degrees west and is up to 15m thick. Originally a surface gossan could be traced discontinuously for 100m. During 2008-09 reporting year, drilling campaign commenced in the project area which could have covered at least 14 diamond drill holes. However, on 15 September 2008 the company came under voluntary administration and as a result ended up drilling only one diamond hole. Now the project area is under care and maintenance, and it is expected that under new ownership, drilling campaign will commenced in near future.