Exploration licence 7739 Rover Northern Territory annual report for the period ending 4 June 2008

Abstract

Exploration Licence 7739 'Rover' was granted on 5 June 2000 and reached the end of its six year term on 4 June 2006. Successful applications for a two, two-year extensions of term were lodged with DPIFM and the tenement will now expire on 4 June 2010. The tenement is held by Adelaide Exploration Limited, a wholly owned subsidiary of Adelaide Resources Limited, a company listed on the Australian Securities Exchange. EL 7739 is located to the southwest of Tennant Creek in the Rover Field. The area is considered to be highly prospective for Tennant Creek style gold-copper-bismuth deposits. EL 7739 is explored in conjunction with adjacent EL 8921. Work completed on EL 7739 in its eighth year of title included: - Drilling of three reverse circulation drill holes (totaling 684 metres) at the Rover 4 prospect in September 2007 before mechanical failure caused the program to be abandoned. - Reading of 148 gravity stations on a nominal 100m x 100m grid at the Rover 4 prospect. - Recommencement in late May 2008 of diamond drilling operations at Rover 4 prospect. Completion of these programs was conducted under the authority of an Aboriginal site clearance survey completed in 2005. The September 2007 drilling program, while prematurely halted due to the mechanical failure of the drill rig compressor, successfully intersected highly promising copper-gold mineralisation at the Rover 4 prospect. Vertical drillhole RV4ARD10 intersected 15 metres at 2.07% copper and 0.15 g/t gold from 221 metres downhole. The mineralisation setting is interpreted to be typical of Tennant Creek style copper-gold deposits. At the end of the tenure year a planned 2000 metre drilling program at Rover 4 was in its early stages, however no data had been received from the field. The company therefore determined to delay the reporting of results from the May-June 2008 program until the 2009 annual report.