Annual exploration report EL 10347 for period ending 14 April 2009 Golden Dyke Dome Burnside Project

Abstract

EL 10347 is located 145km SE of Darwin, and is centered on the Golden Dyke Dome, a faulted anticlinal feature at the southern end of the historic Yam Creek-Golden Dyke gold-mineralised belt. Several historic gold mines occur within the tenement including Golden Dyke, Davies No 2, Fishers Adit, Afghans Gully and Langley's. Gold mineralisation in the tenement is associated with the Middle Koolpin Formation of the South Alligator Group. Prospects lie along an arcuate fold axis trend, (Good Shepherd Anticline) which is parasitic to the west limb of the Dome. The gold closely follows stratigraphy and the bulk of mineralisation is confined to the contact zone between the Koolpin Formation and the Zamu Dolerite. It is hosted mainly by dark, nodular, cherty, chloritic and magnetic iron formation horizons thought to correlate with the same strata at the Cosmopolitan Howley Mine 16km to the west. During the reporting period a peripheral review of the tenement was undertaken which re-affirmed significant mineral potential of the project area. EL 10347 contains a number of deposits/prospect which has produced gold in the past and the area still has considerable exploration potential. TMI image of the tenement area shows that apart form Golden Dyke, Afghan's Gully, Langley's, there is significant area, situated toward north and south of the tenement, which is characterised by the contrasting lithologies. It could have significant potential for additional resources. In 2009-10 reporting year, project area will be explored for gold and base metal mineralisation. For this purpose, area identified during this review will undergo soil/rock chip sampling along with geological mapping. If encouraging results received, some RAB/RC drilling may also take place.