Annual exploration report on SEL 25748 Burnside for year ending 30 September 2009

Abstract

SEL 25748 is one of the significant assets within Crocodile Gold Australia's portfolio. It replaced SEL 24352 and vacant ground covered by expired EL 9080. SEL contains extension to known gold mineralisation and also hosts significant number of uranium mineralisation. In the project area, gold deposits are hosted by the Brocks Creek-Zapopan shear zone, the Hayes Creek Fault system, and the Pine Creek Shear Zone. The project area contains rocks of the Burrell Creek Formation, Koolpin Formation, Gerowie Tuff, Mount Bonnie Formation and Zamu Dolerite. This package is intruded by the Palaeoproterozoic Burnside and Margret Granites. During the reporting period, a technical review was undertaken and a tenement ranking exercise was conducted in order to prepare all assets for sale. Appraisal of previous exploration data and technical review of SEL 25748 ranked it very highly for having significant potential for gold and uranium mineralisation. In addition, potential for other commodities also exist which will be further assessed in the next reporting period. A high resolution airborne EM survey was also flown over the project area. Other activities during the reporting period include ground truthing, report writing and tenement administration. In the next reporting year, high resolution geophysical data acquired during this reporting period will be processed and interpreted. A program of soil/rock chip sampling will also be undertaken. It is expected that this program will identity additional targets for gold and uranium mineralisation, which may lead to RC/RAB drilling.