EL 23722 Annual report for the year ended 17 September 2010

Abstract

During the reporting period, work carried out focussed on validation of the compilation of all historical exploration data. A review of this data (in conjunction with field checking) resulted in the development of a new structural model for the Rum Jungle district. One of the prime benefits of compiling so much historical exploration data is that it generates a better understanding of both the regional geology as well detailed geology of individual prospects. At Rum Jungle this has resulted in a complete re-think of the timing and controls to mineralisation. Based on the review of the historical exploration data there are two distinct primary mineralisation events at Rum Jungle: (a) Lower Proterozoic stratiform base metal event (Browns, Area 55, possibly Mt Fitch sulphides) and (b) Mid Proterozoic structurally controlled uranium-gold-platinoidbase metal event (all other prospects). The mid Proterozoic event is associated with a series of stacked, essentially bedding parallel thrust surfaces. These surfaces are characterised by extensive zones of brecciation and variable but often intense hydrothermal alteration. Alteration includes silicification, haematite dusting, specular haematite, apatite, tourmaline, chlorite and disseminated pyrite. Within EL 23722 the faulting may have resulted in the removal of the Whites Formation-Coomalie contact reducing exploration potential for base metals. However the strong structural zone has potential for gold and uranium mineralisation. The tenement is currently (October 2010) being flown with detailed aeromagnetics and EM and part of a survey covering all Compass tenements in the Batchelor district.