Annual report for year ending 1 February 2011 ML 23839 Mount Porter

Abstract

The Mount Porter gold deposit is located 21 kilometres north of Pine Creek and 165 kilometres southeast of Darwin in the Northern Territory, Australia. Access to ML 23839 from Darwin is along the Stuart Highway (225 kilometres) to Pine Creek then north along the Kakadu Highway and unsealed Frances Creek Road for 24 kilometres to a point about 6.5 kilometres past the turn-off to Mount Wells. From here a bush track leads to the prospect area some 3 kilometres distant. Mineral lease ML 23839, which hosts a modest gold resource at Mount Porter, was granted to Arafura Resources on 2 February 2005 for a period of twenty-five years. ML 23839 is part of Arafura's Mount Porter-Frances Creek gold project, which currently comprises six tenements. Two of these tenements, including ML 23839, are owned outright by Arafura. The mineral rights on the remaining four tenements are shared with Territory Resources Limited. Activity on ML 23839 during the reporting period included an airborne hyperspectral survey, and substantial work in support of Arafura's strategy to divest its interest in Mount Porter-Frances Creek via a commercial transaction with Global Mineral Resources Limited.