Annual report on EL 24549 Allamber Project for the period 23 September 2013 to 22 September 2014

Abstract

The Allamber Project (EL 24549) is located about 20-30 km NE of Pine Creek, Northern Territory. Element 92 Pty Limited acquired this tenement from Atom Energy Limited/Excelsior Gold Limited and is being managed by Thundelarra Exploration Limited under the Allamber JV. In 2011, EL 24549 was granted group reporting status (GR201-11) along with others tenements. However, on the expiry of those tenements, EL 24549 reverted back on individual reporting status in 2014. The project area is located within the central part of the Pine Creek Orogen (PCO) which is a tightly folded sequence of Palaeoproterozoic rocks, >4km in thickness, laid down on granitic and gneissic Archaean basement unconformably (Ahmad and Munson, 2013). The sequence is dominated by clastic, carbonate and carbonaceous sedimentary volcanics. Pre-orogenic mafic sills of the Zamu Dolerite intruded the sequence prior to regional metamorphism and deformation. In the project area, rocks of Masson Formation and Mundogie Sandstone along with members of Cullen Batholith (Allamber Springs Granite, Frances Creek, McCarthy's and Minglo granites) are exposed. The Masson Formation hosts significant uranium mineralisation within the Allamber Embayment at Cleo's, Twin, Dam and Cliff South deposits/prospects. During the reporting period, a dedicated exploration program was conducted to extend mineral potential of the project area. The main activities included appraisal of available data, prospect scale mapping and modelling and drill-testing of exploration targets. It involved drilling of 6 RC holes for 552 m at Hatrick and Cliff South prospects. Much of the exploration efforts in this report have been directed at Hatrick and South Cliff prospects to identify new uranium and copper resources. Drilling at South Cliff and Hatrick has intersected new areas of uranium and copper with 49 m at 787 ppm (1.17 lb/t) U3O8 from 58 m to 107 m; including 17 m at 1286 ppm (2.8 lb/t) U3O8 and 0.06% Cu from 78 m to 95 m in drillhole TAL107RC. To date, exploration programs undertaken in the Allamber Project area has shown significant potential for base metals, gold and uranium mineralisation. EL 24549 has returned good intersections of uranium and Cu mineralisation, and appraisal of exploration data demonstrates that mineralisation is open along strike and with depth. Geological, geochemical and geophysical data support the mineral potential of the project area. Therefore, it is recommended that company continues exploring EL 24549 to define new areas of uranium and base metals mineralisation.