ERL 94 Annual exploration report ending 9 August 2011 Redbank

Abstract

ERL 94 is a granted lease within the Redbank Copper operational area in the Northern Territory, and currently is in its twenty second year of tenure. During the reporting period, the company completed a small drilling programme across prospects within the lease, successfully intersecting copper mineralisation with discovery holes at Double Bluff, Charlie, AN11 and Prince. A new resource statement was generated by independent consultants SRK, increasing copper metal for the project by 30%. In 2010, ionic geochemical stream and soil orientation work has been completed across known deposits on ERL 94. Work to date indicates that finer fraction (-0.5mm) ionic multi-element stream sampling very successfully delineates copper deposits in excess of 1km downstream from a source, and can be used in the regional targeting of Copper, and associated Ag, As, Co, Mo, U, Pb, and Zn. Stream sampling locally within ERL 94 gave anomalous responses in areas that were unexpected and required further follow up.