Combined Annual Report for period 1 January 2011 to 31 December 2011, MLN 719 to 725 and MCN 273 Mathison Creek Barite

Abstract

Sibelco Australia Limited completed no work on MLN 719-725 and MCN 273 during the period 1 January 2011 to 31 December 2011. MLN 719-725 and MCN 273 cover the Mathison Creek Barite Deposit. Due to depressed market conditions for OD (Oil Drilling) grade barite, Sibelco is currently only sourcing barite from its Dunbar Mine in South Australia. However, the Mathison Creek deposit is a strategic reserve which Sibelco intends to continue when market conditions change. Sibelco has in the past conducted extensive geological mapping, costeaning and drilling programmes to delineate the resource. This work defined a resource of approximately 100,000 tonnes over 4 barite lodes.