Annual Report EL 24127 Moline Project for period ending 14 October 2011

Abstract

Exploration Licence (EL) 24127 is located about 200 km SE of Darwin along the Kakadu Highway with a distance of about 45 km from Pine Creek. This EL makes up one of 7 exploration licences (EL 22966, EL 22967 EL 22968, EL 22970, EL 23605, EL 24127, EL 24262) covering the Moline goldfield. Terra Gold Mining Pty Ltd, a wholly owned subsidiary of GBS Gold Australia acquired exploration rights from tenement owner (Mike Teelow) in 2004. Crocodile Gold acquired the Moline group of tenements in 2009 after GBS Gold Australia (liquidated) when into voluntary administration. An application for Substitute Exploration Licence 28616 has been submitted to the DoR in February 2011. If the application is successful the SEL will cover EL 22966, EL 22967, EL 22968, EL 22970, EL 23605, EL 24127 and EL 24262. EL 24127 is situated within the central region of the Pine Creek Orogen, which is characterised by open to tight, upright N to NW-trending folds of the Palaeoproterozoic meta-sedimentary and volcanic rocks. The tenement area is underlain by Early Proterozoic granites and metasediments of the Pine Creek Orogen. The stratigraphic sequence consists mainly of a lower group of siltstones, black shales and greywackes, with minor ferruginous cherts ( Mt Bonnie Formation) and a younger group dominated by greywackes and siltstones (Burrell Creek Formation). Felsic tuffs and black shales, belonging to the older Gerowie Tuff and Koolpin Formation, form small inliers in anticlinal cores in the extreme southwest. The sediments are regionally metamorphosed to greenschist facies (phyllites in the argillaceous lithologies), with a thermal metamorphic overprint forming hornfelses at granite contacts in the west and south. Over the Moline Project, gold mineralisation occurs within greywacke, siltstone and carbonaceous phyllite of the Mt Bonnie Formation. It is also confined to meta-greywacke and slate of the Burrell Creek Formation. Exploration activities for EL 24127 included a VTEM geophysical survey, project review, reconnaissance field visits, geological mapping and purchase of new satellite images. Crocodile Gold has identified the Moline Project as critical for future work. The area is prospective for gold and base metals and requires an assessment of past mining and exploration activities. During the first year of tenure exploration activities over SEL 28616 will include, data collection and review, a review and interpretation of historic and recent geophysical and geochemical data, field mapping and sampling, RC drilling and a review of historic mining records.