EL 29849 Partial Relinquishment Report for period ending 18 March 2019

Abstract

EL 29849 (Dalmore Downs Project) is located approximately 220 km ESE Tennant Creek and approximately 25 km south of the Barkly Highway on the Alroy and Ranken 1: 250,000 and the Wonarah and Ranken 1:100,000 map sheets in the Northern Territory. The tenement was acquired to explore for rock phosphate. The tenement occurs within the central western part of the Georgina Basin where flat-lying, phosphate-bearing Cambrian sediments have been deposited. The lower part of this sequence, the Gum Ridge Formation, is considered prospective for phosphate mineralisation overlying either carbonates or basalts of the Middle Cambrian. The tenement was formed by the amalgamation of several tenements in early 2013. Since 19 March 2013 when EL 29849 was granted, work has comprised rehabilitation and rehabilitation monitoring. The tenement was reduced by 41 blocks in 2015. A partial cancellation of 18 blocks was made in April 2016. A partial relinquishment of 11 blocks was made in March 2017 pursuant to section 29 of the Mineral Titles Act. A further relinquishment of 6 blocks took place in March 2019, the subject of this report. A total of 11 exploration RC holes were drilled on the relinquished part of the tenement. Exploration on the relinquished portion of EL 29849 returned some significant intervals of phosphate mineralisation defined by two phases of broad-spaced reverse circulation drilling. The mineralisation would require significant further exploration drilling to potentially delineate a resource, the cost of which is not warranted for the Company on the basis that the mineralisation is patchier and likely deeper than the current JORC on the retained portion of EL 29849.