EL 27560 Partial Relinquishment Report for the period 3 March 2018 to 2 March 2019

Abstract

The relinquished portion of EL 27560 is located approximately 70 kilometres south of Darwin and 7.5 kilometres north of Batchelor. At grant the tenement comprised two (2) sub blocks for a total area of approximately 0.47 square kilometres. In early 2017, the Company was informed that a portion of the tenement fell within General Reservation of Land RL 31445 notably created to increase the catchment area that forms part of the Darwin Region Water Supply Strategy. Subsequently, the tenement was subject to a partial relinquishment excising the area falling within RL 31445. The reduction comprised approximately 0.1 square kilometres which is the subject of this report. Activities over the relinquished area have formed part of the Company's regional exploration strategy targeting discovery of polymetallic mineralisation within the highly prospective Rum Jungle Mineral Field. Several regional geophysical surveys have been completed over the area including electromagnetics, magnetics, ground gravity, airborne gravity and LiDAR. The AEM survey was completed on 100 metre flight lines of which eleven (11) fell within the relinquished area for a total length of 1,014 metres. The ground gravity survey included just one (1) station within the relinquished area. The airborne gravity survey, also acquiring magnetics and LiDAR data, was completed on 200 metre flight lines of which six (6) fell within the relinquished area for a total length of 480 metres. In the year preceding relinquishment, the area was subject to a regional LiDAR survey at one-metre resolution. The economic prospectivity of the area is now considered redundant where it is subject to General Reservation of Land RL 31445.