First Annual Report for EL 28334 Ross River period ended 19 June 2012

Abstract

EL 28334 is held 100% by Rum Jungle Resources and is primarily targeting uranium. It is also prospective for base metals (principally copper and iron), PGEs, silver, and possibly gold. During the first year of tenure an airborne geophysical survey (mag, rad, DEM) was flown over part of EL 28334 by Daishat Geodetic Surveyors / Aerosystems. This was part of a larger survey of Rum Jungle Resources' contiguous Ross River project titles. In all, 4,864 line km were flown at 100 m line spacing using an R44 helicopter at nominal 40 m height. The processing was undertaken by Baigent Geosciences and their report is included. All data from Areas 2-4 of the survey is presented in GDF to accompany this report. EL 28334 is in the southwest corner of this survey. Geophysical costs to EL 28334 are pro-rata based on line kilometres. Two uranium channel anomalies, named Mulga Dam 1 and 2 were identified in the north and south of the EL respectively. An agreement was reached with the CLC allowing on-ground access to the Ross River Project including EL 28334, but site specific clearances will be necessary for more-invasive work such as drilling. Both a helicopter and a ground vehicle field reconnaissance were undertaken by Rum Jungle staff, using hand-held instruments and nondestructive testing and assaying. This was confined to areas of existing access and CLC clearance. The Mulga Dam 1 target was confirmed by on-ground measurements, but Mulga Dam 2 was downgraded.