Rum Jungle Project Annual Report for the period 6 May 2011 to 5 May 2012 EL 26094

Abstract

During the reporting period, the following activities were completed over the tenement: Geological review and assessment; Preparation of an updated MMP; Excavation of 6 costeans for 768m with channel sampling and mapping; Geological interpretation by CSA Consultants; Regional mapping (85 samples); RC drilling (18 holes, 1528m); and Rehabilitation. Anomalous gold mineralisation was intersected in all trenches, broadly consistent with results reported by previous explorer Nicron Resources. A first pass RC drilling programme to follow up on the Nicron drillhole results and costean sampling in the northern part of the prospect has returned significant mineralised intercepts, up to 6m at 3.91 grams per tonne Au. Regional mapping suggest that the Highlander mineralised trend, thrust fault at contact of Whites Formation and overlying Wildman Siltstone, extends to the north and will be tested by further RC drilling.