EL 28343 Roper Gulf Region First Annual Report for the period 17 June 2011 to 16 June 2012

Abstract

This report covers activities on EL 28343 was granted in June 2011 for a period of six years to Australian Ilmenite Resources P ty Ltd (AIR) . The exploration license is located approximately 130km east of Mataranka in the Roper River region of the Northern Territory. The Project lies in the Urapunga Fault Zone within the Bauhinia Shelf of the Proterozoic McArthur Basin. The area is underlain by sedimentary rocks of the Maiwok Subgroup of the Mesoproterozoic Roper Group. The Kyalla Formation in the area has been extensively intruded by sills of the Derim Derim Dolerite. The exploration target has been heavy minerals associated with the weathering and erosion of dolerite sills within the Mesoproterozoic Roper Group. The area has previously been explored for iron ore, base metals and diamonds. A written request and email reply (see attached) was made to The Department to enable us to provide a presentation to The Titles Advisory Board. The presentation was conducted Friday 20th July 2012. We presented our overall plan and current project status and the difficulties we had in reaching and fulfilling our commitment in the year 2010/2011. We also advised that due to funding restrictions from our Chinese joint venture partners who would not advance funds until we had received the PER from NRETAS. At the above meeting our proposal to the Department was the works program scheduled for year 2011/2012 now is carried over to year 2012/2013. We have been assured that the PER should be completed in the first half of September 2012 which will trigger the release of the funding requirements from our JV Chinese partners.