7th Annual Report for EL 24539 period ending 15 August 2012

Abstract

EL 24539, originally consisting of 5 graticular blocks was granted on the 16th August, 2005. No reductions have occurred and a 2 year renewal was granted. The licence encompasses the same rock sequences that are host to the nearby McCarthy's and Evelyn lead-zinc-silver mines and Moline gold mines. Early Proterozoic metasediments of the Mt Partridge, South Alligator and Finnis River Groups are exposed by asymmetrical folds along north-westerly trending axes that are abruptly truncated to the west by the Allamber Springs Granite of the Cullen Batholith. Mineralisation styles being investigated are consistent with types known throughout the Pine Creek Orogen with a particular focus on copper, lead, zinc, silver and gold. At the end of the last active phase of consolidated exploration in 1995 it was concluded that the area remained prospective for base and precious metals. More recently the iron ore potential of the area has also been noted. Historical exploration has pursued extensive surface mapping and sampling and very limited drilling and costeaning. The current exploration methodology has extensively used various high resolution airborne geophysical techniques and some targeted rock-chip sampling programs to define prospective areas. During the current reporting period a drilling program planned to test the most prospective target remained, once again, in suspension pending the removal of access restrictions currently imposed by an AAPA Authority Certificate. An exploration access agreement remains in place with the Traditional Owners.