Walabanba Project Group Annual Report GR145/10 EL 26848, EL 27115, EL 27876, 5 March 2012 to 4 March 2013

Abstract

The Walabanba Hills Project is operated by Enigma Mining Ltd, a wholly owned subsidiary of TNG Ltd. The project comprises three exploration licences (EL 26848, EL 27117, EL 27876), covering an area of approximately 2027 km2 in the north-central portion of the Paleoproterozoic Arunta Province. Enigma signed a Heads of Agreement (HOA) with the Australian uranium exploration and project development company, Toro Energy Limited in April 2012. The agreement gives TNG the right to explore for all minerals except uranium within EL 26848, EL 27115, and EL 27876. Enigma took out the JV agreement with a view to exploration for primary base metal sulphides, nickel and magnetite hosted vanadium-titanium, as found in the Mount Peake Fe-V-Ti deposit to the east. Review of historical geochemistry, drilling and geophysics in the area resulted in a HELITEM survey being undertaken in August 2012. Twenty target areas were identified and many were recommended for geochemical surveys, ground EM and potentially drilling follow-up. A very limited on-ground follow-up programme was completed in October 2012. A portable NITON was used for sampling and seven samples were sent for multi-element laboratory analysis. A lack of outcrop in the immediate target areas made it impossible to identify a geological source for many of the targets. Many still remain as valid target areas and require either ground EM or drilling to determine the reason for the conductor source being present.