Annual Report GR263 EL 26054, EL 26055 period 5 September 2012 to 4 September 2013

Abstract

EL 26054 and EL 26055 form part of the Barkly Project which consists of three granted exploration licences covering an area of 1,630 km2 in the Wonarah area of the Northern Territory. The area is considered to be prospective for phosphate mineralisation and is adjacent to Minemaker's discovery of phosphate at Wonarah. Fertoz Ltd undertook a mandatory 50% reduction of the tenements at the end of year 4 and sold the Barkly project to Mandarin Mining Pty Ltd on 2 October 2013. The exploration work done to date has not successfully explored EL 26054 and EL 26055 for the presence of phosphate mineralisation. What limited work that has been done has proved that the transported soils effectively are geochemically blanketing the underlying rocks. The only effective way to examine the underlying strata is by drilling using Reverse Circulation methods. A detailed study has identified six areas prospective for phosphate, of which three are considered high priority. Mandarin Mining Pty Ltd is keen to implement a drill programme based on the work done by Terra Search in 2012 to continue to explore for phosphate.