Annual Report ML 22934 Groundrush from 14 September 2012 to 13 September 2013

Abstract

Exploration during the year ended 13 September 2013 included: Surface Sampling (21 soil samples, 17 rock chip samples); Drilling (DD 27 holes 9,522 metres, RC 47 holes 4,668 metres, RAB 74 holes 3,724 metres; Computer 3D modelling of geology, mineralisation and structure for Groundrush and Ripcord deposits; Geological Re-logging of historic RC holes at Groundrush South; Geotechnical Re-logging of 105 Groundrush DD holes; Mineral Resource Modelling and Estimation (Groundrush 6.7Mt at 4.8g/tAu, 1.0MozAu Ripcord 0.8Mt at 2.48g/tAu, 66TozAu). The major aim of the reporting year's exploration activities was to increase the category of mineral resources at the Groundrush and Ripcord deposits from inferred to indicated and this was successfully achieved. The Groundrush total resource and indicated resource were increased beyond requirements of the Central Tanami Project Definitive Feasibility Study as at the start of the reporting period. The total Groundrush resource (mined and inventory) has reached a size where the dolerite hosted mineralisation type must be considered as an important target for exploration in the Palaeoproterozoic Tanami region. Relatively advanced Groundrush South and Tandem prospects require further drilling to determine their potential. Due to a focus on Groundrush by both Newmont and TGNL, parts of the tenement are under explored and anomalous drilling results have received little follow up work. With the deferral of the feasibility study and ceasing of exploration work in April 2013 it is uncertain when significant exploration will re-commence.