ELR 116 Mount Porter Annual Report for period ending 11 September 2014

Abstract

The Mount Porter gold resource is a key asset and major focus of attention for future Gold production for Ark Mines. The Arafura Mount Porter-Frances Creek Project was farmed into by Ark Mines in March 2013. This Project currently comprises a number of exploration / mining titles, covering an area of approximately 67 km2. Three of these licenses, including ELR 116, are owned outright by Arafura. The mineral rights on the remaining licenses are shared with Territory Resources Limited, or with its wholly owned subsidiary, Frances Creek Pty Ltd. To date, Arks activities in the Mount Porter region have been directed at preparing for the commercial exploitation of the Mount Porter gold resource. Ark has been focusing on the Mount Porter resource. Ark has undertaken an intensive drill program at its Frances Creek deposit with the view of developing a a number of shallow oxide Gold deposits. Ark is now in contact with Crocodile Gold negotiating a deal to treat the oxide gold ore. Ark has reviewed the Mt Porter deposit and now believes it may redefine the oxide deposit and drill out the extensions defined by Arafura.