Annual Technical Report EL 28616 Moline Exploration Project for period ending 19 January 2015

Abstract

EL 28616, (the Moline Project) is an amalgamation of seven previous Exploration Licences (EL 22966, EL 22967 EL 22968, EL 22970, EL 23605, EL 24127 and EL 24262) that surrounds the Moline goldfield. The tenements are about 245 km from Darwin via the Stuart Highway then the Kakadu Highway. This annual technical report covers the Moline exploration activities from 20th January 2014 to 19th January 2015. The stratigraphy of EL 28616 is dominated by the Burrell Creek Formation of the Finniss River Group and the underlying Sediments of the South Alligator Group which have been folded along west north-west trending axes within the project area. There are also minor exposures of the Mount Davis Granite, The Allamber Springs Granite and McCarthy's Granite all straddling the borders of the tenement. Over the Moline Project, gold mineralisation occurs within greywacke, siltstone and carbonaceous phyllite of the Mt Bonnie Formation. It is also confined to meta-greywacke and slate of the Burrell Creek Formation, which are the most prospective lithologies in the Pine Creek Orogen. Exploration activities for the reporting period included a transfer of data from Crocodile Gold Australian Operations to Phoenix Copper Ltd. A total of 28 rock chip samples were collected, which included some highly anomalous values up to 29% Zn, 3.9g/t Au, 2.1% Cu, 4.9% Zn, 194g/t Ag and 4707ppm Cd at the Mt Evelyn prospect.