Technical Report on ML 30293 and ML 30260 Maud Creek Mining Project for period 16 June 2014 to 15 June 2015 GR190

Abstract

The Maud Creek Project is situated 18km east of the town of Katherine NT and 275km south east of Darwin. It also includes Red Queen/Chessman group of tenements. Ownership of the tenements has changed several times with Terra Gold Mining acquiring the tenements in 2005. GBS Gold International acquired Terra Gold Mining Ltd on 7th November 2005. GBS Gold Australia went into voluntary administration on 15 September 2009 and all assets including Maud Creek Group of tenements were placed under care and maintenance. After meeting statuary and regulatory requirements, Crocodile Gold Australia Pty Ltd secured the control of all assets including Maud Creek Group of tenement in November 2009. On 14 April 2014, MCN 4145, MCN 4146, MCN 4149, MCN 4150, MCN 4151, MCN 4152, MCN 4218, MCN 4219, MCN 4220, MCN 4221, MCN 4222, MCN 4223, MCN 4224, MCN 4225, MCN 4343, MCN 4344 & MLN 1978 were combined into ML 30260. MCN 4346, MCN 4347 & MCN 4348 were combined into ML 30293. On the 15th of August 2014, Crocodile Gold entered into a farm-in agreement with Phoenix Copper for several exploration projects including the Chessman prospect. Chessman is part of ML 30293. The farm-in agreement also covers the exploration titles at the Maud Creek project. Phoenix have therefore managed the majority of work on ML 30293 but this has been reported in this group report. Within the Maud Creek project area, the oldest exposed rocks are the Palaeoproterozoic Tollis Formation, which comprise tuffs, greywacke, mudstone, laminated quartz arenites and thin banded ironstone. Thick sills of Maud Dolerite have intruded the Tollis Formation. The Maud Dolerite forms irregular bodies up to 200 m wide, and the western margin is strongly sheared and quartz-veined, with well-documented gold and copper mineralisation. Unconformably, overlying the Tollis Formation is the volcanics and sandstones of the Edith River Group. The Kombolgie Formation Unconformably overlies both of the above units, and characteristically crops out as tablelands and mesas. The Cambrian Antrim Plateau Volcanics cover much of the Proterozoic rocks to the south and west of the Maud Creek area. Gold is fine-grained and is associated with pyrite, chalcopyrite and secondary copper mineralisation. At the Red Queen/Chessmen prospect gold occurs within mafic fragmental volcanic rocks as well as black chert and arenaceous sediments characterised by pyritic mafic fragmental rocks, possibly part of the Dorothy Creek Volcanic Member. Crocodile Gold has recently announced the development of a new 'Feasibility Study' for the Maud Creek deposit. Work commenced on this report after 11 companies were invited to submit an expression of interest (EOI) for this work to be completed. These were short listed down until SRK were awarded contract for the study. SRK have started by reviewing the drilling data and re-constructing the Mineral Resource estimation which will be available for review early in the next reporting period. Activities completed on the Maud Creek mining project for the reporting period have centred around the generation of the Maud Creek feasibility study and the review of past work on the Chessman project. This will continue in the coming reporting period.