Combined Annual Report for the Western Project Area GR056 16 May 2014 to 15 May 2015

Abstract

Exploration Licences (ELs) and Mineral Authorities (MAs) in the Western Project Area (WPA), were acquired by Giants Reef Exploration Pty Ltd (Giants Reef) and Santexco Pty Ltd to search for Tennant Creek style iron oxide copper-gold deposits. Giants Reef Exploration Pty Ltd (Giants Reef) and Santexco Pty Ltd are wholly owned subsidiaries of Emmerson Resources Ltd. This combined report records the exploration work completed on these ELs during the WPA Combined Reporting period from 16 May 2014 to the 15 May 2015. During the reporting period exploration activities were very limited due to corporate reasons, which entailed the seeking of a Joint Venture (JV) Partner or further funds to continue exploration in the Tennant Creek area. Emmerson succeeded in securing Evolution as a Joint Venture Partner who has committed to spend $25M over the next 5 years. No Exploration was conducted by Emmerson within the WPA as initial exploration under the new JV commenced in the SPA, NPA and EPA. Of this exploration conducted the most likely to have a significant impact on future exploration in the WPA will be the seismic surveys which were completed in December. Emmerson has now completed an assessment and interpretation of these trial lines and will be drilling the generated targets at Goanna and Gecko in the NPA in the second half of 2015. Should this be successful in intersecting the interpreted geology, structure and possible mineralisation it holds significant potential for the WPA. Emmerson also engaged Kenex Pty Ltd (Kenex) to construct a predictive model for the Tennant Creek Mineral Field and included all titles in the WPA. This product is expected to be completed and delivered to Emmerson in July 2015, preliminary results have been generated for field validation and then feed back into the model to assist in generating the most robust targets, therefore the final results of this project and its end product will be reported in the next annual report of the WPA, the field validation that was performed has been noted in the relevant section. Work was also completed on Matt Hill's PhD project, run by the Centre for Exploration Targeting (CET) out of the University of Western Australia (UWA), titled the 'Tennant Creek Project', the project is to build a 3D structural model of the entire Tennant Creek Mineral Field. Work conducted under this project involved field mapping, and software modelling of the observed and captured structural data, the completed work will be presented in 2015.