Combined Annual and Final Report for EL 27750 for the period 20 September 2010 to 24 September 2015

Abstract

This combined annual and final report outlines exploration activities undertaken by Merlin Diamonds Limited (MDL) on Exploration Licence 27750 between the 20th September 2010 and 24th September 2015. This period represents full term of the Licence with MDL. Exploration Licence 27750 is situated on the Walhallow (SE53-07) 1:250,000 geological mapsheet and the Lancewood (6163) 1:100,000 topographic mapsheet in the Batten Region of the Northern Territory. In the past Exploration Licence 27750 has been subjected to extensive exploration by various companies for kimberlite that has recovered significant numbers of chromites and diamonds in loam and stream samples. Exploration by MDL was the continuation of this work and focused on finding the primary source of these chromites and diamonds. During the term of EL 27750, MDL completed stream and loam sampling mostly to follow-up historical positive samples and several geophysical targets. The historical and recent results when observed collectively, they possibly represent a disperse chromites anomaly that may be associated with the regional distribution of chromites and other kimberlitic indicator minerals, including diamonds. However, these results remained inconclusive thus far to point to a definitive source area of these kimberlitic indicator minerals.