Mount Peake Project Third Annual Report for ELR 29627 for the period 17 December 2014 to 16 December 2015

Abstract

Exploration Licence in Retention 29627 is part of the Mount Peake Project operated by Enigma Mining Ltd, a wholly owned subsidiary of TNG Ltd. The project area is located approximately 220km NNW of Alice Springs in the Northern Territory and covers portions of the Mount Peake (SF53-05) 1:250,000 map sheet. It lies within the Stirling and Anningie Pastoral Leases and is subject to Native Title. The project comprises four granted exploration licences; EL 27069, EL 27070, EL 27941, and EL 29578, and an exploration licence in retention, ELR 29627. In addition three Mining Lease applications; ML 28341, ML 29855 and ML 29856 have been taken out within the project area. The main focus of the Mount Peake project has been evaluation of the V-Ti-Fe deposit which lies within ELR 29627. Work has continued throughout the year on metallurgical testwork, environmental studies and logistical matters which have contributed to the completion of the Definitive Feasiblity Study in mid 2015. Geotechnical drilling was undertaken from February to April 2015 and a full geotechnical studies report produced using the data generated from the drillcore. The Environmental Impact Statement was submitted to the EPA NT in December 2015 and is currently available for public comment. Laboratory analysis was undertaken on samples from previously drilled holes within the Mount Peake resource area to study the potential for acid, metalliferous and saline drainage within the minesite. Low levels of sulphur were detected indicating there should be no concerns. Clearance was received from the CLC for the minesite area which is now being assessed by AAPA for authority certification.