Annual Technical Report Group Reporting GR361 Albarta South Project 1st February 2015 to 31st January 2016 EL's 27709, 28136, 28940 and 30669

Abstract

This is the first Group Reporting of Core Exploration's (CXO) Albarta South Project (GR361) comprising four exploration licences (EL's 27709, 28136, 28940 and 30669) which were held 100% by DBL Blues Pty Ltd a wholly owned subsidiary of Core Exploration Limited. Previously each tenement was reported individually with Bridging Reports lodged to align with the Group Reporting dates in 2014. The project area is dominated by parts of the Aileron and Irindina Provinces as well as the Amadeus Basin. The basement in the area consists of sedimentary and igneous rocks of the Aileron Province of Palaeo-Proterozoic age (1865-1500Ma). The rocks have been metamorphosed to upper green-schist to lower amphibolite facies during the Strangways Orogeny (1740-1690 Ma). Exploration work in previous years has discovered significant silver (and base-metal) anomalism at Blueys / Inkheart on EL 28136 hosted in Bitter Springs and Heavitree Quartzite Formations of the Amadeus Basin where it has been overthrust by basement. Exploration work in 2015 included the development of cost-efficient surface sampling which lead to the discovery of a similar silver and base metal anomaly on EL 27709 called Black Gate. CXO has also progressed preparation for a diamond drilling program at Inkheart but regrettably did not get it completed in 2015. Cultural Heritage clearance surveys were completed by the Central Lands Council over EL 28136. CSIRO in collaboration with CXO as undertaken geophysical modelling of its Central Australia tenure however final deliverables are still outstanding. Recommendations for 2016 include: completion of the proposed diamond drilling at Inkheart; follow up work including ground geophysics and drill testing at Black Gate; and application of the surface sampling methodology across the broader GR361 tenure.