Combined Annual Report for the Malbec Group GR407 ML 30096 and ML 30872, 23 September 2015 to 31 December 2016

Abstract

The titles of the Malbec Group were acquired by Giants Reef Exploration Pty Ltd (Giants Reef) and Santexco Pty Ltd (Santexco) to search for Tennant Creek style iron oxide copper-gold deposits (IOCG). Giants Reef and Santexco are wholly owned subsidiaries of Emmerson Resources Ltd (Emmerson). This combined report records the exploration work completed on these titles during the period from 23 September 2015 to the 31 December 2016. Exploration activity was limited due to exploration focus elsewhere. Future exploration will focus on desktop and field visits to geologically assess a number of Kenex generated targets within the Malbec Group area. These targets exhibited geological prospective rocks and structures but their overall ranking wasn't high enough for exploration to commence immediately. Following the recent exploration success at Mauretania in EL 28761 and Edna Beryl in MLC 705 these targets will be reassessed and re ranked in 2017 for future exploration. The Malbec Group covers two historical prospects / deposits, the first, the historical Malbec deposit which is considered prospective due to being underlain by Warramunga Formation units, the presence of a number of Au anomalous ironstones and presence of a small non-JORC compliant gold resource of up to 4,000ozs Au. Emmerson aims to re-evaluate this remnant resource for potential to mine the resource and evaluate potential for further discoveries in the near future, no work has been proposed to date. Secondly the historical Extension mine which was mined in the 1930's and yielded 188oz's.