Group Annual Report GR425 EL 25054 and EL 28902 Chessman Project for period ending 17 April 2018

Abstract

EL 25054 and EL 28902 are located about 20 km east of Katherine. They surround the Maud Creek gold deposit, which Kirkland Lake Gold Ltd ('KL Gold') have under consideration for development. This is the first group annual report combining the two licences, which were previously reported separately. The geology of the Project area comprises folded Palaeoproterozoic meta-sedimentary and volcaniclastic sequences. These are unconformably overlain by the Meso-Proterozoic Kombolgie Sandstone, which forms scarps. Flat-lying areas are covered by Cambrian Antrim Plateau basalts, and Cambro-Ordovician limestone covers much of southern part of EL 25054. Economically important rock units of the project area comprise greywackes, mudstones and tuffs of the Palaeoproterozoic Tollis Formation and Maud Dolerite which intrudes as irregular bodies up to 200m in width. Exploration activities are now managed by PNX Metals Ltd ('PNX') as part of an earn-in deal. During the past reporting year, six drill samples from the Tractor Corner prospect on EL 25054, were submitted for major element analysis.