Gold Exploration

Stavely Project - Aeromagnetics & Prospects

Victorian Exploration

Current exploration in Victoria is aimed at locating copper and gold mineralisation near the Thursdays Gossan copper deposit of the Stavely project and the Ararat copper deposit of the Ararat project, both located in western Victoria, around 100 kilometres west of Ballarat. In February 2012, a 6,000 metre infill and extensional aircore drilling programme commenced on the Thursdays Gossan Chalcocite (TGC) and Fairview Gold prospects of the Stavely Project.

The Ararat project area has produced about 600,000 ounces of alluvial gold, for which no significant bedrock sources have been found, and hosts one known VMS-style copper deposit.

Previous gold explorers used various geophysical techniques to identify potential basalt domes, similar in style to that which hosts the Magdala gold deposit at Stawell, a 6 million ounce gold producer which is still in operation. Newcrest confirmed that the Langi Logan gravity target, approximately 30 kilometres south-east of Stawell, is a basalt dome and intersected 2 metres at 9.2 grams of gold per tonne at the basalt contact.

A detailed gravity survey to identify further basalt domes under shallow cover south of Langi Logan is planned. The company was previously awarded a Victorian Government grant of $66,000 towards the drilling of two diamond holes at two Langi Logan style gold targets.

Within the Stavely project, the Fairview gold prospect is located approximately 1 kilometre south-east of the Junction 1 copper prospect, and forms a strong and continuous gold in soils anomaly, with peak values of 1.1 grams per tonne of gold, discovered by BCD in 2006. There are no historical gold workings on or near Fairview, due to the shallow soil cover. Limited shallow drilling has intersected gold, including 3 metres at 10. 9 grams per tonne and 6 metres at 4.6 grams per tonne.

A detailed ground-based gravity survey in 2009 identified low-density features at Fairview, which are interpreted as porphyry units thought to be significant in the introduction of gold mineralisation.

Fairview Gravity                                                            Fairview Aeromagnetics

Soil sampling of the Balbeggie gold prospect, approximately 4 kilometres to the west of the Fairview gold prospect, identified a more modest gold, zinc, lead and copper anomaly.

Aircore drilling of the Fairview Gold prospect is scheduled for the March 2012 Quarter.