Tasmania Mine

Reverse Circulation Drilling at Jarmans

Beaconsfield Regional Exploration

The exploration tenements surrounding the Tasmania Mine total 16 square kilometres. The aim of exploration in this region has been to locate repeats of the high-grade Tasmania Reef, which has an endowment in excess of 2 million ounces of gold. Historical drilling has indicated the presence of reefs at Pease Creek and North Tasmania Reef, to the north of the Tasmania Reef.

Beaconsfield Regional Long Section

A detailed aeromagnetic survey in September 2007 helped define targets for subsequent soil sampling, reverse circulation drilling and diamond drilling programmes. A number of reefs to the north and west of the Tasmania Reef have been tested by diamond drilling, whilst prospects to the south and immediate north have been tested by reverse circulation drilling. To the south, new gold mineralization, so far uneconomic, has been identified from this drilling at the Eaglehawk Gully and Blue Tier prospects, and further soil sampling in 2008 has generated significant undrilled targets, particularly at the Middle Arm Gorge prospect.

Recent reverse circulation drilling has located new gold mineralisation at Pease Creek, 5km north of the Tasmania Mine. With attributes in common with the Tasmania Reef, this low grade mineralisation has been confirmed by diamond drilling with results including 0.3 metres at 2.3 grams per tonne of gold and 0.4 metres at 1.6 grams per tonne of gold.

Middle Arm Bay Historical Beaconsfield Tailings

Historically, the Tasmania Mine at Beaconsfield operated between 1877 and 1914, recovering by roasting and discharging tailings into the Tamar River estuary at Middle Arm Bay. Between 1985 and 1988 Golconda N.L. recovered some 237,000 tonnes of these tailings and using carbon-in-leach technology recovered 1.1 grams of gold per tonne. A Mineral Resources Tasmania report of 1996 suggests that up to 800,000 tonnes of historical tailings of variable grade still exist and limited sampling of the upper 4 feet suggests grades of 1.1 grams of gold per tonne (MRT sampling locations shown below).

Middle Arm Bay Exploration Licence Application covering historical Beaconsfield tailings deposits

An exploration licence (shown above) covering the area of historical tailings has been applied for and there are plans to undertake sampling and scoping studies on future gold extraction using part of the Beaconsfield plant.

A Mining Lease has also been applied for over the three tailings dams left by Golconda N.L. in 1988 that contain residual gold due to incomplete carbon-in-leach extraction.