Redbank Copper Project
The Company acquired the Redbank Copper Project in December 2005. The project is located in the Northern Territory McArthur River Basin, some 40km from the Queensland border and 50km south of the Gulf of Carpentaria. The tenements comprise Exploration Retention License (ERL) 94, Mineral Leases (Northern) 631 to 636 inclusive and Mineral Lease (Northern) 1108. Mine infrastructure and operating plant and equipment used to treat oxide ore were also included in the purchase.
A JORC classified mineral resource estimate by SRK Consulting has identified indicated and inferred resources of 4.2 million tonnes at an average grade of 1.5% copper, to a depth of approximately 300 metres.
The Redbank Copper Project is expected to provide the Company with a source of early cashflow commencing 3Q of calendar 2006, through the treatment of existing high grade copper stockpiles, followed by sulphide concentrate production once the flotation plant acquired as part of the purchase is refurbished.
More information on the Redbank Copper Project is available here.
Mount Kasi Gold Project
The Company's Mt Kasi Gold Project is located on the south coast of Vanua Levu, Fiji's second largest island, which is a four hour flight from the east coast of Australia.
The Company's tenements comprise granted mining and prospecting leases that cover approximately 360km2, with a further 40km2 under application. The tenements at Mt Kasi cover a geologically similar suite of volcanic rocks to those that host the world class epithermal Vatukoula gold deposit in the main Fiji island of Viti Levu (>10Moz gold), and the giant epithermal gold deposits on Lihir Island, PNG (>30Moz gold,) as well other high sulfidation mineralising systems including the Lepanto gold deposit in the Philippines.
The Company is planning a 5,000 metre drilling programme commencing Q3 of calendar 2006 to test regional anomalies away from the main deposit located at Mineral Hill.
More information on the Mount Kasi Gold Project is available here.