ATLAS GOLD LIMITED ABN QUARTERLY REPORT FOR THE PERIOD ENDED 31 MARCH 2005

Size: px

Start display at page:

Download "ATLAS GOLD LIMITED ABN QUARTERLY REPORT FOR THE PERIOD ENDED 31 MARCH 2005"

Erik Logan
5 years ago
Views:

ABN 63 110 396 168 FOR THE PERIOD ENDED 31 About Atlas Gold Limited The Company has four projects at varying stages of exploration located at Farrel Well, Pardoo, Mt Minnie and Pearana in the Pilbara

The Company s strategy is one of rigorous, geologically focused exploration with a major drilling component.

Farrel Well HIGHLIGHTS FOR THE QUARTER A total of 32 holes were drilled for 2853 metres at the Dom s Hill and the NE Zone gold prospects.

1 ABN FOR THE PERIOD ENDED 31 About Atlas Gold Limited The Company has four projects at varying stages of exploration located at Farrel Well, Pardoo, Mt Minnie and Pearana in the Pilbara region, Western Australia. These projects cover a total area of 2,617 sq km, which is considered highly prospective for economic gold, nickel, base metal and iron ore mineralisation. The Company s strategy is one of rigorous, geologically focused exploration with a major drilling component. Atlas owns 100% of all tenure and therefore shareholders will gain the maximum benefit from any discovery made. Farrel Well HIGHLIGHTS FOR THE QUARTER A total of 32 holes were drilled for 2853 metres at the Dom s Hill and the NE Zone gold prospects. Gold mineralization confirmed at Dom s Hill with intersections including 5 metres at 3.43 g/t Au from 32 metres, and 4 metres at 3.36 g/t Au from 26 metres. A new gold discovery at the NE Zone from preliminary reconnaissance drilling with intercepts including 1 metre at 4.33 g/t Au from 15 metres down hole. A new high order gold in soil anomaly discovered at Lucangas Hill Pardoo Hematite consultants completed independent review of the Pardoo project highlighting areas 75km East of Port Hedland as prospective to host commercial quantities (>10mt at > 60% Fe) of iron ore. Results from reconnaissance rock chip sample traverses include 56 metres grading % Fe, 2.33% Si, 0.8% Al and 0.047% P. For more information visit the Atlas Gold Limited website Atlas Gold Limited PO Box 223 WEST PERTH WA 6872 David Flanagan Managing Director Phone Richard Revelins Chairman Phone Fig 1 Atlas Gold Project Locations

Introduction Following the successful listing of Atlas Gold Limited (ASX Code AGO) on the Australian Stock Exchange on 17 December last year, Atlas is currently pursuing aggressive field based

the Farrel Well, Pardoo, Mt Minnie and Pearana projects, all of which are located within the Pilbara Region of Western Australia.

2 Introduction Following the successful listing of Atlas Gold Limited (ASX Code AGO) on the Australian Stock Exchange on 17 December last year, Atlas is currently pursuing aggressive field based geologically driven exploration program in the Pilbara region of Western Australia. The company has four exploration projects; viz. the Farrel Well, Pardoo, Mt Minnie and Pearana projects, all of which are located within the Pilbara Region of Western Australia. Fig 2 Project Location Plan During the March quarter the company established itself as an active explorer with high quality gold, base metal and iron ore assets. FARREL WELL GOLD/NICKEL-COPPER PROJECT 100% (Gold, Base Metals) Exploration activity at Farrel Well during the March quarter comprised the drilling of 33 holes for 2,865 metres and 1,220 samples at the Dom s Hill and NE Zone prospects as well as 7,540 line kilometres of airborne geophysics and 3,637 surface samples.

Fig 3 Farrel Well Prospect Location Plan Dom s Hill The Dom s Hill gold prospect is one of

The identified strike of the gold mineralization as identified by drilling, soil sampling

The recently completed drilling program of 27 holes for 2,391 metres confirmed the

vicinity of Dom s Hill. Historical RAB intercepts of 3m @ 13.

07g/t Au in hole GRR 018) were confirmed by recent RC drilling with results including; 5

3 Fig 3 Farrel Well Prospect Location Plan Dom s Hill The Dom s Hill gold prospect is one of the company s priority exploration targets (Fig 3). The identified strike of the gold mineralization as identified by drilling, soil sampling and geological mapping exceeds 2.5kms and is largely untested by drilling. The recently completed drilling program of 27 holes for 2,391 metres confirmed the geological model for the mineralization and identified several new targets in the immediate vicinity of Dom s Hill. Historical RAB intercepts of 13.7 g/t Au (included within a wider section of 18m@3.07g/t Au in hole GRR 018) were confirmed by recent RC drilling with results including; 5 metres at 3.43 g/t Au from 32 metres in hole DHRC0204 from 32 metres; and 4 metres at 3.36 g/t Au from 26 metres in hole DHRC0213 from 26 metres. These intersections were part of wider intervals of lower grade gold mineralization.

Detailed (1:1000 scale) geological mapping has also identified a parallel structure, located 150 metres west of existing drilling, with surface samples grading up to

This and other targets at the Dom s Hill prospect will be further tested by drilling in the June Quarter.

Detailed soil sampling completed during the quarter confirms the presence of a substantial gold in soil anomaly that currently has a known strike length in excess of

The recent preliminary reconnaissance drilling comprised 5 holes for 462m that were drilled over a relatively short (180 metre) strike length of the southern part of

4 Detailed (1:1000 scale) geological mapping has also identified a parallel structure, located 150 metres west of existing drilling, with surface samples grading up to 1.02 g/t Au. The results of the geological mapping further confirm the highly mineralized nature of this prospect area. This and other targets at the Dom s Hill prospect will be further tested by drilling in the June Quarter. NE Zone The NE Zone is the first of several new targets to be drill tested by Atlas this year. Detailed soil sampling completed during the quarter confirms the presence of a substantial gold in soil anomaly that currently has a known strike length in excess of 4 kilometres (Fig 4). This anomaly has never previously been drill tested. The recent preliminary reconnaissance drilling comprised 5 holes for 462m that were drilled over a relatively short (180 metre) strike length of the southern part of the entire anomaly. The results from this drilling are considered very encouraging and include; 3m at 1.07 g/t gold from 27 metres in hole NERC001; and 1m at 4.33 g/t gold from 15 metres in hole NERC005. Geological mapping and sampling together with infill soil sampling is proceeding in preparation for comprehensive drill testing of this anomaly during the June quarter. Fig 4 Farrell Well Central Area Prospect Location Plan

Lucangus Hill Preliminary soil sampling at the Lucangas Hill prospect area has identified a substantial gold in soil anomaly that, as currently identified, is approximately 480 m long and up to 300 m

5 Lucangus Hill Preliminary soil sampling at the Lucangas Hill prospect area has identified a substantial gold in soil anomaly that, as currently identified, is approximately 480 m long and up to 300 m wide (Fig 3). Peak value returned is 41 ppb Au. The anomaly is open to the north where bedrock disappears under shallow surficial cover. Geological mapping and sampling together with infill soil sampling is proceeding in preparation for comprehensive drill testing of this anomaly during the June quarter. Geophysical and GIS Data for the Farrel Well Project A detailed (50m & 100m line spaced) aeromagnetic and radiometric survey of the Farrel Well project area has been completed and these data are currently being processed and it is anticipated that their interpretation will be available for use in target selection during te current quarter. Additionally, the company has acquired high resolution digital photography covering the Farrel Well project area. PARDOO IRON ORE/GOLD/NICKEL PROJECT 100% A review of the Pardoo Project s commercial iron ore potential was completed during the March quarter. Independent iron ore consultant, Mr Chris Robinson of Hematite Consultants (as reported to the ASX on 15 th February 2005) confirmed the Atlas 100% tenements were prospective for a commercial operation comprising 10mt of direct shipping iron ore (>60% Fe and < 0.1% P). The review included a site visit, rock chip sampling traverses and interrogation of exploration work reported by previous exploration as part of the Goldsworthy JV. Site inspection and rock chip sample traverses also confirmed immediate resource targets adjacent to resources held by BHPB (Fig 5). Fig 5 Pardoo Project Location The presence of significant iron enrichment on the Atlas 100% owned ground located only 75km from Port Hedland and 1km from the bituminized Great Northern Highway and the Yarri Railway presents a significant potential development opportunity for the company. Mapping and rock chip sampling programs are currently underway in progress with the intention of drill testing at the earliest opportunity.

A detailed aeromagnetic and radiometric survey (2,600 line kilometers) was completed during the quarter, these data are being processed and the results should be available to aid in target selection

6 A detailed aeromagnetic and radiometric survey (2,600 line kilometers) was completed during the quarter, these data are being processed and the results should be available to aid in target selection shortly. Additionally, the company has acquired high resolution digital photography covering the project area. Fig 6 Pardoo Prospect Location Plan MT MINNIE GOLD/COPPER/URANIUM 100% The Mt Minnie Project area is prospective for roll front Uranium (Manyingee) and Gold-Copper-Uranium mineralisation (Olympic Dam). Ongoing data compilationhas highlighted open ground in uranium prospective terrains, identified by Minotome in the 1980 s. Atlas subsequently pegged two exploration licences for 357 square kilometres, increasing the total project area to 1797 square kilometres. Minotome explored the region from 1979 to 1983 and subsequently defined the Manyingee Uranium deposit (8,000t U 3 O 8 ) now owned 100% by Paladin Energy Minerals NL, located 4km to the South of the Mt Minnie Project. Atlas is currently compiling open file data from a variety of sources and is likely to develop an alliance with a specialist uranium explorer at an appropriate time. PEARANA GOLD/COPPER 100% During the quarter the company has identified open file data covering the area and is currently in the process of capturing all relevant information. No field work was conducted at the Pearana project during the March quarter.

7 CORPORATE As at the 31 st of March the company had cash reserves of $2.9m. SHAREHOLDER INFORMATION As at the end of December the company had 47,700,010 of shares on issue. The top 20 shareholders hold 65%. PLANS FOR THE JUNE QUARTER Complete detailed iron ore prospect reviews at the Pardoo project in preparation for RAB and RC drill testing during the June and September quarters (4000 metres). 2. Commence 2 nd Phase (3000 metre RAB and RC) drilling programme at the Farrel Well project. 3. Collect 10,000 soil and surface rock chip samples across the Pardoo and Farrel Well projects.

8 Dom s Hill RC Drilling Results Hole ID Easting Northing Dip Azimuth Total to Width Grade (local) (local) (degrees) (degrees) from (g/t gold) DHRC DHRC DHRC Includes DHRC DHRC DHRC DHRC DHRC Includes DHRC DHRC DHRC DHRC Note: Riffle split 1 m samples, 0.5 g/t lower cut, no upper cut, maximum internal waste of 2 m, analysis by Fire Assay

9 North East Zone RC Drilling Results Hole ID Easting Northing Dip Azimuth Total Width Grade (GDA) (GDA) (degrees) (degrees) from to (g/t gold) NERC NERC NERC includes NERC Note: Riffle split 1 m samples, 0.5 g/t lower cut, no upper cut, maximum internal waste of 2 m, analysis by Fire Assay method. Geoff Blackburn has sufficient experience which is relevant to the styles of mineralisation and types of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Drilling Program Commences on Iron Oxide Copper Gold Targets

Drilling Program Commences on Iron Oxide Copper Gold Targets 3 June 2008 Manager Company Announcements Company Announcements Office Australian Stock Exchange Limited Level 10, 20 Bond Street SYDNEY NSW 2000 ABN 42 082 593 235 Electronic delivery No of pages: 6 Drilling