Investigator Resources Limited Date: 9 th September 2011 New silver targets identified near high grade Paris discovery in South Australia Three new silver targets defined by further infill soil analyses near the recent high grade silver discovery at the Paris Prospect on Eyre Peninsula Anomalous soil values and target sizes are similar to the Paris target where high grade drill intersections of up to 4m @ 913 grams per tonne silver were reported last week Confirms more high calibre targets are available for drill testing in the recentlydiscovered Peterlumbo epithermal field Firms up geological model that also shows potential for porphyry-style metal targets in the wider Peterlumbo tenement Metals explorer Investigator Resources Limited (ASX Code: IVR) today announced it has confirmed three new silver targets and located other possible targets at the Peterlumbo field on Eyre Peninsula, all within five kilometres of its recent high grade silver discovery at the Paris Prospect. The company said new laboratory analyses for infill soil sampling at Peterlumbo had confirmed three strong geochemical targets with similar signatures to that over the silver drill intersections at Paris. The testing is the third positive result announced over the past three weeks from Peterlumbo. An August 18 announcement of drill results of up to 252 grams per tonne silver over 12 metres at the Paris target was followed by the announcement on September 2 of a further upgrade with outstanding new drill intersections of up to 4 metres @ 913 grams per tonne silver. Investigator Resources Managing Director John Anderson said the new results added to the exciting drill prospects being developed for the Peterlumbo joint venture project. Similar to the Paris target, the new soil targets are about one kilometre long and have silver values well above the target threshold we have established by our regional research, he said. We have also learned from the Paris drilling that the primary high grade mineralisation may be well removed from the targets peaks and even subtle soil anomalies are priority targets in this area upgraded by the exciting Paris intersections. The new soil results firm up the geological modelling for the Peterlumbo epithermal field that also shows potential for copper and gold porphyry targets requiring further soil geochemical coverage. Investigator Resources holds a firm 75% interest and manages the Peterlumbo Joint Venture with Mega Hindmarsh Pty Ltd holding the other 25% interest. Mr Anderson said an expanded drill program was being considered to test the new targets as well as drilling the lateral and depth extensions to the high grade silver intersections at Paris. ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 1 of 6
Figure 1: Plan of soil sample sites in the northwest corner of EL4228, including the grids of close-spaced infill sampling, showing targets defined by areas of anomalous silver-in-soil values Figure 2: Paris Drill Line 7 Cross section showing corresponding soil geochemical profile & colour-classified levels of anomalism used in Figure 1 ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 2 of 6
New Soil Geochemical Targets The locations of the infill soil sampling and resulting soil anomalies are shown on Figure 1 in relation to the Paris signature. The infill sampling was undertaken on 100m grid patterns determined by the Paris results as required to effectively define the soil targets. The degree of anomalism for each sample is represented by the rising hot colours with blue exceeding the lower target threshold established by a regional research program across the Eyre Peninsula. The lower threshold is 50ppb (parts per billion) silver for the universally applied method of Genalysis s TL8 partial leach analytical technique. This threshold was applied to delineate the Paris target envelope as shown by the typical profile of the soil anomaly over the drill intersections along Drill Line 7 (Figure 2). The section shows highly anomalous soils (>200ppb silver) over the supergene mineralisation that comes closest to the surface on the southwest side, whereas the highest grade intersections in fresh bedrock to the northeast have more subdued but still strongly anomalous (100 to 200ppb) silver-in-soil values directly above at the surface. This is due to deepening primary mineralisation and the weaker supergene halo that does not make good contact with the surface. Similar weathering and geometric complexities are likely to subdue the surface soil responses in other targets, so even subtle anomalies are priority targets. The complete silver-in-soil dataset was therefore classified as:- blue above 50ppb silver to establish target borders; yellow above 100ppb for target shoulders that may overlie deeper primary mineralisation as at Paris; and red above 200ppb to identify the centres of targets where the dispersion halos may have been enhanced by weathering near the surface. Figure 1 shows three large and discrete new targets at Helen, Alexander and Trojan Horse. The first two had limited drill testing during the January scout drilling of the poorly defined soil anomalies. At Helen, the nearest scout hole was inclined away from the refined target and appears to be a near-miss as it intersected anomalous silver from the surface with several one to two metre intervals assaying 10 to 22g/t silver. The target is more linear and narrow than Paris and is likely to be a vertical body of mineralisation extending away from the undrilled outcrop of mineralised volcanic assaying 170g/t silver. The north end of the target core terminates in a broad northwest anomalous zone that is another northwest mineralised trend offering subtle targets. The refined Alexander target is broad with a discrete northeast trending red core of highly anomalous soils with a peak of 311ppb silver. The broad yellow shoulders may be dispersion into a local calcrete layer in the soil whereas the red core provides a precise new target. Prior to the infill soil sampling, six vertical scout holes were drilled at 250m spacing on a north-south line that was an ineffectual test of the northeast trending target core subsequently identified. The Alexander anomaly may also be dispersing from bedrock mineralisation under the subtle soil anomalies at Alexander East and Alexander North. Alexander North in particular has strong support from a small outcrop of rhyolite breccia assaying 78g/t silver. The Trojan Horse target is undrilled and shows a northeast trend towards a large outcrop of alunite haematite altered rhyolite breccia at Nankivel. The peak silver-in-soil value is 827ppb and gold-insoil values reach an anomalous peak of 3.9ppb. Low volcanic outcrops in the area show Uno alteration which is characteristic of hydrothermal metal systems and targets along the southern margin of the Gawler Range Volcanics (GRV). All the new and revised targets warrant further or first pass drill testing. ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 3 of 6
Figure 3: Peterlumbo epithermal field magnetic image produced from the JV s detailed 2010 helicopter survey (Total magnetic intensity, reduced to pole) Figure 4: Peterlumbo epithermal field interpreted geological setting under limited outcrop ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 4 of 6
Geological framework and porphyry potential The geological interpretation map for the Peterlumbo field (Figure 4) is based on limited outcrop information, the scout drill results and the interpretation of the bedrock geology through the extensive cover using the JV s detailed airborne magnetics (Figure 3). The epithermal environment centred on the Paris Prospect in the northwest is considered to be controlled by the mineralising northeast rhyolite dykes intersecting and altering the northwest granodiorites and dykes. The remnant mafic to intermediate volcanics and high-level rhyolite breccias indicate the area south of the Uno Fault is consistently eroded to the base of the GRV pile. This provides the right environment for multiple epithermal metal deposits to be preserved near the surface throughout the area as supported by the number and spread of soil geochemical targets. The epithermal environment is interpreted to give way to porphyry potential to the south and southeast as the surface is eroded deeper into the intrusives beneath the volcanic pile. Uninvestigated copper and gold soil anomalies in the JV s first pass soil data coincide with the altered parts of the magnetically-interpreted Oxys intrusive complex. A large magnetic feature northeast of Peterlumbo Hill shows the attributes of a buried intrusive roof with radiating dykes and a central alteration core that may be the engine room to the Peterlumbo metal mineralising system. This is supported by strong Uno alteration of basement sediments outcropping on Peterlumbo Hill and overlying the interpreted intrusive. The area is prospective for copper gold porphyry targets that add to the project s potential. The soil coverage does not extend over the area, so this quality conceptual target also awaits development by the same team that produced the Paris discovery. For further information contact: Mr John Anderson Managing Director Investigator Resources Limited Phone: 07 3870 0357 Rhyll Cronin Principal Consultant, Three Plus Pty Ltd Phone: 07 3503 5700 Mobile: 0412 846 202 Web: www.investres.com.au Competent Person Statement: The information in this report that relates to Exploration Results is based on information compiled by John Anderson (BSc(Hons)Geol) who is a member of the Australasian Institute of Mining and Metallurgy and is bound by and follows the Institute s codes and recommended practices. Mr Anderson is a full-time employee of Investigator Resources Limited. He has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr. Anderson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Background to the Peterlumbo project The Peterlumbo exploration project is being explored under a Joint Venture between Investigator Resources Limited (75% interest and Manager) and Mega Hindmarsh Pty Ltd (25% interest). The JV applies to Exploration Licence 4228 covering a 583km 2 area located about 400km northwest of Adelaide on the Eyre Peninsula (Figure 5). The project is situated on the southernmost Buckleboo and Nonning pastoral leases. The Peterlumbo area was selected as having potential for epithermal precious metal deposits that formed beneath the Gawler Range Volcanics at the same time as Olympic Dam, the giant iron oxide-hosted copper gold uranium (IOCGU) deposit was formed in the central Gawler Craton. Other Olympic Dam-era deposits including IOCGUs are likely to have formed along the Moonta Corridor in the southern Gawler Craton which is ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 5 of 6
the focus of Investigator Resources exploration. The Rex discovery of the Hillside deposit supports the Moonta Corridor model as the alternative to the G2 model that is generally accepted in the exploration industry. Consistent with Investigator Resources approach throughout Eyre Peninsula, the Joint Venture applied regional soil geochemistry to the shallow covered Peterlumbo area. This was after Investigator undertook an extensive research program that established the approach could map metal corridors and detect mineralised systems at the very low thresholds of the partial leach technique, not usually used in the industry as a regional exploration tool. Silver was shown to be the most useful element with a system threshold well above analytical detection limits and as a pathfinder to both epithermal and IOCGU systems. The Peterlumbo survey located numerous silver and gold anomalies with scattered outcrops of epithermallyaltered volcanics and rhyolite breccias, often with silver mineralisation. So the approach was an immediate success in leading the JV to discover an unrecognised preserved Proterozoic epithermal field at Peterlumbo. In January 2011, scout aircore drilling near some of the mineralised outcrops and in selected regional soil anomalies achieved the best intersection of 8m @ 190g/t silver in PLAC42 at the Paris soil anomaly. This encouraged the detailing of five regional soil anomalies with infill soil sampling during April. Priority was given to analysing the Paris samples and those taken from the area around the Helen prospect. The soil samples for the other three target areas were submitted for analysis after the June drilling started showing promising results for the Paris prospect. The final analyses summarised in this report were received from the laboratory on August 29. Figure 5: Plan showing the location of the Moonta Corridor and the Peterlumbo project containing the Paris silver discovery Drilling at Paris in typical flat terrain with soil cover obscuring the target geology Examining rare outcrop at Helen with investor CITIC Australia representatives epithermallyaltered volcanic assaying 170g/t Ag Rubble of mineralised rhyolite breccia near Paris assaying 13g/t Ag ABN 90 115 338 979 www.investres.com.au info@investres.com.au Page 6 of 6