Mount Darcy Project (100% CUU)

The Mt Darcy exploration project is located in the western portion of the Georgetown Inlier, north Queensland and consists of exploration permits (EPMs) 18700 and 18752.

The Mt Darcy project area is dominated by Proterozoic aged granites and metasediments, and also includes the Dismal Creek caldera basin host to Late Devonian aged Gilberton formation sediments and volcanics. Regionally the Gilberton Formation or equivalents host the Maureen U-F-Mo deposit and show strong spatial association with other known uranium occurrences. The Mt Darcy project possesses exciting potential for discovery of volcanogenic style uranium mineralisation.

Previous exploration companies have delineated a number of uranium, gold, copper, lead and zinc occurrences however drilling is very limited. Deutche Rohstoff’s ‘Huonfels’ gold and silver project lies within a tenement window of the Mt Darcy project, historic drilling of this prospect includes 3m at 36 g/ton Au and 190 g/ton silver. Mega Uraniums ‘Central 50’ Prospect lies immediately to the east, and recent drilling results these have included 15m at 0.10% U₃O₈ and 21m at 0.08% U₃O₈ (Mega Uranium Ltd, 2010).

A regional MMI (Mobile Metal Ion) soil sampling program was partially completed during 2007 by the previous holder but the results were not followed up prior to their financial difficulties and suspension from the ASX in late 2008. Analysis of the MMI soil results by Callabonna highlights:

Uranium anomalism associated with structures interpreted from geophysical datasets.
An exciting large scale soil geochemistry signature characterized by a copper-molybdenum core with outer lead-zinc halo.
Silver and gold anomalism along major north easterly trends intersecting with known gold mineralization at the ‘Huonfels’ prospect.

The differentiation of multi element anomalism into distinct zoning is indicative of large scale mineralizing processes that have potential to host poly-mineralic gold, silver and base metal deposits.

The company also believes the project area is highly prospective for Streltsovskoye caldera style uranium mineralization. Uranium deposits associated with the Cretaceous - Jurassic Tulukuyevsk Caldera (Russia) are thought to contain the largest volcanogenic resource in the world 727 Mlb U3O8 grading at more than 0.2% U₃O₈ (Dahlkamp, 2009).

Exploration Strategy:

Expansion of the existing soil sampling program will be initiated on grant of the lease in order to better define the full extent of the mineralizing system and target drilling.
Ground mapping to determine the cause of anomalies
Definition of structural zones of interest
Ground Induced Polarisation survey to defined areas of sulphide concentration
Reverse Circulation drilling to test coincident geological and geophysical targets