South-West Project ANTWALKER

PROJECT 2 ANTWALKER

Details for the South-West Silica Exploration Projects

Geology

The Company’s tenements are located on elevated sand plains and the residual laterite terrain of the Biranup Zone in the Proterozoic Albany-Fraser Orogen of South-Western Australia.

It is underlain by quartzo-feldspathic gneisses, mainly derived from granitoid rocks of the Biranup and Nornalup Complexes. These high grade, pure quartz silica sands are part of the mid to late Eocene Werillup Formation, which consists of alluvial river sands and gravel, laid on low grade coal and lignite laid down in coastal swamps. The host stratigraphy is up to 64m in thickness and crop out at surface.

The geological setting of the tenements is consistent for silica sand potential, and the Independent Geologist’s Report details this in full.

Environment

The tenements are situated within a region that requires a high-sensitivity approach to both the environment and community/cultural amenity.

The Company will need to work within these limitations if it is to be successful in commercialising its operations.

The following figure shows the tenements in relation to conservation areas. Whilst the majority of the tenure is outside of these areas there is some State Forest encroaching upon it. Should the Company intend to explore these areas it will require government approval for certain exploration activities. In addition, any underlying freehold title will also require permissions for certain exploration activities.

The Antwalker Project Exploration Target is based on E70/5455 only.

The tonnage is based on the area immediately surrounding the drilling where a palaeochannel has been identified (see the following graphic). At this stage there has been insufficient exploration on the Pipeclay Tree tenements E70/5682 and E70/5745 to justify the estimation of Exploration Targets on these tenements.

Antwalker Before Beneficiation Processing
Tonnage Range Minimum Maximum
Exploration Target 20,000,000 40,000,000
Grade
Silica (SiO2) 97% 99%
Inclusions Lowest Highest
Iron Oxide (Fe2O3) % (ppm) 0.04% (400) 0.05% (800)
Titanium Dioxide (TiO2) % (ppm) 0.35% (3500) 0.55% (5500)
Alumina (Al2O3) % (ppm) 0.03% (300) 0.07% (700)
LOI% (moisture and volatiles) 0.70% 1.00%
Pipeclay Tree
El 70/5682 No Exploration Target Established
El 70/5745

The potential quantity and grade of an exploration target is conceptual in nature. There has been insufficient exploration to determine a mineral resource and there is no certainty that further exploration work will result in the determination of mineral resources or that the production target itself will be realised.


A drill traverse by BHP on the Antwalker tenement in 2000 showed a thick layer of transported sand up to 27m on a clay rich saprolite profile on basement rocks of medium grained feldspar-quartz-biotite gneiss. The sand cover seems to be more extensive than indicated on the smaller scale geological mapping. This drilling indicates the presence of deeper sand filled channels within the surficial deposits. The cross section through the drilling is shown alongside.

This section shows the extent of the sand horizon and the significantly deeper channels excised into the underlying granitic bedrock.