Do yourself a favour and read the tas' highlights relased yesterday particularly the part with how many assays are awaiting.
FOR PERIOD ENDED 30TH SEPTEMBER 2006 HIGHLIGHTS
• Diamond coring programme at Parkinson Dam targeting gold, silver and base metals completed with 754.9m drilled – very encouraging sulphide-rich epithermal veining intersected, assays awaited.
• 2019m RC percussion drilling completed at Parkinson Dam targeting gold and uranium, assays awaited.
• Tempest EM survey enhances the uranium potential of the Garford palaeochannel with over 200km of untested channels outlined.
• 4512m RAB drilling completed on Central Gawler projects targeting gold and nickel, assays awaited.
MINERAL EXPLORATION ACTIVITIES Tasman Resources NL holds a 100% interest in the following exploration projects (see Figures 1 and 2): • The “Lake Torrens Project” comprising Exploration Licences 2989, 3109, 3123, 3140, 3174, 3175, 3177, 3209, 3254, 3261, 3441, 3449, 3541, 3607 and 3634, and, ELA 399/06 (formerly 2832). • The “Parkinson Dam Epithermal Gold-Silver Project” (ELs 3102, 3307, 3453 and ELA 289/06). • The “Central Gawler Gold-Uranium-Nickel Project” (ELs 3306, 3339, 3340, 3341, 3342, 3343, 3344, 3345, 3423, 3532 and ELA 189/06). • The “Mirrica Project” comprises applications 15642 and 15643 for EPMs in Queensland. GOLD EXPLORATION Parkinson Dam Epithermal Gold-Silver Project (Tasman 100%) Tasman’s 100% owned Parkinson Dam Project is located approximately 60km west of Port Augusta. The project comprises an extensive area with outcropping epithermal gold-silver mineralised quartz veins and float. A total of 23 RC percussion drill holes of varying depths plus a precollar for a core hole were completed during and after the quarter, totalling 2019m. This round of drilling at Parkinson Dam, was designed to test a number of epithermal gold-silver targets, based on: • follow up of mineralisation previously intersected by Tasman (e.g. 3m downhole at 3.4g/t Au and 80g/t Ag); • newly located outcropping gold-silver mineralisation (rock chip samples up to 1.0g/t Au and 15g/t Ag); • highly anomalous calcrete soil samples; and, • geological interpretation, including new data from a detailed airborne magnetic survey. In addition, three deeper diamond core drill hole tails have been drilled at the northern end of a previous drilling traverse to test for higher-grade extensions to thick, but low-grade lead-zinc ± gold-silver mineralisation intersected. This mineralisation (with previous intersections of up to 96m at 0.2% Pb and 27m at 0.4% Zn) is believed to be part of the epithermal gold-silver system discovered by Tasman last year, and may have the potential to yield economic grades of lead and zinc, as well as gold-silver. A total of 754.9m core drilling in three holes has been completed to the date of this report. The core from the first hole is described below; the field team has yet to report on the other two holes. The first hole (PD 30) is located 40m grid north from hole PD 27 (which intersected 96m at 0.2% Pb), and, like PD 27 is inclined at 60º south (see Figures 1 and 2). PD 30 was drilled with reverse circulation (RC) percussion drilling to 51m depth, and completed with NQ diamond coring to 416.4m. No assays are available for the hole at this stage. Almost the entire hole has intersected a very thick zone (at least 400m down hole) containing variable amounts of epithermal style quartz-sulphide veining, disseminated sulphides (mostly pyrite and base metal sulphides, predominantly galena or lead sulphide with minor sphalerite or zinc sulphide) and associated epithermal-style alteration (chlorite, sericite and carbonates). Overall, the grade of the mineralisation is expected to be generally similar to previous intersections. However, a much stronger zone of sulphide-quartz mineralisation was intersected from 251.80m to 256.20m (4.4m downhole). This interval is estimated to contain several percent base metal sulphides, in particular galena, and is also expected to contain elevated gold and silver values. Within this interval, a 1.5m zone was estimated (visually) to contain up to 15-20% galena. Weaker mineralisation continues below this sulphide-rich veining to the end of the hole. Tasman stresses that at this stage no assays are available for this narrow interval nor the remainder of the hole. The true thickness of the mineralisation, its lateral extent, attitude or potential economic significance is not known. Assessment of these factors will require detailed analysis and further followup drilling, as the area remains open to the north, east, west and at depth. The interpreted target area covers at least 3km2 to the north of PD 30 and remains untested. Tasman expects to have assay results for the 4.4m zone of interest by early November, and for the rest of the hole by late November. Assays from the 2019m of RC percussion drilling completed during September on other targets at Parkinson Dam will also be available in November. Tasman is very encouraged by the sulphide-enriched epithermal veining in PD 30 and the considerable potential it highlights, particularly on the northern side of the prospect. Eyre, Skye and Birdie Gold Prospects (Tasman 100%) Drill testing at the Eyre, Skye and Birdie Prospects was completed during the quarter. Eyre is located 7km west of the Alice Springs railway line approximately 85km north of Tarcoola , and the Skye and Birdie Prospects are about 95km southwest of Coober Pedy. These prospects were originally drilled by previous explorers. Tasman’s objectives were to both explore around mineralisation identified earlier, but poorly tested, and to test new anomalies and zones identified from new work completed by Tasman. A total of 30 RAB holes totalling 1740m were drilled. Assays are awaited. URANIUM EXPLORATION Garford Palaeovalley Uranium Project (Tasman 100%) Tasman holds tenements covering approximately 1200km2 that cover part of the Garford palaeochannel on the Gawler Craton 85km southwest of Coober Pedy. The area is prospective for Tertiary palaeochannel-hosted (roll front-type or redox-related) uranium mineralisation. During the quarter, Tasman conducted a Tempest airborne electromagnetic survey over the Garford palaeochannel. Preliminary results have been received from the contractor. The survey has clearly outlined palaeochannels within the Garford palaeovalley, defining the position and depth of the channels; Figure 3 shows an image of the interpreted depth to resistive basement – a map of the palaeochannels. The preliminary results show the number of channels, their complexity and channel geometry to be greater than initially expected, thus upgrading the size and prospectivity of uranium targets in the area. The length of channels seen in the preliminary data in the area is now interpreted to exceed 200km, with numerous tributaries seen. Final processing of the data is underway, with interpretation of the results and drill planning to follow during the current quarter. Furthermore the better definition of the channels will assist planning of follow-up ground exploration such as aircore drilling and down hole gamma logging as well as help with access and heritage surveys. Wynbring North Uranium Project (Tasman 100%) The project area is within EL 3306 on the Gawler Craton and is located approximately 75km northwest of Tarcoola in South Australia near the Trans-Australia Railway, and is 15km west of the Warrior Uranium deposit that is located in an adjacent palaeochannel draining the same granitic source rocks as the Wynbring Channel. Drilling during the 1980’s by a previous explorer identified significant radiometric anomalies in the palaeochannel, 95% of which remains untested in Tasman’s tenement. The extent of the palaeochannel, as defined by Tasman’s recent HoistEM survey, within EL3306 at Wynbring (perhaps up to 40km) represents a sizable uranium exploration target. Tasman is currently discussing possible joint ventures for this project. Parkinson Uranium Project (Tasman 100%) As previously reported, Tasman has located outcropping uranium mineralisation (as fine-grained uraninite or UO2). This mineralisation was first found by uranium explorer PNC in the mid-1980’s, who recognised the uranium potential of the area, but did not drill test this occurrence. The uraninite is located close to a regional unconformity or geological contact, considered a significant ‘ingredient’ in certain uranium exploration models. In addition, nearby there are several airborne radiometric anomalies, a soil radon anomaly (from PNC’s earlier work) and anomalous surface uranium geochemical values, all of which are untested. Tasman drill tested this area with a number of shallow, RC percussion holes, as part of the drilling programme outlined above; assay results are awaited. NICKEL EXPLORATION Sturt Nickel Project (Tasman 100%) The Sturt project area is within EL 3341 on the Gawler Craton and is located approximately 85km northwest of Tarcoola in South Australia. Recent fieldwork by Tasman has located an area of poorly outcropping weathered ultramafic rocks. which have returned Ni assays up to 1500ppm in surface pisolites and are prospective for nickel mineralisation. Tasman completed a series of RAB traverses, testing various aeromagnetic and geological features of possible ultramafic origin. A total of 2772m of RAB drilling in 69 holes was completed. Drilling within the Sturt Prospect defined a probable ultramafic belt at least 400m wide and up to 8km in length. Assays to confirm the ultramafic lithologies identified from weathered RAB chips, nickel and other pathfinder elements are awaited. BASE METAL EXPLORATION Lake Torrens Project – Thrust Prospect (Tasman 100%) The Thrust Prospect is located 90km northeast of Roxby Downs and lies within the Adelaide Geosyncline. The prospect is characterised by numerous highly anomalous Deepleach11™ zinc results that are associated with weak chargeability responses. A small programme comprising 611m of RAB/RAB hammer percussion drilling was completed to test the best coincident geochemical and/or geophysical anomalies. Assays are awaited. CORPORATE Negotiations are ongoing with several groups who have approached Tasman with a view to assessing various tenements for farm-in. Greg Solomon Executive Chairman The interpretations and conclusions reached in this report are based on current geological theory and the best evidence available to the authors at the time of writing. It is the nature of all scientific conclusions that they are founded on an assessment of probabilities and, however high these probabilities might be, they make no claim for complete certainty. Any economic decisions that might be taken on the basis of interpretations or conclusions contained in this report will therefore carry an element of risk. The information in this announcement, insofar as it relates to Mineral Exploration activities, is based on information compiled by Graham M. Jeffress and Robert N. Smith, who are members of the Australian Institute of Geoscientists, and who have more than five years experience in the field of activity being reported on. Mr Jeffress and Mr Smith are full-time employees of the company. Mr Jeffress and Mr Smith have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking to qualify as Competent Persons as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Jeffress and Mr Smith consent to the inclusion in the report of the matters based on their information in the form and context in which it appears. It should not be assumed that the reported Exploration Results will result, with further exploration, in the definition of a Mineral Resource. -30º 133º -32º -31º 136º -30º -31º 133º 134º 134º 135º 138º 135º 136º 137º -32º 138º 137º 333333444222 333333000666 333333444555 333333444333 333555333222 111888999///000666 333333444111 333333444555 333333444555 333444222333 333333444444 333444222333 333333444333 333333444000 333333333999 333,,,222666111 333444444999 333,,,111777444 333666333444 333,,,111777777 333,,,111777444 333,,,111000999 333,,,111000999 333,,,222000999 333444555333 222888999///000666 333333000777 333,,,111777555 333,,,111444000 333666000777 333,,,111222333 333,,,111444000 333111000222 222,,,999888999 333999999///000666 333,,,222555444 333555444111 CCChhhhhhhaaaaaaalllllllllllllllllleeeeeeennnnnnnggggggeeeeeeerrrrrrrrr OOOlllllllllyyyyyyyyymmmpppppppiiiiiiiiiccccccccc DDDaaaaaaammm WWWoooooooooooooooooommmeeeeeeeeerrrrrrrrraaaaaaaaa MMMaaaaaarrrrrrrrrrrrrrrrrreeeeeeeeeeee PPPrrrrrrrrroooooommmiiiiiiiiinnnnnneeeeeennnnnnttttttttt HHHiiiiiiiiillllllllllllllllll LLLLLLeeeeeeiiiiiiiiigggggghhhhhh CCCrrrrrrrrreeeeeeeeeeeekkkkkkkkk PPPooooooorrrrrrrrrttttttttt AAAuuuuuuugggggguuuuuuussssssssstttttttttaaaaaaa TTTaaaaaaaaarrrrrrrrrcccccccccoooooooooooooooooolllllllllaaaaaaaaa LLLLLLLyyyyyyyyynnnnnnndddddddhhhhhhhuuuuuuurrrrrrrrrsssssssssttttttttt EL Applications Granted ELs Figure 1: SA Tenement Locations Figure 2: Mirrica Project Location Figure 3: Garford Palaeovalley - image and contours of interpreted depth to resistive basement; Tasman Tenements in blue outline Rule 5.3 Appendix 5B Mining exploration entity quarterly report Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001. Name of entity TASMAN RESOURCES NL ABN Quarter ended (“current quarter”) 85 009 253 187 30 September 2006 Consolidated statement of cash flows Cash flows related to operating activities Current quarter $A’000 Year to date (3 months) $A’000 1.1 Receipts from product sales and related debtors 0 0 1.2 Payments for (a) exploration and evaluation (b) development (c) production (d) administration (196) (250) (196) (250) 1.3 Dividends received 0 0 1.4 Interest and other items of a similar nature received 5 82 1.5 Interest and other costs of finance paid 0 0 1.6 Income taxes paid – GST Paid Income Taxes – GST Refunds Received (25) 28 (25) 28 1.7 Other (provide details if material)- Pace Grants 40 40 Net Operating Cash Flows (398) (398) Cash flows related to investing activities 1.8 Payment for purchases of: (a)prospects (b)equity investments (c)other fixed assets 1.9 Proceeds from sale of: (a) prospects (b)equity investments (c) other fixed assets 1.10 Loans to other entities 1.11 Loans repaid by other entities 1.12 Other (provide details if material) Net investing cash flows 0 0 1.13 Total operating and investing cash flows (carried forward) (398) (398) 1.13 Total operating and investing cash flows (brought forward) (398) (398) Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 0 0 1.15 Proceeds from sale of forfeited shares 0 0 1.16 Proceeds from borrowings 0 0 1.17 Repayment of borrowings 0 0 1.18 Dividends paid 0 0 1.19 Other (provide details if material) Share Issue Costs 0 0 Net financing cash flows 0 0 Net increase (decrease) in cash held (398) (398) 1.20 Cash at beginning of quarter/year to date 679 679 1.21 Exchange rate adjustments to item 1.20 0 0 1.22 Cash at end of quarter 281 281 Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities Current quarter $A'000 1.23 Aggregate amount of payments to the parties included in item 1.2 108 1.24 Aggregate amount of loans to the parties included in item 1.10 0 1.25 Explanation necessary for an understanding of the transactions Management Fees, as per agreement, were paid during the quarter to a company of which Mr GH Solomon and Mr DH Solomon are directors. Legal Fees paid during the quarter to a firm of which Mr GH Solomon and Mr DH Solomon are partners. Bona-fide reimbursement of expenses for the period to 30 September 2006 Directors Fees and Superannuation paid during the period. Non-cash financing and investing activities 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows Nil 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest Not applicable Financing facilities available Add notes as necessary for an understanding of the position. Amount available $A’000 Amount used $A’000 3.1 Loan facilities Nil Nil 3.2 Credit standby arrangements Nil Nil Estimated cash outflows for next quarter $A’000 4.1 Exploration and evaluation 650 4.2 Development Total 650 Subsequent to end of quarter additional capital has been raised to fund part of this expenditure. Reconciliation of cash Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. Current quarter $A’000 Previous quarter $A’000 5.1 Cash on hand and at bank 81 479 5.2 Deposits at call 200 200 5.3 Bank overdraft 0 0 5.4 Other (provide details) 0 0 Total: cash at end of quarter (item 1.22) 281 679 Changes in interests in mining tenements Tenement reference Nature of interest (note (2)) Interest at beginning of quarter Interest at end of quarter 6.1 Interests in mining tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements acquired or increased EL 2989 EL 3102 EL 3109 EL 3123 EL 3140 EL 3174 EL 3175 EL 3177 EL 3209 EL 3254 EL 3261 EL 3306 EL 3307 EL 3339 EL 3340 EL 3341 EL 3342 EL 3343 EL 3344 EL 3345 EL 3423 EL 3449 EL 3453 EL 3532 EL 3541 EL 3607 (formerly) Licence granted (EL 2340) Licence granted Licence granted Licence granted (EL 2507) Licence granted (EL 2543) Licence granted Licence granted Licence granted Licence granted (EL 2594) Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted Licence granted (ELA 111/05) Licence granted (ELA 272/05) Licence granted (ELA 339/05) Licence granted (ELA 258/05) Licence granted (ELA 777/04) Licence granted (ELA 685/05) 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% Outstanding Applications: ELA 131/06, ELA 189/06, ELA 289/06, EPM 15642, EPM 15645 New Applications this quarter and subsequent to the quarter: ELA 399/06 (formerly EL 2832) Issued and quoted securities at end of current quarter Description includes rate of interest and any redemption or conversion rights together with prices and dates. Total number Number quoted Issue price per security (see note 3) (cents) Amount paid up per security (see note 3) (cents) 7.1 Preference +securities (description) NOT APPLICABLE 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs, redemptions 7.3 +Ordinary securities 102,967,510 102,967,510 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs 7.5 +Convertible debt securities (description) NOT APPLICABLE 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted 7.7 Options 200,000 200,000 2,800,000 NIL NIL NIL Exercise price 25 cents 30 cents 20 cents Expiry date 3 March 2007 3 March 2008 30 August 2009 7.8 Issued during quarter 2,800,00 NIL 20 cents 30 August 2009 7.9 Exercised during quarter NIL NIL 7.10 Expired during quarter NIL NIL 7.11 Debentures (totals only) NOT APPLICABLE 7.12 Unsecured notes (totals only) NOT APPLICABLE Compliance statement 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4). 2 This statement does give a true and fair view of the matters disclosed. RAYMOND FRANCIS BUSCALL – COMPANY SECRETARY Date: 31 October 2006 Notes 1 The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report. 2 The “Nature of interest” (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2. 3 Issued and quoted securities. The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities. 4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report. 5 Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with. == == == == ==
TAS Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held