ann. out, page-2

re: ann. out..rest of it.. TA1-4 targets could substantially enhance the value of the Project and significantly increase the
value of the Company (refer Fig 2).
Previous Exploration At Herakleion Prospect (copper-uranium-gold)
Exploration data for the Herakleion Prospect suggests it has potential to host Olympic Dam style
copper–uranium–gold mineralisation.
Drilling conducted in December 2003 to test target TA-2 did not intersect basement, however,
an 80 m section of deformation and alteration was intersected within an Ordovician aged
diapirric Breccia. This sequence has been sampled and returned assays with elevated values
for copper, uranium, rare earth elements and cobalt. These elements, together with iron, gold
and silver, characterise the mineralisation at Olympic Dam and their presence at Herakleion is
very positive.
The Herakleion Prospect gravity anomaly is interpreted to indicate the presence of rocks with
similar density to iron-rich breccias associated with the Olympic Dam mine. Four peaks within
the anomaly are considered the most prospective targets and have been designated for targets
TA-1 to TA-4. Previous drilling only focussed on TA-2 and the other three targets remain
untested.
Key features exhibited include:
• elevated copper, uranium, rare earth elements and cobalt have been assayed from
diamond drill core (2003)
• surface copper mineralisation
• a gravity anomaly covering an 8.5 km x 3.5 km target zone
Regional Geology
The western parts of the Edward Creek Project area are on the Gawler Craton while the eastern
side is dominated by a group of four Precambrian inliers known collectively as the Denison
Inlier. Block faulting to form the Peake and Denison Ranges uplifted the Inlier. The rocks of the
Inlier are prospective for copper, gold, lead, zinc, and uranium.
The regional gravity anomaly of the Herakleion prospect lies on the west side of the Peake and
Denison Ranges. Published government maps show this area to be underlain by a northnorthwest
trending complex uplifted, fault-bounded, "horst" structure, comprising of basal
Adelaidean rocks uncomfortably overlying lower Proterozoic metamorphic basement. To the
east and west are thicker sequences of younger Adelaidean rocks. The horst structure contains
early Proterozoic rocks that may be prospective for Olympic Dam mid Proterozoic aged
mineralisation.