Summary· Titan· All of the seven drill holes into the greater...

Summary
· Titan
· All of the seven drill holes into the greater Titan System (including the two drilled by
WMC) have encountered extensive alteration and mineralisation confirming the very
large size (13 x 10 km) of the overall mineralised system. Tasman remains convinced of
the potential for economic high-grade zones within this system, which will be targeted by
drilling planned for the next three to six months.
· Assays from TI6 confirm a zone of higher grade copper, 47m at 0.27% Cu and 0.06 g/t
Au from 608m, including 5m at 1.14% Cu and 0.25 g/t Au from 620m. The 5m-wide
zone consists of steep chalcopyrite-dominated sulphide veining. Such zones are
consistent with the grade and dimensions of similar chalcopyrite zones adjacent to highgrade
copper mineralisation at Olympic Dam.
· Highly anomalous silver and bismuth values (up to 78ppm Ag in a 3m composite, and
120ppm Bi in 5m composite) in TI3. This may reflect the preservation of the upper, more
oxidised/cooler and higher-grade parts of the Titan system beneath the Pandurra
Formation to the east and/or the close proximity of TI3 to the faulted margin of Titan
mineralisation immediately to the west. Potential of this area is also enhanced by gravity
inversion modelling.
· Possible high-grade targets identified from processing gravity surveys, including untested
targets adjacent to TI6, TI4, TI5 and southeast of TI3.
· Clara St Dora
· Identification of structural controls on the copper and/or gold mineralisation (chip
samples up to 3%Cu and 5g/t Au) in the vicinity of the old high-grade Clara St Dora
mine. Targets based on this structural understanding together with untested IP features
will be tested by shallow drilling during the first Quarter of 2004.
· Diamonds
· Tasman’s investigations into the diamond potential and prospectivity of the Lake Torrens
Project concluded that rocks of Jurassic and older age have potential to host
diamondiferous kimberlite and lamproite intrusions. This was overlooked by previous
explorers.
· Very interesting magnetic targets have been identified from aeromagnetic data. Field
checking (loam sampling) as well as stream sediment sampling programs for diamonds
and kimberlite indicator minerals are being planned.
2
Titan Prospect
Tasman Resources NL (“Tasman”) Titan Prospect is located 30km north of Olympic Dam (see Figure
1). Tasman has received assays from the recent phase of exploration drilling reported in December 2003.
As reported, four new deep vertical holes were completed and an earlier hole, TI2, was deepened to a
final depth of 862m (see Figures 2 and 3).
Drill hole TI6 intersected a zone of steep, vein-style chalcopyrite-pyrite (with trace bornite)
mineralisation within a broader zone of vein and disseminated style mineralisation. Assay results from
this zone are:
· 47m at 0.27% Cu and 0.06 g/t from 608m,
including 5m at 1.14% Cu and 0.25 g/t Au from 620m.
The copper results are substantially higher than any other mineralisation so far drilled at Titan (although
lower than previously reported visual estimates). These results continue to support the potential for highgrade
mineralisation on the eastern margin of the Titan system, up to 300m east of TI6 (Figure 3).
Cobalt results for TI6 were also strongly anomalous, underscoring the metal endowment of the Titan
system. The entire basement intercept in TI6, 261m from 604m depth assayed 135ppm Co, with
narrower zones returning higher values, e.g. 7m at 433ppm Co from 732m and 8m at 300ppm Co from
773m depth.
Hole TI3, which as previous reported had intersected younger Pandurra Formation, was extended to
958m and intersected highly altered (haematite-chlorite-magnetite-pyrite-chalcopyrite) basement with
some anomalous but low-grade copper, uranium and gold values below a fault at 922m depth. The exact
relationship of this basement to the rest of the Titan system remains to be resolved.
Higher in the hole, strongly anomalous silver (4m at 65ppm Ag from 919m) (preliminary composite core
chip and ½ core analysis)) and bismuth values (40m at 24ppm Bi, including 1m at 120ppm, in composite
core chip samples) were obtained from within, and at the faulted margin of, the Pandurra Formation.
These anomalies may reflect late stage remobilisation of metals from the Titan mineralised system, or
possibly an upper, more oxidised and higher-grade part of the system preserved beneath the Pandurra
Formation. This latter possibility is supported by gravity inversion modelling which suggests zones of
moderately dense rocks occur east of the interpreted fault shown in Figures 2 and 3. Strategies to follow
up and test these concepts are being considered.
Holes TI4 and TI5 and the extension to TI2 intersected zones of strong alteration and moderate sulphide
mineralisation (mostly pyrite-chalcopyrite, with rare bornite). Assay results for copper and gold are not
considered economically significant; the best intercept in TI4 was 11m at 0.10% Cu from 859m and in
TI5 was 18m at 0.10% Cu from 724m. Regions of re-interpreted higher density, derived from various
gravity residual images, adjacent to these holes are now being re-assessed based on the new density data
from these new holes to locate further drill holes.
All of the seven drill holes into the grater Titan mineralised system have encountered extensive alteration
and mineralisation confirming the very large size (13 x 10 km) and significant metal enrichment of the
mineralised system at Titan. Tasman remains convinced of the potential for economic high-grade zones
within this system, which will be targeted by drilling planned for the next three to six months.
Tasman are assessing the suitability of various downhole geophysical techniques to assist in targeting
follow-up drilling at Titan.
3
The drilling at Titan has also highlighted the potential for preservation of upper (and higher-grade)
portions of Olympic Dam-type deposits beneath newly recognised Pandurra Formation in this area.
Opportunities for these situations have been identified in a large area extending for up to 15km east and
south of Titan (see Figure 1). However, the gravity station coverage over this area is extremely poor and
Tasman consider the acquisition of detailed gravity data to be the key step in the evaluation of this
recently recognised target area.
Exploration at Titan and the surrounding area will now focus on technical assessment of all Titan data
and defining targets for further drilling. Particular focus will be on investigations designed to refine and
improve vectors to the location of high-grade mineralisation at Titan. Drilling techniques such as
wedging and Navi-drilling are being evaluated for their ability to provide more cost-effective tests in the
vicinity of existing holes.
Near Surface High-grade Targets Review
As previously reported, Tasman has been assessing the potential of the Lake Torrens Project area to host
near surface high-grade resources amenable to rapid development. This review has identified the Clara St
Dora mine area as the most prospective of the several areas warranting additional work.
Mapping and sampling at Clara St Dora identified structurally controlled copper-gold mineralisation
hosted by shear breccias. The gold tenor of the area was previously unrecognised as was the clear
structural control on the shear zones and the probable magmatic source of the mineralising fluids. The
structural interpretation highlights an area of shallow cover to the southwest of the old mine workings
which has not been previously drilled as of particular interest. This new interpretation is supported by a
number of untested moderately chargeable zones.
An RC percussion drill programme comprising several fences of holes is being prepared to test the
structural targets identified by the work. Depending upon rig availability, drill testing is planned for the
first Quarter of 2004.
Diamond Review
A recently completed study on the diamond potential and prospectivity of Tasman’s Lake Torrens
Project area concluded that rocks of Jurassic and older age have good potential to host diamondiferous
kimberlite and lamproite intrusions that were overlooked by previous diamond explorers. Very
prospective magnetic targets have been identified from a detailed review of available data. Limited loam
sampling is planned to check these targets, whilst stream sediment sampling programmes for diamonds
and kimberlite indicator minerals are also being considered.
Previous diamond exploration within and adjacent to the current Tasman Resources tenements found
diamond indicator minerals, including diamonds, from stream sediment and loam sampling suggesting
that diamond source rocks occur close by.
Important advances in diamond exploration have taken place since the Lake Torrens project area was
assessed for diamonds in the past. Better geophysical surveying and processing tools; better diamond
sample processing techniques encompassing finer fractions of stream sediments and loam samples;
enhanced analytical techniques for geochemical analysis of outcrop areas; improved understanding of
diamond exploration in Australian environments; and an expanded understanding of diamond geology
together with recently published geological data and digital exploration data sets, have all combined to
greatly increase Tasman’s chances of locating the primary sources of the diamonds in its tenements.
4
All available aeromagnetic data for the project vicinity was re-processed with a focus on diamond
targets. A number of highly prospective magnetic “kimberlite-like” targets were identified during this
processing, and several of these are located within catchment areas with diamond indicator minerals.
Follow-up work is planned.
Gregory H Solomon
EXECUTIVE CHAIRMAN