Fowlers Bay, Western Areas and Iluka

I've had my attention drawn to some recent news from Iluka that may come to have positive implications for our JV with WSA. It turn out something, it may turn out nothing but I find it interesting.

Iluka have a gold farm in arrangement with Doray Minerals (DRM). The farm in agreement gives Doray the right to explore for gold on Iluka's tenements in the Western Gawler area. These are the sand tenements that contain Iluka's major sand asset, Jacinth Ambrosia. More importantly it is the same geological area that contains Fowlers Bay, directly to our north.

DRM made an announcement on Sep 10 after analysing over 2000 historic drill samples and aeromagnetic surveys that Iluka hold from the area. This is the summary part of that announcement:
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FIRST RESULTS FROM WEST GAWLER PROJECT AREA INDICATE NUMEROUS LARGE GOLD TARGETS
 Resampling of historical shallow drill holes completed
 Results indicate numerous large gold targets for follow-up
 Maiden drilling campaign scheduled for December Quarter
Doray Minerals Limited (ASX: DRM, Doray) is pleased to advise that results from resampling of shallow drill holes within the Western Gawler area, the subject of the Farm-in Agreement with Iluka Resources Limited, indicate the presence of a number of large coincident geochemical and structural targets reinforcing the potential for the project area to host significant gold mineralisation.
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Gold and nickel are often associated, including in the Fraser Range over the border in WA, to which the geos have seen similarities with the Western Gawler craton. This whole area is underexplored, so much so that the SA govt has declared it a green field in respect of nickel exploration. Even in this dreadful commodities market place, it's conceivable that between DRM's work on ILU's ground and WSAs work there could be some excitement ahead.

Definitely worth keeping an eye on what DRM are up to with Iluka. Indeed keep an eye on Iluka to see if they make any other moves in this area.

Following are three maps of the region. The first is STA's map of our tenements. You can see the location of JacinthAmbrosia. The second shows the location of ILUs tenements in the region and also DRM's (they have land of their own neighbouring us). The third is of the magnetic data identify 6 target areas. I'm not certain but it appears the first target, A, is just to east of Jacinth Ambrosia. (note on that one you can see DRM's tenement outlined in yellow which is shown on the previous map as the purple area in the south west of the area, south of Jacinth Ambrosia.