operating review as per trh annual report

Note it says approval to drill their prospects is imminent.



OPERATION REVIEW
OPERATING AND FINANCIAL REVIEW
Transit Holdings Ltd was listed on the ASX on 18 December 2006 in conjunction with a $3m
capital raising.
In the second quarter of 2007, the Company commissioned RSG Global to assess Transit’s
projects for economic iron ore mineralisation and to assist in target definition within its
ground position in the Marda-Diemals Greenstone Belt. A reconnaissance field trip was
undertaken and some preliminary rock chip assays were taken, yielding results of up to
62.8% Fe. RSG’s review concluded that “the prospectivity of Transit Holdings’ tenements for
haematite/goethite mineralization cannot be discounted. However, this is yet to be
confirmed by detailed exploration.”
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An exploration strategy was developed to fast-track the delineation of direct shipping
haematite targets within the Company’s extensive land holding. Transit’s exploration
strategy identified Johnston Range (E77/1280, E77/1281) and Copper Bore (E77/1375)
tenements as meeting criteria to deliver Company objectives. Encouraging assay results
from the reconnaissance field trip provide an initial focus.
On 2 July 2007 the Company launched its Exploration Strategy with an announcement to
commence a significant fieldwork programme focusing primarily on the Johnston
Range/Copper Bore tenements. This fieldwork has delineated haematite mineralisation which
the Company intends to drill test in the near future.
On 5 February 2007, the Company announced a 1:3 non-renounceable rights issue for
shareholders in order to raise $183,333 to add to the Company’s working capital. The level
of interest was high, with 6,754,432 options subscribed for by shareholders under the rights
issue. The shortfall of 2,412,234 was placed in June 2007.
The consolidated net loss for the period was $835,371.
Transit Holdings Ltd Annual Report 2007
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PROJECT REVIEWS
Transit Holdings Limited Projects are outlined in figure 1.1
Transit Holdings Ltd Annual Report 2007
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This year saw the development and execution of Transit’s Exploration Strategy to
fast-track the delineation of direct shipping haematite targets for drilling.
With the emergence of the EPA’s Mount Manning Reserve Extension Proposal, the
location of Transit’s main projects outside of the Reserve represents relatively
lower barriers to exploration and mining activities as critical criteria for delivering
Transit’s objectives.
The commencement of a significant fieldwork programme of ‘prospect-style’
mapping and sampling has successfully delineated four prospect areas within the
Johnston Range and Copper Bore Projects.
Drilling proposals for the Muldoon and Bolger prospects have been submitted, with
approval imminent.
Negotiations with drilling contractors are currently underway and we look forward
to an exciting year ahead.
Figure 1.2 below details the Johnston Range and Copper Bore project area.