PM Demand... as Inflation Hedge!, page-70

Seals,

The known IOCG deposits with in the Mt Isa region are mostly driven by fault pathways and proximity to appropriate aged granites (1.9-1.3B years age). There are similarities too OD where faulting is important to hydrothermal fluid pathway and in opening up open spacing with in a breccia system.

Our projects do seem to have these ingredients with major structural faults and granite bodies close by. The genetic model for IOCG is relatively young as OD is largely seen as the initial discovery of this type with later understanding that several Mt Isa deposits being given this classification. The difficulty with IOCG is that the texture of the rocks are quite diverse as it overprints several types of rock hence the model took a while to develop. There are several iron ore mines in the Andes that are exploiting a subset of IOCG for many years. The issue with Mt Isa is that many of these deposits have almost been fully exploited so developing a modern strong model has been difficult.

Mt Isa is a good example to use but as many geos will say, every deposit will be different and hence a model can change several times with further exploration work. Even OD has thrown up surprises.

It will be interesting over the coming few weeks as I think that NCM will put out some information on their campaign if they are finding something exciting. ICG will probably be in a position to drill during the next financial year once geophysics and all planning is completed.