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Technical Report 3697
Exploration Permit for Minerals No. 14488 ‘Waggaboonyah’, Queensland Partial Relinquishment Report
For the Period Ended 26 July 2008
XSTRATA COPPER EXPLORATION PTY LTD
TECHNICAL REPORT No.
3697
TITLE: EXPLORATION PERMIT FOR MINERALS No. 14488 ‘WAGGABOONYAH’, QUEENSLANDPARTIAL RELINQUISHMENT REPORT FOR THE PERIOD ENDED 26 JULY 2008
HOLDER: MOUNT ISA MINES LIMITED
OPERATOR: XSTRATA COPPER EXPLORATION PTY LTD
1:250,000 SHEET: SF54-1 MOUNT ISA
1:100,000 SHEET: 6757 KENNEDY GAP
INVESTIGATIONSCONDUCTED BY: XSTRATA COPPER EXPLORATION PTY LTD
AUTHOR: RM LILLY
SUBMITTED BY: TG SHAW
DATE: SEPTEMBER 2008
COPY: 2
DISTRIBUTION
1. Xstrata Copper Exploration Pty Ltd, Mount Isa Library
2. Department of Mines and Energy, Brisbane
3. Xstrata Copper Exploration Pty Ltd, Exploration Library
i
LIST OF CONTENTS
1 INTRODUCTION.....................................................................................1
2 LOCATION AND ACCESS.......................................................................1
3 TENURE..........................................................................................1
4 REGIONAL GEOLOGY............................................................................1
5 PREVIOUS EXPLORATION......................................................................2
6 EXPLORATION COMPLETED DURING THE CURRENT TERM....................3
7 CONCLUSIONS................................................................................3
8 REFERENCES...................................................................................4
ii
LIST OF DRAWINGSDrawing No Title Scale62026 EPM 14488 Waggaboonyah 2008 Rock Chip
SampleLocations Within Relinquished Sub-Blocks 1:100,000
62027 EPM 14488 Waggaboonyah Location andRelinquished Sub-blocks 2008 1:250,000
LIST OF APPENDICES
Appendix No TitleAppendix 1 Rock Chip Geochemistry
ii
SUMMARYAim of ProjectThe Waggaboonyah area was selected as prospective for Isa-style and shear-hosted copper mineralisation. Exploration Permit for Minerals (EPM) 14488 ‘Waggaboonyah’ was granted to Mount Isa Mines Limited on 27 July 2005.
Object of ReportTo document the results of exploration on the seven sub-blocks (50% of holding) relinquished from EPM 14488 ‘Waggaboonyah’ in July 2008.
Location‘Waggaboonyah’ EPM 14488 is located approximately 60km north-northwest of Mount Isa. The tenement can be accessed via station tracks leading east from the unsealed McNamara Road, currently being used to access Copper Co’s Lady Annie mine-site.
Tenure‘Waggaboonyah’ EPM 14488 originally comprising 28 sub-blocks, was granted to Mount Isa Mines Limited (MIM) on 27 July 2005. The tenement was reduced to 14 sub-blocks following a 50% reduction in July 2007 and by a further 50% following a reduction of seven sub- blocks in July 2008.
PrecisExploration work undertaken in the current term consisted of a rock chip sampling program comprising 129 samples over the surrendered sub-blocks.
September 1 EPM 14488
1 INTRODUCTIONThis report documents exploration work conducted during the period of tenure on the seven sub-blocks relinquished from Exploration Permit for Minerals (EPM) 14488 in July 2008. Exploration activities were carried out by Xstrata Copper Exploration (Xstrata) in a search for Isa-style and shear-hosted high grade, large tonnage copper deposits.
2 LOCATION AND ACCESSThe ‘Waggaboonyah’ EPM 14488 covers approximately 45km² and is centred approximately 60km north-northwest of Mount Isa, in north-western Queensland. The tenement sits in the southern portion of the Kennedy Gap (6757) 1:100,000 sheet, and is situated within the north-eastern quadrant of the Mount Isa (SF54-1) 1:250,000 sheet.
Access to the tenement is generally good, and is obtained via the McNamara Road (Lady Loretta Road), which trends north from the sealed Barkly Highway approximately 65km north-west of Mount Isa. Topography is generally flat to rolling, with local deeply incised creeks. Access during the wet season is poor.
3 TENURE‘Waggaboonyah’ EPM 14488 was granted to Mount Isa Mines Limited (MIM) on 27 July 2005. It is composed of northern and southern areas and had an initial total of 28 sub- blocks. A 50% reduction to 14 sub-blocks was carried out in the third year of tenure which commenced on 27 July 2007. A listing of the seven retained sub-blocks is shown below.
BIM Block Sub BlocksCLON
Total
232 b, c, g, h, m, r, w
7 Sub-blocks Retained
The seven sub-blocks relinquished from EPM 14488 in July 2008 are displayed in Drawing No. 62027 and listed below.
BIM Block Sub BlocksCLON 159 sCLON
Total
304 b, f, g, l, q, r
7 Sub-blocks Relinquished
4 REGIONAL GEOLOGYThe tenement lies broadly on the Kennedy Structure which represent the northern extension of the Mount Isa Fault. This area hosts sediments of the Gunpowder Creek Formation (lower part of the McNamara Group) underlain by sediments and volcanics of the Haslingden Group including the Myally Sub-Group and members of the Eastern Creek Volcanics. Lithologies of the Gunpowder Creek Formation vary from micaceous siltstones and shales for the Upper Unit to feldspathic sandstones for the
September 2 EPM 14488
Lower Unit. The upper Gunpowder Creek Formation occupies the central portions of both northern and southern parts of the EPM and is regarded as a favourable host for Isa-style copper mineralisation.
The major structural elements in the area are dominated by a north northwest striking syncline which is defined by the upper Gunpowder Creek Formation in the core and both
September 3 EPM 14488
lower Gunpowder Creek Formation and Haslingden Group on the limbs. In addition, northeast-trending cross faults are evident in the area displaying a dextral displacement of the truncated stratigraphic units.
5 PREVIOUS EXPLORATION
The area has a long history of previous modern exploration dating back to the 1960's and the dominant targets were copper, phosphate, lead and zinc. No detailed compilation of the previous work has been completed but a desktop review summary is listed in Table 1.
Historic
EPMCompany CR Activitie
s92211993-
99
Rio Tinto Pty Ltd
27534, 29693,30072, 31432
Open file review, aerial photography,review of
geophysical data, LANDSAT data review, geological reconnaissance, and soil sampling.
97531993-
98
MIM 29644, 30038,30649
Detailed geological mapping, rock chipping and soil sampling.
78121991-
96
BHPMinerals
Ltd
23586, 24368,24538, 25903,26524, 27705,28310
Airborne EM survey, soil sampling and rock chipping, and minor drilling (outside current tenement boundary).
37231984
BHPMinerals
Ltd
13689 Analysis of available aero mag data and follow up ground mag survey.
24061980-
82
Shell Co of Au
849, 9327,10756, 10757,11656
Compilation of historical data, air photo geological interpretation, geological mapping, gossan search, andsoil and rock geochemical sampling.
10581972-
74
Eastern Cu Mines Ltd
5088 Review of previous work, follow up geological ground truthing.
6161969-
72
Eastern Cu Mines Ltd andAnacond
a
3648, 3786,4191
Geological mapping, rock chip sampling, and ironstone classification.
102981994-96
CRAExploratio
n Ltd
28074 Open file review
91911991-
94
BHPMinerals
Ltd
25759 Open file review
73371990-
92
MIM Pty Ltd
24220 Gridding, RAB drilling program, rock and soil geochemical sampling.
24061980-
82
Shell 11656 Open file review, air photo interpretation, geological mapping, geochemical sampling, ironstone sampling, andtrenching.
6161970-
Anaconda
3648 Geological mapping of fault zone, rock chip and soil
September 4 EPM 14488
71 geochemical sampling, auger drilling, and IP geophysical surveying.
6151969-
71
Union Minere
3982 Geological interp of air photos, stream sediment, and rock chip geochemical sampling.
Table 1: Summary of Previous Exploration
Exploration work undertaken by Xstrata included a review of AGSO geology to determine areas of interest, and an open file data review. Data from existing MIM Exploration Pty Ltd Inlier airborne magnetic and radiometric compilations were reprocessed with Geosoft software to generate a first pass suite of images in MapInfo format over a selected section of the project area. This suite comprised images of TMI, RTP, RTP1VD, and Radiometric Potassium, Uranium, Thorium and Total Count.
September 5 EPM 14488
Existing geochemical data were compiled into MapInfo and thematic geochemical maps were created to determine anomalous areas and used to highlight target areas for soil sampling. Air photo interpretation was carried out and a regolith map created to determine suitable areas for soil sampling (Fizzard and Santaguida, 2007).
6 EXPLORATION COMPLETED DURING THE CURRENT TERM
A regional rock chip sampling program involving the collection of 129 samples was completed in the south of the tenement during the reporting period; locations are shown in Drawing No. 62026. Between the collection of the samples and their return from assay five samples (MXA47322, 47376, 47377, 47378 and 47379) were lost. No anomalies were noted in the data, with only three samples returning over 100ppm copper. The rock sample description and geochemical data are provided in Appendix 1.
7 CONCLUSIONSThe seven relinquished sub-blocks occupy the southern margin and a single isolated western block of EPM 14488. Sub-blocks covering features of interest were retained.
September 6 EPM 14488
8 REFERENCESFizzard K, Santaguida F, 2007, EPM 14488 ‘Waggaboonyah’ and EPM 12577 ‘Gordon’ Queensland, Combined Annual Report for the Period ending 26 July 2007, Xstrata Copper Exploration Pty Ltd, Technical Report No 3669.
DRAWINGS
APPENDIX ONERock Chip Geochemical Data
m
3100
00
7760000
7757500
7755000
7752500
7750000
N7762500
s
b
f g
Iq
QQEPM 14488 boundary
EPM 14488 ReIinquished sub-
bIocks 2008 Rock chip sampIe
Iocations
2 0 2 4
Kilometers
Scale: 1:100,000
7742500
7745000
7747500
3125
00
3150
00
3175
00
3200
00
3225
00
3250
00
r
Xstrata Copper ExpIoration Pty. Ltd.
copperEPM 14488 Waggaboonyah 2008 Rock chip sampIe
Iocations within reIinquished sub-bIocks
Region: NW QLD Projection:
AGD 84 Author: R.LiIIy ScaIe:
1:100,000
1:100,000 :6757 Drawn: R.LiIIy Date: 19/9/2008
1:250,000 : SF54- Revision Date: Drawing No: 62026 Fig. No:
00730
000
3100
0
3200
0
3300
0
3400
r
Iq
77 000 mN 7770000 mN
s7760000 mN
7750000 mN
f
b
g
7740000 mN
Mount Isa QLD
Current EPM 14488
boundary ReIinquished
sub-bIocks 2008
QQ5 0 5 10 15
km
77400
77500
77600
3000
0
3100
0
3200
0
3300
0
3400
0
Xstrata Copper ExpIoration Pty. Ltd.
copperEPM 14488 Waggaboonyah Location and reIinquished
sub-bIocks 2008Region: NW QLD Projectio
n:AGD 84 Autho
r:R.LiIIy ScaI
e:1:250,000
1:100,000 :6757 Drawn:
S. leffery/R.LiIIy
Date: 19/9/08
1:250,000 : SF54-01
Revision Date: Drawing No: 62027 Fig. No: