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ASX:EVR

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Australia

Khartoum Tin-Silver-Tungsten Project

Located approximately 100km south west of Cairns, The Khartoum tenement package consists of 5 exploration permits covering a total area of 198km2. Numerous historic mines and tin occurrences within tenements with only a few prospects drill tested with several walk up drill targets already identified. Due Diligence of Shaw River project acquisition has now been completed and the Company is moving towards completion of the acquisition and preparation of drilling.

The Company has signed a non-binding Memorandum of Understanding with tin smelter, Thailand Smelting and Refining Co. Ltd, known as “THAISARCO” to negotiate the supply of tin concentrate from the Company’s Khartoum Project including a right of first refusal for all other tin projects (subject to the final offtake agreement), including any joint venture projects between the Parties.

Within the negotiable terms of the proposed Definitive Agreement THAISARCO will pre-pay an amount to pre-purchase a portion of tin concentrate at a discount from the Company.

Mt Luxton Gold-Silver Mine Area

The Mount Luxton gold and silver mine workings are approximately 44km west-south-west of Herberton, 22km north-west of Mount Garnet. Gold was first discovered at Mount Luxton around 1896. The historic mine shaft is situated on a ridge to the east of Mount Luxton, the reef makes little feature on the surface and the entire hill is covered by loose stones, which makes prospecting difficult.

Rock chip’s taken in 2006 from the Mount Luxton area returned results of:

  • 3.39g/t Au, 241g/t Ag, 0.11% Cu, 8.25% Pb and 0.1% Sn – Mullock composite
  • 0.58g/t Au and 32.2g/t Ag – Working outcrop
  • 1.02g/t Au and 5.8g/t Ag – Mullock sample

Kitchener Group of Mines

The Kitchner group of mines is located within EPM19114 and makes up a 1.3km trend of historic mines with recorded production of over 1,959t of tine metal at grades up to 3.26% tin. The bulk of production from the Kitchener area has come from a single line of lode, extending from the Eclipse mine at the south to the You and Me mine in the north, a distance of 1.3km.

The potential for shallow, high grade mineralisation is indicated by shallow drill results. (Maximum drill depth 60m) from drilling in 1985 by Great Northern Mining Corporation at the You and Me mine including:

  • 15m at 0.52% Sn from 18m and 12m at 1.0% Sn from 44m – Hole WYM01
  • 22m at 0.65% from 10m – Hole WYM05
  • 11m at 0.62% Sn from 19m – Hole WYM06

Geology

Khartoum has been identified as particularly prospective for tin, silver, and tungsten mineralisation hosted by a Late Carboniferous-Early Permian felsic intrusive, mostly associated with cassiterite bearing quartz veins in greisen and disseminated cassiterite in greisen.

The Herberton region contains a suit of rocks ranging from Paleoproterzoic gneiss to Tertiary cover. The rocks of primary interest are the numerous highly fractured I-type mid-late Carboniferous granitoids of the O’Briens Creek Supersuite and late Carboniferous Boonmoo Volcanic Subgroup felsic volcanics which dominate the tenement package and have intruded, or overlie, the extensive Devonian Hodgkinson Formation, a series of interbedded sedimentary units consisting primarily of arenite and mudstone with lesser chert, conglomerate, basalt and limestone.

The Herberton area is a major tin-tungsten bearing district and contains numerous historic workings for tin, tungsten, copper, zinc, molybdenum, antimony, lead, silver and gold. In granite-related tin deposits the metals are commonly focused along the apical portions of the granite and metal bearing fluids may breach into the wall rocks resulting in vein systems and breccias with significant alteration footprints.

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311-313 Hay St Subiaco, Western Australia 6008

+61 (0) 8 6489 0600

ua.mo1660378941c.sec1660378941ruose1660378941rve@o1660378941fni1660378941

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