Anglo Australian Resources – 100% interest

The Mandilla Gold Project is located approximately 70km south of Kalgoorlie and 20km south east of Kambalda.

Geology in the project area consists of a sequence of mafic and ultramafic rocks in contact with felsic volcaniclastic and sedimentary rocks of the Mandilla Formation. The sedimentary sequence is intruded by the Emu Rocks Granite (a high level stock of porphyritic monzogranite). The western contact of the granite is faulted by an interpreted southern extension of a splay fault off the Zuleika Shear Zone, which hosts 1 million ounce deposits at Raleigh (Kundana) and Mt Marion (Ghost Crab).

Over the period 2006 to 2007, Anglo Australian achieved production of approximately 23,000 ounces of gold from an open-cut palaeochannel.

At Mandilla East, the company has identified an inferred bed-rock gold resource of approximately 360,000 tonnes at 3.3 g/t Au containing approximately 38,000 ounces of gold.

At Mandilla South, anomalous gold values are associated with a flat-lying supergene enriched gold zone which occurs at the base of the weathering profile at a depth of typically 40 to 50 metres beneath transported Tertiary-aged sediments and highly leached upper saprolite.

The supergene enriched gold zone is of substantial size as defined by the 1 g/t Au contour, exceeding 2.5 kilometres in strike length, whilst open to the south-east, and up to 250 metres in width.

A map illustrating the Mandilla South target, as well as key drill holes and assay results, is set out below.

A cross-section of the Mandilla South target on section 6,526,500N (refer location in Figure 1), identifying the supergene enriched gold zone, is set out below.

At this location, the supergene enriched gold zone is developed over a cross-strike width exceeding 100 metres.

In due course, a further infill aircore drilling campaign will be undertaken to seek to define the core of the gold anomalous trend.

This aircore campaign will optimize locations for a future reverse circulation drilling campaign with the aim of testing for bedrock mineralisation.

Anglo Australian considers Mandilla South to be a high priority target for future exploration.

Anglo Australian has been granted funding assistance by the Department of Mines and Petroleum, Western Australia under its Exploration Incentive Scheme Co-funded Exploration program in respect of the drilling of three deep diamond drill holes at Mandilla South in the amount of $100,000.

For the latest information on the Mandilla Gold Project, refer to the Investors page on this website.