Tandarra Gold Project

(EL4897) (Catalyst earning 51%)

In September 2014, Catalyst and Navarre Minerals Limited entered into a Heads of Agreement which enables Catalyst (through a 100% subsidiary, Kite Operations Pty Ltd) to earn a 51% interest in the tenement by spending $3 million on exploration over a period of 4 years.

The Tandarra gold mineralisation was discovered in 2006 by Leviathan Resources Pty Ltd and in 2011 the project was acquired by Navarre Minerals Limited. High grade gold mineralisation has been intersected on the Tomorrow and Macnaughtan Structures with the former structure hosting grades of up to 20 g/t Au at basement depths of less than 20 metres. Depending on the continuity of mineralisation, this area has potential for open pit mining.

Regional exploration potential at Tandarra

Figure 4a: Plan of Tandarra Project showing regional targets

Figure 4a: Plan of Tandarra Project showing regional targets.

Most of the exploration activity has been focussed on the Tomorrow and Macnaughtan Structures (the rectangular box area on Figure 4a) whilst other structures in the tenement area have had limited drill testing. Several potential gold trends are shown on Figure 4a including the 7 kilometre strike length along the Tandarra Fault Zone north of the Tomorrow Prospect and several parallel structures to the east. These interpreted structural trends are enhanced by a review of anomalous arsenic values in the Leviathan Resources data but many areas have no arsenic data because Navarre Minerals did not assay for this element A significant gold intersection was present in air-core hole ACT 046 which assayed 1.83 g/t Au from 61 metres depth in an area near the interpreted Whitelaw Fault. Another drill hole in the same area which still requires verification contained 1 metre @ 3.0g/t Au from 32 metres depth. These intersections are totally untested to the north and south where basement depths are unknown but probably less than 50 metres. 

The Tomorrow – Macnaughtan Area

Figure 4b: Air-core drill intersections shown on Figure 4a

Figure 4b: Air-core drill intersections shown on Figure 4a.

This area shown on the rectangular inset box of Figure 4a contains most of the known mineralisation on the Tandarra tenement and accounts for a high proportion of the prior exploration ectivity. Most of the reverse circulation (RC), diamond and air-core drilling were undertaken within this restricted area. Air-core and RC drill holes within this area are shown with their intersections in Figures 4a, 4c and 5 respectively and clearly show two parallel gold structures around 150 metres apart. On the Tomorrow Structure, high grade gold values occur within a 25 metre wide zone with multiple quartz veining and fractures which dips steeply to the east and probably coincides with the eastern limb of a tight anticline. Two cross sections through the Tomorrow Zone are shown on Figures 6 and 7.

On Figure 7, a diamond drill hole (DDT001) intersected sporadic gold mineralisation from 20.5 metres downhole (18 metres vertical depth) to 46.8 metres but core recovery was only around 25% because of soft saprolitic clays. Approximately 5.1 metres of fragmented core was obtained from this interval and assayed at approximately 7.7g/t Au. High grade intervals included 1.3 metres @ 18.2g/t Au from 20.1 metres, 1.3 metres @ 7.5g/t Au from 35.7 metres, 0.7 metres @10.9g/t Au from 36.9 metres and 1.3 metres @ 2.6 g/t Au from 45.1 metres depth. This hole would need to be re-drilled to establish if continuous high grade gold mineralisation is present at this shallow depth on the Tomorrow Structure. Other shallow high grade intersections on the Tomorrow Structure are present in several drill holes:

• RCT006 (7 metres @5.5g/t Au from 50 metres)

• RCT 007 (1metre @ 8.6g/t Au from 12 metres)

• RCT063 (4metres @ 9.2g/t Au from 18 metres)

• RCT050 (2 metres @ 18.4g/t Au from 44 metres)

• RCT097 (3 metres @6.4g/t Au from 54 metres)

• ACT015 (10metres @18.0g/t Au from 37 metres)

As shown on Figure 5, the Tomorrow and Macnaughtan Structures still require considerably more angled RC drilling to define potential open pit resources. Because there is very little RC and diamond drilling that has tested these structures at vertical depths of greater than 100 metres, there is also potential for high grade shoots that could be mined by underground methods.

 

  

Figure 6: East West cross section through Tomorrow Structure at 5972820N on Tandarra project

Figure 6: East West cross section through Tomorrow Structure at 5972820N on Tandarra project


Figure 7: East west cross section through Tomorrow Structure at 5972750N on Tandarra project.

Figure 7: East west cross section through Tomorrow Structure at 5972750N on Tandarra project.

Figure 5: Plan showing reverse circulation drill holes and assays in the Tomorrow and Macnaughtan prospects and location of drill cross sections

Figure 5: Plan showing reverse circulation drill holes and assays in the Tomorrow and Macnaughtan prospects and location of drill cross sections.