Deep Yellow Limited (DYLLF)

[wzebra33]

DEEP YELLOW LIMITED DLY.AX and DYLLF.PK
13 Nov Mt Isa Exploration Update
http://www.deepyellow.com.au/news/asx/071113_mtisa.pdf
07-73 Page No. 1
DEEP YELLOW
LIMITED
ABN 97 006 391 948
Level 1 329 Hay Street Subiaco WA 6008
PO Box 1770 Subiaco WA 6904
Tel : [phone]
Fax : [phone]
Email: [e-mail]
Website: www.deepyellow.com.au
13 November 2007
MT ISA EXPLORATION UPDATE
HIGH GRADE URANIUM ROCK SAMPLE ASSAYS
HIGHLIGHTS
• Rockchip samples from a second helicopter supported checking of airborne
radiometric anomalies returned high grade to highly anomalous uranium assays
of up to 1.17% U3O8 at 10 prospects on the following tenements:
• EPM 14282 1 prospect
• EPM 11025 1 prospect
• EPM 4317 2 prospects
• EPM 14148 4 prospects
• EPM 14772 2 prospect
• RC percussion drilling on the Miranda Prospect is in progress with 9 holes
completed to date.
• An exploration camp has been established at Eastern Creek ahead of the RC
percussion drill programme on the Ewen Project.
The Directors of Deep Yellow Limited (DYL) are pleased to announce that assay results received
from a second phase of ground truthing of uranium anomalies outlined by a recent airborne
radiometric survey has greatly increased the uranium prospectivity of a number of tenements
which form part of the NW Queensland Joint Venture with Matrix Metals Ltd (Matrix).
MT ISA REGIONAL PROGRAMME
In May 2007 DYL contracted UTS Geophysics to fly 5,470 line kilometre of low level radiometrics
and magnetics over nine selected target areas within its tenement holdings in the Mt Isa district.
The 100 metre line spaced data greatly enhanced the definition and delineation of uranium
anomalous zones within DYL’s original 400 metre line spaced data set. The newly acquired data
was processed in-house and a series of targets developed for ground checking/reconnaissance
mapping. A total of 109 anomalies deemed worthy of ground follow-up were identified after a firstpass
review of the data.
Mt Isa Exploration Update
07-73 Page No. 2
On 5th October 2007 DYL reported to the ASX assay results on high grade rockchip samples from
the first phase of helicopter supported mapping and sampling of 56 of the 109 uranium anomalies
being evaluated mainly to the north and northeast of Mt Isa.
The second phase of mapping and sampling reported here was based mainly out of Cloncurry
covering the White Range Project area. A further three days was spent evaluating ground to the
north of Matrix’s Mt Cuthbert copper mine. All of the 109 anomalies identified through the initial
interpretation of the airborne survey data have now been visited with only a few of the sites being
in terrain too rugged to land the helicopter, remaining for ground checking at a later date.
Figure1. Mt Isa District Tenements – NW Queensland JV (blue)
Sampling Procedure
At each anomaly, the centre of the airborne uranium anomaly was targeted as an initial GPS
datum. Rapid ground traversing with a hand held scintillometer (or spectrometer) was undertaken
in order to identify peak outcrop values and possible visible mineralisation. Samples for assay
were collected at and around the peak uranium anomalous site. These samples are positively
biased and not representative of the entire outcrop/anomaly area however, they are being used as
a ‘driver’ to identify potential scout drill sections.
Mt Isa Exploration Update
07-73 Page No. 3
In the Mt Cuthbert area within EPMs 14282 and 11025 uranium mineralisation is associated with
granitic rocks and felsic intrusives. At Anomaly 78 – Warwick - highgrade samples assaying up to
1.17% U3O8 were collected over 80 m strike and are associated with narrow chlorite-sericite schist
zones and more ‘mafic’ layers within the felsic rock similar to the mineralisation at the Miranda
Prospect to the south (see Figure 2). At Anomaly 77 – Six Mile - 950 ppm U3O8 was returned
from a massive granite outcrop with red porphyritic phases returning high background counts.
Elsewhere in the district granitic outcrops have returned anomalous uranium values and have been
designated for follow-up in 2008. Anomaly 94 (ASX 5 October, 2007) was revisited ahead of
planned drilling with further sampling returning an assay of 0.645% U3O8 against a previously
reported high of 0.285% U3O8.
The Company’s drilling contractor has confirmed 15 December as the date for demobilising. An
attempt will be made to schedule drilling at Anomaly 78 prior the shut down. It is now doubtful that
a diamond drilling rig for Queens Gift Prospect will be sourced this year.
Table 1. Anomalous Rockchip Samples
Sample
No.
EPM
Helicopter
Anomaly No.
Prospect
U3O8
Ppm
U3O8
%
DH 040 14282 H078 Warwick 11,300 1.13%
DH 041 14282 H078 Warwick 5,700 0.57%
DH 042 14282 H078 Warwick 3,950 0.395%
DH 043 14282 H078 Warwick 11,700 1.170%
DH 045 11025 H077 Six Mile 950 0.095%
DH 046 14916 H094 Crystal – 1 6,450 0.645%
WR 004 4317 H131 Toby Barty 11,400 1.14%
WR 005 14148 H133 Eight Mile 600 0.06%
WR 008 4317 n/a Sierra Line 350 0.035%
WR 013 14148 H138 Happy Valley 550 0.055%
WR 014 14148 H139 Happy Valley 600 0.06%
WR 018 4317 H131 Toby Barty 400 0.04%
WR 024 14772 H154 Chopper Ridge 380 0.038%
WR 028 14772 H165 Dodgy East 950 0.095%
WR 034 14148 H160 Southend 250 0.025%
NB: 1,000 ppm = 0.1%, 10,000 ppm = 1%
Mt Isa Exploration Update
07-73 Page No. 4
Figure 2. Mt Isa North Anomalies
To the south of Cloncurry rockchip sampling of airborne radiometric anomalies on the White Range
JV tenements returned numerous elevated uranium assays. Most of these anomalies lie along
linear northwest trending fractures and lithologic contacts within pelitic sediments. Typically these
features form ferruginous/siliceous ridge tops and are often coincident with small copper shows.
Several of these structural linears or corridors have recently been drill-tested for copper-gold
mineralisation by Matrix, particularly along the Sierra, Greenmount and Leopard Lines.
Most of the uranium anomalous samples comprise highly leached ferruginous/gossanous lode
material, registering as only modestly radioactive with hand-held scintillometers. Some anomalies
occur in sheared metasediment adjacent to siliceous/ferruginous ridgetops. The exception is
sample WR 004 -Toby Barty, taken from a small copper working, which exposed visible torbernite
in relatively fresh siltstone. This sample returned 1.14% U3O8. A percussion hole drilled directly
beneath this site, (TBRC 01) returned 400 ppm U3O8 from a one metre sample registering only 2 x
background. Although rather spotty and discontinuous, many of these ground-checked anomalies
warrant follow-up radiometric surveying and downhole probing of available percussion drillholes.
The results from the sampling programme in the White Range area compliment Matrix’s extensive
uranium anomalous database which formed the basis for DYL’s initial move into the ‘Mt Isa
Province’.
Mt Isa Exploration Update
07-73 Page No. 5
Figure 3. Uranium Anomalies White Range Project Area
The latest assay results together with the results of the previous helicopter supported geological
mapping and sampling programme continues to identify priority drill targets for 2008 in ground held
by Matrix Metals. Under Agreement with Matrix Metals through the NW Queensland Joint Venture,
DYL is earning 80% interest in the uranium rights to these tenements and has the right to 100% by
buying out Matrix’s retained 20% on each individual deposit (ASX 20 February 2006).
Dr Leon Pretorius Further Information: Martin Kavanagh
Managing Director Executive Director
Deep Yellow Limited [phone]
The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on
information compiled by Dr Leon Pretorius a Fellow of The Australasian Institute of Mining and Metallurgy. Dr Pretorius
has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to
the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian
Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Pretorius consents to the inclusion
in the report of the matters based on his information in the form and context in which it appears.