The Gum Creek Project is located 640km northeast of Perth, Western Australia and comprises a land holding of 688km² in the Gum Creek Greenstone Belt. Click here to view a location map.

The Project represents the retained portion of the Gidgee Project, following the sale of the Gidgee Gold Project to Apex Minerals NL in August 2007. This area was retained following a regional commodity review, which highlighted the nickel-copper-platinum group element (Ni-Cu-PGE) and iron ore potential of the Gum Creek Greenstone Belt. The Project has had no systematic nickel exploration since the early 1970’s.

The Project is divided into three areas, Woodley, Bungarra and Thangoo, and considered prospective for iron ore, intrusion-related (Ni-Cu-PGE) and komatiite flow-related (Ni) sulphide. Click here to view tenement map

Woodley

The Woodley Region contains an extensive NW-SE to N-S trending banded iron formation (BIF) ridge, with a strike length of 22km. The high magnetic response evident in the aeromagnetic data clearly defines the extent of BIF and also highlights several structural offsets, which may be associated with hematite development.

Reconnaissance rockchip sampling (110 samples) along the ridge returned encouraging results with a maximum iron value of 62.5% Fe associated with localised hematite development.

A gravity survey over the 22km strike length of BIF ridge was completed in July 2008. The survey covered an area of approximately 85km² and comprised 1,284 readings with stations every 100m along E-W lines 400-800m apart. The objective of the survey was to determine whether significant accumulations of hematite were present associated with the mapped BIF.
(ASX Announcement: 4 August 2008).

Subsequent ground follow-up of the rockchip and gravity survey results indicates that the BIF ridge contains at least three areas containing banded magnetite. Further evaluation of the project is ongoing, involving aeromagnetic modelling by Southern Geoscience Consultants to determine the magnetite potential.

Bungarra

Legend announced the discovery of an outcropping magmatic sulphide gossan at Bungarra, returning rockchip results up to 1.0% Ni, 5.7% Cu and 0.7g/t PGE, associated with the mafic-ultramafic Bungarra Intrusive Complex (BIC),
(ASX Announcement: 10 April 2007). The gossan was hosted by gabbroic rocks at/near the basal margin of the BIC, considered a prospective geological setting for segregations of Ni-Cu-PGE sulphide mineralisation.

Legend signed the West Bungarra JV with Gateway Mining Limited (ASX:GML) on 16 July 2007, securing tenure over the entire BIC.

Follow-up ground electromagnetic surveying, utilising the Moving Loop Time Domain Electromagnetic (MLTEM) technique, was completed over three prospects at Bungarra; Python, Dugite and Adder, (ASX Announcement: 6 August 2007). The surveys identified a number of conductors coincident with the original outcropping gossan and subsequent field reconnaissance identified additional gossanous float.

RC/diamond drill testing of several of the MLTEM conductors has provided sufficient evidence of nickel in sulphide mineralisation to warrant further exploration focused on the margin of the BIC, (ASX Announcement: 11 February 2008).

An airborne Versatile Time Domain Electro Magnetic survey (VTEM) was completed in March 2008 over the entire BIC and surrounds, effectively testing 18km of intrusive margin for Ni-Cu-PGE mineralisation, (ASX Announcement: 17 March 2008).

Seven VTEM features were followed-up with aircore drilling, returning anomalous Ni-Cu-PGE results from the Cobra prospect adjacent to a fold closure on the northern margin of the BIC, (ASX Announcement: 29 May 2008). RC drilling at the Cobra prospect intersected a broad zone with elevated Ni-Cu-PGE values.

Thangoo

Initial aircore drilling of interpreted ultramafic units at Thangoo intersected broad zones of elevated nickel and identified the ultramafics as komatiitic in character, (ASX Announcement: 30 October 2007). These results provide encouragement for the possible presence of nickel mineralisation at depth or along strike, similar in style to Kambalda.

Moving-Loop Time Domain Electromagnetic surveys (MLTEM) testing the komatiitic units were completed identifying three strong conductors on the eastern flank of the survey area, (ASX Announcement: 11 February 2008). A VTEM survey over the eastern half of Thangoo was completed in March 2008 covering the full extent of komatiitic lithologies, (ASX Announcement: 17 March 2008).

Limited previous drilling in the area indicated that the MLTEM/VTEM conductors relate to black shale, which is in direct contact with ultramafic units of komatiitic affinity and represent priority drill targets. Nine aircore drill traverses were completed targeting the conductors returning low Ni-Cu results, (ASX Announcement: 29 May 2008). Further evaluation of the project is ongoing.

IMAGES FROM GUM CREEK:

Banded Iron Formation at Woodley		Banded high grade hematite at Woodley		Banded Iron Formation at Woodley
Aircore drilling rig with drill cutting samples in the foreground		Aircore drilling samples ready for logging and sampling		Logging Aircore drill chips
Local view of the Bungarra Project area		Gossan at the Bungarra Project area		Outcrop mapping and sampling at Thangoo

Click on any of the photos above to view a larger image in a new window

LINKED DIAGRAMS:

Gum Creek Location map

Bungarra Map: Showing geology, gossan location, electromagnetic survey areas, drilling

Bungarra VTEM Image – 17 March 2008 Announcement

Thangoo VTEM Image – 17 March 2008 Announcement

Woodley Gravity / Aeromagnetic Image – 4 August 2008 Announcement