South Australia

Monday, 18 August 2008 18:59

The Company recently signed a joint venture agreement with Minotaur Exploration Ltd covering exploration licences, EL 3107 Glenloth, EL 3040 Lyons and EL 2866 Lake Labyrinth.

Under the terms of the joint venture, Minotaur can earn 75% equity in the tenements through exploration expenditure of $2 million over a period of 5 years. Minotaur believes there is excellent potential for the discovery of high-grade gold and large copper-gold deposits in the region and will spend a minimum of $300,000 on exploration in the first year.

Under the terms of the agreement the Company retained the rights to nickel sulphide minerals within a portion of the Glenloth tenement EL 3107 and subsequently completed an additional joint venture agreement allowing Mithril Resources Ltd access to EL 3107 to explore for nickel sulphide mineralisation. Mithril are required to spend a minimum of $20,000 on geochemical sampling over sections of the Harris Greenstone Belt by 31 December 2005 and will then have the option to withdraw from the agreement or spend $1million on exploration over a 4 year period to earn a 75% interest in the joint venture.

Both Minotaur and Mithril plan to begin exploration in the current quarter.

Map: Location of Tenements

Glenloth

The Glenloth tenement covers an area of 800 square kilometres in the Tarcoola-Lake Harris region, 560 kilometres northwest of Adelaide. The project area includes the historic Glenloth Goldfield, the northern extension of the Yalbrinda shear zone and part of the Lake Harris Greenstone belt.

To date, Range River has carried out a range of activities on the tenement. Initial work focused primarily on the historic Glenloth Goldfield area and included Calcrete sampling - initially on a 400 x 400m grid, followed by infill sampling over 100 x 100m and RC Drilling on two prospects at Mt Mitchell and Lone Hand-Yarrawonga

Infill calcrete sampling was also carried out in the south west part of the tenement covering the northern extension of the Yarlbrinda shear zone along strike from the Tunkillia gold deposit of Helix Resources.

The Company had also received a grant of $80,000 funding under the South Australian Government Plan For Accelerating Exploration (PACE) Initiative for drilling at the New Well and Old Well prospects.

The anomaly is defined by calcrete values greater than 10 ppb Au with spot highs to 100 ppb Au.

Lake Labyrinth

Range River Gold holds an area of 384 square kilometres in the Tarcoola-Lake Harris region covering the Lake Labyrinth shear zone, 560 kilometres north west of Adelaide.

The tenement was puchased by RNG in March 2004. Exploration since then has focused primarily on the Company Well and Lake Labyrinth historic gold workings.
Work has included infill calcrete sampling at 100 x 100m spacing followed by RC Drilling on two prospects at Company Well and Lake Labyrinth.

Recent exploration has included infill calcrete sampling of previously identified gold anomalies at the Partridge anomaly.

Map: Lake Labyrinth & Glenloth Tenements

Lyons

The Lyons tenement is located 40km northwest of Tarcoola in the Central Gawler Craton. It covers an area of 1118km2 and contains a number of significant regional structures including a long strike extent of the Bulgunnia Fault.

To date, RNG had been assesssing all available exploration data to identify exploration targets related to the Bulgunnia Fault and associated Hiltaba Granite intrusions considered to form important controls on mineralisation in the area.

Map: Lyons Tenements