The Yule Group Project area now comprises nine granted tenements E45/2939, E47/1193, E47/1331, E47/1340, E47/1341, E47/1730, E47/1731, E47/1750 and E47/1751, aggregating approximately 1180 square kilometres of land in the richly mineralized Pilbara region, and approximately 45 kilometres south-west of Port Hedland. Refer to the figure.
Initially the Company held four granted tenements E47/1193, E47/1331, E47/1340 and E47/1341, aggregating 642 square kilometres. The area covered by these four tenements included magnetic targets that are interpreted to be intrusive, volcanic and sedimentary rocks within or on splays of the Sholl and or/Mallina Shear Zones.
These geological-structural environments host Radio Hill (Ni/Cu), Sholl (Ni/Cu), Highway (Ni), Supply (Zn/Cu), Wingina Well (Au), Indee (Au) and Sherlock Bay (Ni) deposits/prospects.
The southern part of the project area occupies the Mallina Basin which has been intruded by the Portree Granitoid complex. Certain aeromagnetic anomalies are interpreted to be associated with potential cupola zones of an intrusive post tectonic granite stock. The cupola zones are considered to be prospective for tantalum mineralisation similar in style to the nearby world class Wodgina deposit.
During February 2008 Brumby announced the acquisition of additional prospective iron ore tenements at the Yule Group Project area. The newly acquired tenements – purchased from ASX listed Resource and Investment NL (RNI) - comprise 3 Exploration Licences (E45/2939, E47/1750, E47/1751) and 2 Exploration Licence Applications (ELA47/1730 and ELA47/1731), and cover over 690 square kilometres of land adjacent to Brumby’s existing Yule Group tenements.
Under the terms of the acquisition, Brumby will obtain the rights to all minerals produced from the tenements in consideration to RNI of a 1 per cent Net Smelter Royalty (NSR) on future production.
A preliminary review of the available historical data on the more recently acquired tenements indicates that the holdings are prospective for iron ore, gold and base metals.
The Balla Yule Project area is located approximately mid way between Whim Creek and Port Hedland on the North West coastline of Western Australia. During September 2008, Brumby completed a low level, high resolution aeromagnetic-radiometric survey over the Balla Yule Project, which is located in the northern section of the Company's large Yule Group holdings on tenement E47/1750.
The survey also covered prospective areas on tenement E45/2939 and forms part of the Company's broader exploration strategy in the region, which is to discover iron ore deposits along the Pilbara coast line, in close proximity to the region's excellent infrastructure.
Previous historical drilling (1971) had interested up to 52% iron and associated anomalous vanadium within an intrusive gabbro complex. This geological environment is similar to the large Aurox owned Balla Balla deposit (473Mt at 43.2% Fe, 0.62% V2O5 and 13.6 %TiO2) located approximately 55kms to the south west. The Balla Balla deposit contains significant by products of titanium and phosphate.
The Company’s geophysical consultants, Southern Geoscience Consultants have completed initial interpretation and modelling of the data generated from the survey. The results indicate an overall 11 kilometre long,east- west striking target area which attains a maximum width of 600 metres and dips to the south at approximately 75 degrees. Considerable thickening of the more magnetic units within the overall target area is attributed to refolding and structural complexity. The target appears to be below approximately 50 metres of coastal sand cover.
Refer to Figure 2, which shows a plan of the magnetic units. The modelling shows that three distinct southerly dipping magnetic units of variable magnetic intensity can be discerned within the overall aeromagnetic anomaly. Initial drill testing of the widest sections of the magnetic complex will be undertaken once the Programme of Work Approval and Heritage clearances have been obtained.
