Rover Introduction

Westgold’s Rover Project represents a new mineral field containing typical high-grade iron oxide copper-gold (“IOCG”) and polymetallic base & precious metal styles of mineralisation.  The field is south-west of Tennant Creek and considered to be either an extension or mirror of the nearby Tennant Creek gold field which has been a prolific producer from IOCG ore systems.

The project represents a unique opportunity for the Company to control the vast majority of land within a new undeveloped mineral field. Westgold’s mining tenure (including applications) is in excess of 11,000 sq km which includes 3 advanced base metals and gold prospects and a large number of untested geophysical targets.

 
At the three advanced prospects significant high-grade mineralisation had previously been discovered in the 1970’s by drilling geophysical targets, namely Explorer 108 (Zn-Pb-Ag±Au-Cu), Explorer 142 (Cu-Au) and Rover 1 (Cu-Au).

The Rover mineral field is one of the least-explored regions of Australia for Iron Oxide Copper Gold (IOCG) and Polymetallic base & precious metal deposits.

Westgold has a two tier exploration strategy:
1.    resource definition and extensional drilling of its three advanced prospects, and
2.    the systematic application of geophysical and modelling techniques to identify new unexplored targets for drilling.

Through this combination of advanced drilling and regional exploration the Company is aiming to rapidly build up a significant resource base within the Rover Project.

Explorer 108

Explorer 108 (Zn-Pb-Ag±Au-Cu) Prospects

At Explorer 108, results from the 2006 and 2007 drilling programmes provide strong evidence of a very large hydrothermal system with significant high-grade Zinc (“Zn”), Lead (“Pb”), Silver (“Ag”) ± Copper (“Cu”) and Gold (“Au”)  mineralisation.

The results of recent drilling have defined an extensive area of polymetallic base and precious metal  mineralisation to an area of at least 350 metres north-south by 200 metres east-west  and remains open to the north and south but is partially closed off to the east and west by an un-mineralised felsic porphyry unit. The mineralisation is also still open at depth. The mineralisation is hosted in a 200 to 300 metre thick hydrothermal alteration zone consisting of brecciated carbonates (dolomite) and sheared acid volcanics. Zinc is generally the dominant metal through out the system, where the zinc to lead ratio averages 2 to 1.

The mineralisation consists of broad (100m+) intervals grading 2 to 5% combined Zn and Pb, but importantly contains a number of high-grade lenses containing grades of 7 to 15% combined Zn and Pb.  The most significant of these high-grade lenses occurs at the contact of an upper dolomite sequence and the underlying acid volcanics (Figure 2). This basal dolomite contact reveals a shallow easterly dip and has been traced laterally over the northern two thirds of the known alteration system. The high-grade lenses typically are 30 to 60 metres thick with average grades of 7% - 10% combined Zn and Pb.  Further, they generally contain a high-grade core of 5 to 20m thickness grading 12 to 15% combined Zn and Pb.

A second style of high-grade Zn + Pb mineralisation occurs below the high-grade lense at the base of the dolomite and within a sequence of sheared acid volcanic.. These volcanic hosted zones typically occur within steeply dipping shear zones which range in thickness from several metres up to 30 metres with average grades from 7% to 15% combined Zn and Pb.

In addition, copper mineralisation has been intersected in drilling above and below the zinc and lead mineralisation in a number of holes suggesting the Explorer 108 mineralisation may be part of a larger and zoned polymetallic ore system.

Significant results of diamond drilling are listed in Table 1.

During the second half of 2007 the Company will be drilling at Explorer 108 with primary aim of defining the overall extent and size of the mineralised system prior to commencing resource drilling.

Explorer 108 - Drillhole Location Plan Showing extent of Zn + Pb mineralisation idendtified from drilling. 

Explorer 108 - Section 7795780N. Showing significant Zn + Pb results and the remobilised copper horizon in the cover sequence.

Gravity image showing Explorer 108 drilling and The Lump prospect

Rover 1

Rover 1 (Au-Cu-Bi-Co) Prospects

Rover 1 is a major gold and copper rich ironstone system where historical drilling has already intersected significant mineralisation. The previous drilling outlined potential for a large pipe-like ironstone body over 100 metres wide and more than 200 metres in strike length. Historical geophysical modelling of the body has postulated that the ironstone body may be of significant size.

The drilling only focussed on a small section of the interpreted ironstone body but results show the body contains at least 3 sub vertical copper lodes containing 1 to 2% Cu and 0.5 to 3g/t Au. These lodes vary from 5 to 30 metres wide. In addition to the copper several holes intersected a zone intense chlorite alteration containing very high-grade gold over 10g/t (see Table 2).

The Rover 1 system has many of the characteristics of the large Warrego mine near Tennant Creek where over 0.5Moz of high-grade gold averaging 20g/t was discovered in two distinct pods during mining of the much larger copper-rich ironstone system.

The Company has made significant progress towards the grant of this tenement. An on site meeting was held with the Traditional Owners and Central Land Council (CLC) and as a result agreement on access conditions has been reached. A successful clearance survey over Rover 1 and adjacent application areas has also been completed. In addition the Federal Government has recently approved the proposed Exploration Access Agreement paving the way for the Northern Territory Government tenement granting process to be completed.

It’s likely that drilling will commence at Rover 1 immediately after the completion of the wet season in early 2008.

Explorer 142

Explorer 142 (Cu-Au-Bi-Co) Prospects

The Explorer 142 prospect shows very strong similarities to Cu – Au mineralisation seen in many Tennant Creek orebodies, particularly the Warrego Mine. The Warrego Mine was the largest mine in Tennant Creek with over 1.5 million ounces of gold and 175,000 tonnes of copper produced.

Historical drilling in the 1970’s intersected encouraging copper and gold mineralization in two holes approximately 120m apart and included the following results:

• 27m @ 1.22% Cu,
• 8m @ 3.99% Cu and 13m @ 0.91% Cu 

The 2006 Westgold drilling initially aim to test continuity of mineralisation, thickness and grade between the two earlier intersections with the first hole NR142D001 intersecting:

• 20 m @ 3.1% Cu and 0.24 g/t Au

The best copper mineralisation is intimately associated with a zone of intense magnetite – chlorite alteration along the northern margin of the ironstone body.

The second hole NR142D002 targeted the ironstone body approximately 50m vertically above the initial Westgold hole and encountered 19 m @ 0.54% Cu and 0.05 g/t Au, in a hematite dominated ironstone indicating that the tenor of the mineralisation is strongly controlled by the magnetite portions of the ironstone system.

In late 2006, a hole targeted the magnetic ironstone body approximately 140m below the mineralised and magnetite dominant zone and intersected a strongly hematite rich zone with only weak sulphide development. The best intersection from this hole was 1m at 1.4% Cu and 0.2g/t Au

Company is planning to undertake a number of down hole geophysical surveys prior to further drilling in late 2007 or early 2008. The surveys will be used to identify major off hole magnetic targets.

Rover Regional Exploration

Rover Project Regional Exploration

In addition to the three advanced prospects the Rover Project tenure contains numerous untested geophysical targets which could represent additional IOCG or base metals prospects.

As the regional tenure is granted these targets will be assessed using more detail geophysical methods and those with signatures similar to the known mineralisation will be progressively drill tested.

The Company believes there is excellent potential within its tenure to discover additional high-grade mineralised prospects.

Board and Senior Management

Michael Atkins (Non-Executive Director & Chairman)
 
Mr Atkins is a Fellow of the Institute of Chartered Accountants in Australia, and was a founding partner of a national Chartered Accounting practice from 1979 to 1987. Since 1987 he has acted as Executive Director of, and been involved in the executive management of several publicly listed resources companies with operations in Australia, USA, South East Asia and Africa. He was Managing Director of Claremont Petroleum NL and Beach Petroleum NL during 1990 and 1991 during their reconstruction, and then remained as a non executive Director until 1995. He was also founding Executive Chairman of Gallery Gold NL in 1993 until 1998, and remained a Non-executive Director until 2000.

He is currently a Director of Finance for Patersons Securities Limited, a national stockbroking and financial services firm. Prior to that he was Chairman of Montagu Capital Ltd, the holding company for Montagu Stockbrokers Pty Ltd. He is currently the non-executive chairman of Legend Mining Limited and a non-executive director of Matsa Resources Limited.

Andrew Beckwith (Managing Director) 
 
Mr Beckwith is a geologist with over 20 years experience in the Australian exploration and mining industry, having held a number of previous roles including with Aragon Resources Limited (formerly Navarre Resources Pty Ltd), AngloGold Ashanti Australia, Acacia Resources, Helix Resources, Normandy NFM and BP Minerals and is a Member of the Australasian Institute of Mining and Metallurgy and the Society of Economic Geologists.

Peter Cook (Non-Executive Director)  

Mr Cook is a Geologist (BSc (Applied Geology)) and Mineral Economist (MSc (Min. Econ)).  In recent years he has been the Managing Director of Hill 50 Limited, the Chief Executive Officer of Harmony Gold Australia Pty Ltd, the Managing Director of Abelle Limited and the Chairman of Metals Exploration Limited. He has considerable experience in the fields of exploration and project and corporate management of mining companies.

He is currently the Chairman of Metals X Limited (having until recently been the Managing Director), Aragon Resources Limited and Chrome Corporation Limited.

Mark Okeby (Non-Executive Director)
 
Mr Okeby LLM is a lawyer with over 25 years experience in the resources industry and he has been a director of a number of listed public companies. In recent years he has been an Executive Director of Hill 50 Ltd, Abelle Limited and Metals Exploration Limited and a non Executive Director of Lynas Corporation Ltd.

He is currently a non-executive director of Regis Resources Limited, and a number of unlisted public companies.

Andrew Chapman (Company Secretary) 

Mr Chapman is a chartered accountant with over 16 years experience with publicly listed companies where he has held positions as Company Secretary and Chief Financial Officer and has experience in the areas of corporate acquisitions, divestments and capital raisings. He has worked for a number of public companies in the mineral resources, oil and gas and technology sectors.

Mr Chapman is also company secretary for two other publicly listed companies. He is an associate member of the Institute of Chartered Accountants (ICAA) and a Fellow of the Financial Services Institute of Australasia (Finsia).