Murrin Murrin

The Murrin Murrin project area comprises 14 PLs and one small ML situated approximately 45km east of Leonora in the Mt Morgan’s District of the Mt Margaret Mineral Field. It is approximately 15km south of the Murrin Murrin lateritic Ni-Co Mine and lies within a 15-20km radius of Kin’s Mt Flora, Randwick and Redcastle Project areas.

The Company’s Murrin Murrin leases form a contiguous package which is located adjacent to the historic Murrin Murrin gold mining centre and the former Anaconda, Rio Tinto and Nangeroo base metal mines as well as being close to several of Glencore International PLS’s nickel-cobalt laterite resources.

FIG 10

Figure 1 – Tenement showing Outcrop Geology and Target Areas

The tenements cover a section of the Murrin Murrin Greenstone Belt and overlie a suite of NNE trending tholeiitic mafic volcanics, dolerites and minor sedimentary units, including banded iron formation (“BIF”) and chert. Primary gold mineralisation generally occurs as “stacked”, shallowly dipping mineralised quartz veins associated with thrust faulting.

Metal detecting and prospecting by individuals and small syndicates has been widespread throughout the district since the early 1980s and a number of large alluvial gold patches have been discovered during this time. Many historic gold workings occur throughout KIN’s various leases.

 Previous test-drilling has identified numerous gold anomalies in close proximity to this mineralisation and these represent ‘walk up’ drill targets. Other prime gold targets occur at the intersection of major faults and shear zones.

 During the year three Reverse Circulation (RC) drilling campaigns were conducted at Murrin Murrin (P39/5179) for an advance of 2,909m. The drill programmes intercepted supergene and primary gold intersections. The down hole geology displayed quartz veining, occasionally carbonated, in mafic gabbro associated with regional thrust faults. Sulphides, dominantly pyrite, are associated with the host rock and low percentages of sulphides were observed associated with the quartz veining.

The most significant primary gold intersection (MM13RC013) is positioned beneath weathered clayey regolith (35-40m to deep) in an area of no outcrop; however the unit is interpreted to strike north-easterly and dip south easterly. Best assay results are tabled below (>1g/t Au).

MM drill planFigure 2 – Murrin Murrin Eastern Gabbro Prospect (P39/5179) annotated drill hole location plan displaying down hole gold intercepts

Significant intersections include:

•MM13RC013 – 31m @ 4.29 g/t Au (64-95m) including 2m @ 34.23g/t Au (87-89m)
•MM14RC022 – 23m @ 1.00 g/t Au (13-36m)
•MM14RC021 – 11m @ 2.56 g/t Au (20-31m)
•MM14RC023 – 4m @ 4.62 g/t Au (84-88m)
•MM14RC027 – 10m @ 1.31 g/t Au (30-40m)
•MM14RC028 – 9m @ 1.90 g/t Au (33-42m)

The drilling of the scissor hole MM14RC023, was aimed at following up on previous significant intersections including the high grade intersection encountered in MM13RC013, which returned 2m @ 34.23g/t Au  from 87m down-hole (see Figure 2).

Drill hole MM14RC023 intersected a mineralised ore zone, interpreted to represent the high grade shoot encountered in MM13RC013; however the geometry and orientation of the mineralised envelope intersected in MM13RC017 and MM13RC013 has not yet been fully determined. Originally, 4m composite samples were collected and assayed; results considered anomalous were analysed via fire assay at 1m intervals, significant results are presented in Table 1.

Table 1 – TABLE of DRILLING RESULTS – Significant RC drill Intersections (>1g/t Au)

Drill Hole Site Easting Northing Total RL Dip Azim From To Width Au
ID Type GDA 94 zone 51 Depth  (nominal) (m) (m) (m) (ppm)
MM13RC002 RC 385495 6800150 60 420 -60 270 19 20 1 1.38
MM13RC003 RC 385525 6800150 102 420 -60 270 85 89 4 1.07
 including 85 86 1 2.73
MM13RC005 RC 385465 6800130 60 420 -60 270 44 46 2 1.6
MM13RC006 RC 385495 6800130 60 420 -60 270 13 20 7 1.42
including 15 18 3 2.88
MM13RC007 RC 385525 6800130 80 420 -60 270 23 24 1 2.23
MM13RC008 RC 385495 6800170 66 420 -60 270 47 48 1 1.32
MM13RC009 RC 385525 6800170 102 420 -60 270 14 16 2 2.12
55 56 1 1.71
MM13RC010 RC 385495 6800110 60 420 -60 270 7 9 2 2.92
MM13RC011 RC 385525 6800110 60 420 -60 270 1 4 3 1.34
MM13RC013 RC 385605 6800210 130 424 -60 270 64 95 31 4.29
including 87 89 2 34.23
MM13RC017 RC 385565 6800190 80 423 -60 270 4 36 32 1.29
including 12 20 8 3.75
MM14RC019 RC 385649 6800214 170 420 -58 266 12 18 6 1.6
including 15 17 2 4.17
29 30 1 4.05
MM14RC021 RC 385467 6800078 87 420 -60 267 20 31 11 2.56
MM14RC022 RC 385503 6800080 128 420 -60 267 13 36 23 1
22 28 6 2.04
MM14RC023 RC 385527 6800214 180 240 -60 87 84 88 4 4.62
MM14RC027 RC 385463 6800065 84 240 -60 267 30 40 10 1.31
MM14RC028 RC 385500 6800059 126 240 -60 267 33 42 9 1.9
4m composite samples, Acid digest – 1m intervals, Fire Assay 50gm charge