Pardoo/Goldsworthy Project

The Pardoo Project is located 75km east of the town of Port Hedland just north of the sealed Broome Highway. Power, rail and data infrastructure pass close to the project area. Pardoo contains abundant iron formations of the Ord Range Greenstone Belt which contain economic deposits of iron ore. Plans to mine these iron ore deposits are currently being finalised by Atlas Iron Limited. Shaw River Resources, through its sale agreement with Atlas Iron, holds the non-iron mineral rights to the tenements at Pardoo. This includes two exploration leases. The agreement allows for Shaw River and Atlas to share exploration information where this applies to minerals and iron respectively. This has allowed Shaw River to conduct a detailed study of the mineral potential at Pardoo at low cost.

The project geology is considered to have potential for gold, nickel and base metal mineralisation.

The study undertaken this year took into account regional and local geology and structure as well as a detailed study of lithological units likely to host mineralisation. The high level of mapping detail over the project already completed by Atlas Iron, assists the search for mineral bearing horizons as well as with the interpretation of areas under cover.

Work completed by Independence Group Limited (“Independence”) on adjacent tenements in close proximity (<3km) to the tenement boundary has intersected gold mineralisation up to 1m at 4.28g/t gold. A high level BLEG stream sediment anomaly (48ppb Au), has been located by Atlas at the Sunbeam prospect in the south of the project.  The Pardoo stratigraphy is prospective for nickel deposits similar to the Highway nickel deposit (114,770t of nickel and 44,400t of copper) located 35km east north east of the Pardoo project.