Tchintaby Well Project

(E52/2654) - Encounter 100%

Encounter Resources Ltd Tchintaby Well Project is located in the Shire of Ashburton, some 150kms south of Paraburdoo in Western Australia. The project is situated on the northern margin of the Bangemall Supergroup in a geological setting that is considered prospective for unconformity style uranium mineralisation and for stratabound and fault related base metals deposits.

The Tchintaby Well project was targeted utilising the geochemical mapping and sampling completed by the Geological Survey of Western Australia (GSWA).

Figure 1: Tchintaby Well - Location of gravity anomalies, historical drilling and Encounter drilling

Figure 1: Tchintaby Well - Location of gravity anomalies, historical drilling and Encounter drilling

Drilling at Tchintaby Well completed in 2008 targeted three bouger gravity anomalies (Andes, Laksa, Rendang). These anomalies are within the sedimentary package that are adjacent to interpreted major structures and interpreted to represent a large concentration of sulphidic material and possibly base metal mineralization. The Laksa gravity anomaly was modeled as a flat lying plate with a 2g/cc (2mgal) excess mass.

Previous drilling discovered a significant 4km strike extension to the Zn-Cu-Ag mineralised black shale horizon, including intersections of 12m @ 7062ppm Zn, 1053ppm Cu (ETW 013 - Rendang) and 11m @ 7327ppm Zn, 1022ppm Cu (ETW 006 - Laksa). Drilling results did not account for the 2g/cc (2mgal) excess anomaly targeted by the drill program. Density modelling showed the possibility for a second unit to exist at depth. Density modelling showed the possibility for a second unit to exist at depth.

Hole Number

Prospect

From

Thickness

Zn (ppm)

Cu (ppm)

ETW1

Andes

26

7

4057

472

ETW2

Andes

35

9

6338

870

ETW3

Andes

33

13

7488

854

ETW6

Laksa

164

11

7327

1022

ETW9

Laksa

164

9

6806

999

ETW13

Rendang

197

12

7062

1053

ETW14

Laksa

273

10

6050

833

Table 1: Tchintaby Well RC Mineralised Intersections

This drilling intersected similar mineralization grades and thicknesses to that of previous explorers. The horizon of low grade Zn-Cu-Ag mineralization has been extended to the south east by a further 4km.