During the sixth quarterly reporting period (fourth quarter 1997) work comprising field-based exploration activities within the PK were undertaken.

Fieldwork undertaken during the fourth quarter 1997, included detailed mapping and sampling in the Cibaliung area, a ground magnetic and dipole dipole IP programme over the Tutugan, Cijulang and Cibaliung areas, and start of a detailed mapping and sampling programme in the Cijulang area.

The significant highlights of the quarter were discovery of several low sulphidation style quartz veins in the Cibaliung area, notably at Cihar, with grades returned up to a maximum of 12.63ppm Au and 142ppm Ag. Of the several vein systems discovered, a maximum width of 3.5 meters was recorded.

Regional reconnaissance work was undertaken in the south-eastern and north-eastern portions of the KP, but failed to discover any indication of mineralisation. This work contradicted earlier work by Antam, which highlighted large areas of anomalous results from stream sediment sampling. A significant area will be dropped from present KP in the next quarter.

During the quarter, a ground magnetic and dipole dipole IP programme were completed over the N. Cibaliung area and the Cijulang area, A large chargeability anomaly was highlighted in the Cijulang area as well as additional resistive anomalies in the Cihar vein area. Field checking of these anomalies will be undertaken next quarter.

Exploration expenditure incurred during the 1st October to 31 st December period 1997 associated with the project exploration activities amounts to US$302,736 (A$141,748) (US$1 = A$1.37). The total expenditure to date on the project is US$1,216,123 (A$1,666,088).