New South Wales - Gold Exploration Tenements EL6648 Crow Mountain tenement was renewed on 3 February 2022 for a period until 19 October 2026. EL8024 remains current until 29 November 2024. Currently a private group called Sozo Resources Ltd is farming into the NSW gold tenements. The team at Sozo has a long history of exploration success. The terms require Sozo to spend $1.1M over the next 4 years to earn a 80% stake in the licenses. EQR has rights to contribute back to the JV. Work undertaken by Sozo Resources Limited in the last year is summarised in the sections below. Panama Hat – Broken Hill − Land Access agreements in place with Huonville and Sunnydale Stations. This was a lengthy process for various reasons. − A field trip was postponed several times due to weather events with the first opportunity to get on the ground being in June 2022. 20 x rock chip samples were taken from the main prospects and analysed for fire assay gold and a 33 element 4 acid digest. Noteable assays include: − Sample PH0004: 2.03g/t Au on south western extension of Williams Prospect; − Sample PH0020: 4.45g/t Au from Willyong Tank Prospect; − Sample PH 0014: 4.34g/t Au from Panama Hat Prospect; and − Sample PH0018: 22.1g/t Au from Telephone Line Prospect. − The dominant strike of the broader Farmcote Gneiss host rock is in a northeasterly direction and cross cutting this semi-regional fabric are NW trending shear zones These shear zones contain sheeted and sub vertical quartz veins and where sampled returned good gold grades as discussed above. Other, more homogenous laminar quartzites/ quartz veins exist but look rather uninteresting and were not sampled as part of this field trip, more or less due to available exposures positioned off of our ground. Figure 10: Panama Hat, EL8024. Operating and Financial Review continued 26 EQ Resources Limited Annual Report 2022
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