To investigate the possible Cu-Ni-PGE mineral sulphide mineralisation potential of a known buried mafic / ultramafic layered igneous intrusive complex situated near Ki Ki in the upper South-East, as well as exploring for base metal mineralisation elsewhere within the tenement, the licensee and its joint venture partners variously undertook reprocessing and modelling / interpretation of existing aeromagnetic data, rotary mud/diamond core drilling (5 holes for a total penetration of 1284.3 m, including 693.1 m cored), aircore drilling (2 unsuccessful holes for 134 m - neither was able to reach basement beneath sandy sediments), geochemical assaying and petrological studies of drill cores, and also acquired and processed / interpreted a gravity survey of 480 stations at 100 m spacing on lines 400 m apart. The gravity results defined a large regional anomaly that extends into the adjacent EL 3295, which contains the nickel-mineralised drillhole KK02 completed previously on the Ki Ki prospect. Accordingly, the subject drilling on EL 3635 targeted both this gravity anomaly thought to be associated with the nickel mineralisation, and also positively and negatively polarised magnetic targets for base metal mineralisation. The geophysical anomalies were explained by lithological and mineralogical variations in the buried bedrock, and no economically significant nickel or base metal mineralisation was encountered. It would appear that, on a semi-regional scale, the Ki Ki gravity anomaly can be explained by the presence of sheared ultramafic rock types. Drillholes KMD-07-01 and KMD-07-03, drilled on a negatively polarised magnetic anomaly, intersected a diorite to quartz-diorite intrusive rock type containing variable disseminated pyrrhotite and minor associated chalcopyrite with elevated nickel contents. Assaying of mineralised drill core samples returned best results of 728 ppm Cu and 522 ppm Ni from the depth interval 258-259 m in KMD-07-01, and 829 ppm Cu and 698 ppm Ni from the depth interval 105-106 m in KMD-07-03.