During November-December 2011 a helicopter-borne VTEM survey was flown over the northern portions of Phoenix Copper Ltd’s (Phoenix) ELs 4031 and 4312 on western Yorke Peninsula to test for Cu-Au mineralisation in Hiltaba Suite rocks (host to the Olympic Dam, Prominent Hill and Carrapateena deposits), that are cut by structures interpreted to be splays off the Pine Point Fault (structural host to the Hillside deposit). Phoenix's two tenements cover an area of approximately 802 square km, and are spatially divided into two separate blocks. Block A is located approximately 18 km directly south of the historic Copper Triangle mining region, while Block B lies 15 km south of Block A and is centred on the town of Minlaton. The stated aims of the herein described PACE 2020 Targeting geophysical exploration project were as follows: • to map EM conductivity anomalies that may be present over this part of Yorke Peninsula. • to determine whether any airborne EM anomalies associated with geological units interpreted to be magnetite-rich metasomatites and gabbros at Balgowan on EL 4312 are similar to those at the Hillside deposit located 30 km to the east, where Rex Minerals has recently announced a resource of 170 Mt grading @ 0.7% Cu & 0.2 g/t Au, for 1.2 Mt of contained copper and 1.1 Moz of gold. • to determine whether any AEM anomalies associated with structural features that Phoenix has identified in a regional magnetic interpretation of it’s Yorke Peninsula tenements are splays off the Pine Point Fault, and thus could host IOCG-U mineralisation similar to that at Hillside. • to determine whether any AEM anomalies are associated with circular magnetic features that have been interpreted to be concealed granites and porphyries. Such igneous bodies may be similar to those found at Moonta and Wallaroo in the Copper Triangle, from where >355,000 t of copper and 2 t of gold were produced in the period 1860-present. From its unconstrained 3D modelling of regional aeromagnetic data, Phoenix had defined 13 areas on its Yorke Peninsula tenements that have high magnetic susceptibility associated with structures identified previously. The subject airborne geophysical survey has disclosed a number of high priority AEM conductivity anomalies originating at depth, which appear to be associated with faults and geological contacts inferred from regional magnetic data. Phoenix now aims to test the strongest of the recorded AEM anomalies with a programme of diamond drilling. The cost of acquiring and processing the data from this airborne geophysical survey was partly subsidised by a grant from the South Australian Government supplied through its PACE 2020 Initiative [Exploration] Targeting Partnerships budget. In its application for approval of a grant of PACE 2020 funds, Phoenix evaluated the models of geological settings and the geophysical techniques that had been used to target, find and delineate known a) iron oxide -associated copper-gold-uranium (IOCG-U) deposits such as Olympic Dam, Prominent Hill, Carrapateena and Hillside, and b) the Moonta and Wallaroo copper-gold deposits, which are all situated in the Olympic IOCG-U Domain of the Gawler Craton, and which display magnetic signatures similar to those seen in Phoenix’s Yorke Peninsula tenements. As an innovative geophysical technique that met the philosophy of the PACE 2020 Targeting intent, Phoenix decided to use high precision airborne electromagnetic (AEM) surveying (as a primary detection tool to attempt to map possible massive sulphides associated with inferred basement geological structures buried under deep regolith cover, because this technique would address structures interpreted from regional magnetic data down to AEM signal penetration depths of 200 m. After considering the cost effectiveness of the technique to cover large areas, effectiveness of the technique in the geological environment (past EM surveys successfully had located the massive sulphide mineralisation comprising the Poona and Wheal Hughes copper deposits near Kadina), depth of investigation achievable with a chosen airborne acquisition platform, timing and estimated cost to cover some of the targets defined in Phoenix's magnetic interpretation, and uncertainties associated with a drilling programme based on targets derived using only regional data, it was concluded that an AEM survey flown over the northern tenements would be the most effective geophysical exploration approach. The Geotech Airborne company's relatively new Versatile Time-Domain Electromagnetic (VTEM) geophysical system, which is currently one of the best helicopter airborne EM platforms available, featuring high transmitter power and low noise levels highly suited to exploration for highly conductive massive sulphide mineralisation, was selected by Phoenix as the AEM survey system. 1001 line km of AEM and magnetic data was acquired along 140 east-west orientated lines at line spacings of 200 m, with a nominal 49 m mean terrain clearance for the VTEM sensor coil. Due to the quality of the preliminary AEM data collected near the coast, a further 30 line km were flown much closer to the shoreline, over historic holes DD1 and DDH2 drilled by the South Australian Department of Mines in 1955 approximately two km south of Balgowan. These holes had encountered thin zones of copper mineralisation (DDH2: 0.33 m @ 0.3% Cu plus 0.3% Ni from 105.5 m depth) and therefore presented a feasible check target for the VTEM survey. It was known that this area is underlain by sheared Hiltaba suite granites and gabbros, and a metasomatite that contains up to 25% magnetite with traces of copper and nickel sulphides, and so should provide a good AEM response if massive sulphides are present. The raw AEM data collected was processed by consultant geophysicists to filter out cultural noise (houses, power lines, etc), and to derive conductivity depth sections. A number of high priority conductive targets, which may be associated with IOCG-U occurrences, have been identified by the subject survey. These strong conductive responses appear to be associated with faults and geological contacts that were previously inferred from regional magnetic data. The VTEM survey also provided Phoenix with 200 m line spaced aeromagnetic data that was simultaneously collected by the contractor along the survey profiles. This coverage is double the density of the previously used publicly available aeromagnetic data. The new magnetic data will be used to aid the interpretation of the AEM data in: • identifying targets with an associated magnetic signature; • helping to estimate the source depth of such magnetic–electromagnetic anomalies; and • providing information that will be used to re-evaluate the geological setting. Based upon the interpretation of the AEM data that is presently underway, Phoenix will next undertake further surface-based exploration activities that may include geochemical sampling, ground EM surveying, and ground gravity surveying, before it drills selected targets.