An area on the Stuart Shelf which is centred ~45 km north-northwest of Mount Gunson and 70 km south-east of Olympic Dam was taken up to explore primarily for possible economic buried Mesoproterozoic basement-hosted copper-gold deposits, perhaps of narrow vertically-orientated expression, which may be genetically related both to deeply buried plutons and to major crustal-scale structural features, besides also exploring the overlying much younger metasediments for other significant base metal sulphide mineralisation of stratiform type that could have been deposited in suitable chemostratigraphic settings within grabens that may have developed during the Neoproterozoic. No field work took place on EL 3084 during its first three years, owing to access uncertainties arising from the Commonwealth Government's stated intent made in June 2003 to compulsorily acquire the Intercept Hill region in order to build a nuclear waste repository at 'Site 40A', a use which would require precursor hydrogeological monitoring of surrounding undisturbed ground there. However, after the succeeding long period of title impasse and no further action being taken by the Commonwealth, an abrupt decision was made by them to abandon the plan, and compensation was agreed with the licensee. In the meantime, he carried out office-based studies of regional mineral prospectivity, and outlined a preliminary exploration work programme. After Argo Exploration ('Argo') farmed into the licence during Year 4, becoming sole funding operator to earn a majority interest, that company conducted semi-detailed ground gravity and detailed airborne magnetic/radiometric surveys to try to better define basement structures situated within favourable north-west and north-east trending structural corridors, and perhaps directly detect haematite-rich IOCG mineralisation-prone zones within inferred hydrothermal alteration system cells. During July-August 2006 Haines Surveys were contracted to acquire and process the gravity data. 6084 stations were read along 92 lines, creating new gravity coverage equivalent to a 200 m x 400 m grid. During February 2007 UTS Geophysics were contracted by Argo to fly 10,093 line km of aeromagnetic/radiometric/DEM survey over the entirety of EL 3084. East-west flight line spacing was 50 m, and sensor mean terrain clearance was also 50 m. In addition, Argo procured datasets of Quickbird and Aster satellite spectral imagery for study. Following an interpretation and 3D inversion modelling of the geophysical data to identify basement targets located on or near linear structures, several quality residual gravity-magnetic anomalies, with magnitudes and footprints equal to or better than that of Teck Cominco’s Carrapateena prospect, were defined. Argo commenced an initial diamond drilling campaign during June 2007, addressing the anomalies with source bodies expected to be found at approximately 800 m depth. Ten vertical HQ/PQ/NQ2 cored holes for a total penetration of 10,202.2 m had been completed by the end of Year 5, to test three geophysical prospects. Notable results achieved were thought to include: 1) intersecting potentially significant sedex or Kupfershiefer style, sub-economic Ag-Cu-Co-(Pb-Zn) mineralisation in the footwall contacts of the Tapley Hill Formation (THF) - equivalent unit in holes IHAD 2, 3 and 5 drilled between 500 and 2000 m apart; 2) encountering very thick (>200m) THF at the Winjabbie East anomaly, which contains weak copper mineralisation and silicified horizons showing probable evidence of previous “mobilised hydrocarbons” in the form of stylolitic structures (seen in holes IHAD 8 and 9 respectively); 3) observing that the thickened THF is resting unconformably and directly upon a massive chlorite- tremolite-magnetite brecciated sediment complex in “basement”; 4) intersecting at Emmie North, within variously altered, brecciated Mesoproterozoic granitic and other basement rocks, signs of the former activity of a very large hydrothermal plume that has created pervasive chlorite–magnetite and imposed dark chlorite-haematite and variable copper-gold sulphide (e.g. as seen in drill core from IHAD1, the host rock being a large breccia-ironstone adjacent to a well foliated major structure, while hole IHAD2 also exhibits substantial late chalcopyrite, and follow-up hole IHAD5 encountered a higher copper-gold tenor due to upper mineralised zones of bornite ironstone, the thicker mineralised interval here displaying evidence of a very complex paragenetic history of at least 4 major brecciation events and up to 12-15 imposed hydrothermal / structural growth events, possibly indicating a drillhole near miss to a large fertile system); and 5) encountering in hole IHAD8 at Winjabbie East, a large calc-silicate skarn imposed upon sub-horizontal basement sediments and an earlier chlorite–magnetite skarn. These particular strong alteration zones have a late albite-fluorite-chalcopyrite +/- haematite overprint. The geological interpretation here is of a possible lateral or “shoulder” metasomatic aureole existing off the flanks of a felsic intrusive mass. Previous drilling done in the late 1990s by Carpentaria Exploration at Emmie Bluff prospect had discovered stratabound base metal sulphide-mineralised intervals in THF which the company subsequently reported as a ‘resource’ of 24 million tonnes at 1.3% copper and 0.06% cobalt. The above new drilling undertaken by Argo at Emmie North prospect demonstrated that this same body of mineralisation extends north-west into EL 3084 for at least 2.6 km. Its host setting in the metasediments tested by holes IHAD2, 3 and 5 is very similar in all cases, comprising variably carbonate-bearing, carbonaceous pyritic siltstone-shale (Tapley Hill Formation), which is overlain by reddish sandstone and underlain by a conglomeratic red sandstone that lies on the unconformity with Mesoproterozoic Pandurra Formation sandstone. The occurrence has many characteristics in common with ‘Kupferschiefer' style deposits found in Poland and Germany where, at the Lubin mine, the average mineralized interval is 2 m thick, grading 1.8% copper. The best Emmie North stratabound intercept encountered in hole IHAD5 (5.76 m @ 1.67% Cu, including 2.5 m @ 2.9% Cu) compares favorably with the Lubin deposit mineralisation. The underlying Pandurra Formation is an oxidised clastic unit believed to be sourced from metal-rich basement and, as such, may have acted as a major source of copper and other base metals now present in the Tapley Hill Formation and associated unconformity positions, as stratiform lenses formed through subsequent leaching, migration and redeposition. Alternatively, these base metal enrichments may have come directly from a basement source via diffusional leaching and extraction into reactivated basement fault zones, leading subsequently to precipitation within the Adelaidean cover sequence. Argo Exploration's model for finding IOCG deposits within EL 3084 was focused on drill testing carefully ranked gravity/magnetic features along interpreted linear structural zones postulated to reflect ‘deep seated' hydrothermal plumbing systems. The geophysical features selected comprised residual gravity highs that were considered to indicate both very dense haematite-enriched bodies and structural palaeohighs in the Pandurra, in preferred situations where such highs are juxtaposed by zones of low magnetic relief attributed to demagnetisation caused by large scale alteration. Untested such targets, which are spread from 3 to 8 km apart, include Emmie North, Winjabbie East, Canegrass South ,Canegrass North, East Canegrass, Oak Dam South, and “Diatreme”. After the initial round of drilling at Emmie North, where three drillholes encountered broad zones of copper-mineralised basement, Argo reported after receipt of drill core sample assay results that hole IHAD 5, located 500 m north-west of IHAD2, was considered to have intersected classic Stuart Shelf IOCG-style, intensively altered brecciated haematitic granite and other basement rocks plus significant mineralisation, i.e. 54 m @ 0.6% Cu from below 926.6 m depth, accompanied by accessory gold over the 9 m thick interval 1083-1092 m (averaging 2.6 g/t Au, including 1 m @ 13.7 g/t, but with no visible free gold). Argo concludes that the increase in metal tenor of the IOCG-altered crystalline basement material in IHAD5, relative to that found in hole IHAD2, and the characteristics of the alteration package, together suggested that IHAD5 is sited at the fringe of a well mineralised IOCG system. The last hole attempted in the Phase 1 drilling campaign, vertical diamond drillhole IHAD9 in the Canegrass area, was abandoned short of reaching basement while in ‘fresh’ dolerite at 774.8 m, having entered the dolerite at 606.4 m. None of this hole's drill core was submitted for assay. On the premise that IHAD9 had tracked along a wide ‘vertical’ dolerite dyke, an angled hole IHAD9B was collared immediately west of IHAD9 and was drilled at a designed declination of 75 degrees on a reported azimuth of 340 degrees True. This hole was completed at a total depth of 1107.5 m, after having passed from Pandurra Formation into dolerite at 988.38 m. Hence, pre-Pandurra basement was not sampled at this drilling location, and so the source of the Canegrass prospect residual gravity anomaly remains unresolved. Whereas IHAD9 did not intersect the Tapley Hill Formation, IHAD9B encountered a thin section of it between 532.85-534.03 m depth, with some minor chalcocite macroscopically identified therein. At this location, the THF lithology is visually very similar to that of the mineralised intersection seen in IHAD3. The unit contains silicified dissolution breccias, stylolites and infill features that may represent degraded hydrocarbons possibly mobilised during diagenesis. Early in 2008, plans for ongoing work on the Intercept Hill licence area were formulated as part of the process for re-issue of tenure for a further 5-year term. One objective was to more closely examine the THF mineralisation at Emmie North by pattern drilling the prospect at 200 m x 200 m centres. In order to enlarge the occurrence footprint to possible economic proportions, Argo also envisaged drilling the flanks of the major north-northwest gravity ridge extending for ~4 km between Emmie Bluff and Emmie North, in the hope of finding mineralised THF feeder positions, pinch-outs and unconformity-related stratiform orebodies at around 300-400 m depth, which could conceivably grow the resource by up to 5-6 times. With regard to the IOCG search, and given the new local knowledge gained by the 2007 drilling phase, Argo saw a compelling case for testing the strongly demagnetised basement evident between the locations of IHAD5 and IHAD6 (approx. 500 m apart), to search for a narrow, steeply dipping but high grade mineralised breccia pipe where the basement ought to have more intense haematisation and hopefully contain evidence of the effects of past subvolcanic processes, e.g. volcanic breccias, epithermal veins and intruding mafic dykes. Unfortunately, by mid-2008 the increasingly adverse effects of the Global Financial Crisis began to influence the Australian mineral exploration industry. In September, Argo was forced to revise its exploration strategy for its acreage holdings, and moved quickly to reduce costs and preserve cash. A halt was placed on field exploration activities pending an assessment of the extent and depth of the economic downturn. In the months that followed, further work on the company’s now renewed Intercept Hill EL 4164 became focussed on data assembly, processing, interpretation and modeling of the mineralised IOCG and Kupferschiefer-style systems so far identified. This activity was augmented by performing down-hole, time domain transient electromagnetic (TEM) surveys of all the completed diamond drillholes, and by undertaking semi-quantitative rock mineral analyses of mineralised basement intervals using hyperspectral scanning techniques. Late in 2009, surface TEM sounding was carried out by Solo Geophysics at the Emmie North, Winjabbie East and Canegrass prospects (31, 9 and 6 soundings taken respectively, using mainly 400 m x 400 m and 500 m x 500 m moving loop acquisition and receiving arrays). Besides obtaining a good and extensive flat lying conductive response from between 240 m and 280 m depth in the cover on all lines surveyed, which was interpreted as denoting a porous layer within the Adelaidean Whyalla Sandstone interval, seven discrete conductive responses were detected by the limited survey coverage at greater depths of between 500-600 m, also within the cover sequence, two each at Emmie North and Canegrass and three at Winjabbie East. The sources of these discrete anomalies were conjectural and classed as unknown. The inability to access its Intercept Hill drillholes due to their caving, and the attendant loss of a downhole EM probe, precluded Argo's intended assessment of potential off-hole conductors, while the depth penetration of the surface moving loop TEM soundings proved insufficient to test basement conductors. However, the moving loop surveys did provide useful information concerning the presence and distribution of conductors within the Mesoproterozoic cover sequence, and it was planned that these would be progressively evaluated in future drilling. Argo's detailed gravity and aeromagnetic data sets, along with physical measurements made on drill core lithologies, were passed to Adelaide-based consultant geophysicist, Mr James Hanneson, for reinterpretation. His studies identified eleven potential targets which he considered worthy of further investigation, while his 3-D modelling of the data identified a number of immediately on-ground accessible high quality drill targets, two of which formed the basis of separate applications made to PIRSA by Argo during late 2009 for the grant of PACE Initiative Theme 2 drilling project funding support for completing two deep diamond drillholes, one each at its Oak Dam South and Canegrass South prospects, within EL 4164. During May 2010 Argo was favoured with a grant of $A60K to assist in defraying the drilling costs of its Oak Dam South proposal. In an attempt to maximise information from the company's earlier drilling campaign, a critical selection of drill core intervals were submitted during mid-2009 for semi-quantitative mineral analysis using the HyLoggerTM equipment associated with the National Core Library Facility, South Australian Node, that is administered by Primary Industries and Resources SA (PIRSA). The prime objective was to attempt to establish mineralogical vectors which might be used to focus attention on areas and structures potentially more likely to contain higher-grade mineralisation in iron oxide-altered basement lithologies. The following drill core intervals were analysed, for an overall total of 3247.3 m: IHAD1: 797.4 - 1062.9 (265.5m) IHAD2: 373.0 - 1158.8 (785.8m) IHAD3: 348.6 - 1027.5 (678.9m) IHAD4: 798.9-1128.7 (329.8m) IHAD5: 374.6-426.9, 799.4-1152.8 (405.6m) IHAD6: 796.7-1116.9 (320.2m) IHAD8: 745.1-1206.6 (461.5m) This work remains ongoing. The full analytical data sets are held by PIRSA's Dr Alan Mauger. Preliminary results proved encouraging, both in terms of mineralogical vectors to mineralisation in basement lithologies, but also in terms of elucidating factors potentially important in influencing possible uranium mineral occurrence in Mesoproterozoic arenaceous red-beds of the cover sequence. Based on the preliminary results, and on recent research results which suggest that IOCG mineralisation in the Olympic Dam Province is not necessarily coeval with the alteration of the host rocks, but may span a range up to 400 million years younger, it is thought possible that these younger fluids circulating through uranium-enriched basement may have been mobilised into the covering strata. Hence the HyLogging survey was broadened in scope to include semi-quantitative mineral analysis of cover sequence strata. The mineralogy of the cover sequence strata under consideration is characterised by a range of 'white micas' and clay minerals including pervasive muscovite throughout, dickite in the upper Pandurra Formation, and paragonite, illite, phengite and montmorillonite. Siderite (iron carbonate) and well crystalline kaolinite also form significant components of the system, while pyrophyllite is locally important. Fe- and mixed Fe/Mg-chlorites characterise basement units and, as might be expected, appear to be more intensely developed in parallel with intensity of iron oxide alteration; Mg-chlorite is spatially associated with mineralisation with an apparent increase in more highly iron oxide-altered, and more strongly mineralised positions. It was concluded that the semi quantitative mineralogical analysis appeared to have been of value for identifying mineral alteration vectors that are likely to indicate proximity to higher sulphide concentrations in basement IOCG systems and, in addition, could potentially provide an interesting insight into fluid movements and possible chemical modifications within Mesoproterozoic red-bed sandstone sequences which might bear upon possible uranium dispersion systematics. In response to the ongoing Global Financial Crisis, Argo formed the view that, in order not to potentially compromise the company's liquidity at a time when cost of capital and of equity was prohibitive, it would be prudent to seek a joint venture partner with the technical and financial resources to further drill test several quality geophysical targets within the Intercept Hill licence area. To this end, Argo entered into joint venture discussions with Xstrata Copper Ltd which culminated in the execution, on 15/3/2010, of a Binding Terms Sheet as a prelude to preparation and execution of a formal Joint Venture Agreement governing the contemplated working arrangements between the parties. Under the terms of the agreement, Xstrata Copper ('Xstrata') had the right to sole-fund $16 million of exploration expenditure to earn a seventy five per cent (75%) interest in EL 4164. Initially, Xstrata could earn a 51% interest by spending A$4 million within 3.5 years, and was required to spend a minimum of A$600K in the first year. Upon earning this 51% interest, Xstrata could elect to sole-fund an additional A$12 million of work within a further 4 years, to earn an additional 24% interest in the project. Once Xstrata had earned said 75% interest, Argo had the right to contribute on a pro rata basis, or dilute down according to an agreed formula to a 10% interest, at which time the interest would convert to a 2% net smelter royalty. Xstrata had no right to withdraw until after it had met the minimum expenditure in the first year, and was required to meet a minimum annual expenditure of A$600K during the initial earn-in. Should it withdraw after making the minimum expenditure, but prior to spending A$4 million, it would have earned no interest in EL 4164.