Exploration Licence 2725 (Parndana) lies between Parndana and the north coast of Kangaroo Island on the Kingscote 1:250,000 sheet area. It covers an area of approximately 100 square kilometres of mostly cleared grazing country. EL 2725 was applied for in order to cover a known mineralized section of the Snelling – Cygnet fault zone, specifically the Dewrang base metal prospect and the Grainger mine area, where previous Mines Department drilling had encountered significant zinc mineralisation. The Snelling-Cygnet fault is a major regional structure interpreted to lie on the southern margin of the Gawler Craton. It is an extremely long-lived structure that is thought to have been active since the period of earliest deposition of the Cambrian sediments and is expressed today as a scarp. On Kangaroo Island it marks the boundary between the metamorphosed Kanmantoo Group and shelf sediments of the Cambrian Kangaroo Island Group. The chief exploration interest of the Snelling – Cygnet fault zone is the coincidence of a significant hydrothermal mineralizing system, evidenced by scattered historic gold and base metal diggings along the fault zone, such as the Kohinoor, Rainbow’s End and Cygnet gold workings and the Grainger lead mine During the first licence year, to 18th May 2001, Havilah Resources initially undertook a review of open file literature held by PIRSA, which brought to light comprehensive filed work and data that highlighted the base metal exploration potential for the area. Two reconnaissance trips were made to the area to conducted limited sampling and to investigate the area to better understand the extent of the metalliferous hydrothermal systems associated with the regional Snelling – Cygnet fault system. During licence year 2, Havilah did not compete any field work in the area due to delays to the arrival of the drill rig pushing into the fire danger season followed by the onset of early winter rains preventing access to the grazing paddocks. During licence year 3, Havilah carried out a drilling program in December 2002 consisting of 32 aircore holes drilled for 1200 m. Drilling was over the main target zone at the Grainger prospect in the vicinity of encouraging historical drilling. High grades of zinc were returned in several drill holes: 2 m of 3.6 % Zn & 9.4 % Pb from 16 - 18 m in drillhole PRC 1, and 4 m of 4.71 % Zn & 0.72% Pb from 18 - 22 m in drillhole PRC 2, with the zone appearing to continue along strike 40 m to the east 5 m of 26.9 % Zn & 1% Pb from 26 - 31 m in drillhole PRC 31. The above results lie within a broader halo of lower grade disseminated zinc and lead mineralisation that includes: 30 m of 1.23 % Zn & 0.13 % Pb from 17 - 47 m in PRC 5 and 14 m of 1.27 % Zn & 0.50 % Pb from 20 - 34 m in PRC 15. The host rock to the zinc and lead mineralisation in all cases is a mildly to strongly silicified quartz greywacke. Galena and sphalerite occur both in thin quartz vein stockworks and disseminated throughout the host greywacke. Drilling completed to date, clearly confirms the existence of significant disseminated base metal mineralisation at the Grainger prospect at shallow depths over a strike length of at least 400 m. A hard pisolitic laterite layer approximately 2 m thick blankets the area and when sampled in drill chips contained anomalous lead and zinc, Havilah believe that it is a valid soil sampling medium. During licence year 4, no fieldwork was carried out by Havilah, and therefore no annual report was submitted.