An area centred ~15 km east-northeast of Burra has been explored for possible economic buried porphyry style copper-gold deposits, initially by grant licensee Bonanza Gold Pty Ltd during the first year of tenure, and thereafter for the next three years by Marathon Resources Limited (Marathon), who had assumed exploration management of the tenement upon that latter company's stock market listing in March 2005. During licence Year 2, Marathon carried out a review of existing geological and geophysical data for EL 3164, and undertook orientation surface geochemical sampling, with 6 rock chip grab samples collected from the Byles gold mine at Mongolata in June 2005, and another 14 soil calcrete samples collected from the vicinity of King Bore. During licence Year 3, Marathon investigated the applicability of using partial leach digest methods to assay surface materials in the licence area, by analysing another 23 calcrete samples plus 66 MMI soil samples. In addition, a ground gravity survey was acquired during May 2006 over an irregular 200 m x 400 m grid in the Chalk Cliffs locality on the western edge of the Murray Basin, with 966 new stations read to augment the existing poor regional gravity coverage. During licence Year 4, Marathon progressed to collecting detailed partial leach geochemical data using calcrete and MMI soil samples collected over a 500 m x 500 m grid that corresponded to the gravity survey location; subsequently, 3 separate anomalous areas were infill sampled at 100 m x 100 m spacing. Based on those results, the company during March 2007 drilled 6 RC holes for a total penetration of 2206 m, in PACE Initiative collaborative drilling project DPY4-63, to test a combined base metal soil and geophysical anomaly having an inferred basement source arising in altered greisen, skarn or epithermal fluid - affected lithologies that might be related to the Delamerian age White Dam granitoid intrusion. However, no significant mineralisation was encountered. The central portion of EL 3164 had been partially relinquished by Marathon in February 2006 [see the first partial surrender report held in Env 11566], leaving two separate, western and eastern licence sub-blocks. The eastern sub-block was subsequently farmed out to Australian Field Services Pty Ltd (AFS) in October 2007, during licence Year 4. On 9/11/2007, Marathon sold the entire subject tenement to new explorer Phoenix Copper Limited, who gained its ASX public share listing on 12/2/2008. Phoenix intended to undertake exploration in its own right on the licence's western sub-block during Year 5. Phoenix also assumed Marathon’s interest in the eastern sub-block, where AFS continued to operate and report to PIRSA separately [see the included AFS - written annual report]. Since its October entry, AFS had undertaken, in parts thereof, 169 line km of helicopter-borne REPTEM surveying along flight lines 200 m apart, and shallow auger drillhole sampling of calcrete and weathered bedrock via 37 vertical holes for a total of 528 m. A discrete conductivity high was detected in association with a prominent gravity low near Koomooloo, where 6 auger holes ended in partly kaolinised weathered shale and siltstone of uncertain derivation. In a fairly similar geophysical setting near Chalk Cliffs, 6 other auger holes defined an ~100 m wide zone of ?distal hydrothermally altered soft clay-talc bearing rocks containing rough nodules of silicified saccharoidal clear crystalline quartz which have numerous druses with euhedral quartz linings. Some of the nodules are iron-stained, but have no visible signs of sulphide. During licence Year 5, Phoenix obtained new surface geochemical data from 72 rock chip samples that it collected, and from taking spot XRF spectrometric readings at 837 sites using a portable Niton instrument. This work highlighted a significant coincident copper, arsenic and gold geochemical anomaly located near the north-western corner of the licence's western sub-block, between the hamlets of Mongolata and Tracey, for which a test diamond drilling program is being planned. During licence Year 5, AFS conducted the following activities: - acquired dipole-dipole induced polarisation surveys in three areas of interest near King Well, along four traverses totalling 424 readings and 5.85 line km; - performed semi-regional calcrete geochemical sampling across a 25 square km area, involving 658 surface samples and 34 auger samples of the medium; and - completed bedrock cuttings sample geochemical analyses and lithologs for the previously drilled 37 auger holes. The calcrete material sampled varied from massive to nodular calcrete, and limey soils, checked for carbonate content with dilute acid. Each sample was sieved on site and approximately 1 kg of the +6mm fraction bagged for analysis. In determining whether values of interest exist in the gold assay results, it appeared that there is no useful orientation in this area. Notwithstanding variations in landform and regolith, 2 - 4 ppb Au appeared to be a fair background range for these data, and values of 7 ppb Au and above wwere deemed to be of interest for further consideration. A group of seven minor gold values north-east of Area C, in the range 7 - 10 ppb Au, occurs close to outcrops also mapped as Tapley Hill Formation. Beyond here to the north, there are no elevated gold values in the calcrete data for the samples taken from alluvium-covered flats that extend right up to the northern boundary of the licence. No gold anomalies were recorded at the King Well location, and the Marathon anomalies could not be replicated. All values for copper, silver, bismuth and antimony were insignificant, while those of arsenic were very low.