Project Connelly is designed to target haematite mineralisation on OneSteel's mining and exploration leases, including EL 3516 Middleback Range, with the aim of adding to the haematite reserve. In addition to the exploration programme, reserve additions are also to be achieved by re-optimising current operations and by assessing the potential for extracting remnant resources from historically mined areas. Project Mawson is designed to test the prospectivity for non-ferrous metal commodities (principally copper and gold) on the company's mining and exploration leases including both EL 3516 and EL 4393 Moonabie Hills. On EL 3516 in late 2008, during licence Year 17, OneSteel's exploration for IOCG-style copper-gold +/- uranium mineralisation commenced after it had been decided that the local lithological sequence, the structural framework, the presence of potential sources of heat (and metals) in Hiltaba-age intrusives, the documented occurrences of copper mineralisation in the Middleback Range district, and the age of the rocks together appeared to be positive prospectivity factors. All known in-house and public domain geoscientific technical data were sourced, and a comprehensive collection of hard copy and digital reports was compiled relating specifically to historic non-ferrous metals exploration on EL 3516 and elsewhere within the district. This work identified occurrences of IOCG-style alteration mineralogy assemblages and several areas of anomalous copper-gold in surface calcrete geochemical sampling, other orientation geochemical sampling and follow-up RC and diamond drilling, mainly carried out by Helix Resources in the period 1999-2002. Following receipt by OneSteel of a report it had commissioned from RSG Global/Coffey Mining (Kneeshaw et al. 2007, and Painter 2007) to review the exploration potential and stratigraphy of the Middleback Range, a comprehensive haematite targeting exercise was undertaken during 2010 by the company on its Middleback Range district tenements, incorporating a thorough review of previous targeting and exploration outcomes, and a re-assessment of favourable structural and stratigraphic settings using the historic gravity and ground magnetic datasets. Particular attention was given to those areas that offer potential incremental tonnes in areas of favourable stratigraphy, structure and gravity anomalism, close to existing infrastructure. As a result, existing targets were re-classified and new targets were identified on the basis of the following considerations: 1. from discerning that there are untested or under-drilled positions covering favourable strata in locations extending between known mineralisation occurrences, e.g. between Iron Duchess North and Iron Knight South, and between Iron Knight South and Iron Knight; 2. from having a greater understanding of complexly faulted and folded stratigraphy in the vicinity of identified mineralisation e.g. near Iron Cavalier, Iron Queen and Iron Knight South; 3. from recognising untested non-magnetic prominent gravity anomalies in stratigraphy previously considered less prospective e.g. Upper Middleback Iron Formation along the Cooks Range (eastern portion of Middleback Range). All of the targets were next ranked as follows: Priority 1: along strike from known mineralisation (11 targets). Priority 2: potential mineralisation repeats across strike, via fault offsets or folding (18 targets). Priority 3: untested prospective zones >400 m strike length (21 targets). Priority 4: untested prospective zones <400 m strike length (29 targets). A further 23 targets were identified for on-going review, and 72 targets were considered to have been satisfactorily tested by previous exploration programs. Testing of the Priority 1 and Priority 2 targets commenced during 2010, with a series of tightly focussed selected RC drill traverses and/or strategic individual holes. Major deposits of iron ore mineralisation occurring in the Middleback Range district appear to be primarily structurally controlled by cross-cutting faults that may or may not contain intrusive dolerite, and occupy synclinal structures. Internal basic igneous dykes are often seen to locally control enrichment within major structures, and also influence formation of some minor deposits. OneSteel has long recognised the association of high-grade mineralisation with the lowermost 'Duke Member' of the Lower Middleback Jaspilite. Recent geological work done by consultants RSG Global/Coffey Mining, that has conceptually propagated this stratigraphic unit throughout the Middleback Range, has implications for making further discoveries of economic iron mineralisation throughout the region. Theses written by Fietz (1989) and McKeown (1993) complement work by Ohmoto (2003) on the extent of naturally occurring redox reactions between magnetite and haematite. The currently preferred mineralisation model suggests that primary hydrothermal magnetite is altered to goethite, and is subsequently altered to haematite in a second phase of burial, which includes metasomatic replacement and volume reduction. There is a strong association with the carbonate facies of the Lower Middleback Jaspilite, although the carbonate may be of metamorphic metasomatic origin rather than a sedimentary carbonate facies. The strongest laterally consistent magnetite mineralisation coincides with the iron carbonate unit, and the haematite orebodies at the Iron Duke pit are interpreted to represent up-dip supergene enrichment of the same unit. The iron mineralisation was regarded as forming hydrothermal, metasomatic, sedimentary carbonate replacement deposits, similar to those of the Proterozoic in the Pilbara, Brazil and South Africa (Dalstra and Guedes, 2004). The company's latest calculated haematite reserves were 46.2 Mt @ 60.9% Fe, and its magnetite reserves were 83.4 Mt @ 40.9% DTR ( all figures current to 30 June 2010). Haematite ore depletion from reserves through imminent mining was planned to start at a rate of approximately 6 Mt per annum. During the 2008-2010 period, the following work was completed on the subject licences: - RC drilling (done on EL 3516 only) as part of the Project Connolly haematite exploration programme comprised 84 inclined or vertical holes for a total penetration of 10,580 m, including 14 holes for 1798 m at Camel Hills, 6 holes for 1046 m at Iron Warrior North, 15 holes for 1767 m at Iron Duchess North, 10 holes for 1266 m at Iron Knight South, 10 holes for 1316 m at Cooks North, 5 holes for 473 m at Iron Queen, 14 holes for 2176 m at Cooyerdoo, and 10 holes for 1020 m at Katunga. No significant haematite mineralisation was encountered at Camel Hills, Iron Warrior North, Cooks North, or Cooyerdoo; however, encouraging mineralised drill intercepts were obtained along the 2.5 km length strike trend between Iron Duchess North and Iron Knight South, leading to an update of the resource estimates for both of these prospects. Resource definition infill and extension drilling on the mining leases at the Iron Queen prospect was also completed successfully; - a high resolution airborne magnetic/radiometric/DTM survey was flown over the area east of the Middleback Range in March-April 2010, over part of EL 3516 and all of EL 4393, at 25 m east-west flight line spacing and 30 m mean terrain clearance, for a total coverage of 21,923 line km [a consultant's preliminary interpretation of the survey results is included herein, as a summary macrostructural feature and magnetic/radiometric anomaly map]; - a detailed ground gravity survey was acquired in May-July 2010 within the same target area, i.e. over part of EL 3516 and all of EL 4393, at station spacings of 200 m x 200 m (southern portion) and 200 m x 100 m (northern portion), with a total of 8522 new stations read; - based on the new drilling data, additional resource estimation was carried out on EL 3516, and reserve estimations and mine design planning were performed on the adjacent mining leases; - rehabilitation was completed on EL 3516; - flora and fauna surveys were conducted, and ongoing monitoring continued; - heritage negotiations with the representative Aboriginal groups continued; - four University of Adelaide Geology B.Sc. Honours student research projects were completed as part of the Project Mawson non-ferrous metals exploration program; and - geochronological work was undertaken by the SA Geological Survey / PIRSA for OneSteel following a successful submission that was made to the PACE Geochronology Round 1 program managers (results subsequently reported as Project PGC01-09: " Host rock ages of the Moola Cu-Au prospect, east of the Middleback Range " - see RB 2011/00003). The rock dating request was initiated late in 2010 following OneSteel's drill core logging observation of inferred IOCG type chalcopyrite-pyrite - bearing quartz-carbonate veins within fresh, variably potash-altered, multi-phase granite of indeterminate age in its November 2009 diamond drillhole ML001DD. The granite occurs within a sequence of intercalated banded felsic gneisses, rhyolitic volcanics and volcaniclastics interpreted to be part of the Myola Volcanics (~1790 Ma). There are no conclusive intrusive relationships observed between the granite and the Myola Volcanics. The granite lies between the Hiltaba Suite Charleston Granite (~1585 Ma) to the south and the Cooyerdoo Granite (~3150 Ma) to the north. The recent recognition of Mesoarchaean crust within the region raised the possibility that the Middleback Range stratigraphic succession might represent a late Archaean rock sequence showing many similarities to WA's Pilbara Craton iron-rich rocks. For Project Connolly, Exploration Works Approvals were in hand for continued RC drilling on further haematite prospects, and drill program planning was advanced on a number of other prospects defined by the results of the 2010 high resolution regional aeromagnetic and gravity surveys. For Project Mawson, additional University of Adelaide Geology Honours Research projects were proposed to be carried out in 2011. [Following discussions held with PIRSA (now DMITRE) early in 2011, it was agreed that thorough reporting of all exploration activities across the Middleback Range was best served by submitting details of all work conducted over the previously approved combined reporting group of ELs 4393 and 4732, in addition to the associated Mining Leases within the area of these tenements. The rationale behind this was to enable concise technical and expenditure reporting of regional geophysical surveys which address all of these tenements, and of drilling programs testing known mineralised trends and new targets which span multiple tenements.] During 2011-2012, on renewed EL 4732, OneSteel completed 45,033.3 m of new exploratory drilling at four haematite prospects (Iron Cavalier North, Iron Baron South-east, North Middleback Range, Duchess East) for the Haematite Expansion Project (HEP - formerly Project Connolly), at one magnetite prospect, and at one copper-gold prospect (Moola). Extensive drilling at the Iron Knob Mining Area assisted the planned re-opening of that mine, and drilling for the Magnetite Expansion Project (MEP) at South Middleback Range (Iron Knight, Iron Duke) provided further data on these mines. Between August and October 2011, a detailed helicopter-borne aerial magnetic and radiometric survey was flown across the entire area of the HEP, to follow up the Project Mawson fixed-wing airborne survey of 2010. The 2011 coverage of 8697 line km was flown at a nominal 30 m sensor height above ground surface, along east west lines spaced just 50 m apart, to obtain higher resolution of subtle subsurface geophysical features. The resultant data, pre-interpretation, was portrayed at regional scale in an Image Atlas that was provided to OneSteel by Southern Geoscience Consultants [see Appendix D of the subject joint annual report]. Until 2011, there had never been a dedicated structural geological study made of the rocks exposed along the length of the Middleback Range, despite a general acceptance by workers in the region that many of the larger iron deposits show a spatial, and potentially genetic, relationship with regional- and mine-scale brittle and ductile structures. Consequently, OneSteel engaged Brett Davis of Olinda Gold Pty Ltd to undertake a structural geology assessment of the range [see Appendix A of that year's licences joint annual report]. He identified a multistage structural history incorporating stages of brittle and ductile structure formation. These structures include folds, cleavages, vein populations, fracture sets, ductile shear zones and faults. Relative ages were interpreted based on structural style, orientation, associated metamorphic and hydrothermal minerals, and overprinting relationships. Davis found that the relative timing relationships between structures are consistent with a sequence comprising seven deformation events, five of which he interpreted as important for the localisation and/or dislocation of iron orebodies. He postulated that regional-scale influences on the structural architecture of the Middleback Range had included: early N-S trending faults, a population of NE-SW striking faults (largely unrecognized by previous workers), the presence of ovoid intrusions (largely undocumented by previous workers), E-W shortening that produced N-S trending folds, pervasive NW-SE striking faults, and the imposition of a far field stress that varied in magnitude and orientation over time. During the 2012-2013 project year, work performed on EL 4732 Middleback Range (and associated mining leases) comprised: - drilling as part of the HEP - 224 holes for 19,672.3.3 m, including 25 holes for 3038 m at Iron Baron SE, 41 holes for 4197.3 m at Iron Chieftain, 5 holes for 292 m at Iron Duchess East, 41 holes for 2964 m at Iron Cavalier, 87 holes for 6525 m at Iron Monarch, 23 holes for 1622 m at Iron Knight, and 27 holes for 4528 m at North Middleback Range. - drilling as part of the MEP totalled 84 holes for 10,065.6 m at Iron Duke. This successfully added to the magnetite reserve there by defining resources that lay outside of the currently modelled pit shell, locating an extra 100 vertical metres of magnetite mineralisation at depth on some sections in the keel of the syncline down to 438 m vertical depth: where that keel had previously been mapped as lying at ~ 300 m depth. - drilling as part of Project Mawson totalled 17 holes for 2387.5 m. During the 2013-2014 project year, work performed on EL 4732 (and associated mining leases) comprised: - drilling as part of the HEP - 260 holes for 31,080.8 m, including 186 holes for 21,938 m at Iron Chieftain, 2 holes for 310.8 m at Iron Monarch, 12 holes for 1584 m at Iron Princess, 19 holes for 3192 m at Iron Duchess, 16 holes for 3192 m) at Iron Queen and 25 holes for 2708 m at Homestead prospect. - no MEP exploratory drilling occurred during this reporting period. As of 30/6/2013, Onesteel's published haematite mineral reserve was 42.2 Mt (this included haematite, goethite, limonite and minor magnetite) @ 58.3% Fe; the magnetite reserve was 66.3 Mt @ 41.8% Fe recoverable by DTR. During the 2014-2015 project year, work performed on EL 4732 (and associated mining leases) comprised: - acquisition in July 2014 of a 1900 station ground gravity survey over three regular 25 m x 100 m grids (Cooyerdoo, Homestead and Iron Knight) and at 25 m station intervals along a single profile at Iron Princess. - drilling as part of the HEP - 671 holes were completed for 46,271.2m, mostly using RC rigs. Limited diamond and sonic drilling was also done. - drilling of one diamond hole for 790.4 m at Iron Princess as part of the Project Mawson copper-gold exploration programme, to test a deep and discrete magnetic anomaly below the Princess East pit. - drilling by Centrex Metals Limited of 3 RC holes for 644.6 m (KI038, KI040 and KI062) at Kimba Gap, on the north-eastwards continuation onto EL 4732 from Centrex's EL 5170 of banded iron formation outcrops and their rubble aprons, this activity taking place under provisions of the agreed Dual Tenancy Agreement that it made with Arrium/OneSteel on 27/6/2013. Based on the analysis of all new drilling results obtained on both licences, from 32 RC and mostly diamond core tailed holes that it had drilled between February and June 2014, Centrex calculated a maiden magnetite Mineral Resource of 487 Mt for the Kimba Gap Iron Project using “OreWin” software, and announced this figure to the ASX on 29/7/2014. Work performed on EL 5305 (and associated mining leases) comprised drilling as part of the HEP - 200 holes for 5632.5 m. In addition, Arrium commissioned a geological review of potential mineral exploration targets throughout the Middleback Range and surrounding areas within Arrium/OneSteel leases (Wagland and O'Brien, 2014). The review considered all available geological and geophysical information, and included field mapping and grab sample results. It identified 25 high priority haematite targets, made suggestions for what should be the 10 highest ranked magnetite targets, and also defined 27 targets for non-ferrous metallic mineralisation. During the 2015-2016 project year, activities mainly comprised exploratory and resource extension and infill drilling conducted at multiple locations for the HEP. Holes were also drilled on mine dumps and at several prospects to obtain samples to submit for metallurgical test work. In total, 982 holes for 49,986.1 m were completed using RC and sonic rigs. Only limited diamond cored tail drilling occurred in 8 holes. Work undertaken for the MEP was desktop only and included making a review of the entire geophysical data holdings, plus reprocessing, gridding, merging and imaging of the 2011 Middleback Range Aerial Magnetic Survey data and existing ground gravity data, which tasks were contracted to Resource Potentials Pty Ltd. Arrium aimed to highlight areas with coherent magnetic responses that could be related to magnetic ore targets, as well as revealing the the more subtle magnetic, stratigraphic and structural features in regional images that until now had appeared too subdued to resolve usefully. The magnetic data reprocessing done for Mawson Project copper-gold prospects Moola and Moonabie revealed discrete features within the strain shadow system surrounding the northern margin of the Charleston Granite. A soil calcrete geochemical dataset acquired by Equinox in the late 1990s that covered this area was digitised and then was machine interrogated using IOGAS software, which defined numerous anomalous base metal signatures occurring along structures defined by the reprocessed magnetic data. During the 2016-2017 project year, the following work was performed: EL 5828 (and MLs) - Drilling as part of the HEP - 812 RC holes (46,542.9 m) and 5 diamond holes for 717.8 m were drilled. - Centrex Metals Limited did not do any work under the agreed Dual Tenancy Agreement that covers a small area on the western margin of the tenement. - Planning for a MEP drilling program, which was begun just before the end of the reporting period, with only one RC hole (88 m) drilled at Iron Queen. - Rehabilitation of 152 drill pads at Cooyerdoo, Bark Hills, Iron Queen, Queen South, Crocks Rocks, Iron Count and Iron Warrior. EL 5305 (and MLs) - HEP drilling occurred within the mining leases. A total of 8 RC holes for 322 m were drilled at Wizard, aiming to increase confidence in the geological model. ELs 5806 and 5807 - Ironstone Hill Conservation Park. No field work will be carried out until submission and approval of an Exploration PEPR is attained. Desktop work done included an assessment of historical data. EL 5844 - Desktop work done included an assessment of historical data. Arrium Mining engaged Resource Potentials Pty Ltd to further review the regional geophysical dataset and perform a detailed assessment of the Camel Hills Corridor, covering ~120 square km. The aim was to highlight the more subtle magnetic, stratigraphic and structural features that were subdued in the regional images. The reprocessed data were then used for geological and structural interpretation and drill target generation together with existing geological mapping and historical drilling data. The resulting imagery and gravity contours of the reprocessed data are appended herein. During the 2017-2018 project year, the following work was performed: A total of 428 RC holes (26,746 m) and 5 diamond drill holes (358.9 m) were drilled across EL 5828, and EL 5305. Additional drilling occurred on associated mineral leases that included 182 RC holes (7,024 m), 2 diamond drill holes (203.5 m) and 139 Sonic drill holes (2,437.5 m). As a part of the MEP, Resource Potentials Pty Ltd was contracted to undertake unconstrained 3D modelling of some of the target areas along the Middleback Ranges. During the 2018-19 reporting period, work included a total of 507 RC holes (25,040 m). Additional drilling occurred on associated MLs that included 381 RC holes (30,032 m), 5 diamond drill holes (302.4 m), 2 Diamond holes with RC pre-collars (661.4 m) and 63 Sonic drill holes (905.5 m). Resource Potentials Pty Ltd was contracted to undertake passive seismic surveys as a trial program to assist in establishing contact zones in scree ore. They were also carried out local scale airborne magnetic data processing and imaging, unconstrained 3D magnetic inversion modelling and polygonal modelling over the Iron Princess Deeps Prospect. EL 6281 was surrendered 9/7/23, with the exploration focus primarily being in HEP. Thirty RC holes for 1680m were drilled during is term.