The licensee's compilation of existing geological, geochemical and geophysical data has indicated to it that the Padthaway area is fertile for volcanogenic massive sulphide (VMS) style polymetallic mineralisation, with economic deposits possibly occurring within Cambrian Kanmantoo Group volcano-sedimentary sequences that underlie shallow Murray Basin Tertiary cover in the Upper South-East of South Australia. VMS terrains typically contain clusters of deposits, however, to date no modern systematic exploration work addressing these targets has occurred in this region. There are two VMS deposits classes currently evident nearby in rocks of this age – 1. the exhalative style [i.e. Rosebery (Tas) Pb-Zn-Au and Angas (SA) Zn-Pb-Ag], and 2. the high sulphidation style mineralisation formed sub - sea floor, along fault controlled hydrothermal feeder systems [i.e. Mount Lyell (Tas) Cu-Au and Kanmantoo (SA) Cu-Au]. Sherlock's initial geophysical targeting work done over its four project tenements identified 41 first pass airborne survey anomalies requiring on-ground follow-up. State Government regional aeromagnetic survey data (from the 1994 SAEI B22 Survey : 400 m E-W lines, 80 m flight height) was reprocessed to produce a reduced-to-pole residual magnetic image. This data was used to help identify subtle to moderate magnetic responses which characterise known mineralisation, and then was used to identify new anomalies with a similar magnetic signature. During the subject 3-year tenure period reported here, the company undertook extensive land access works in three focus areas. At Keilira, located 35 km north-east of the township of Kingston within EL 5385 and the south-western corner of EL 5386, ground magnetic surveys defined 8 targets requiring further investigation. Drill testing of the best 4 targets has been proposed for licence year 4, along with further ground geophysical surveys over other airborne anomalies. Upon the completion of this first phase of activity, and due to a protracted downturn in local mineral exploration investment which has hampered planned new work, Sherlock decided to reduce its licence acreage to only include the initial ground magnetic targets of interest. As a consequence, ELs 5384 and 5387 have now been fully surrendered. Work on these two licence areas was limited to field reconnaissance visits, negotiations with landholders for access permission, and targeting work involving regional geophysical data modelling and the interpretation of open file geophysical data.