An area on the south-western edge of the Frome Embayment, that is centred ~100 km south of the Beverley uranium mine, has been taken up to explore for possible buried palaeochannel and sandstone hosted roll front style secondary uranium mineralisation which may have formed within the Tertiary age Namba and Eyre formations. Potential is also thought to exist for unconformity style base metal mineralisation and gold deposits that could be associated with faulting within Lower Cambrian limestone. In late July 2016, two large parts of the licence that together total 387 square km or ~47.3% of the original licence area were relinquished. The only work performed that is relevant to the relinquished ground portions, aside from Heathgate making a literature review and compilation of records and data from historical exploration activity, was the drilling in ??? of two open vertical rotary mud drillholes for 600 m total penetration to test an interpreted localised north-south basement fault associated with edges of interpreted palaeochannels and their transitioning from crossing basement low to high. No evidence of faulting was observed, and no significant sands or downhole gamma ray log-indicated uranium mineralisation were intersected. Both holes were terminated in Adelaidean metasedimentary basement beneath 45 m to 55 m of Cretaceous Bulldog Shale or equivalent age strata, and a thin overlying interval of oxidised Eyre Formation clays and poorly developed fine sands. Heathgate is now of the opinion that the thick cover present towards the western edge of the basin is marginal and is not associated with coarse sedimentation. The presence of the Bulldog Shale and clay dominated Tertiary lithologies is responsible for the conductive features interpreted from the AEM data. North-south aligned basement faults are likely to be present to the west of LF001 and LF002, and may be associated with palaeochannels. Further drilling sited towards and on those structures is needed to evaluate the uranium potential of any channels existing there.