TARGET: Possible massive iron ore deposits and sizeable Olympic Dam type mineralisation in postulated shallow Proterozoic basement on the Mabel Creek High. A major dipolar magnetic feature, the Paragon Bore prospect, trending 75 degrees True with a strike length of 12 km and amplitude exceeding 10,000 nT, represented the principal target. EXPLORATION: Compilation of basement depth contours from water bore data, relogging of Amoco's PB2 and PB5 drillholes previously drilled on the prospect, the acquisition and interpretation of an aerial magnetic and radiometric survey (flight line spacing: 300 m; altitude: 80 m), the conduct of ground magnetic and gravity surveys, and drilling of 1 completed diamond hole to 319 m depth (another hole DD88TN1 was abandoned at 64 m due to a lost hammer bit). RESULTS: Hole DD88TN2 penetrated a basement sequence of very variable composition, granulite metamorphic facies gneisses (including a metamorphosed calcareous sedimentary sequence) at 200 m, but no significant concentrations of metals were encountered. The depth to basement is interpreted as being greater than 150 m throughout the Mabel Creek High area. All drilling carried out to date indicates that the geophysical responses from the basement are related to unaltered, magnetite-rich gneisses, while the lack of associated discordant structures has downgraded the perceived prospectivity of the area.