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(Marcr) 2010 - 2011 Cairn Hill Magnetite-Copper-Gold Project Mining and Rehabilitation Compliance Report (MARCR) 2010 - 2011 26 July 2011 Reference No. Cairn Hill ML 6303 MARCR 2010-2011 Rev1 Document / Project Summary Information Mine Owner Termite Resources NL Mine Operator Termite Resources NL Primary Contact Person Simon Parsons, General Manager – Cairn Hill Contact Details Level 2, 16 Vardon Avenue, Adelaide 5000 Tel: +61 8 8227 0277 Fax: +61 8 8232 6740 Email: [email protected] Name of Mining Operation Cairn Hill Commodity Mined Magnetite-Copper-Gold Document Title Cairn Hill Magnetite – Copper – Gold Mining Project Mining and Rehabilitation Compliance Report (MARCR) 2010 – 2011 ML Granted 17 April 2008 ML Number ML 6303 Recipient: Mr Hans Bailiht – Principal Mining Regulator (Metallic & Uranium), Inspector of Mines Mining Regulation & Rehabilitation Branch Primary Industries and Resources South Australia GPO Box 1671 ADELAIDE SA 5001 Author: A Woidt – Termite Resources NL Reviewer: S Staines – Termite Resources NL Approved by: S Parsons – Termite Resources NL Date: 26 July 2011 Distribution: PIRSA (3 hard copies, 1 electronic copy), Termite Resources NL (2 hard copies, 1 electronic copy), IMX Resources (1 hard copy, 1 electronic copy) Cairn Hill ML 6303 MARCR 2010-2011 Rev1 i Contents 1 Introduction ....................................................................................................................................................... 1 1.1 General .................................................................................................................................................... 1 1.2 Background to the MARP ........................................................................................................................ 1 1.3 Commitment ............................................................................................................................................ 1 2 Description of Mining Activities ...................................................................................................................... 2 2.1 Tenement ................................................................................................................................................ 2 2.2 Owner/Operator ....................................................................................................................................... 2 2.3 MARCR Responsibilities .......................................................................................................................... 2 2.4 Reporting Period ...................................................................................................................................... 2 2.5 Mining Activities Undertaken During the Reporting Period ...................................................................... 2 3 Ore Reserves and Mine Life ............................................................................................................................. 6 3.1 Review of Reserves ................................................................................................................................. 6 3.1 Additional potential sources ..................................................................................................................... 7 3.1.1 Phase 2 Magnetite Project .......................................................................................................... 7 3.1.2 Phase 3 Potential ........................................................................................................................ 8 3.1.3 Snaefell ....................................................................................................................................... 8 3.1.4 OZ Minerals Exploration Joint Venture ........................................................................................ 9 4 Rehabilitation and Environmental Management Activities ......................................................................... 11 4.1 Rehabilitation and Environmental Activities ........................................................................................... 11 4.1.1 Rehabilitation Works ................................................................................................................. 11 4.1.2 Flora & Fauna Monitoring .......................................................................................................... 11 4.1.3 Groundwater Monitoring ............................................................................................................ 12 4.2 Amount of Land Disturbed and Vegetation Cleared ............................................................................... 13 4.3 Proposed Rehabilitation and Environmental Management Activities 2011-2012 ................................... 13 5 Operations Summary ...................................................................................................................................... 14 6 Compliance with Outcomes ........................................................................................................................... 14 7 Rectification of Non-compliances ................................................................................................................. 29 8 Management Systems Reviews ..................................................................................................................... 29 8.1 Management System Audit .................................................................................................................... 29 9 Fitness-for-purpose Reviews of Plant, Equipment, Infrastructure and Other Facilities ........................... 29 10 New Environmental Hazards .......................................................................................................................... 30 11 Environmental Protection and Biodiversity Conservation Act Reporting ................................................. 30 12 References ....................................................................................................................................................... 31 13 Figures ............................................................................................................................................................. 32 14 Appendices ...................................................................................................................................................... 33 Cairn Hill ML 6303 MARCR 2010-2011 Rev1 ii Figures Figure 1: Cairn Hill Phase 1 site layout plan (EOM May 2011) (see attached). ................................................................. 32 Figure 2: Cairn Hill Phase 1 current and proposed disturbance areas (see attached). ..................................................... 32 Figure 3: Aerial photograph of Pit 1 looking north-west (taken March 2011). ...................................................................... 5 Figure 4: Location of existing and potential ore reserves for IMX Resources in the Mt Woods Area. ................................. 7 Figure 5: Cairn Hill Phase 1 and 2 drillhole locations. ......................................................................................................... 8 Figure 6: Snaefell drillhole locations on TMI magnetics. ..................................................................................................... 9 Figure 7: OZ Minerals / IMX tenements overlain on gravity............................................................................................... 10 Figure 8: Rehabilitation (scarification) of Bore 7 turkey's nest dam (April 2011). .............................................................. 11 Figure 9: Fenced turkey nest dam at Bore 1 (CHPB01) excluding large fauna and stock. ................................................ 27 Figure 10: Self bunded fuel storage. ................................................................................................................................. 27 Figure 11: Bunded oil storage facility. ............................................................................................................................... 28 Figure 12: Lidded skip meeting waste management criteria. ............................................................................................ 28 Tables Table 1: Updated key characteristics of Pit 1 (inclusive of Trial Pit). ................................................................................... 4 Table 2: Mining volumes for the previous year (June 2010 – May 2011). ........................................................................... 4 Table 3: Cairn Hill indicated and inferred mineral resource summary. ................................................................................ 6 Table 4: Phase 1 ore reserve estimate................................................................................................................................ 6 Table 5: Predicted project footprint (revised from MARP), actual footprint for the reporting period, and predicted footprint for the next 12 months. ....................................................................................................................................... 14 Table 6: Compliance with outcomes assessment. ............................................................................................................ 15 Appendices Appendix A: Mining lease area (as detailed in the MARP). ..............................................................................................
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