The Granites Goldfield is located 550 km northwest of Alice Springs. Mineralisation was discovered in 1900 and intermittently worked along nine km of strike until the early 1950's, yielding a recorded production of 470 kg of gold. The geological environ- ment, pre-existing exploration drilling results, and an optimistic view on gold, prompted acquisition of the property by North Flinders Mines Limited in 1975. An agreement was signed with the Central Land Council in August 1983 and drilling commenced in the same month. In the past, gold was won from alluvial deposits, rich quartz veins and lower grade, disseminated stratabound mineralisation. The last is contained within a distinctive unit in the Mt. Charles Beds, of the Early Proterozoic Tanami Complex. This informally named "Host Unit" is a metamorphosed, chemical- pelitic sediment. The schist contains variable proportions of amphibole, quartz, garnet, clinopyroxene, carbonate and sulphide, inter- calated with recrystallised chert beds. Free gold occurs in several mineralised horizons within the Host Unit, generally conformably distributed within lithologic bands or at lithologic contacts. The Host Unit occurs within a sequence of metamorphosed pelitic sediments and intermediate volcanics. Although mostly confined to the Host Unit, stratabound gold mineralisation also exists in both Footwall and Hanging Wall Schists, usually within zones displaying certain Host Unit characteristics. The deposits may be loosely categorised as being of banded iron formation (bif) type, although some important differences are noted between them and classical bif type orebodies.