28 Sep Bushranger Assay Results and Drilling Update
RNS Number : 1332N
Xtract Resources Plc
(“Xtract” or the “Company”)
Bushranger Project Assay Results and Drilling Update
The Board of Xtract Resources Plc (“Xtract” or the “Company”) is pleased to advise that laboratory assays have been received from the first drill hole (BRDD-21-008) completed on the Phase Two diamond drilling programme at the Racecourse Mineral Resource on the Bushranger copper-gold exploration project, located in the Lachlan Fold Belt (“LFB”) of New South Wales, Australia.
· Assay results for the first angled hole of the Phase 2 exploration drilling at the Racecourse porphyry deposit, confirm high grade copper mineralisation at shallower depths than drilled during the Phase 1 exploration drilling programme.
· These assay results have enhanced our theory of intersecting high-grade mineralisation at shallower depths within the mineralisation system associated with the high-grade “crown”
· The results are very supportive of our open pit objective, and include (full interval details in Table 1 below):
o 184m @ 0.51% CuEq from 204m
§ including 9m @ 0.90% CuEq from 204m
§ and 46m @ 0.72% CuEq from 252m, including 8m @ 1.41% CuEq from 290m
§ and 26m @ 0.77% CuEq from 332m
o The highest-grade intercept returned 1.8% Cu within a 2m interval from 292m
· Increased gold grades were intercepted from 446m with an intercept of 12m @ 0.6 g/t Au and the company intends to model this higher-grade ore shoot
· Drill hole BRDD-21-018 was completed at a total depth of 732.6m and tested the north-western extent of the known porphyry mineralisation above BRDD-21-005 and BRDD-21-006 from the Phase 1 drill programme. Initial geological observations to follow.
· Phase 2 drilling programme at Racecourse continues with BRDD-21-020 and BRDD-21-021 underway.
Colin Bird, Executive Chairman Said: “These results support our plans to design and develop an open pit in the Racecourse porphyry region. These initial results suggest that the crown area has a propensity to carry good grade and will continue to add value to the conceptual open pit. A number of holes in the drill programme are outside the current resource and thus our conceptual pit modelling. The 12m interval of gold values was beyond the copper mineralisation and suggests there may be an overprint of gold in the system, this will be modelled with the intent of developing orientation and trend. We look forward to the results of our current drilling and assay results from previous holes drilled.”
Phase Two Bushranger Assay Results
Table 1 – Assay Results from Drill Hole BRDD-21-008*
|Hole No.||From (m)||To (m)||Interval (m)||Cu (%)||Au (g/t)||Ag (g/t)||CuEq (%)**|
*Assays undertaken by Bureau Veritas Minerals Pty. Ltd. Laboratory, Adelaide, Australia
**CuEq Formula: CuEq = Cu% + 0.6052xAu (g/t) + 0.0078xAg (g/t)
Phase Two Drilling Programme at the Racecourse Mineral Resource – Background
The Bushranger porphyry copper-gold project is located in the highly prospective Lachlan Fold Belt (“LFB”) of New South Wales, Australia. The current JORC (2012)-compliant Inferred Mineral Resource on the Racecourse deposit is estimated as 71Mt @ 0.44% Cu and 0.064g/t Au, at a 0.3% Cu cut-off, without inclusion of data from the Phase One drilling programme which was recently concluded and reported.
The Phase Two programme is designed primarily to follow up on the results obtained by Anglo American Exploration Australia Pty Ltd (“Anglo”) in 2014 and 2015 and to define further the shallower part of the Resource with a view to possible development of a large open pit. A total of approximately 8,000m of drilling is planned in the first block of 13 holes using two drill rigs, focussing primarily on further definition of the potentially open-pittable, higher-grade copper-gold zone in the central part of the resource area.
Further information is available from the Company’s website which details the company’s project portfolio as well as a copy of this announcement: www.xtractresources.com
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 (“UK MAR”).
The person who arranged for the release of this announcement on behalf of the Company was Colin Bird, Director.
|Xtract Resources Plc||Colin Bird,
|+44 (0)20 3416 6471|
|Beaumont Cornish Limited
Nominated Adviser and Joint Broker
|+44 (0)207628 3369|
Novum Securities Limited
+44 (0)207 399 9427
Information in this announcement relating to the exploration works has been reviewed by Edward (Ed) Slowey, BSc, PGeo, a consultant to Xtract. Mr Slowey is a graduate geologist with more than 40 years’ relevant experience in mineral exploration and mining, a founder member of the Institute of Geologists of Ireland and is a Qualified Person under the AIM rules. Mr Slowey has reviewed and approved the geological content of this announcement.
In accordance with AIM Note for Mining and Oil & Gas Companies, June 2009 (“Guidance Note”), Colin Bird, CC.ENG, FIMMM, South African and UK Certified Mine Manager and Director of Xtract Resources plc, with more than 40 years’ experience mainly in hard rock mining, is the qualified person as defined in the Guidance Note of the London Stock Exchange, who has reviewed the technical information contained in this press release.
The following is a summary of technical terms:
|“CuEq”||copper equivalent grade, calculated using assumed metal prices for copper, gold and other metals|
|“Inferred Mineral Resource”||That part of a Mineral Resource for which quantity and grade (or quality) are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade (or quality) continuity. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes|
|“JORC Code”||Australasian Institute of Mining and Metallurgy Joint Ore Reserves Committee code on mineral resources and ore reserves|
|“mineralisation”||process of formation and concentration of elements and their chemical compounds within a mass or body of rock|
|“porphyry”||a deposit of disseminated copper minerals in or around a large body of intrusive rock|