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ARIKA RESOURCES LIMITED — Interim / Quarterly Report 2021
Jul 29, 2021
64420_rns_2021-07-29_9ee4c4cd-9ff1-4b0d-8354-b65e774ee4ff.pdf
Interim / Quarterly Report
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ASX RELEASE: 30 July 2021
April to June 2021 Quarterly Activities Report
HIGHLIGHTS
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During the quarter, the Company announced that it had met the earn-in component of the Farm-In Agreement with Nex Metals Exploration Ltd (“Nex Metals”) and now has a 51% and controlling interest in both the Kookynie & Yundamindra Gold projects[1] .
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Drilling at the Cosmopolitan Gold Mine, Leipold, McTavish and Champion Prospects finished up during the quarter with Bonanza gold intersections returned at McTavish. Significant intercepts included:
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Leipold[2] :
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LPRC0107 - 2m @ 59.9g/t from 147m incl:
- 1m @ 118.4g/t Au from 147m);
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LPRC0107 - 4m @ 3.7g/t Au from 151m incl:
- 1m @ 11.6g/t Au from 151m);
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LPRC0109 - 3m @ 4.2g/t Au from 137m incl:
- 1m @ 9.4 g/t Au from 137m;
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LPRC0098 - 5m @ 3.8g/t Au from 92m incl:
- 2m @ 6.7 g/t Au from 92m.
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McTavish[3] :
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McTRC0044 - 3 metres @ 19.1 g/t Au from 88 metres incl:
- 1 metre @ 52.8 g/t Au from 89 metres;
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Intercept is directly down plunge of previous high-grade hits of:
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McTRC0005 of 5 metres @ 17.9 g/t Au from 48 metres incl:
- 1 metre @ 80.17 g/t Au; and
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McTRC0001 of 4 metres @ 6.4 g/t Au from 67 metres incl:
- 1 metre @ 15.47 g/t Au.
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CORPORATE
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Cash on hand $4.05 million.
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Successfully completed $3million placement to Sophisticated Investors in June 2021.
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With completion of the earn-in of a 51% controlling interest in the Kookynie & Yundamindra JV, the Company changed executive responsibilities, with former Managing Director, Mr Jason Livingstone, becoming Technical Director primarily focusing on expediting the ongoing exploration and development of the Company’s gold projects; and Mr Justin Barton taking on the role of CEO and responsibility for corporate and commercial matters.
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In addition, Mr Andrew Daley was appointed Non-Executive Chairman, following the resignation of Mr Mat Longworth.
1Please refer to ASX Announcement “ Metalicity Achieves Earn-In On The Kookynie & Yundamindra Gold Projects ” dated 20 May 2021 with Nex Metals Explorations Ltd, ASX:NME.
2Please refer to ASX Announcement “ Assays up to 118 g/t Au from Leipold, Kookynie Gold Project ” dated 3 May 2021.
3Please refer to ASX Announcement “ McTavish Returns Assays Up To 52.8 g/t Au & Executive Changes ” dated 24 May 2021 February 2021.
Metalicity Limited ASX Code: MCT ABN: 92 086 839 992
www.metalicity.com.au Unit B2, 20 Tarlton Crescent Perth Airport WA 6105
Metalicity Limited (ASX: MCT) (“MCT” or “Company”) is pleased to provide the Quarterly Activities Report for the period ending 30 June 2021.
Commenting on the Quarter, Metalicity CEO, Mr Justin Barton said:
“ The Company has had a very productive quarter, highlighted by meeting our earn-in component of the FarmIn Agreement with Nex Metals, giving Metalicity a 51% and controlling interest in both the Kookynie & Yundamindra Gold projects. These projects have delivered a number of outstanding assay results from drilling completed at the McTavish, Leipold and Champion Prospects. Combined with the successful capital raising, the Company is now in a very strong position to move forward with its overall gold strategy.
All assay results have now been received from the Mineral Resource definition drilling completed at the Leipold, McTavish and Champion Prospects during the quarter, which included Bonanza results at McTavish. With this completed, the Company intends to release, in due course, its Maiden JORC 2012 Mineral Resource Estimate for these 3 prospects, which are all situated on mining leases.
In addition to the exciting results at McTavish and Leipold, 2kms of strike between these prospects remains open and highly prospective for the definition of further high-grade lodes. Planning is now underway to prioritise exploration efforts at these prospects”.
Kookynie and Yundamindra Gold Projects
Metalicity has continued to actively develop the Kookynie and Yundamindra Gold Projects, located in the Goldfields district of Western Australia, please refer to Figure 1. These projects comprise the Kookynie and Yundamindra JV with Nex Metals, for which Metalicity earnt its interest during the quarter (please refer to ASX Announcement “ Metalicity Achieves Earn-In On The Kookynie & Yundamindra Gold Projects ” dated 20 May 2021 with Nex Metals Explorations Ltd, ASX:NME).
The Kookynie Project, which is located approximately 60 km south of Leonora is host to seven large-producing historical mines: Champion, McTavish, Leipold, Altona, Diamantina, Cosmopolitan and Cumberland. Please refer to Figure One.
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2
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Figure 1 – The Kookynie Tenement Map
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3
Drilling at the Cosmopolitan Gold Mine, Leipold, McTavish and Champion Prospects finished up during the quarter with Bonanza gold intersections returned at McTavish. Detailed below is a brief summary of the McTavish and Leipold projects.
Drilling Discussion
The McTavish Prospect Summary
Drilling at McTavish was completed during the quarter with final assays returned delivering some of the best high-grade results at the Project to date.
Spectacular intercepts include:
o McTRC0049 - 5 metres @ 25.9 g/t from 28 metres incl:
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3 metres @ 41.5 g/t from 30 metres;
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1 metre @ 91.2g/t Au from 30 metres);
o McTRC0064 - 6 metres @ 20.6 g/t from 19 metres incl:
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4 metres @ 29.1 g/t from 20 metres;
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McTRC0044 - 3 metres @ 19.1 g/t from 88 metres incl:
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1 metre @ 52.8 g/t from 89 metres;
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McTRC0051 - 4 metres @ 3.5 g/t from 8 metres incl:
-
1 metre @ 11.4 g/t from 10 metres.
Please refer to ASX Announcements “McTavish Returns Assays Up To 52.8 g/t Au & Executive Changes” dated 24 May 2021 and “McTavish Delivers Bonanza Grade Gold Results up to 91.2g/t Au” dated 8 July 2021.
These results extend the mineralisation to the south of McTavish, with 2kms of strike between McTavish and Leipold remaining open and becoming increasingly prospective for defining similar high-grade lodes.
The mineralisation observed at McTavish is developed within two distinct zones as illustrated in Figure 1. The high-grade intercept from McTRC0044 shows that the high-grade plunge component continues down plunge over a down dip length of over 100 metres now, which equates to approximately 60 to 70 metres in vertical depth from surface. Let alone a second zone immediately south that is showing similar characteristics.
Below are intercepts reported (Table 1) and a plane of vein long section detailing the drilling to date (Figure 1).
| 1). | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Hole ID | Tenement | Hole Type |
Easting | Northing | RL | EOH | Dip | Azi | From (m) |
To (m) |
Down Hole Width (m) |
Grade (Au g/t) |
Comments |
| McTRC0039 | M40/77 | RC | 350,631 | 6,753,887 | 426 | 84 | -60 | 270 | No significant intersection | ||||
| McTRC0040 | M40/77 | RC | 350,633 | 6,753,919 | 427 | 42 | -60 | 270 | 19 | 20 | 1 | 1.1 | 1 metre @ 1.1g/t Au from 19 metres |
| 23 | 24 | 1 | 2.3 | 1 metre @ 2.3g/t Au from 23 metres | |||||||||
| 31 | 32 | 1 | 1.1 | 1 metre @ 1.1g/t Au from 31 metres | |||||||||
| McTRC0041 | M40/77 | RC | 350,630 | 6,753,940 | 427 | 48 | -60 | 270 | 21 | 22 | 1 | 1.1 | 1 metre @ 1.1g/t Au from 21 metres |
| 23 | 25 | 2 | 1.2 | 2 metres @ 1.2g/t Au from 23 metres | |||||||||
| 27 | 28 | 1 | 2.2 | 1 metre @ 2.2g/t Au from 22 metres | |||||||||
| McTRC0042 | M40/77 | RC | 350,624 | 6,754,011 | 429 | 54 | -60 | 270 | No significant intersection | ||||
| McTRC0043 | M40/77 | RC | 350,617 | 6,754,058 | 430 | 66 | -60 | 270 | No significant intersection | ||||
| McTRC0044 | M40/77 | RC | 350,667 | 6,754,098 | 430 | 96 | -60 | 270 | 88 | 91 | 3 | 19.1 | 3 metres @ 19.1g/t Au from 88 metres incl. 1 metre @ 52.8g/t Au from 89 metres |
| McTRC0045 | M40/77 | RC | 350,578 | 6,754,176 | 437 | 36 | -60 | 270 | 24 | 25 | 1 | 1.2 | 1 metre @ 1.2g/t Au from 24 metres |
| McTRC0046 | M40/77 | RC | 350,609 | 6,754,148 | 436 | 54 | -60 | 270 | 37 | 38 | 1 | 1.3 | 1 metre @ 1.3g/t Au from 37 metres |
| 39 | 42 | 3 | 1.0 | 3 metres @ 1.0g/t Au from 39 metres |
Table 1 – McTavish Prospect Anomalous Drill Hole Intercepts.
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Figure 1 – McTavish Plane of Vein Section with recent drilling*.
*Please refer to ASX Announcements: Metalicity Continues to Deliver Impressive Drill Hole Results for the Kookynie Gold Project, dated 22nd December 2020, Metalicity Continues to Deliver Fantastic Drill Hole Results for the Kookynie Gold Project dated 1st October 2020, Metalicity Reports Drill Hole Intercepts Up to 100 g/t Au for the Kookynie Gold Project dated 15th September 2020, Metalicity Continues to Deliver Spectacular Drill Hole Results for the Kookynie Gold Project dated 25th August 2020, Metalicity Delivers More Outstanding Drill Hole Results for the Kookynie Gold Project. Phase Two Drilling to Commence Imminently dated 10th July 2020, Metalicity Continues to Deliver Excellent Drill Hole Results for the Kookynie Gold Project dated 2nd July 2020, Metalicity Continues to Deliver Spectacular Drill Hole Results for the Kookynie Gold Project dated 25th June 2020, Metalicity Reports Drill Hole Intercepts Up To 80 g/t Au & Additional Tenement Acquisition for Kookynie dated 21st January 2020 & Strong Gold Assays Extend Leipold Mineralisation to 1km dated 2 July 2021.
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5
The Leipold Prospect Summary
The first deeper holes at Leipold and extensions further to the North completed during the quarter confirmed extensions to mineralisation down dip and a further 200m North. The Leipold prospect is now defined over nearly 1km to a vertical depth of only 130 metres. The prospect remains open along strike to the North and at depth.
Significant results of drilling during the quarter include:
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LPRC0107 - 2m @ 59.9g/t from 147m incl:
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1m @ 118.4g/t Au from 147m;
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LPRC0107 - 4m @ 3.7g/t Au from 151m incl:
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1m @ 11.6g/t Au from 151m;
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LPRC0109 - 3m @ 4.2g/t Au from 137m incl: ▪ 1m @ 9.4 g/t Au from 137m;
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LPRC0098 - 5m @ 3.8g/t Au from 92m incl: ▪ 2m @ 6.7 g/t Au from 92m;
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LPRC0122 – 2 metres @ 4.7 g/t from 65 metres incl:
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1 metre @ 8.4 g/t from 66 metres;
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LPRC0114 – 3 metres @ 3.3 g/t from 133 metres incl:
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1 metre @ 6.4 g/t from 135 metres;
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LPRC0112 – 4 metres @ 3.4 g/t from 127 metres;
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LPRC0123 – 6 metres @ 1.7 g/t from 26 metres;
-
LPRC0118 – 1 metres @ 7.4 g/t from 35 metres; and
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LPRC0126 – 10 metres @ 1.1 g/t from 30 metres.
Please refer to ASX Announcements “Assays up to 118 g/t Au from Leipold, Kookynie Gold Project” dated 3 May 2021 and “Strong Gold Assays Extend Leipold Mineralisation to 1km” dated 2 July 2021.
The results highlighted above and illustrated below continue to define and expand the mineralisation observed at Leipold. The programme at Leipold (and McTavish and Champion), has been designed off the back of preliminary Mineral Resource work conducted in January 2021. The tenure and extent of the returned mineralisation bodes exceptionally well for this impending Mineral Resource Estimate at Leipold, and the Company has observed similar structures at Champion and McTavish that correlate with previously observed mineralisation.
The Company has commenced the resource estimation for Leipold. Below is a plane of vein long section detailing the drilling to date (Figure 2) and intercepts reported (Table 2):
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6
As reported in “ Assays up to 118 g/t Au from Leipold, Kookynie Gold Project ” 3 May 2021.
| MGA94_Zone 51S | MGA94_Zone 51S | MGA94_Zone 51S | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Hole ID | Tenement | Hole Type | Easting | Northing | RL | EOH | Dip | Azi | From (m) | To (m) | Down Hole Width (m) |
Grade (Au g/t) |
Comments |
| LPRC0097 | M40/22 | RC | 350,835 | 6,752,028 | 432 | 96 | -60 | 250 | 75 | 78 | 3 | 1.3 | 3 metres @ 1.3g/t from 75 metres |
| LPRC0098 | M40/22 | RC | 350,856 | 6,752,035 | 432 | 120 | -60 | 250 | 92 | 97 | 5 | 3.8 | 5 metres @ 3.8g/t from 92 metres incl. 2 metres @ 6.7 from 92 metres |
| 103 | 104 | 1 | 3.1 | 1 metre @ 3.1g/t from 103 metres | |||||||||
| 110 | 111 | 1 | 1.7 | 1 metre @ 1.7g/t from 110 metres | |||||||||
| LPRC0099 | M40/22 | RC | 350,876 | 6,752,043 | 432 | 132 | -60 | 250 | 67 | 68 | 1 | 2.2 | 1 metre @ 2.2g/t from 67 metres |
| 80 | 81 | 1 | 5.3 | 1 metre @ 5.3g/t from 80 metres | |||||||||
| 106 | 107 | 1 | 1.0 | 1 metre @ 1.0g/t from 106 metres | |||||||||
| 111 | 114 | 3 | 2.0 | 3 metres @ 2.0g/t from 111 metres | |||||||||
| LPRC0100 | M40/22 | RC | 350,896 | 6,752,050 | 432 | 143 | -60 | 250 | 101 | 102 | 1 | 1.1 | 1 metre @ 1.1g/t from 101 metres |
| 127 | 128 | 1 | 1.4 | 1 metre @ 1.4g/t from 127 metres | |||||||||
| 131 | 132 | 1 | 1.0 | 1 metre @ 1.0g/t from 131 metres | |||||||||
| 136 | 139 | 3 | 1.3 | 3 metres @ 1.3g/t from 136 metres | |||||||||
| LPRC0101 | M40/22 | RC | 350,858 | 6,752,084 | 432 | 126 | -60 | 250 | 78 | 81 | 3 | 2.3 | 3 metres @ 2.3g/t from 78 metres |
| 103 | 107 | 4 | 3.7 | 4 metres @ 3.7g/t from 103 metres incl. 1 metre @ 6.9 from 103 metres | |||||||||
| LPRC0102 | M40/22 | RC | 350,898 | 6,752,099 | 432 | 150 | -60 | 250 | 116 | 117 | 1 | 3.7 | 1 metre @ 3.7g/t from 116 metres |
| 132 | 136 | 4 | 1.4 | 4 metres @ 1.4g/t from 132 metres | |||||||||
| LPRC0103 | M40/22 | RC | 350,954 | 6,752,049 | 432 | 191 | -60 | 250 | 162 | 164 | 4 | 2.2 | 2 metres @ 2.2g/t from 162 metres |
| 188 | 189 | 1 | 1.9 | 1 metre @ 1.9g/t from 188 metres | |||||||||
| LPRC0104 | M40/22 | RC | 350,957 | 6,752,072 | 432 | 191 | -60 | 250 | No significant intersection | ||||
| LPRC0105 | M40/22 | RC | 350,940 | 6,752,088 | 432 | 182 | -60 | 250 | 160 | 161 | 1 | 1.3 | 1 metre @ 1.3g/t from 160 metres |
| LPRC0106 | M40/22 | RC | 350,939 | 6,752,114 | 432 | 194 | -60 | 250 | No significant intersection | ||||
| LPRC0107 | M40/22 | RC | 350,933 | 6,752,042 | 432 | 182 | -60 | 250 | 147 | 149 | 2 | 59.9 | 2 metres @ 59.9g/t from 147 metres incl. 1 metre @ 118.4 from 147 metres |
| 151 | 155 | 4 | 3.7 | 4 metres @ 3.7g/t from 151 metres incl. 1 metre @ 11.6 from 151 metres | |||||||||
| LPRC0108 | M40/22 | RC | 350,892 | 6,752,027 | 432 | 140 | -60 | 250 | 109 | 110 | 1 | 4.0 | 1 metre @ 4.0g/t from 109 metres |
| 113 | 114 | 1 | 8.6 | 1 metre @ 8.6g/t from 113 metres | |||||||||
| LPRC0109 | M40/22 | RC | 350,913 | 6,752,035 | 432 | 158 | -60 | 250 | 128 | 131 | 3 | 1.7 | 3 metres @ 1.7g/t from 128 metres |
| 137 | 140 | 3 | 4.2 | 3 metres @ 4.2g/t from 137 metres incl. 1 metre @ 9.4 from 137 metres |
As reported in “Strong Gold Assays Extend Leipold Mineralisation to 1km” 2 July 2021.
| MGA 94_Zone 51 South | MGA 94_Zone 51 South | MGA 94_Zone 51 South | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Hole ID | Tenement | Hole Typ | e Easting |
Northing | RL | EOH | Dip | Azi | From (m) | To (m) | Down Hole Width(m) |
Grade (Aug/t) |
Comments |
| LPRC0110 | M40/22 | RC | 350,917 | 6,752,057 | 432 | 170 | -60 | 250 | 137 | 140 | 3 | 1.5 | 3 metres @ 1.5 g/t from 137 metres |
| 142 |
144 | 2 | 1.1 | 2 metres @ 1.1 g/t from 142 metres | |||||||||
| 148 | 149 | 1 | 1.8 | 1 metre @ 1.8 g/t from 148 metres | |||||||||
| LPRC0111 | M40/22 | RC | 350,838 | 6,752,052 | 432 | 110 | -60 | 250 | 83 | 84 | 1 | 1.1 | 1 metre @ 1.1 g/t from 83 metres |
| LPRC0112 | M40/22 | RC | 350,899 | 6,752,074 | 432 | 160 | -60 | 250 | 127 | 131 | 4 | 3.4 | 4 metres @ 3.4 g/t from 127 metres |
| 134 |
135 | 1 | 1.3 | 1 metre @ 1.3 g/t from 134 metres | |||||||||
| 137 | 138 | 1 | 1.6 | 1 metre @ 1.6 g/t from 137 metres | |||||||||
| LPRC0113 | M40/22 | RC | 350,919 | 6,752,106 | 432 | 176 | -60 | 250 | 134 |
136 | 2 | 2.1 | 2 metres @ 2.1 g/t from 134 metres |
| 147 |
148 | 1 | 1.1 | 1 metre @ 1.1 g/t from 147 metres | |||||||||
| LPRC0114 | M40/22 | RC | 350,890 | 6,752,116 | 432 | 158 | -60 | 250 | 133 | 136 | 3 | 3.3 | 3 metres @ 3.3 g/t from 133 metres incl. 1 metre @ 6.4 g/t from 135 metres |
| LPRC0115 | M40/22 | RC | 350,865 | 6,752,125 | 432 | 140 | -60 | 250 | 124 | 125 | 1 | 3.4 | 1 metre @ 3.4 g/t from 124 metres |
| LPRC0116 | M40/22 | RC | 350,809 | 6,752,087 | 432 | 94 | -60 | 250 | 65 | 69 | 4 | 1.7 | 4 metres @ 1.7 g/t from 65 metres |
| LPRC0117 | M40/22 | RC | 350,805 | 6,752,146 | 432 | 102 | -60 | 250 | 84 | 86 | 2 | 2.4 | 2 metres @ 2.4 g/t from 84 metres |
| LPRC0118 | M40/22 | RC | 350,749 | 6,752,149 | 431 | 66 | -60 | 250 | 35 | 36 | 1 | 7.4 | 1 metre @ 7.4 g/t from 35 metres |
| 39 |
40 | 1 | 2.9 | 1 metre @ 2.9 g/t from 39 metres | |||||||||
| 44 | 45 | 1 | 1.2 | 1 metre @ 1.2 g/t from 44 metres | |||||||||
| LPRC0119 | M40/22 | RC | 350,794 | 6,752,188 | 432 | 118 | -60 | 250 | 82 | 83 | 1 | 3.7 | 1 metre @ 3.7 g/t from 82 metres |
| LPRC0120 | M40/22 | RC | 350,835 | 6,752,180 | 432 | 140 | -60 | 250 | No significant intersection | ||||
| LPRC0121 | M40/22 | RC | 350,874 | 6,752,160 | 432 | 162 | -60 | 250 | No significant intersection | ||||
| LPRC0122 | M40/22 | RC | 350,766 | 6,752,200 | 432 | 90 | -60 | 250 | 65 |
67 | 2 | 4.7 | 2 metres @ 4.7 g/t from 65 metres incl. 1 metre @ 8.4 g/t from 66 metres |
| 72 |
74 | 2 | 2.0 | 2 metres @ 2.0 g/t from 72 metres | |||||||||
| LPRC0123 | M40/22 | RC | 350,717 | 6,752,211 | 431 | 42 | -60 | 250 | 26 |
32 | 6 | 1.7 | 6 metres @ 1.7 g/t from 26 metres |
| 36 |
37 | 1 | 1.1 | 1 metre @ 1.1 g/t from 36 metres | |||||||||
| LPRC0124 | M40/22 | RC | 350,712 | 6,752,252 | 432 | 60 | -60 | 250 | 38 | 39 | 1 | 1.5 | 1 metre @ 1.5 g/t from 38 metres |
| LPRC0125 | M40/22 | RC | 350,712 | 6,752,273 | 432 | 60 | -60 | 250 | 41 | 42 | 1 | 3.3 | 1 metre @ 3.3 g/t from 41 metres |
| LPRC0126 | M40/22 | RC | 350,717 | 6,752,232 | 431 | 54 | -60 | 250 | 30 | 32 | 2 | 1.4 | 2 metres @ 1.4 g/t from 30 metres, within 10 m @ 1.1 g/t from 30 m anomalous zone |
| 34 |
36 | 2 | 2.1 | 2 metres @ 2.1 g/t from 34 metres, within 10 m @ 1.1 g/t from 30 m anomalous zone | |||||||||
| 38 | 40 | 2 | 1.6 | 2 metres @ 1.6 g/t from 38 metres, within 10 m @ 1.1 g/t from 30 m anomalous zone | |||||||||
| LPRC0127 | M40/22 | RC | 350,725 | 6,752,185 | 430 | 48 | -60 | 250 | No significant intersection | ||||
| LPRC0128 | M40/22 | RC | 350,963 | 6,752,009 | 432 | 186 | -60 | 250 | No significant intersection | ||||
| LPRC0129 | M40/22 | RC | 350,886 | 6,751,983 | 432 | 126 | -60 | 250 | 107 |
108 | 1 | 1.0 | 1 metre @ 1.0 g/t from 107 metres |
| 111 |
114 | 3 | 1.3 | 3 metres @ 1.3 g/t from 111 metres | |||||||||
| LPRC0130 | M40/22 | RC | 350,924 | 6,751,996 | 432 | 168 | -60 | 250 | 148 | 149 | 1 | 2.0 | 2 metres @ 2.0 g/t from 148 metres |
| LPRC0131 | M40/22 | RC | 350,798 | 6,752,240 | 432 | 120 | -60 | 250 | No significant intersection |
Table 2 – Leipold Anomalous Drill Hole Intercepts
Intercepts were calculated based on a sample returning an assay value of greater than 0.1 g/t Au over an interval greater than 2 metres, but not including any more than 1 metre of internal material that graded less than 0.1 g/t Au. Intervals were based on geology and no top cut off was applied.
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7
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Figure 2 – Leipold Plane of Vein Long Section with recent drilling*.
*Please refer to ASX Announcements: Metalicity Continues to Deliver Impressive Drill Hole Results for the Kookynie Gold Project, dated 22nd December 2020, Metalicity Continues to Deliver Fantastic Drill Hole Results for the Kookynie Gold Project dated 1st October 2020, Metalicity Reports Drill Hole Intercepts Up to 100 g/t Au for the Kookynie Gold Project dated 15th September 2020, Metalicity Continues to Deliver Spectacular Drill Hole Results for the Kookynie Gold Project dated 25th August 2020, Metalicity Delivers More Outstanding Drill Hole Results for the Kookynie Gold Project. Phase Two Drilling to Commence Imminently dated 10th July 2020, Metalicity Continues to Deliver Excellent Drill Hole Results for the Kookynie Gold Project dated 2nd July 2020, Metalicity Continues to Deliver Spectacular Drill Hole Results for the Kookynie Gold Project dated 25th June 2020, Metalicity Reports Drill Hole Intercepts Up To 80 g/t Au & Additional Tenement Acquisition for Kookynie dated 21st January 2020 & Strong Gold Assays Extend Leipold Mineralisation to 1km dated 2 July 2021.
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8
Kimberley Mining Limited – Admiral Bay (circa 80.3% holding)
The Admiral Bay asset is on care and maintenance.
Corporate & Financial
Cash on hand at the end of the Quarter was $4.05 million, following the successful completion of a $3m placement during June 2021.
Exploration and evaluation expenditure during the quarter was ~$956,000. Full details of exploration activity during the quarter are in this report.
All tenements held during the quarter are given in the Tenement Schedule attached including beneficial percentages held.
Payments to related parties of the Company and their associates during the quarter: $155,844. The Company advises that this relates to non-executive director’s fees and executive directors’ salaries, including superannuation, annual leave and PAYG withheld. Please see the Remuneration Report in the Annual Report for further details on Directors’ remuneration.
Security Issues, Lapses and Conversions
57,652,778 Listed Options (ASX Code: MCTO), exercisable at $0.004 on or before 22 May 2022 have been converted to Shares during the quarter for $230,611.
The Company issued approximately 300 million fully paid ordinary shares to Sophisticated Investors at an issue price of AU$0.01 per Share to raise gross proceeds of AU$3 million during the quarter. In addition, the Company issued 21,000,000 Broker Options (ASX Code: MCTAY, Unquoted Options) to Canaccord, the Company’s lead manager on the Placement, exercisable at AU$0.015 per Share and with a 3 year term to expiry.
Board and Executive changes
Following the announcement that the Compamy had achieved the $5 million earn-in on the farm-in agreement with Nex Metals and now has a 51% and controlling interest in the Kookynie & Yundamindra JV, the Company announce some executive changes to align with the next stage of the project.
Mr Jason Livingstone, moved from Managing Director and CEO to Technical Director primarily to focus on expediting the ongoing exploration and development of the Company’s gold projects, and Mr Justin Barton, Finance Director, to over the role of CEO and became responsible for all corporate and commercial matters.
During the quarter, Mr Andrew Daley also took over as Non-Executive Chairman, following the resignation of Mr Mat Longworth.
This Announcement is approved by the board of Metalicity Limited.
ENQUIRIES
Investors Justin Barton Finance Director & CEO +61 8 6500 0202 [email protected]
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Metalicity confirms that the Company is not aware of any new information or data that materially affects the information included in the relevant market announcement and, in the case of “exploration results” that all material assumptions and technical parameters underpinning the “exploration results” in the relevant announcements referenced apply and have not materially changed.
Competent Persons Statement
For relevant Competent Person Statements, please refer to the announcement referenced.
Forward Looking Statements
This announcement may contain certain “forward-looking statements” which may not have been based solely on historical facts, but rather may be based on the Company’s current expectations about future events and results. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have reasonable basis. However, forward-looking statements:
(a) are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies;
(b) involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward-looking statements. Such risks include, without limitation, resource risk, metals price volatility, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, as well as political and operational risks in the countries and states in which the Company operates or supplies or sells product to, and governmental regulation and judicial outcomes; and
(c) may include, among other things, statements regarding estimates and assumptions in respect of prices, costs, results and capital expenditure, and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions.
The words “believe”, “expect”, “anticipate”, “indicate”, “contemplate”, “target”, “plan”, “intends”, “continue”, “budget”, “estimate”, “may”, “will”, “schedule” and similar expressions identify forward-looking statements.
All forward-looking statements contained in this presentation are qualified by the foregoing cautionary statements. Recipients are cautioned that forward-looking statements are not guarantees of future performance and accordingly recipients are cautioned not to put undue reliance on forwardlooking statements due to the inherent uncertainty therein.
The Company disclaims any intent or obligation to publicly update any forward-looking statements, whether as a result of new information, future events or results or otherwise.
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Tenement Schedules:
Please Note all Kookynie and Yundamindra Tenements are now held beneficially 51% MCT and 49% NME as per ASX Announcement “Metalicity Achieves Earn-In On The Kookynie & Yundamindra Gold Projects” dated 20 May 2021 with Nex Metals Explorations Ltd, ASX:NME.
| Tenement | Registered Holder Shares Held |
Plainted | Status | Area (ha) | Nature of Interest |
Interest at the beginning of Quarter |
Interest at end of Quarter |
|---|---|---|---|---|---|---|---|
| Kookynie | |||||||
| P40/1331 | KYM MiningLimited 100/100 |
No | Live | 161.2 | Direct Holding | 100% | 51% |
| E40/390 | KYM MiningLimited 100/100 |
No | Live | 3,300.0 | Direct Holding | 100% | 51% |
| E40/350 | KYM MiningLimited 100/100 |
No | Live | 2,394.0 | Direct Holding | 100% | 51% |
| E40/357 | KYM MiningLimited 100/100 |
No | Live | 1,194.0 | Direct Holding | 100% | 51% |
| E40/401 | KYM MiningLimited 100/100 |
No | Live | 598.0 | Direct Holding | 100% | 51% |
| P40/1407 | KYM MiningLimited 100/100 |
No | Live | 10.0 | Direct Holding | 100% | 51% |
| P40/1430 | KYM MiningLimited 100/100 |
No | Live | 9.9 | Direct Holding | 100% | 51% |
| P40/1510 | MetalicityLimited 100/100 |
No | Live | 185.0 | Direct Holding | 100% | 51% |
| P40/1511 | MetalicityLimited 100/100 |
No | Live | 176.7 | Direct Holding | 100% | 51% |
| E40/387 | MetalicityLimited 100/100 |
No | Live | 299.0 | Direct Holding | 100% | 51% |
| G40/3 | Nex Metals Explorations Limited 100/100 |
No | Live | 7.2 | Earnt In | 0% | 51% |
| L40/9 | Nex Metals Explorations Limited 100/100 |
No | Live | 1.0 | Earnt In | 0% | 51% |
| E40/332 | Nex Metals Explorations Limited 100/100 |
No | Live | 600.0 | Earnt In | 0% | 51% |
| M40/22 | Nex Metals Explorations Limited 100/100 |
No | Live | 121.7 | Earnt In | 0% | 51% |
| M40/27 | Nex Metals Explorations Limited 100/100 |
No | Live | 85.5 | Earnt In | 0% | 51% |
| M40/61 | Nex Metals Explorations Limited 100/100 |
No | Live | 832.7 | Earnt In | 0% | 51% |
| M40/77 | Nex Metals Explorations Limited 90,405/90,405 |
No | Live | 119.2 | Earnt In | 0% | 51% |
| P40/1499 | Nex Metals Explorations Limited 100/100 |
No | Live | 8.3 | Earnt In | 0% | 51% |
| P40/1500 | Nex Metals Explorations Limited 100/100 |
No | Live | 5.9 | Earnt In | 0% | 51% |
| P40/1501 | Nex Metals Explorations Limited 100/100 |
No | Live | 21.1 | Earnt In | 0% | 51% |
| E40/289 | Paris Enterprises PtyLtd 100/100 |
No | Live | 1,222.7 | Earnt In | 0% | 51% |
| Kookynie Total Area(ha) | 11,352.9 | ||||||
| Yundamindra | |||||||
| L39/34 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 1.0 | Earnt In | 0% | 51% |
| L39/52 | Nex Metals Explorations Limited 96/96 |
Yes | Live | 1.0 | Earnt In | 0% | 51% |
| L39/258 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 3.2 | Earnt In | 0% | 51% |
| M39/84 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 378.0 | Earnt In | 0% | 51% |
| M39/274 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 230.0 | Earnt In | 0% | 51% |
| M39/406 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 124.0 | Earnt In | 0% | 51% |
| M39/407 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 896.0 | Earnt In | 0% | 51% |
| M39/408 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 785.0 | Earnt In | 0% | 51% |
| M39/409 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 966.0 | Earnt In | 0% | 51% |
| M39/410 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 978.0 | Earnt In | 0% | 51% |
| M39/839 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 7.3 | Earnt In | 0% | 51% |
| M39/840 | Nex Metals Explorations Limited 100/100 |
Yes | Live | 9.7 | Earnt In | 0% | 51% |
| P39/6126 | Nex Metals Explorations Limited 100/100 |
No | Live | 10.4 | Earnt In | 0% | 51% |
| P39/6127 | Nex Metals Explorations Limited 100/100 |
No | Live | 5.6 | Earnt In | 0% | 51% |
| E39/1773 | Paddick Investments PtyLtd 100/100 |
Yes | Live | 903.0 | Earnt In | 0% | 51% |
| E39/1774 | Paddick Investments PtyLtd 100/100 |
Yes | Live | 2,517.0 | Earnt In | 0% | 51% |
| Yundamindra Total Area(ha) | 7,815.1 |
Below is the full tenement Schedule for the Admiral Bay Project held by Kimberley Mining Australia Pty Ltd:
| Tenement | Registered Holder | Status | Area | Nature of Interest | Interest at the beginning of Quarter |
Interest at end of Quarter |
|---|---|---|---|---|---|---|
| Admiral Bay | ||||||
| E04/1610 | Kimberley Mining Australia Pty Lyd | Live | 42 Blocks | Holding in Subsidiary | 80.3% | 80.3% |
| M04/244 | Kimberley Mining Australia Pty Lyd | Live | 796.4 ha | Holding in Subsidiary | 80.3% | 80.3% |
| M40/249 | Kimberley Mining Australia PtyLyd | Live | 843.85 ha | Holding in Subsidiary | 80.3% | 80.3% |
Tenements Disposed: Nil
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