Skip to main content

AI assistant

Sign in to chat with this filing

The assistant answers questions, extracts KPIs, and summarises risk factors directly from the filing text.

CORAZON MINING LIMITED Interim / Quarterly Report 2016

Apr 27, 2016

64747_rns_2016-04-27_9e7bc77d-13e1-4420-b2a1-47e9ea5cb5f5.pdf

Interim / Quarterly Report

Open in viewer

Opens in your device viewer

ASX ANNOUNCEMENT

28 April 2016

==> picture [197 x 84] intentionally omitted <==

The Manager - Company’s Announcements Australian Securities Exchange

QUARTERLY ACTIVITIES REPORT

PERIOD ENDING 31 MARCH 2016

  • Corazon controls entire Lynn Lake nickel district - one of Canada’s most historically prolific nickel producing areas, with existing resources and exciting exploration upside.

  • Lynn Lake is a major nickel-copper asset, with benefits in scale and mine-life for any future potential mining operation.

  • Work underway at Lynn Lake has discovered large geophysical anomalies 5km south of the historic mines.

  • The anomalies are within the Fraser Lake Complex - a large intrusion twice the size of the host intrusion at the Lynn Lake Mining Centre.

  • Anomalies are predominantly under cover, although past exploration (including drilling) has defined anomalous nickel mineralisation in the area.

  • IP has proven to be an excellent method for defining mineralisation at Lynn Lake.

  • Detailed follow-up IP underway, aimed at "mapping” the priority anomalies to surface for drill hole targeting. Corazon is fully permitted for drilling at Fraser Lake.

Corazon Mining Limited (ASX: CZN) (“Corazon” or “the Company”) is pleased to present its Quarterly Activities Report for the period ending 31 March 2016. Corazon’s focus during this quarter was on exploration at its Lynn Lake Nickel-Copper Sulphide Project (“Project”) in the Manitoba region of Canada.

Post quarter, the Company was pleased to announce the results of an Induced Polarisation (IP) geophysical survey completed at the Project (ASX announcement 11[th] April 2016). Corazon completed 49km of gradient array IP in a first pass reconnaissance survey over the Fraser Lake Complex (FLC), 5km south of the historic Lynn Lake mining centre (Corazon 100%) (Figure 1).

The Lynn Lake Mine closed in 1976, following 24 years of operation as a large tonnage-low cost mine. Early in 2015, Corazon consolidated the nickel mining area for the first time since mine closure. This consolidation created a significant nickel-copper asset, with large remnant resources, extensive drill defined mineralisation and exciting exploration potential.

Anomalous nickel and base metal mineralisation within the FLC was discovered by mining company Sherritt-Gordon in the late 1940s to early 1950s, around the same time as their massive sulphide discovery at Lynn Lake. Lynn Lake went on to be mined for 24 years before closure in 1976 and remains the 4th largest nickel producing area in Canada (behind Sudbury, Voisey's Bay and Raglan).

Corazon’s recent IP survey identified multiple, strong-chargeable anomalies, predominantly under cover of muskeg (swamp) and glacial till deposits. These anomalies are geophysically analogous to the nickelcopper-cobalt sulphide mineralisation mined for decades within the Lynn Lake Mining Centre.





CAPITAL STRUCTURE
Market cap. @ A$0.005 $2.20M
Ordinary shares
441.6M
Unlisted Options
7.5M
ASX: CZN
BOARD OF DIRECTORS
Clive Jones
Non-executive Chairman
Brett Smith
Managing Director
Jonathan Downes
Director
Adrian Byass
Director

==> picture [197 x 84] intentionally omitted <==

ASX ANNOUNCEMENT

28 April 2016

==> picture [340 x 353] intentionally omitted <==

Figure 1 - Interpreted Geology – Emslie, R.R. and Moore, J.M. 1961. Manitoba Mines Branch, Publication 57-4. Datum UTM Zone 14 (NAD83).

The use of IP in tandem with other geophysical methods including magnetics, gravity and electromagnetics provides a powerful predictive tool for prospecting under cover in the Lynn Lake area.

Past exploration has shown the FLC is fertile with nickel mineralisation and the recent IP results indicate support for a 70-year-held belief that mineralisation must exist at the FLC. The main targets identified by the IP survey have not been tested by surface geochemistry or drilling .

The IP anomalies defined within the FLC are large. The on-ground set-up of this reconnaissance Gradient Array IP enables the definition of chargeability and resistivity properties to about 700m below surface.

The Company is now completing detailed Pole-Dipole IP that will enable the better definition of priority targets between 700m and surface. The detail of this work will also be sufficient to allow the targeting of drill holes. Fieldwork will be completed this month, with interpretation and target generation expected to be completed in May 2016.

Corazon currently has all approvals and permits in place for drilling at the FLC.

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==

==> picture [197 x 84] intentionally omitted <==

ASX ANNOUNCEMENT

28 April 2016

==> picture [340 x 308] intentionally omitted <==

Figure 2 - IP Chargeability Plot – Gradient Array Survey. Detailing survey outline ( blue ), Eastern Magnetic Domain “EMD” ( black ) and areas of chargeable anomalism ( red ). Reference Fig 1 for location.

All work at the Project is being undertaken with the strong belief that the combined Lynn Lake Project will deliver improved economics for any potential mining operation, with benefits in scale and possible mine life, resulting in an excellent development opportunity leveraged to improvements in the nickel metal price.

CORPORATE

Corazon closed the March 2016 quarter with approximately $0.78 million in cash. The Company conducted a review of corporate costs and has reduced all non-essential expenditure and determined to reduce the directors fees by between 20% and 50% with payment of the amount reduced to be made by way of shares subject to shareholder approval.

Ends

For further information visit www.corazon.com.au or contact:

Brett Smith James Moses Managing Director Media and Investor Relations Corazon Mining Limited Mandate Corporate P: +61 (8) 6142 6366 M: +61 (0) 420 991 574 E: [email protected] E: [email protected]

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==

ASX ANNOUNCEMENT

==> picture [197 x 84] intentionally omitted <==

28 April 2016

Important Information

Competent Persons Statement :

The information in this report that relates to Exploration Results and Targets is based on information compiled by Mr Brett Smith, B.Sc Hons (Geol), Member AusIMM, Member AIG and an employee of Corazon Mining Limited. Mr Smith has sufficient experience that is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Smith consents to the inclusion in the report of the matters based on this information in the form and context in which it appears.

Canadian geologist Dr Larry Hulbert has been engaged by Corazon to manage the collation of past exploration information and the definition of new targets at Lynn Lake. Dr Hulbert has extensive knowledge of the Lynn Lake district and over 40 years’ experience in Ni-Cu-PGM exploration and research. Dr Hulbert is one of North America's foremost experts on magmatic sulphide deposits and would qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”.

Dr. Hulbert has authored numerous professional papers, was the recipient of the Barlow Medal from CIM in 1993, a Robinson Distinguished Lecturer for the Geological and Mineralogical Association of Canada for 2001-2002, and in 2003 received the Earth Sciences Sector Merit Award from Natural Resources Canada.

Matrix GeoTechnologies Ltd (Matrix) has been engaged by Corazon to design, complete and analyse an Induced Polarization (IP) ground geophysical survey within the Fraser Lake Complex at Lynn Lake. Matrix is a Canadian based geophysical consultancy, leading the field in multi-disciplinary geoscientific surveying, interpretation and presentation. Matrix is active worldwide and has considerable experience in the Lynn Lake region and in particular within the mining centre.

Matrix senior geophysicists engaged by Corazon for the current IP survey include Dr Kapllani and Mr Genc Kallfa. Dr. Kapllani (PhD AIPG) is the co-founder and President of Matrix with over 35 years’ experience in geophysical methodology and research gained over countless assignments spreading across North America, Europe, Africa, Asia, and South America. Mr. Kallfa (BSc PGeo) has more than 29 years’ experience and is co-founder and CEO of Matrix as well as a member of Association of Professional Geoscientists of Ontario. Both Dr Kapllani and Mr Kallfa would qualify as Competent Persons as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”.

Forward Looking Statements: This announcement contains certain statements that may constitute “forward looking statement”. Such statements are only predictions and are subject to inherent risks and uncertainties, which could cause actual values, results, performance achievements to differ materially from those expressed, implied or projected in any forward looking statements.

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==

==> picture [197 x 84] intentionally omitted <==

ASX ANNOUNCEMENT

28 April 2016

Schedule of Tenements

CORAZON MINING LIMITED CONSOLIDATED BASIS SCHEDULE OF INTERESTS IN MINING TENEMENTS

(as required by ASX Listing Rule 5.3.3)

CORAZON MINING LIMITED CONSOLIDATED BASIS
SCHEDULE OF INTERESTS IN MINING TENEMENTS
**(as required by ASX Listing Rule 5.3.3) **
CORAZON MINING LIMITED CONSOLIDATED BASIS
SCHEDULE OF INTERESTS IN MINING TENEMENTS
**(as required by ASX Listing Rule 5.3.3) **
CORAZON MINING LIMITED CONSOLIDATED BASIS
SCHEDULE OF INTERESTS IN MINING TENEMENTS
**(as required by ASX Listing Rule 5.3.3) **
CORAZON MINING LIMITED CONSOLIDATED BASIS
SCHEDULE OF INTERESTS IN MINING TENEMENTS
**(as required by ASX Listing Rule 5.3.3) **
CORAZON MINING LIMITED CONSOLIDATED BASIS
SCHEDULE OF INTERESTS IN MINING TENEMENTS
**(as required by ASX Listing Rule 5.3.3) **
Project Mining tenements held Location of
tenements
Beneficial % interest
at the end of the
quarter
Change in the
quarter
LYNN LAKE P7700E Canada 100%1
LYNN LAKE P7698E Canada 100%1
LYNN LAKE P8370E Canada 100%1
LYNN LAKE P7699E Canada 100%1
LYNN LAKE P7702E Canada 100%1
LYNN LAKE P3163F Canada 100%1
LYNN LAKE P3164F Canada 100%1
LYNN LAKE P3165F Canada 100%1
LYNN LAKE P2291F Canada 100%1
LYNN LAKE P3534F Canada 100%1
LYNN LAKE MB2482 Canada 100%1
LYNN LAKE MB3566 Canada 100%1
LYNN LAKE MB3567 Canada 100%1
LYNN LAKE P1045F Canada 100%1
LYNN LAKE MB3580 Canada 100%1
LYNN LAKE MB3581 Canada 100%1
LYNN LAKE MB7346 Canada 100%1
LYNN LAKE MB7349 Canada 100%1
LYNN LAKE MB7350 Canada 100%1
LYNN LAKE MB7025 Canada 100%1
LYNN LAKE MB7361 Canada 100%1
LYNN LAKE MB7362 Canada 100%1

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==

==> picture [197 x 84] intentionally omitted <==

ASX ANNOUNCEMENT

28 April 2016

LYNN LAKE MB6364 Canada 100%1
LYNN LAKE MB5175 Canada
100%1
LYNN LAKE MB5701 Canada 100%1
LYNN LAKE MB8734 Canada 100%1
LYNN LAKE MB8735 Canada 100%1
LYNN LAKE MB9218 Canada 100%1
LYNN LAKE MB5399 Canada 100%1
LYNN LAKE MB6360 Canada 100%1
LYNN LAKE MB6361 Canada 100%1
LYNN LAKE MB6362 Canada 100%1
LYNN LAKE MB6363 Canada 100%1
LYNN LAKE MB9453 Canada 100%1
LYNN LAKE MB5672 Canada 100%1
LYNN LAKE MB5669 Canada 100%1
LYNN LAKE MB10070 Canada 100%1
LYNN LAKE MB10071 Canada 100%1
LYNN LAKE MB10085 Canada 100%1
LYNN LAKE MB10086 Canada 100%1
LYNN LAKE MB10382 Canada 100%1
LYNN LAKE MB10383 Canada 100%1
LYNN LAKE MB10384 Canada 100%1
LYNN LAKE MB10387 Canada 100%1
LYNN LAKE MB10388 Canada 100%1
VICTORY PROJECT MB11328 Canada 100%2
VICTORY PROJECT MB11388 Canada 100%2
VICTORY PROJECT MB11389 Canada 100%2
VICTORY PROJECT MB11390 Canada 100%2
VICTORY PROJECT M2228 Canada 100%2

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==

==> picture [197 x 84] intentionally omitted <==

ASX ANNOUNCEMENT

28 April 2016

VICTORY PROJECT M2229 Canada 100%2
VICTORY PROJECT M2230 Canada 100%2
VICTORY PROJECT M2232 Canada 100%2
VICTORY PROJECT M2233 Canada 100%2
VICTORY PROJECT M2234 Canada 100%2
VICTORY PROJECT M2248 Canada 100%2
VICTORY PROJECT M2249 Canada 100%2
VICTORY PROJECT M2251 Canada 100%2
VICTORY PROJECT M2252 Canada 100%2
VICTORY PROJECT M2253 Canada 100%2
VICTORY PROJECT M2254 Canada 100%2
VICTORY PROJECT M2255 Canada 100%2
VICTORY PROJECT M2256 Canada 100%2
VICTORY PROJECT ML77 Canada 100%2
VICTORY PROJECT ML90 Canada 100%2
BARRINGTON LAKE MB9634 Canada 100%1

NOTES:

1. Option to acquire up to 100% of Lynn Lake and Barrington Lake Projects; for terms of the agreement, refer to prior announcement dated 09/08/12.

2. Acquired up to 100% of the Victory Project; for terms of the agreement, refer to prior announcement dated 01/04/15.

==> picture [196 x 8] intentionally omitted <==

==> picture [199 x 8] intentionally omitted <==

==> picture [198 x 8] intentionally omitted <==