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.

DEVELOP GLOBAL LIMITED Regulatory Filings 2017

Dec 10, 2017

64801_rns_2017-12-10_1adb6e38-58a7-453b-92ab-01533b2db39f.pdf

Regulatory Filings

Open in viewer

Opens in your device viewer

==> picture [256 x 86] intentionally omitted <==

Multiple high-grade zinc intersections further expand potential of Sulphur Springs

All three new holes hit significant zinc and copper with hole SSD097 returning an impressive zinc interval of 11.1m @ 12.20% Zn

Highlights

  • Strong zinc and copper assays returned from three recently completed holes targeting the open pit mineralisation at Sulphur Springs.

  • Hole SSD097 returns six significant zinc intersections including:

  • 3.9m @ 4.30% Zn from 91m

  • 16m @ 9.92% Zn, 0.48g/t Au from 99m including an outstanding high-grade interval of

    • 11.1m @ 12.20% Zn, 0.53g/t Au from 103m
  • 11m @ 3.45% Zn from 138m

  • 22m @ 1.59% Zn from 153m

  • 10m @ 2.19% Zn from 178m

  • 7.6m @ 2.50% Zn from 192.6m

  • The results from this hole continue to support the potential that a new zinc lens is developing , as identified by hole SSD094 which intersected 20m @ 12.05% Zn from 83m including 4m @ 20.8% Zn (see ASX Release dated 16 November 2017).

  • Holes SSD095 and SSD096 continue to demonstrate the potential for the Sulphur Springs mineralisation to extend to the west , towards the recently identified EM target (see ASX Release dated 27 November 2017).

  • Best results from hole SSD095 include:

  • 6.9m @ 4.03% Cu from 116m and

  • 19.6m @ 5.63% Zn from 92m including an outstanding high-grade interval of

    • 9.1m @ 10.51% Zn from 102.5m
  • Best results from hole SSD096 include:

  • 10m @ 1.72% Zn from 110m

  • 9.15m @ 0.74% Cu from 149.9m

( Note: all intervals are reported as down-hole intersection widths)

Venturex Resources (ASX: VXR) is pleased to advise that the ongoing in-fill drilling programme targeting shallow mineralisation at its 100%-owned Sulphur Springs Copper-Zinc Project, located south-east of Port Hedland in WA is continuing to deliver exceptional results.

The three latest diamond holes have all returned strong zinc and copper intercepts, including hole SSD0097 which intersected strong zinc mineralisation across six separate zones.

==> picture [161 x 702] intentionally omitted <==

----- Start of picture text -----

ASX Announcement
ASX Code: VXR
Released: 11 [th] December 2017
For further details
Anthony Reilly
Executive Director
T: +61 8 6389 7400
[email protected]
Board
Tony Kiernan
Chairman
Anthony Reilly
Executive Director
Darren Stralow
Non-Executive Director
Trevor Hart
Company Secretary
Contact Details
Registered Office
Level 2
91 Havelock Street
West Perth WA 6005
T: +61 8 6389 7400
F: +61 8 9463 7836
[email protected]
www.venturexresources.com
ABN: 28 122 180 205
----- End of picture text -----

==> picture [155 x 52] intentionally omitted <==

Assays for two additional holes, SSD095 and SSD096, demonstrate the potential for the shallow mineralisation at Sulphur Springs to extend further to the west, towards a recently identified EM target. All of the results from the current drilling will be incorporated in a revised Mineral Resource estimate due for completion in Q1 2018.

Commentary

Today’s release continues to build on the previously released positive drill results for the current Sulphur Springs in-fill drilling programme, with key commentary provided below:

The results for hole SSD097 supports the significant zinc intersections reported for the previously released hole SSD094 (see ASX release dated 16 November), which returned significant zinc intercepts of 20m @ 12.05% Zn from 83m including 4m @ 20.8% Zn .

Hole SSD097 was targeted down-plunge of SSD094 and demonstrates the continuity of zinc mineralisation in this area (see Figure 1). While further drilling is required, the possibility of a new zinc lens developing in this part of the orebody continues to be an exciting development. Best results from SSD097 include:

  • 3.9m @ 4.30% from 91m

  • 16m @ 9.92% Zn, 0.48g/t Au from 99m including a high grade interval of o 11.1m @ 12.20% Zn, 0.53g/t Au from 103m

  • 11m @ 3.45% Zn from 138m

  • 22m @ 1.59% Zn from 153m

  • 10m @ 2.19% Zn from 178m

  • 7.6m @ 2.50% Zn from 192.6m

Figure 1: Cross-Section on 728,800mE, showing location of SSD097 and previously released holes SSD093 and SSD094

==> picture [435 x 303] intentionally omitted <==

2

==> picture [155 x 52] intentionally omitted <==

The results from holes SSD095 and SSD096 have significantly exceeded the Company’s expectations. When these holes are viewed together with the large EM anomaly identified recently on the western flank of the Sulphur Springs orebody (see ASX release dated 27 November 2017), this provides further evidence to support the Company’s view that the mineralisation may extend further to the west.

The assay results from today’s release and the coincident EM anomaly to the west is an exciting development and continues to open up a new area for exploration to the west.

Following up the potential for an extension of the mineralisation to the west (and other identified EM anomalies proximal to the Sulphur Springs orebody) will be a high priority for exploration at the start of the 2018 field season.

Holes SSD095 and SSD096 were drilled a further 20m to the west (see Figure 2). The holes demonstrate that mineralisation is present up to the westernmost point to be drilled in the current programme.

Best results from SSD095 include:

  • 6.9m @ 4.03% Cu from 116m and

  • 19.6m @ 5.63% Zn from 92m including o 9.1m @ 10.51% Zn from 102.5m

Best results from SSD096 include:

  • 10m @ 1.72% Zn from 110m

  • 9.15m @ 0.74% Cu from 149.5m

Figure 2: Cross-Section on 728,780mE, showing location of SSD095 and SSD096

==> picture [449 x 313] intentionally omitted <==

3

==> picture [155 x 52] intentionally omitted <==

Programme update

A further five holes have now been completed, with summary details provided below. The location of these holes is provided in Figure 3 below. It is anticipated that the program will conclude prior to Christmas with the majority of the (17) planned holes being completed. The requirement to drill any outstanding holes will be assessed in 2018 once assays have been received.

Drill hole SSD098: (728780mE/7659660mN, Dip -68°, Azimuth 037°) was drilled to a depth of 192.3m. The hole intersected four zones of sulphide mineralisation from the following downhole intervals, 8895.8m, 103.5-139.8m, 151.2 –157.3m and 159.3 – 160.4m. The hole has been logged and sent for assay.

Drill hole SSD099: (728869mE/7659709mN, Dip -80°, Azimuth 000°) was completed to a depth of 249.9. Multiple zones of sulphides were intersected. The hole is currently being logged and prepared for assay.

Drill hole SSD100: (728869mE/7659709mN, Dip -60°, Azimuth 190°) was drilled to a depth of 151.7m. The hole intersected a single zone of sulphide mineralisation from 118-141.6m down-hole. The hole has been logged and sent for assay.

Drill hole SSD101: (728875mE/7659708mN, Dip -65°, Azimuth 180°) was drilled to a depth of 154.5m. The hole intersected two zones of sulphide mineralisation from 125.8-137.1m and 138.6-142.4m down-hole. The hole has been logged and sent for assay.

Drill hole SSD102: (728875mE/7659708mN, Dip -77°, Azimuth 285°) currently in progress

Cautionary Statement : The descriptions provided above for holes SSD098, SSD099, SSD100 and SSD101 are based on visual observations. Venturex views the identified intersections as significant as the metals of interest at Sulphur Springs are hosted by a massive to semi-massive pyrite lens, intervals sent for assay bear these characteristics. No estimate of mineral percentages is provided as in Venturex’s view there is a level uncertainty associated with this method of estimation. The holes have been sent for assay with results pending. The reader is cautioned that there is no certainty the identified sulphide intervals will return assays that could be viewed as economic.

Figure 3: Plan of current drill area

==> picture [390 x 254] intentionally omitted <==

4

==> picture [155 x 52] intentionally omitted <==

Management Comment

Venturex’s Executive Director Anthony Reilly said: “The latest results provide further evidence of the strength and continuity of the shallow mineralisation at Sulphur Springs. The latest results build further on the early signs of a new zinc lens seen in recent drilling, with the exceptional zinc zones seen in SSD097 representing an exciting development for the project”.

“At the same time, we are seeing further evidence that mineralisation may extend further to the west than previously interpreted, with this potential recently identified by EM targets on the flanks of the deposit.”

“The in-fill drilling programme is on track to conclude by Christmas, with the balance of assay results expected to be received thereafter. These results will pave the way for an updated Mineral Resource estimate in the first quarter of next year which will form a key plank in our plans to fast-track this project towards a decision to mine in mid-2018.”

==> picture [100 x 63] intentionally omitted <==

Anthony Reilly Executive Director

For further information, please contact:

Investors

Anthony Reilly / Trevor Hart Media: Venturex Resources Limited Nicholas Read – Read Corporate Ph: +61 (08) 6389 7400 Ph: (08) 9388 1474 Email: [email protected] Email: [email protected]

About Venturex Resources Limited

Venturex Resources Limited (ASX: VXR) is an exploration and development company with two advanced Copper Zinc Projects near Port Hedland in the Pilbara region of Western Australia. The two projects are the Sulphur Springs Project which includes the Sulphur Springs Project, Kangaroos Caves Resource plus 27km of prospective tenements on the Panorama trend and the Whim Creek Project which includes the Resources at the Whim Creek, Mons Cupri and Salt Creek mines together with the Evelyn project and 18,100 ha of prospective tenements over the Whim Creek basin. Our strategy is to work with our partners Blackrock Metals to expand and extend the existing 4 tonne per day oxide copper heap leach and SXEW operation at Whim Creek, identify other near term production options at Whim Creek, Mons Cupri and Sulphur Springs and fully optimise the Sulphur Springs Project have it shovel ready to take advantage of forecast improvements in base metal prices.

Table 1: Tabulation of Drill results

Hole Easting Northing RL Az˚ Dip˚ EOH Interval From To Cu
%
Pb % Zn
%
Au
g/t
Ag g/t Comment
SSD089 728840 7659663 344 Vert. -90 153.7m 38.2m 97.8 136 3.49 - - - - -
Incl. 14m 111 125 5.98
8.6m 69 77.6 - - - 1.9 186 -
SSD090 728840 7659663 344 180 -81 135.7m 40.3 93.7 134 3.35 - - - - -
Incl.12.8m 93.7 106.5 6.13 - - - - -
2.4m 113.7 116.1 5.22 - 2.95 - - -
SSD091 728820 7659663 344 180 -78 141.5m 20.5m 102.2 122.7 3.06 - - - - -
Incl. 6.7m 109.1 115.8 4.87 - - - - -
SSD092 728820 7659666 344 000 -85 159.6m 18m 97 115 2.59 - - - - -
Incl. 7m 97 104 4.5 - - - - -
14.7m 128 142.7 1.84 - - - - -
incl. 2.2m 140.5 142.7 1.8 - 2.56 - - -
SSD093 728800 7659670 344 Vert. -90 133.3m 6.1m 97 103.1 2.28 - - - - -
3.1m 100 103.1 2.25 - 4.96 - - -
4.45m 114.65 119.1 1.88 - - - - -
1.1m 118 119.1 1.61 - 25.2 - - -
2.2m 126 128.2 1.77 - - - - -
SSD094 728800 7659670 344 000 -78 174.4m 20m 83 103 - - 12.05 - - -
5

==> picture [155 x 52] intentionally omitted <==

incl. 9m 84 93 - 2.24 10.9 - - -
incl. 4m 99 103 - 2.67 20.8 - - -
21.7m 119 140.7 - - 1.5 - - -
11.5m 143 154.5 - - 1.81 - - -
5m 162 167 - - 1.59 - - -
SSD095 728780 7659660 342 000 -78 138.6m 5m 106 111 0.79 - - - - -
6.9m 116 122.9 4.03 - - - - -
19.6m 92 111.6 - - 5.63 - - -
Inc 9.1m 102.5 111.6 - - 10.51 - - -
SSD096 728780 7659660 342 000 -70 230m 3.9m 93.1 97 0.71 - - - - -
9.15m 149.85 159 0.74 - - - - -
3m 101 104 - - 2.03 - - -
10m 110 120 - - 1.72 - - -
SSD097 728780 7659660 342 014 -64 220m 3.9m 91 94.9 - - 4.30 - - -
16m 99 115 - - 9.92 0.48 - -
Inc 11.1m 103 114.1 - - 12.20 0.53 - -
11m 138 149 - - 3.45 - - -
22m 153 175 - - 1.59 - - -
10m 178 188 - - 2.19 - - -
7.6m 192.6 200.2 - - 2.50 - - -
SSD098 728780 7659660 342 037 -67 192.3 - - - - - - - - Assaying
SSD099 728869 7659709 342 000 -80 249.2 - - - - - - - - Logging
SSD100 728869 7659709 342 190 -60 151.7 - - - - - - - - Assaying
SSD101 728875 7659708 342 180 -65 154.5 - - - - - - - - Assaying
SSD102 728875 7659708 342 285 -77 - - - - - - - - - Settingup

Reported intercepts are determined using length weighted averages of contiguous mineralisation. The lower cut-offs for copper and lead at 0.5% and 1% for zinc. Significant intercepts may include samples below the cut-off values if the interval is less than or equal to 2m down hole.

Competency Statements

The information in this announcement that relates to Exploration Results is based on information compiled or reviewed by Mr Stefan Gawlinski who is employed as a Consultant to the Company. Mr Gawlinski is a member of the Australian Institute of Geoscientists. Mr Gawlinski has sufficient experience with the style of mineralisation and the type of deposit under consideration. Mr Gawlinski consents to the inclusion in the report of the results reported here and the form and context in which it appears.

6

==> picture [155 x 52] intentionally omitted <==

Section 1 Sampling Techniques and Data

Criteria JORC Code explanation Commentary
Sampling
techniques

Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry
standard measurement tools appropriate to the minerals under investigation, such as down
hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken
as limiting the broad meaning of sampling.

Include reference to measures taken to ensure sample representivity and the appropriate
calibration of any measurement tools or systems used.

Aspects of the determination of mineralisation that are Material to the Public Report.

In cases where ‘industry standard’ work has been done this would be relatively simple (e.g.
‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to
produce a 30 g charge for fire assay’). In other cases more explanation may be required, such
as where there is coarse gold that has inherent sampling problems. Unusual commodities or
mineralisation types(e.g. submarine nodules) may warrant disclosure of detailed information.
Current Drilling
A combination of RC and Diamond drilling is being used to test the Sulphur Springs deposit.
The company uses industry standard practices to measure and mark up the drill core. Quarter
diamond core is to be submitted to the laboratory for analysis

Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka,
sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-
sampling bit or other type, whether core is oriented and if so, by what method, etc.).
Current Drilling
RC pre-collars followed by a combination of PQ3 and HQ3 diamond tail. All diamond core is stored
in industry standard core trays labelled with the drill hole ID and core interval.
Drill sample
recovery

Method of recording and assessing core and chip sample recoveries and results assessed.

Measures taken to maximise sample recovery and ensure representative nature of the samples.

Whether a relationship exists between sample recovery and grade and whether sample bias
may have occurred due to preferential loss/gain of fine/coarse material.
Current Drilling
Diamond core recoveries are recorded as a percentage of the measured core vs the drilling interval.
Core loss locations are recorded on core blocks by the drilling crew.
Diamond core was reconstructed into continuous runs where possible and metres checked against
the depth as recorded on core blocks by the drilling crew.
Logging
Whether core and chip samples have been geologically and geotechnically logged to a level of
detail to support appropriate Mineral Resource estimation, mining studies and metallurgical
studies.

Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.)
photography.

The total length and percentage of the relevant intersections logged.
Current Drilling
RC and Diamond drill core is geologically logged for the total length of the hole using a graphic
logging method. All core is photographed and images are stored in the company database. Logging
routinely recorded weathering, lithology, mineralogy, mineralization, structure, alteration and
veining. Logs are coded using the company geological coding legend and entered into the company
database.
The following quantative descriptions are used when logging, amongst others:

Trace less than 1% sulphides.

Disseminated and stockwork 1-50% sulphides.

Semi-massive 50-70% sulphides.

Massive sulphides greater 70%.
Sub-sampling
techniques and
sample

If core, whether cut or sawn and whether quarter, half or all core taken.

If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.

For all sample types, the nature, quality and appropriateness of the sample preparation
technique.

Quality controlprocedures adoptedfor all sub-sampling stages to maximise representivity of
Current Drilling
Drill core is cut by an automatic Almomte™ core saw and a quarter is sent for assay.
RC cuttings are split using a riffle splitter and the one metre samples from 10m interval above the
mineralised zone are individually submitted for assay. Four-metre composite samples are taken
using a PVC tube through the hangingwall sequence; the one metre composite samples returning

7

==> picture [156 x 52] intentionally omitted <==

Criteria JORC Code explanation Commentary
preparation samples.

Measures taken to ensure that the sampling is representative of the in situ material collected,
including for instance results for field duplicate/second-half sampling.

Whether sample sizes are appropriate to thegrain size of the material being sampled.
anomalous values will be submitted to elucidate the mineralisation.
Quality of assay
data and
laboratory tests

The nature, quality and appropriateness of the assaying and laboratory procedures used and
whether the technique is considered partial or total.

For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in
determining the analysis including instrument make and model, reading times, calibrations
factors applied and their derivation, etc.

Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external
laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision
have been established.
Current Drilling
The bulk density of the quarter drill core used for assay was determined by Venturex personnel on-
site using the wet and dry method.
Samples from the current drilling programme were assayed by Australian Laboratory Services Pty.
Ltd.
Composite and one metre RC samples and quarter core samples were prepared and analysed by
the following methods: Samples weighed, crushed and pulverised with the coarse residue retained
in vacuum seal bags. Cu, Pb, Zn, S, Fe and Ag analysed by method ME-OG62 and Au by fire assay
method Au-AA25.
The company included certified reference material and blanks with the samples submitted.
Verification of
sampling and
assaying

The verification of significant intersections by either independent or alternative company
personnel.

The use of twinned holes.

Documentation of primary data, data entry procedures, data verification, data storage
(physical and electronic) protocols.

Discuss any adjustment to assay data.
Current Drilling
The significant intersections reported have been prepared by geologists with relevant VMS
experience.
No twinned holes have been drilled.
The company uses standard templates created in Excel to collate sample intervals, drill collar,
downhole survey information which are emailed to the company main office were the information
is loaded into a database.
Geological descriptions are recorded in long hand prior to being summarised for digital data
capture.
Location of data
points

Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys),
trenches, mine workings and other locations used in Mineral Resource estimation.

Specification of the grid system used.

Quality and adequacy of topographic control.
Current Drilling
Drill hole collars were located using a DGPS operated by company personnel.
Diamond drill holes are down-hole surveyed by a gyro every 30m.
Data spacing and
distribution

Data spacing for reporting of Exploration Results.

Whether the data spacing and distribution is sufficient to establish the degree of geological and
grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s)
and classifications applied.

Whether sample compositing has been applied.
Current Drilling
Drill holes are to be drilled on nominal 20m sections.
Orientation of
data in relation to
geological
structure

Whether the orientation of sampling achieves unbiased sampling of possible structures and the
extent to which this is known, considering the deposit type.

If the relationship between the drilling orientation and the orientation of key mineralised
structures is considered to have introduced a sampling bias, this should be assessed and
reported if material.
Current Drilling
Drill holes are designed to test the Sulphur Springs orebody which plunges at ~40-50 degrees to the
north. SSD089 was drilled vertically, SSD090 was drilled close to SSD089 and angled at-81˚ to the
south, SSD091 and SSD092 drilled 20m to the west with SSD091 angled at -81˚to the south and
SSD092 angled at -85˚to the north. SSD093 and SSD094 are drilled on section 728,800mE, 20 m
west of the section with SSD091 and 092. SSD095, SSD096 and SSD097 are drilled on section
728,780. The drill holes have been designed to test near surface potential of sulphide
mineralisation amenable to miningbyopenpit methods and are considered appropriate for the

8

==> picture [156 x 52] intentionally omitted <==

Criteria JORC Code explanation Commentary
geometry of the deposit.
SSD097 is drilled on Section 728,780mE on an azimuth of 014˚ angled at -64˚. SSD098 is drilled on
section 728,780mE on an azimuth of 037˚ and angled at -68˚.
Sample security
The measures taken to ensure sample security.
Drill core is stored on site at Sulphur Springs: at the end of the programme it will be relocated to
the Company’s Whim Creek core-yard. The samples are dispatched from Port Hedland to the assay
laboratoryin Perth. Online trackingis used to track theprogress of batches of samples.
Audits or reviews
The results of any audits or reviews of sampling techniques and data.
No reviews have been undertaken.

9

==> picture [156 x 52] intentionally omitted <==

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria JORC Code explanation Commentary
Mineral tenement
and land tenure
status

Type, reference name/number, location and ownership including agreements or
material issues with third parties such as joint ventures, partnerships, overriding
royalties, native title interests, historical sites, wilderness or national park and
environmental settings.

The security of the tenure held at the time of reporting along with any known
impediments to obtaining a licence to operate in the area.
The Sulphur Springs deposit is located within M49/ 494. The registered owner of the tenements are
Venturex Sulphur Springs Pty Ltd, a wholly owned subsidiary of Venturex Resources Ltd
The tenement is within Njamal Native Title Claim (WC99/8) where native title has been
determined. The traditional owners of the land are the Njamal People. The grant of the tenement
predates native title, and is not subject to native title claim.
The tenement is subject to two third party royalties on any production from the tenement. The
tenement is agranted MiningLease ingood standingand no known impediments exist.
Exploration done
by other parties

Acknowledgment and appraisal of exploration by other parties.
Previous exploration has been undertaken by a number of parties going back over 30 years.
Modern exploration has been undertaken by Sipa Resources, CBH Resources, Homestake Mining,
and Venturex Resources.
Geology
Deposit type, geological setting and style of mineralisation.
The Sulphur Springs deposit is a Volcanogenic Massive Sulphide Deposit.
Drill hole
Information

A summary of all information material to the understanding of the exploration results
including a tabulation of the following information for all Material drill holes:

easting and northing of the drill hole collar

elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole
collar

dip and azimuth of the hole

down hole length and interception depth

hole length.

If the exclusion of this information is justified on the basis that the information is not
Material and this exclusion does not detract from the understanding of the report, the
Competent Person should clearly explain why this is the case.
Details of the drill holes are provided in Table 1 within the body of this report.
Data aggregation
methods

In reporting Exploration Results, weighting averaging techniques, maximum and/or
minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually
Material and should be stated.

Where aggregate intercepts incorporate short lengths of high grade results and longer
lengths of low grade results, the procedure used for such aggregation should be stated
and some typical examples of such aggregations should be shown in detail.

The assumptions used for any reporting of metal equivalent values should be clearly
stated.
Results reported in this release for SSD098, SSD099 and SSD0100, SSD101 relate to visual
observations of drill core, specifically the identification of common sulphide minerals. No estimate
of grade or concentration of the minerals is provided.
Reported intersections are based on the length weighted average of the raw assays. Any zones of
core loss or cavity are assigned a grade of zero.
Results reported are determined by ALS Laboratories using method ME-OG 62 and fire assay Au-
AA25.
Relationship
between
mineralisation
widths and
intercept lengths

These relationships are particularly important in the reporting of Exploration Results.

If the geometry of the mineralisation with respect to the drill hole angle is known, its
nature should be reported.

If it is not known and only the down hole lengths are reported, there should be a clear
statement to this effect (e.g. ‘down hole length, true width not known’).
The Sulphur Springs deposit plunges 40-50 degrees to the north; the drill holes are designed to
intersect the orebody at a nominal 60 degrees although the local access and topography require
certain holes to be designed taking these limitations into consideration to intersect the
mineralisation.
Only down hole intersections are reported.

10

==> picture [156 x 52] intentionally omitted <==

Criteria JORC Code explanation Commentary
Diagrams
Appropriate maps and sections (with scales) and tabulations of intercepts should be
included for any significant discovery being reported These should include, but not be
limited to a plan view of drill hole collar locations and appropriate sectional views.
See cross-sections and plans within this announcement
Balanced
reporting

Where comprehensive reporting of all Exploration Results is not practicable,
representative reporting of both low and high grades and/or widths should be practiced
to avoid misleading reporting of Exploration Results.
Other substantive
exploration data

Other exploration data, if meaningful and material, should be reported including (but not
limited to): geological observations; geophysical survey results; geochemical survey
results; bulk samples – size and method of treatment; metallurgical test results; bulk
density, groundwater, geotechnical and rock characteristics; potential deleterious or
contaminating substances.
The Sulphur Springs deposit has had a significant body of work completed on it, including
geophysical studies, metallurgical test work, geotechnical and ground water studies.
Further work
The nature and scale of planned further work (e.g. tests for lateral extensions or depth
extensions or large-scale step-out drilling).

Diagrams clearly highlighting the areas of possible extensions, including the main
geological interpretations and future drilling areas, provided this information is not
commercially sensitive
This announcement covers the first six drill holes in a Resource infill programme, designed to test
the potential for near surface open-pittable material. Once the holes have been drilled, samples
will be taken for follow up metallurgical test work.

11