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EMETALS LIMITED Interim / Quarterly Report 2021
64850_rns_2021-07-28_bdb68cc0-bb8e-4381-b3b3-3590262850f9.pdf
Interim / Quarterly Report
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EMETALS
LIMITED
The Manager
Market Announcements Office
Level 40, Central Park,
152-158 St George's Terrace
Perth WA 6000
ACN: 142 411 390
T: 08 6489 1600
F: 08 6489 1601
E: [email protected]
W: www.emetalslimited.com.au
Directors
Gary Lyons, Chairman
Mathew Walker, Director
Teck Siong Wong, Director
Sonu Cheema, Company Secretary
Issued Capital (ASX Code: EMT)
425,000,000 Ordinary Shares
35,000,000 Unquoted options exercisable at $0.05 on or before 31 December 2022
7,500,000 Performance Rights
29 July 2021
QUARTERLY ACTIVITIES REPORT TO 30 JUNE 2021
The Directors of eMetals Limited (ASX:EMT)(eMetals)(Company) are pleased to submit the Quarterly Activities Report and Appendix 5B for the quarter ending 30 June 2021.
HIGHLIGHTS
- Moving Loop EM survey at the Mughal Nickel Prospect, Poona Rare Metals Project, defines a bedrock EM conductor with drilling and follow-up EM planned.
- Infill AC/RC drilling at the Twin Hills Project, results pending.
- Aircore Drilling completed at Cowalinya REE Project, with 29 holes for 1243m completed, returning significant REE results.
- Reconnaissance traversing of the Codra Creek ELA09/2472 defines REE enriched granitoids with up to 0.29% TREO in rock chip sampling.
eMetals Director Mathew Walker commented: “eMetals has advanced its exploration activities across the portfolio of tenements which includes completing drilling of the Nardoo Well, Twin Hills and Cowalinya Projects.
eMetals continues to progress its projects to drill testing and evaluation with further exciting high-impact exploration in the pipeline including drill testing of highly prospective EM anomalies at the Mughal nickel project in the September quarter.”
POONA NICKEL AND COPPER PROJECT
MUGHAL PROSPECT EM CONDUCTORS IDENTIFIED
The Mughal Prospect is a greenfields nickel, copper and platinum group element prospect which eMetals Limited has developed on its 90% owned Poona Project, near Cue, Western Australia.
Evidence of potential nickel sulphide mineralization has been developed from soil sampling over mafic and ultramafic rocks carried out in 2020. Soil anomalies have been defined over approximately 9 kilometres of stratigraphy, with highly coincident geochemistry up to 0.15% Ni, 240ppm Cu, 380ppm Co and 114ppb PGE’s overlying lateritised ultramafic rocks.
Mapping of the Mughal Prospect area during the quarter has identified a series of gabbro, pyroxenite and olivine cumulate
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ultramafic rocks intruding into strongly deformed mafic metasediments ('amphibolite'). eMetals geologists interpret the arrangement of these rock types, and textures as indicative of a mafic-ultramafic intrusive complex, or 'layered intrusion' dubbed the Mindoola Bore Intrusion. This intrusion continues for ~20 kilometres along strike and is cut into three major lobes by a series of late thrusts. The majority of the intrusion is located on E20/885, as depicted in Figure 1.
Figure 1 EMT interpretation of the Mindoola Bore Intrusion and MLEM anomalies
The Mindoolah Bore Intrusion is assumed to dip subvertically or to the north and is composed of a marginal sequence of cumulate gabbro with a core of ultramafic rocks (pyroxenite and peridotite) which appears to be reversely zoned, transitioning from melagabbro, pyroxenite to harzburgite-peridotite in the core.
Mineralisation in such intrusions can often form as either disseminated to matrix textured ore in the ultramafic portions or as marginal massive and semi-massive breccia dykes or remobilised massive sulphides. The latter would match the position of the Mughal EM anomaly and the former may explain the stratigraphic conductive zones noted in the MLEM survey. These are coincident with the identified Ni-Cu-Co-PGE soil anomalies.
Further important support for nickel prospectivity has been gleaned from identification of sediments in contact with the intrusion, considered a key element of magmatic nickel mineralisation.
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During early May the Company completed the bulk of its planned Moving Loop EM survey with completion affected by Cyclone Seroja and further intense rainfall in the area late in May. The initial results show a discrete EM conductor on one traverse (1000W) which has been modelled with the initial and preliminary interpretation being two plates of conductive sulphides dipping north. The Company's geophysical contractor has suggested improving the resolution of the anomaly by conducting a smaller in-fill survey around this conductor. Completion of this survey is awaiting availability of contractors and equipment.
Figure 2 Preliminary MLEM conductor, stratigraphic targets, and planned tantalite drilling at The Raj, Mughal Prospect
A heritage survey has been completed with 40 drill sites approved for drilling which will test the margins of the ultramafic core sequence and test the Mughal EM anomaly.
eMetals has begun regional soil sampling of the Jacksons tenement (E20/896) where a substantial lithium bearing pegmatite was mapped by Venus Metals Corporation Limited. EMT's sampling will aim to repeat the successful results on E20/885 that identified The Raj and other LCT pegmatite prospects.
GASCOYNE RARE METALS PROJECTS
CODRA CREEK REE PROJECT
The Company has conducted an initial series of traverses across the Codra Creek (E09/2472) license application area with a selection of rock chip samples taken of the granitic basement, skarnified amphibolites and pegmatites.
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Results show a series of highly REE enriched granites underly the majority of the license area with a significant proportion of them containing >500ppm REE's, with a peak of 0.29% TREO+Y returned (CR0631) (Refer Figure 3). Full sampling details are given in the JORC Table 1 and 2 and significant assays >300ppm TREO are listed in the Appendix.
Figure 3 Rock chip sample results as TREO+Y from E09/2472 Codra Creek
These results highlight the potential of the Gascoyne Province granites to host REE mineralisation and potentially form, from them, secondary deposits of REE minerals. The Company will investigate the Ionic Clay model for the Gascoyne in the context of these results and ongoing project generative work.
NARDOO RARE METALS PROJECT
The Nardoo Rare Metals Project consists of four granted tenements (E09/2358, E09/2302, E09/2114 and E09/2156) and three tenement applications (E09/2464, E09/2463 and E09/2472) and is prospective for a range of strategic metal and REE mineralisation styles including tungsten and REE bearing skarns.
The Company completed 29 RC holes for 1,987m of drilling, testing the Nardoo tungsten skarns and the Beryl Well Pegmatites.
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Figure 4 April 2021 exploration work, Nardoo Rare Metals Project
The Nardoo Tungsten Skarns were drilled with 5 RC holes for 233m completed. Results were disappointing as assays have returned thin, low-grade mineralization as detailed below.
- NWRC001 1m @ 0.18% WO₃ from 14m
- NWRC002 NSR
- NWRC003 NSR
- NWRC004 4m @ 0.16% WO₃ from 5m
- NWRC005 NSR
Mineralisation is hosted within skarnified calc-silicate sediment. The skarn appears to be very poddy, with scheelite mineralization associated with late quartz veins. Lack of continuity in the drilling shows little potential of discovery of a significant body of mineralization.
Drilling of the Beryl Well pegmatites showed thick, tabular pegmatites of many hundreds of metres in strike and with good dip continuity. However, results were disappointing, with no anomalous lithium, tantalum or niobium returned from the Beryl Well pegmatites. REE results were lower than the enclosing granites, which downgrades these pegmatites for REE mineralization.
The source of the coarse tantalite and beryl is unknown and lack of mineralization is disappointing despite the recovery of sizeable specimens by company personnel. Lack of widespread mineralization in the drilling suggests that the pegmatites are not pervasively mineralized, and might contain very localized segregations, pods or vughs of economic minerals. The prospect has therefore been downgraded and the Company is reviewing the Cairn Hill REE prospect in light of this data.
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SOUTH-WEST RARE EARTHS PROJECTS
COWALINYA REE PROJECT
The Cowalinya Project (E62/2049 and E63/2066) is located approximately 30km east of the locality of Salmon Gums. EMT acquired 100% of the Cowalinya, Chiggarie Rock and Dodgey-Torquata Projects, by way of acquisition of SOC Resources Pty Ltd (Refer ASX release 04 April 2021).
The geology of the project is comprised of deeply weathered Archaean and Proterozoic gneisses. The Project is prospective for Ionic Adsorption Clay (IAC) Type REE deposits. The Project demonstrates the key features associated with ionic clay deposits; deep and intense weathering, and REE-enriched bedrock.
Historical Exploration
The Cowalinya Project has been explored historically for gold with 770 auger drill holes and 17 air core holes for 635m drilled on the tenements. Auger samples were taken to analyse pedogenic calcrete for gold. Auger samples were assayed for 52 elements, including REE's, and Au using Aqua Regia B/ETA digest with a mass spectrometry or optical emissions spectrometry finish. Auger drilling in the Project area has defined laterite with up to 1,108ppm TREO + Y (NOR00702, 413798E 6338675N) with a substantial proportion of auger results in excess of 180ppm TREO+Y. Please refer below to Figure 5.
Figure 5 Auger REE results (as TREO+Y), Cowalinya Project
Aircore Drilling
The Company completed 29 vertical air core holes at Cowalinya in May 2021 utilising a slimline RC rig with hammer bit. Drilling was completed to the base of oxidation and sampled on a 2-metre composite basis via scoop, with the end of hole sample submitted for a comprehensive multi-element assay. End of hole samples remain outstanding at the time of this report and are unlikely to materially change the outcome of the program.
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Figure 6 Aircore holes drilled at Cowalinya, May 2021
Drilling And Assay Methods
Holes at Cowalinya were drilled vertically and sampled on a 2m composite basis. Work by Salazar Minerals Pty Ltd (Salazar) on their Splinter REE prospect has identified a suite of soluble REE minerals such as REE phosphates, carbonates or fluorocarbonates. Salazar reported high recoverability of REE's from the Splinter REE deposit via HCl leach, aided by the (relatively) soluble mineralogy. The EMT assay schema was developed to simulate this in a quick and cost-effective manner.
Each 2-metre composite sample was dried, crushed, pulverised -75um, and subjected to a conventional 4 acid digest with 58 element quantification including REEs. Each sample was
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also then assayed via a partial leach digest using moderate strength hydrochloric acid (Intertek TL7) with 58 element quantification including REE's. This assay schema was intended to provide a near-total digestion of REE's using the 4-Acid digest with the partial digest intended to dissolve only soluble or loosely bound REE's.
Gadolinium (Gd) is not reported in the total Rare Earth Oxide results as it is not reported in the TL7 partial leach and therefore cannot be compared between the two methods. All TREO+Y (total rare earth oxides plus yttrium oxide) values are therefore calculated as Ce, La, Nd, Pr, Er, Eu, Dy, Sm, Tb, Tl, Tm, Yb and Y with elemental parts per million converted to oxides according to stoichiometric calculations. TREO+Y are reported for both 4-acid digest and TL7 partial digest methods.
Significant results are reported in Table 1 according to criteria as below.
- above a lower cut-off 300ppm TREO+Y excluding, Gd
- minimum thickness down hole of 4m
- maximum 2m of internal dilution
| Drill Hole | Base of Alluvium | Interval | 4 Acid REO | TL7 REO | % HCl Leached |
|---|---|---|---|---|---|
| CWAC001 | 38 | 4m from 36m | 636ppm | 402ppm | 67% |
| CWAC002 | 20 | 14m from 6m | 0.11% | 214ppm | 23% |
| - | - | 10m from 124m | 578ppm | 242ppm | 42% |
| - | - | 12m from 36m | 476ppm | 328ppm | 70% |
| CWAC003 | 35 | 8m from 34m | 767ppm | 352ppm | 45% |
| CWAC004 | 65 | NSR | - | - | - |
| CWAC005 | 44 | 6m from 38m | 399ppm | 300ppm | 75% |
| CWAC006 | 20 | 8m from 28m | 461ppm | 338ppm | 73% |
| CWAC007 | 44 | NSR | - | - | - |
| CWAC008 | 24 | 6m from 16m | 0.11% | 68ppm | 6% |
| CWAC009 | 37 | 6m from 26m | 650ppm | 22ppm | 4% |
| CWAC010 | 17 | 4m from 8m | 395ppm | 110ppm | 28% |
| - | - | 6m from 24m | 408ppm | 138ppm | 34% |
| - | - | 6m from 40m | 0.14% | 691ppm | 51% |
| CWAC011 | 14 | 8m from 40m | 0.14% | 622ppm | 43% |
| CWAC012 | 30 | 10m from 44m | 0.14% | 682ppm | 53% |
| CWAC013 | 12 | 5m from 34m | 0.11% | 264ppm | 23% |
| CWAC014 | 17 | 30m from 18m | 731ppm | 357ppm | 51% |
| CWAC015 | 20 | 10m from 22m | 789ppm | 208ppm | 31% |
| - | - | 6m from 42m | 434ppm | 266ppm | 61% |
| CWAC016 | 16 | 5m from 16m | 975ppm | 429ppm | 45% |
| CWAC017 | 9 | NSR | - | - | - |
| CWAC018 | 26 | NSR | - | - | - |
| CWAC019 | 16 | NSR | - | - | - |
| CWAC020 | 17 | 6m from 24m | 446ppm | 168ppm | 38% |
| - | - | 6m from 36m | 638ppm | 322ppm | 46% |
| CWAC021 | 18 | 18m from 22m | 924ppm | 296ppm | 36% |
| CWAC022 | 11 | NSR | - | - | - |
| CWAC023 | 18 | NSR | - | - | - |
| CWAC024 | 15 | 12m from 20m | 370ppm | 129ppm | 35% |
| CWAC025 | 40 | NSR | - | - | - |
| CWAC026 | 3 | NSR | - | - | - |
| CWAC027 | 14 | 16m from 18m | 644ppm | 284ppm | 43% |
| CWAC028 | 15 | 22m from 22m | 485ppm | 198ppm | 42% |
| CWAC029 | 14 | NSR | - | - | - |
Table 1. Significant rare earth element results, Cowalinya Aircore Drilling, 2021
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Analysis
Cerium comprises between 25% and 35% of TREO+Y on average, La 10-15% and Nd-Pr are a relatively constant 21-23% of TREO+Y. Yttrium oxide comprises approximately 18-25% on average with some outliers to 65%. HREE therefore comprise around 2-15%, dominated by Dysprosium (max 95 ppm), Erbium (max 63 ppm), Samarium (max 104 ppm), Terbium (max 14 ppm) and Ytterbium (max 6 ppm).
Rare earth elements within the areas of the completed drilling are present in several associations:
- anomalous concentrations in a discontinuous, relatively thin layers within the cover sequence enriched in excess of the underlying basement saprock. This layer has very low HCl extractability (4-6%) and is inferred to be composed of detrital heavy minerals such as ilmenite, rutile, allanite, monazite etc.
- broad but isolated zones of anomalous REE's in lower saprolite biotite-muscovite gneiss (200-600 ppm) with low to moderate HCl extractability (25-50%)
- discrete zones of highly anomalous REE's in saprock to fresh rock (0.1-0.14%) with moderate to high HCl extractability (40-60%) likely to be carbonates, fluorocarbonates or soluble REE phosphates.
The nature of the REE mineralogy is unknown at this stage and further work would be required to characterise the deportment of REE's.
In a positive development, the assay schema was successful at demonstrating a difference between total and partial leach digestions that relates to soluble mineralogy in the bedrock saprolite. This schema is highly effective at screening samples for soluble mineralogy and could be used more widely to detect IAC's or soluble carbonate-type REE's.
It should also be noted that the TL7 digest is a partial digest and does not represent metallurgical recoveries of rare earth elements, instead it simulates this. The extractability is therefore likely to be a minimum that could be achieved by a dedicated metallurgical investigation. However, the depth of cover in the Cowalinya area is greater than expected and provides a significant hurdle to delineation of a significant economic opportunity given the narrow, discontinuous and varied REE mineralisation present and the depth of cover overlying it.
Gold and Base Metal Results
The assay suite undertaken at Cowalinya included base metals via 4-Acid and partial leach, and base metals and precious metals via TL7 partial leach. Low level gold anomalous of up to 9 ppb has been returned from the drilling in partial leach, associated with the base of alluvium to bedrock interface. This is higher than the historical AC drilling, and potentially significant in a regional context. However, no significant Au results have been returned from the bedrock. Anomalous copper and nickel were returned from CWAC020, with 24m >300ppm Cu from 16m and 40m @ 0.07% Ni from 16m including 6m @ 0.13% Ni from 38m. This is associated with low iron, low magnesium and low level platinum (2-3 ppb) and gold (to 1.6ppb) in TL7 partial leach geochemistry. This zone is interpreted as a mafic granitoid or diorite.
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TWIN HILLS GOLD PROJECT
The Twin Hills Project consists of a single granted exploration license (E29/950) located approximately 30 km north east of Menzies and 150 km north of Kalgoorlie in the Eastern Goldfields of Western Australia. The tenement covers an area of approximately 30 km² and extends over about 10 km of strike of the greenstone sequence that hosts the excised historical Twin Hills gold mine. The tenement covers the north and south extension of the shear zone which is the interpreted host of mineralisation at Twin Hills.
The Company's initial round of RC drilling in February 2021 returned significant gold mineralisation from several holes, with previously reported best results of:
- THRC008 12m @ 0.62ppm from 40m, and 1m @ 4.10ppm from 44m, and 2m @ 2.24ppm from 49m
- THRC014 3m @ 1.97ppm from 44m
- THRC015 1m @ 4.4g/t from 32m
Based on the mineralization discovered to date and the sparse drill spacing, EMT drilled a further 25 aircore holes (using RC hammer where appropriate) to ~40m depth, and followed up the initial RC results with a further 6 RC holes for 550m drilled to test immediately around the initial discovery holes. Refer to the Appendix for a list of all drill hole details.
Figure 7 Twin Hills Aircore & RC Completed in May
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The geological logs thus far have shown a considerable amount of complexity, chlorite-biotite-muscovite alteration, disseminated sulphides and shearing of a sequence of amphibolite intruded by swarms of porphyry and granitic dykes. This is considered encouraging for the potential to discover a larger deposit of gold mineralization than first assumed.
Results show a sizeable footprint of anomalous gold in fresh amphibolite and granitoid with significant volumes of rock reporting in excess of 10ppb Au.
CORPORATE
| CATEGORY | ASX CODE | NUMBER |
|---|---|---|
| Issued Ordinary Shares | EMT | 425,000,000 |
| Options ($0.05 – 31 Dec 2022) | Unlisted Options | 35,000,000 |
| Performance Rights | Unquoted Securities | 7,500,000 |
The Company engages Cicero Group Pty Ltd for accounting, administrative and company secretarial services at $6,000 per month (exclusive of GST). Mr Mathew Walker is a shareholder in Cicero Group Pty Ltd as disclosed in the Prospectus lodged on 5 November 2019. Payments of monthly and accrued Director fees, superannuation and provision of administration/consulting services totaled $42,355 during the June quarter.
eMetals provides the following disclosures required by ASX Listing Rule 5.3.4 regarding a comparison of its actual expenditure to date since listing on 24 January 2020 against the "use of funds" statement in its Prospectus dated 5 November 2019.
| EXPENDITURE ITEM | 2 Year Use of Funds $'000 | JUN Q Use of Funds¹ $'000 | Actual JUN Q 38 $'000 | Variance $'000 | Notes and Expenditure details |
|---|---|---|---|---|---|
| Expenses of the Offer | $311 | $- | $- | $- | No costs incurred during quarter |
| Exploration Program costs and AMI | $3,200 | $386 | $882 | $496 | • Logistics planning, reconnaissance and geological mapping |
| • Geochemical sample collection (rock chip and soils) | |||||
| • Geophysical programs | |||||
| • RC Drilling Program | |||||
| • Sample transport and assay Analysis and reporting | |||||
| • Technical geologist and consultants. | |||||
| • Tenement legal, administration, reporting and management | |||||
| Acquisition costs and deposit | $50 | $- | $- | $- | Tenement applications and acquisitions. |
| Administration, Corporate and working capital | $982 | $98 | $101 | $3 | • Staff Costs |
| • Legal expenses | |||||
| • Compliance and listing fees | |||||
| • Marketing and IR | |||||
| • Accounting and Company secretarial |
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| Other - GST | $ - | $ - | - $ | - $43 | GST BAS Refund |
|---|---|---|---|---|---|
| Refund |
1 The use of funds is allocated on a budgeted basis to which expenditure incurred will be dependent on timing factors, resourcing, sequence & priority of work programs and impact of external economic & operational factors.
TENEMENT SCHEDULE AND UPDATES
During and subsequent to the June Quarter, the following tenements were granted; E20/963 Kyarra, E20/964 Kyarra West, E09/2463 Eudamullah and E09/2464 Willi Creek.
| Tenement | Project | Interest (%) | Current Area | Grant Date | App Date | Expiry Date |
|---|---|---|---|---|---|---|
| E20/0854 | CALLIE SOAK | 100 | 6 | 9/09/2016 | 15/05/2014 | 8/09/2021 |
| E09/2114 | NARDOO WELL | 100 | 42 | 28/08/2015 | 8/08/2014 | 27/08/2025 |
| E29/0950 | TWIN HILLS | 100 | 10 | 23/09/2015 | 26/02/2015 | 22/09/2025 |
| E20/0885 | POONA | 90 | 50 | 26/07/2016 | 1/10/2015 | Renewal lodged |
| E09/2156 | YINNETHARRA | 100 | 35 | 6/02/2017 | 23/10/2015 | 5/02/2022 |
| E46/1095 | COOKES CREEK | 100 | 13 | 5/04/2017 | 13/11/2015 | 4/04/2022 |
| E20/0896 | POONA | 100 | 32 | 9/10/2017 | 11/02/2016 | 8/10/2022 |
| E46/1163 | COOKES CREEK | 100 | 3 | 8/02/2018 | 25/05/2017 | 7/02/2023 |
| E09/2302 | PYRAMID HILL | 100 | 34 | 13/03/2019 | 6/03/2018 | 12/03/2024 |
| E09/2358 | NARDOO WEST | 100 | 35 | 18/05/2020 | 31/07/2019 | 17/05/2025 |
| E20/0963 | KYARRA | 100 | 67 | 1/07/2021 | 5/06/2020 | 30/06/2026 |
| E20/0964 | KYARRA | 100 | 148 | 1/07/2021 | 5/06/2020 | 30/06/2026 |
| E63/2049 | DEMPSTER | 100 | 26 | 21/09/2020 | 6/07/2020 | 20/09/2025 |
| E09/2463 | LYONS | 100 | 28 | - | 21/10/2020 | - |
| E09/2464 | LYNDON | 100 | 69 | - | 21/10/2020 | - |
| E20/0976 | MEKA | 100 | 19 | - | 26/10/2020 | - |
| E63/2066 | FITZGERALD | 100 | 31 | 10/12/2020 | 26/10/2020 | 9/12/2025 |
| E70/5654 | KENT | 100 | 9 | 23/12/2020 | 5/11/2020 | 22/12/2025 |
| E09/2472 | LYONS | 100 | 40 | - | 18/11/2020 | - |
This announcement has been authorised by the Board of eMetals Limited.
For, and on behalf of, the Board of the Company
Mathew Walker
Director
EMETALS Limited
-ENDS-
Shareholders and other interested parties can speak to Mr Sonu Cheema if they have any queries in relation to this announcement: +618 6489 1600.
Forward looking statements
This announcement contains forward-looking statements which are identified by words such as 'may', 'could', 'believes', 'estimates', 'targets', 'expects', or 'intends' and other similar words that involve risks and uncertainties. These statements are based on an assessment of present economic and operating conditions, and on a number of assumptions regarding future events and actions that, as at the date of this announcement, are expected to take place. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company, the directors and our management. We cannot and do not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this prospectus will actually occur
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and investors are cautioned not to place undue reliance on these forward-looking statements. We have no intention to update or revise forward-looking statements, or to publish prospective financial information in the future, regardless of whether new information, future events or any other factors affect the information contained in this announcement, except where required by law. These forward looking statements are subject to various risk factors that could cause our actual results to differ materially from the results expressed or anticipated in these statements.
Competent Persons Statement
The information in this announcement that relates to Exploration Results is based on and fairly represents information and supporting documentation prepared by Mr Roland Gotthard. Mr Gotthard is a consultant geologist for eMetals and a member of the Australian Institute of Mining and Metallurgy. Mr Gotthard has sufficient experience relevant to the styles of mineralisation and types of deposits which are covered in this announcement and to the activity which they are 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' ("JORC Code"). Mr Gotthard consents to the inclusion in this announcement of the matters based on his information in the form and context in which it appears.
ASX Listing Rules Compliance
In preparing the Quarterly Report for the period ended 30 June 2021 and to date, the Company has relied on the following ASX announcements.
| ASX Announcement | 15/06/2021 | EXPLORATION UPDATE |
|---|---|---|
| ASX Announcement | 27/04/2021 | QUARTERLY ACTIVITIES REPORT AND APPENDIX 5B MAR 2021 |
| ASX Announcement | 12/04/2021 | EXPLORATION UPDATE |
| ASX Announcement | 29/03/2021 | EXPLORATION UPDATE |
| ASX Announcement | 25/02/2021 | HIGH GRADE GOLD IN MAIDEN DRILLING AT TWIN HILLS |
| ASX Announcement | 11/02/2021 | THE RAJ DELIVERS EXCEPTIONAL TANTALUM RESULTS |
| ASX Announcement | 4/02/2021 | ACQUISITION OF COWALINYA IONIC RARE EARTH PROJECT |
| ASX Announcement | 29/01/2021 | QUARTERLY ACTIVITIES REPORT AND APPENDIX 5B DEC 2020 |
| ASX Announcement | 8/12/2020 | EMETALS LIMITED INVESTOR PRESENTATION |
| ASX Announcement | 12/11/2020 | SIGNIFICANT NICKEL AND RARE METAL RESULTS AT POONA PROJECT |
| ASX Announcement | 30/10/2020 | QUARTERLY ACTIVITIES REPORT AND APPENDIX 5B SEP 2020 |
| ASX Announcement | 19/10/2020 | ADDITIONAL GOLD ANOMALIES DEFINED AT TWIN HILLS GOLD PROJECT |
| ASX Announcement | 28/06/2020 | ANNUAL REPORT 30 JUNE 2020 |
| ASX Announcement | 04/08/2020 | AUGER PROGRAM CONFIRMS TARGETS AT TWIN HILLS GOLD PROJECT |
| ASX Announcement | 30/07/2020 | QUARTERLY ACTIVITIES REPORT AND APPENDIX 5B JUN 2020 |
| ASX Announcement | 02/07/2020 | NEW TUNGSTEN, NIOBIUM AND RARE EARTH ANOMALIES DISCOVERED |
| ASX Announcement | 18/06/2020 | POONA PROJECT - COMPLETION OF ACQUISITION AND SETTLEMENT |
| ASX Announcement | 11/06/2020 | POONA PROJECT ACQUISITION FROM VENUS METALS CORPORATION |
| ASX Announcement | 29/05/2020 | EXPLORATION PROGRESS REPORT |
| ASX Announcement | 14/05/2020 | FURTHER EXPLORATION RESULTS - EXPLORATION RECOMMENCES |
| ASX Announcement | 29/04/2020 | QUARTERLY ACTIVITIES REPORT AND APPENDIX 5B MAR 2020 |
| ASX Announcement | 27/04/2020 | EXPLORATION RESULTS |
| ASX Announcement | 24/03/2020 | PROSPECTUS |
| ASX Announcement | 16/03/2020 | NARDOO HILL TENEMENT ACQUISITION |
| ASX Announcement | 16/03/2020 | VMC: AGREEMENT TO SELL NARDOO HILL TENEMENT |
| ASX Announcement | 9/03/2020 | NARDOO WELL EXPLORATION UPDATE |
| ASX Announcement | 5/11/2019 | PROSPECTUS |
Compliance Statement
This report contains information extracted from reports cited herein. These are available to view on the website. In relying on the above ASX announcements and pursuant to ASX Listing Rule 5.23.2, the Company confirms that it is not aware of any new information or data that materially affects the information included in the abovementioned announcements or this Quarterly Report for the period ended 30 June 2021 and to date.
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EMETALS
LIMITED
APPENDIX 1: DRILL HOLE COLLAR INFORMATION
| Hole | Type | Depth | Easting | Northing | Azimuth | Dip |
|---|---|---|---|---|---|---|
| THAC001 | AC | 46 | 317433 | 6745778 | 090 | -60 |
| THAC002 | AC | 32 | 317359 | 6745779 | 090 | -60 |
| THAC003 | AC | 45 | 317285 | 6745773 | 090 | -60 |
| THAC004 | AC | 43 | 317196 | 6745781 | 090 | -60 |
| THAC005 | AC | 46 | 317116 | 6745775 | 090 | -60 |
| THAC006 | AC | 43 | 317051 | 6745776 | 090 | -60 |
| THAC007 | AC | 67 | 317430 | 6745616 | 090 | -60 |
| THAC008 | AC | 58 | 317355 | 6745620 | 090 | -60 |
| THAC009 | AC | 60 | 317279 | 6745620 | 090 | -60 |
| THAC010 | AC | 48 | 317202 | 6745618 | 090 | -60 |
| THAC011 | AC | 60 | 317121 | 6745620 | 090 | -60 |
| THAC012 | AC | 44 | 317050 | 6745619 | 090 | -60 |
| THAC013 | AC | 60 | 317482 | 6743793 | 090 | -60 |
| THAC014 | AC | 60 | 317401 | 6743798 | 090 | -60 |
| THAC015 | AC | 56 | 317320 | 6743800 | 090 | -60 |
| THAC016 | AC | 60 | 317461 | 6743959 | 090 | -60 |
| THAC017 | AC | 49 | 317374 | 6743957 | 090 | -60 |
| THAC018 | AC | 60 | 317297 | 6743962 | 090 | -60 |
| THAC019 | AC | 67 | 317216 | 6743953 | 090 | -60 |
| THAC020 | AC | 73 | 317682 | 6743136 | 090 | -60 |
| THAC021 | AC | 48 | 317603 | 6743142 | 090 | -60 |
| THAC022 | AC | 52 | 317517 | 6743142 | 090 | -60 |
| THAC023 | AC | 60 | 317678 | 6743004 | 090 | -60 |
| THAC024 | AC | 52 | 317601 | 6743004 | 090 | -60 |
| THAC025 | AC | 52 | 317521 | 6743003 | 090 | -60 |
| THRC018 | RC | 88 | 317639 | 6743053 | 090 | -60 |
| THRC019 | RC | 85 | 317394 | 6743860 | 090 | -60 |
| THRC020 | RC | 80 | 317360 | 6745704 | 090 | -60 |
| THRC021 | RC | 120 | 317288 | 6745703 | 090 | -60 |
| THRC022 | RC | 97 | 317206 | 6745705 | 090 | -60 |
| THRC023 | RC | 80 | 317129 | 6745702 | 090 | -60 |
Table 1: Twin Hills AC and RC drilling May 2021. MGA 1994 Zone 51 S
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EMETALS
| Hole_ID | Type | Depth | Easting | Northing | Orientation |
|---|---|---|---|---|---|
| CWAC001 | AC | 41 | 423638 | 6350269 | -90/360 |
| CWAC002 | AC | 48 | 423566 | 6350099 | -90/361 |
| CWAC003 | AC | 46 | 423450 | 6349924 | -90/362 |
| CWAC004 | AC | 75 | 423308 | 6349729 | -90/363 |
| CWAC005 | AC | 78 | 423234 | 6349541 | -90/364 |
| CWAC006 | AC | 49 | 423151 | 6349362 | -90/365 |
| CWAC007 | AC | 53 | 423094 | 6349185 | -90/366 |
| CWAC008 | AC | 33 | 423048 | 6349002 | -90/367 |
| CWAC009 | AC | 43 | 422871 | 6348808 | -90/368 |
| CWAC010 | AC | 46 | 422862 | 6348605 | -90/369 |
| CWAC011 | AC | 48 | 422703 | 6348214 | -90/370 |
| CWAC012 | AC | 54 | 422572 | 6347877 | -90/371 |
| CWAC013 | AC | 40 | 422408 | 6347488 | -90/372 |
| CWAC014 | AC | 55 | 422294 | 6347111 | -90/373 |
| CWAC015 | AC | 53 | 422114 | 6346773 | -90/374 |
| CWAC016 | AC | 22 | 422023 | 6346350 | -90/375 |
| CWAC017 | AC | 13 | 421862 | 6345967 | -90/376 |
| CWAC018 | AC | 41 | 421862 | 6345967 | -90/377 |
| CWAC019 | AC | 28 | 421560 | 6345204 | -90/378 |
| CWAC020 | AC | 57 | 421496 | 6344884 | -90/379 |
| CWAC021 | AC | 50 | 421382 | 6344500 | -90/380 |
| CWAC022 | AC | 27 | 421232 | 6344115 | -90/381 |
| CWAC023 | AC | 34 | 421043 | 6343728 | -90/382 |
| CWAC024 | AC | 33 | 420960 | 6343365 | -90/383 |
| CWAC025 | AC | 43 | 420810 | 6342998 | -90/384 |
| CWAC026 | AC | 10 | 420146 | 6342287 | -90/385 |
| CWAC027 | AC | 35 | 419914 | 6341398 | -90/386 |
| CWAC028 | AC | 60 | 419740 | 6340605 | -90/387 |
| CWAC029 | AC | 28 | 419553 | 6339705 | -90/388 |
Table 2: Cowalinya Project aircore collar information.
Grid MGA1994 Zone 51 S
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EMETALS
| SAMPLE | MGA_E | MGA_N | TREO_ppm | La_ppm | Ce_ppm | Nd_ppm | Pr_ppm | Sm_ppm | Gd_ppm | Y_ppm | Th_ppm |
|---|---|---|---|---|---|---|---|---|---|---|---|
| CR0631 | 434117 | 7257659 | 2961.6 | 842.7 | 1189.8 | 255.9 | 98.3 | 25.5 | 14.9 | 44.4 | 869.1 |
| CR0618 | 433871 | 7260094 | 887.1 | 152.6 | 319.3 | 125.5 | 38.2 | 20.2 | 11.9 | 38.8 | 37.9 |
| CR0638 | 433857 | 7264987 | 765.8 | 153.1 | 274 | 93 | 29.2 | 13.3 | 8.7 | 39.6 | 45.2 |
| CR0629 | 435376 | 7256828 | 740.2 | 129.8 | 269.2 | 100.3 | 30.8 | 15.2 | 9.8 | 32.9 | 38 |
| CR0628 | 435592 | 7256418 | 713.0 | 73.2 | 359.4 | 63.3 | 19.3 | 11.5 | 8 | 29.1 | 42.9 |
| CR0633 | 431387 | 7264613 | 707.0 | 133.4 | 249.6 | 92.9 | 28.4 | 17 | 12.4 | 30.6 | 79.1 |
| CR0617 | 434264 | 7260468 | 684.5 | 130.9 | 248.5 | 88.7 | 27 | 13.7 | 8.6 | 28.9 | 33.7 |
| CR0615 | 434561 | 7262445 | 670.0 | 108.2 | 239.8 | 93 | 26.6 | 14.7 | 10.2 | 33.8 | 31.7 |
| CR0610 | 438314 | 7263196 | 624.8 | 89.4 | 173.7 | 69.8 | 20 | 14 | 12.7 | 79.2 | 25 |
| CR0644 | 432195 | 7265525 | 624.3 | 90.8 | 219.9 | 85.3 | 23.7 | 17.3 | 13.4 | 34.6 | 51 |
| CR0635 | 432684 | 7264116 | 618.8 | 135.7 | 201.5 | 80.9 | 29.3 | 13 | 7.7 | 22 | 57.7 |
| CR0634 | 432014 | 7263928 | 534.2 | 104.6 | 177.2 | 77.6 | 23.7 | 14.1 | 9.7 | 27.1 | 40.4 |
| CR0626 | 441183 | 7261610 | 492.0 | 70.3 | 141.2 | 58.8 | 16.7 | 11.5 | 9.3 | 56.4 | 34.1 |
| CR0620 | 439691 | 7262345 | 476.5 | 92.1 | 180 | 65.5 | 20.2 | 11.4 | 7.2 | 10.3 | 48.5 |
| CR0636 | 433566 | 7264047 | 457.1 | 87.3 | 176.8 | 55.8 | 17.3 | 8.2 | 5.8 | 14.9 | 39.7 |
| CR0614 | 435020 | 7263598 | 423.8 | 63.9 | 147.2 | 62.1 | 17.6 | 11.4 | 7.4 | 20.4 | 48.5 |
| CR0627 | 440694 | 7161892 | 412.2 | 67.2 | 140.9 | 56.9 | 16.8 | 11.1 | 7.7 | 25.8 | 47.5 |
| CR0642 | 433692 | 7265975 | 392.0 | 63.1 | 126.4 | 47.2 | 14.2 | 8.3 | 6.9 | 35.3 | 29.7 |
| CR0621 | 440305 | 7262375 | 384.3 | 62 | 122.2 | 47.3 | 14.1 | 9.1 | 7.4 | 38.8 | 32.8 |
| CR0639 | 433461 | 7265099 | 365.0 | 21 | 53.5 | 30.9 | 8 | 12.9 | 16.5 | 94.1 | 8.2 |
| CR0632 | 433921 | 7257765 | 345.7 | 50.8 | 95.7 | 34.7 | 10.7 | 5.9 | 5.1 | 36.3 | 24.3 |
| CR0619 | 433258 | 7259490 | 340.6 | 56.7 | 116.6 | 43.8 | 13.2 | 7.7 | 5.7 | 17.5 | 29 |
| CR0641 | 433941 | 7265983 | 325.2 | 57.3 | 110.4 | 43.2 | 12.7 | 8 | 6.1 | 20.3 | 25 |
| CR0659 | 439557 | 7263264 | 324.8 | 56.4 | 114 | 45.7 | 13.7 | 8.3 | 5.5 | 8.8 | 33.7 |
Table 3: REE results, Codra Creek Rocks
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EMETALS
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JORC CODE, 2012 EDITION – TABLE 1
- SECTION 1 SAMPLING TECHNIQUES AND DATA
(Criteria in this section apply to all succeeding sections.)
| 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. | • Rock chip samples were collected from outcrops | |
| • Stream sediment samples were taken as 115 mesh (0.1-0.4mm) dry sieved samples of outwash stream bed material | ||
| • Soil samples were taken by sieving ~100-300g of +0.4/-0.96mm material | ||
| • 100g of samples were taken in paper bags | ||
| • Every 20th sample was taken as a duplicate | ||
| • 2 standards of lithium pegmatite material were inserted every 100 samples | ||
| • Drill sampling is being undertaken via 2 metre (Cowalinya) to 4 metre (Twin Hills) composite samples in areas with no visual mineralization, and single metre cone split sampling in mineralized intervals | ||
| • Single metre sampling of all RC holes at Twin Hills was undertaken via bagged 12.5% conical split fractions taken from the drill rig | ||
| • Historical sampling methods include scoop, spear and single metre sampling via riffle or cone splitter | ||
| Drilling techniques | • 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). | • Drilling at Cowalinya and Twin Hills was undertaken with a slimline reverse circulation face-sampling hammer bit |
| • Historical drilling includes RAB, AC and RC drilling of various diameters | ||
| 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. | • Drilling recoveries were moderate to good | |
| • Sample recovery was qualitatively logged for all metre intervals with recovery, moisture and contamination noted where present | ||
| • Sample recovery was maximized via drilling of dry samples, at high air pressure | ||
| • No relationship between grade and sample recovery can be established at this time |
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| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| 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. | • Rock chip samples were qualitatively logged | |
| • AC and RC drilling is logged qualitatively by the on-site geologist from drill chip samples taken every metre | ||
| • Logging is undertaken on geology, alteration, veining, sulphides and shearing. Logging of vein and sulphide percentages is semi-quantitative | ||
| • All drill metres are logged | ||
| • Sub-sampling techniques and sample preparation | • 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 control procedures adopted for all sub-sampling stages to maximise representivity of 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 the grain size of the material being sampled. | • Soil sampling is considered an appropriate regional exploration technique | |
| • Soil samples were taken of the +0.48 to -0.96mm size fraction, dry sieved in the field | ||
| • 100g of soil is considered a sufficient mass of sample for analysis | ||
| • +1kg of rock is considered acceptable, given the sampling had to be conducted on foot | ||
| • 20th samples were field duplicated to control for sampling biases in the field. | ||
| • 2 samples from every 100 were commercially available standards. Insufficient analyses exist for a statistically robust analysis of laboratory performance but results are within acceptable deviations from published values | ||
| • Every 6th sample from the RC drilling is duplicated from an alternate sample port into a 1m bag | ||
| • Every 20th composite sample is duplicated in the field and submitted for assay | ||
| • 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. | • Cowalinya samples were analysed at Intertek Genalysis via 4 acid digest for 48 elements and rare earth elements (REE), effectively a total digest, and for 53 elements including REE via TL7 partial digest leach. | |
| • Nardoo tungsten samples were assayed via FB6 peroxide fusion REE schema a total digestion method. | ||
| • Beryl Well RC drilling was assayed via 4-acid digest with REE add-on, effectively a total digest. | ||
| • Twin Hills composite RC drill samples and auger drill samples are analysed by 33 element Aqua Regia digest plus gold | ||
| • Rock samples were analysed via full lithological characterization suite LITH204x | ||
| • Single metre RC samples are analysed by 25g lead-collection Fire Assay | ||
| • Laboratory standards, duplicates and blanks are considered appropriate for semi- |
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EMETALS
LIMITED
| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| quantitative stream sediment assaying | ||
| • 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. | • Samples were recorded in the field on hard copy maps and notebooks and locations compared to GPS data | |
| • Significant assays were verified by alternate company personnel | ||
| • Lithium, beryllium, tantalum, niobium, rare earth element and tungsten results in this release are presented as oxides, with conversion factors applied to convert from element to oxide. | ||
| • Element oxides for rare earth elements, Y, Ta, Nb and W were converted from elemental assays using conversion factors | ||
| • 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. | • Samples and drill holes were located in the field on appropriate aerial photography and fixed with a handheld Garmin GPS unit | |
| • Datum is MGA 1994 Zone 50 South (Nardoo Well) and Zone 51 South (Twin Hills, Cowalinya) | ||
| • Accuracy is +/-3m and adequate | ||
| • 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. | • N/A | |
| • 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. | • Drilling has been planned to be at a steep angle to the mapped structures but the orientation of structures to drilling at Twin Hills is not yet definitively known | |
| • Sample security | • The measures taken to ensure sample security. | • Samples were delivered by company personnel to the laboratory |
| • Audits or reviews | • The results of any audits or reviews of sampling techniques and data. | • N/A |
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EMETALS
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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. | • Heritage Access agreements with native title holders exist over the tenure | |
| • All tenure is held 100% EMT save for E20/885 which is 90% EMT | ||
| Exploration done by other parties | • Acknowledgment and appraisal of exploration by other parties. | • Exploration results were sourced from WAMEX exploration reports available from the Department of Mines and Resources of Western Australia online databases as detailed on 28th January 2021 |
| Geology | • Deposit type, geological setting and style of mineralisation. | • Nardoo Well tungsten skarn is an epidote-scheelite exoskam hosted in metamorphosed calcareous rocks |
| • Skarnified gabbro containing rare earth element enrichments have been identified as a source of REE anomalous at New Well | ||
| • Callies Soak is a wolframite bearing greisen vein within granite | ||
| • Mughal Prospect is hosted within mafic and ultramafic schists believed associated with the Gnangooragoo Complex layered intrusion | ||
| 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. | • A list of all drill hole collars, azimuths and depths is provided |
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| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| • 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. | N/A | |
| • 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’). | N/A | |
| • 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. | • A map showing tenement locations has been included |
| • Maps showing the distribution of mineralised occurrences and anomalies has been provided | ||
| • 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. | • It is unfeasible and not considered relevant to present >2,600 soil samples in tabulated form |
| • All significantly anomalous samples referred to in the text are presented in the Appendices where appropriate | ||
| • The reader is referred to the appropriate historical exploration information that is readily available from Government websites. The Company does not republish WAMEX reports in order to maintain the integrity of the data as presented by the Department of Mines and Resources. | ||
| • Significantly anomalous samples are defined by >90th percentile of sample populations OR >300% average crustal abundance for REE’s | ||
| • Photographs of mineral specimens were collected by company personnel and are provided to illustrate the nature of mineralisation | ||
| • 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 | N/A |
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EMETALS
LIMITED
| Criteria | JORC Code explanation
contaminating substances. | Commentary |
| --- | --- | --- |
| 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. | - Field work planned includes confirmation sampling of pegmatite outcrops, mapping, surface geochemistry and drilling |
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Rule 5.5
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
Name of entity
eMetals Limited
ABN
Quarter ended ("current quarter")
71 142 411 390
30 June 2021
| Consolidated statement of cash flows | Current quarter $A'000 | Year to date (12 months) $A'000 |
|---|---|---|
| 1. Cash flows from operating activities | ||
| 1.1 Receipts from customers | - | - |
| 1.2 Payments for | ||
| (a) exploration & evaluation | (106) | (711) |
| (b) development | - | - |
| (c) production | - | - |
| (d) staff costs | (42) | (248) |
| (e) administration and corporate costs | (59) | (233) |
| 1.3 Dividends received (see note 3) | - | - |
| 1.4 Interest received | 1 | 8 |
| 1.5 Interest and other costs of finance paid | - | (1) |
| 1.6 Income taxes paid | - | - |
| 1.7 Government grants and tax incentives | - | 11 |
| 1.8 Other (ATO Payments / Receivables) | 42 | 176 |
| 1.9 Net cash from / (used in) operating activities | (164) | (998) |
2. Cash flows from investing activities
2.1 Payments to acquire or for:
(a) entities
(b) tenements
(c) property, plant and equipment
(d) exploration & evaluation
(e) investments
(f) other non-current assets
ASX Listing Rules Appendix 5B (17/07/20)
- See chapter 19 of the ASX Listing Rules for defined terms.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
| Consolidated statement of cash flows | Current quarter $A'000 | Year to date (12 months) $A'000 | |
|---|---|---|---|
| 2.2 | Proceeds from the disposal of: | ||
| (a) entities | |||
| (b) tenements | |||
| (c) property, plant and equipment | |||
| (d) investments | |||
| (e) other non-current assets | - | ||
| - | |||
| - | |||
| - | |||
| - | - | ||
| - | |||
| - | |||
| - | |||
| - | |||
| 2.3 | Cash flows from loans to other entities | - | - |
| 2.4 | Dividends received (see note 3) | - | - |
| 2.5 | Other (provide details if material) | - | - |
| 2.6 | Net cash from / (used in) investing activities | (776) | (1,343) |
| 3. | Cash flows from financing activities | ||
| 3.1 | Proceeds from issues of equity securities (excluding convertible debt securities) | - | - |
| 3.2 | Proceeds from issue of convertible debt securities | - | - |
| 3.3 | Proceeds from exercise of options | - | - |
| 3.4 | Transaction costs related to issues of equity securities or convertible debt securities | - | - |
| 3.5 | Proceeds from borrowings | - | - |
| 3.6 | Repayment of borrowings | - | - |
| 3.7 | Transaction costs related to loans and borrowings | - | - |
| 3.8 | Dividends paid | - | - |
| 3.9 | Other (provide details if material) | - | - |
| 3.10 | Net cash from / (used in) financing activities | - | - |
| 4. | Net increase / (decrease) in cash and cash equivalents for the period | ||
| 4.1 | Cash and cash equivalents at beginning of period | 1,626 | 3,027 |
| 4.2 | Net cash from / (used in) operating activities (item 1.9 above) | (164) | (998) |
| 4.3 | Net cash from / (used in) investing activities (item 2.6 above) | (776) | (1,343) |
| 4.4 | Net cash from / (used in) financing activities (item 3.10 above) | - | - |
ASX Listing Rules Appendix 5B (17/07/20)
+ See chapter 19 of the ASX Listing Rules for defined terms.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
| Consolidated statement of cash flows | Current quarter $A'000 | Year to date (12 months) $A'000 | |
|---|---|---|---|
| 4.5 | Effect of movement in exchange rates on cash held | - | - |
| 4.6 | Cash and cash equivalents at end of period | 686 | 686 |
| 5. | Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts | Current quarter $A'000 | Previous quarter $A'000 |
| --- | --- | --- | --- |
| 5.1 | Bank balances | 85 | 116 |
| 5.2 | Call deposits | - | - |
| 5.3 | Bank overdrafts | - | - |
| 5.4 | Other (High Interest Account) | 601 | 1,510 |
| 5.5 | Cash and cash equivalents at end of quarter (should equal item 4.6 above) | 686 | 1,626 |
| 6. | Payments to related parties of the entity and their associates | Current quarter $A'000 | |
| --- | --- | --- | |
| 6.1 | Aggregate amount of payments to related parties and their associates included in item 1 | 42 | |
| 6.2 | Aggregate amount of payments to related parties and their associates included in item 2 | - | |
| Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments. |
ASX Listing Rules Appendix 5B (17/07/20)
+ See chapter 19 of the ASX Listing Rules for defined terms.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
| 7. | Financing facilities
Note: the term “facility” includes all forms of financing arrangements available to the entity.
Add notes as necessary for an understanding of the sources of finance available to the entity. | Total facility amount at quarter end $A'000 | Amount drawn at quarter end $A'000 |
| --- | --- | --- | --- |
| 7.1 | Loan facilities | - | - |
| 7.2 | Credit standby arrangements | - | - |
| 7.3 | Other (please specify) | - | - |
| 7.4 | Total financing facilities | - | - |
| 7.5 | Unused financing facilities available at quarter end | | - |
| 7.6 | Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well. | | |
| | - | | |
| 8. | Estimated cash available for future operating activities | $A'000 |
| --- | --- | --- |
| 8.1 | Net cash from / (used in) operating activities (item 1.9) | (164) |
| 8.2 | (Payments for exploration & evaluation classified as investing activities) (item 2.1(d)) | (776) |
| 8.3 | Total relevant outgoings (item 8.1 + item 8.2) | (940) |
| 8.4 | Cash and cash equivalents at quarter end (item 4.6) | 686 |
| 8.5 | Unused finance facilities available at quarter end (item 7.5) | - |
| 8.6 | Total available funding (item 8.4 + item 8.5) | 686 |
| 8.7 | Estimated quarters of funding available (item 8.6 divided by item 8.3) | 0.73 |
| | Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as “N/A”. Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7. | |
| 8.8 | If item 8.7 is less than 2 quarters, please provide answers to the following questions:
8.8.1 Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not? | |
| | Answer: No, exploration and evaluation expenses are expected to be lower in early September Q next financial year and in accordance with exploration work program schedules. | |
| | 8.8.2 Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful? | |
| | Answer: Yes, the Company has successfully completed capital raisings during the March quarter in the prior year and has a track record of securing funding. Any further capital raising initiatives will be progressed as and when required. EMT also has an available-for-sale listed company investment which it is able to realise at its discretion. | |
ASX Listing Rules Appendix 5B (17/07/20)
+ See chapter 19 of the ASX Listing Rules for defined terms.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
8.8.3 Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
Answer: Yes, as per the response in question 2, the Company will initiate appropriate measures to secure funding by way of capital raising as and when required.
Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered.
Compliance statement
- This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
- This statement gives a true and fair view of the matters disclosed.
Date: 29/07/2021
Authorised by: By the Board
(Name of body or officer authorising release – see note 4)
Notes
- This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity's activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
- If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.
- Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
- If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board". If it has been authorised for release to the market by a committee of your board of directors, you can insert here: "By the [name of board committee – eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee".
- If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.
ASX Listing Rules Appendix 5B (17/07/20)
+ See chapter 19 of the ASX Listing Rules for defined terms.