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FOCUS MINERALS LTD — Capital/Financing Update 2020
Jul 8, 2020
64932_rns_2020-07-08_11721715-93e4-45ef-9a2f-605f70c4fcb8.pdf
Capital/Financing Update
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Market Announcement
09 July 2020
81% Increase in Greenfields Mineral Resources Underpins Coolgardie PFS Update
Highlights:
-
Overhaul of Greenfields open pit resource model delivers an 81% increase in Mineral Resource;
-
Underpins Focus’ decision to update Coolgardie Gold Project PFS;
-
Clear pathway for fast-tracked return by Focus to gold production;
-
Part of strategy to fund flagship Laverton Gold Project
West Australian gold explorer Focus Minerals ( ASX: FML ) ( Focus or the Company ) is pleased to announce the new JORC 2012 Minerals Resource for the Greenfields gold deposit ( Greenfields ), as a result of a comprehensive review of the historical resource model that was used in the 2017 Prefeasibility Study ( 2017 PFS ).[1]
Greenfields is part of Focus’ Coolgardie Gold Project ( Coolgardie ), which covers 175km[2] of highly prospective tenements on the outskirts of the Coolgardie township in the Goldfields.
The new JORC 2012 open pit resource model for Greenfields is reported above 230mRL (to 170m below surface) using a 0.8g/t Au cut-off grade and comprises:
| Classification | Tonnage (Mt) | Au Grade(g/t) | Au Contained Oz |
|---|---|---|---|
| Measured | 1.15 | 1.75 |
64,606 |
| Indicated | 1.52 | 1.53 |
74,517 |
| Total Mineral Resource | 2.66 | 1.62 |
139,123 |
Focus is currently updating the 2017 PFS with the new Greenfields resource model and a much more favourable gold price. The updated PFS could pave the way for a return to mining at Coolgardie, which would add significant value for the Company’s shareholders as well as generate funding for our flagship development opportunity, the 100%-owned Laverton Gold Project.
Commenting, Focus Minerals’ CEO, Mr Zhaoya Wang, said:
“ On behalf of the Board of Directors, I would like to commend the team for the diligent work in reexamining historical data of Greenfields. We look forward to what the new PFS could bring to Coolgardie.
1 ASX Announcements dated 29 May 2017 and 13 October 2017.
Focus Minerals Limited ACN 005 470 799 | ABN 56 005 470 799 | ASX: FML Level 2, 159 Adelaide Terrace, East Perth WA 6004 | PO Box 3233, East Perth WA 6892 T +61 (0) 8 9215 7888 | F +61 (0) 8 9215 7889 | E [email protected] | W focusminerals.com.au
Page 1 of 19
At the same time, Focus is continuing its exploration efforts at our 100%-owned Laverton Gold Project. In line with our stated commitments, the Laverton PFS study will be completed by December 2020.”
The Greenfields Ore Reserve in the 2017 PFS should not be relied upon as it was built on the previous resource model. The updated PFS will be completed in early August, which will provide the updated ore reserve numbers.
Greenfields Open Pit Gold Deposit
Revised approach to deal with historic misunderstanding
The Greenfields Open Pit ( OP ) Gold Deposit is located 3.8km north-east of the Coolgardie township and 400m east of Focus’ Three Mile Hill processing plant (Figure 1).
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Figure 1: Location of Greenfields Open Pit
Market Announcement | Page 2 of 19
Greenfields was mined by Focus for a short period in 2013. However, mining indicated major reconciliation variance between resource and mined/milled production. The resource was re-blocked to assist mining and an external consultant was engaged. The consultant’s update identified two orientations of mineralisation at Greenfields, comprising a stacked moderate dip set and a steeper set near the dolerite-black flag volcanic contact. This mineralised geology had not been reflected in the March 2012 resource model, which confined the majority of the mineralisation to a steep lode (average 75/198 dip/dip direction) located adjacent and hanging wall to the dolerite-black flag volcanic contact (Figure 2).
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Figure 2: March 2012 Resource Block Model - which was used in the 2017 PFS (red dashed line: 2017 PFS pit design)
In July 2013, mining at Coolgardie – and therefore Greenfields – was suspended because of poor production performance and high costs.
In May 2017, the Greenfields OP Mineral Resource was updated to JORC 2012 format for use in a Coolgardie PFS. The depleted JORC 2012 Greenfields OP resource, as announced to the ASX on 29 May 2017, comprised:
| Classification | Tonnage (Mt) | Au Grade(g/t) | Au Contained Oz |
|---|---|---|---|
| Measured | - | - | - |
| Indicated | 1.33 | 1.7 | 72,500 |
| Inferred | 0.66 | 2.0 | 4,500 |
| Total Mineral Resource | 1.39 | 1.7 | 77,000 |
However, the updated Mineral Resource did not factor in the two orientations of mineralisation at Greenfields. In addition, based on a then-relevant Australian dollar gold price of $1,580/oz, the
Market Announcement | Page 3 of 19
Coolgardie PFS ascribed a probable reserve to Greenfields of only 1,016Kt @ 1.45g/t Au for 47,100oz and a net value of $3 million.
The 2017 PFS outcomes, particularly in relation to Greenfields, were not considered sufficient for immediate follow-up and operational attention. This prompted Focus to prioritise its attention on the Laverton Gold Project as other commercialisation options for Coolgardie, including a divestment of the project, were considered.
In June 2020, Focus commissioned Mining One to update the 2017 Coolgardie PFS using a revised Australian gold price of $2,200/oz. During the initial stage of data handover, the Greenfields model was reviewed in-house by the Focus exploration team (which was not employed by the Company in 2013) and the discrepancy in modelled orientation noted. This led to Focus announcing today an 81% increase in Greenfields OP Mineral Resource, as reported above 230mRL (to 170m below surface) using a 0.8g/t Au cut-off grade, and comprising:
| Classification | Tonnage (Mt) | Au Grade(g/t) | Au Contained Oz |
|---|---|---|---|
| Measured | 1.15 | 1.75 | 64,606 |
| Indicated | 1.52 | 1.53 | 74,517 |
| Inferred | - | - | - |
| Total Mineral Resource | 2.66 | 1.62 | 139,123 |
The Greenfields OP Mineral Resource is reported on a dry tonnage basis. The measured component of this resource has been subject to grade-control drilling to approximately ~7-10m spacing and falls within the OP shell as designed by Coolgardie’s 2017 PFS. In total, 146 RC grade-control holes were drilled at Greenfields in 2013 for 5,847m. These holes and pit observations by an external mining consultant during 2013 provided the additional information required to comprehensively remodel the Greenfields OP resource.
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Figure 3: July 2020 Greenfields Open Pit Resource Model (red dashed line: 2017 PFS pit design)
Market Announcement | Page 4 of 19
The new model is supported by dense grade control drilling and has comprehensively delineated two orientations of mineralisation at Greenfields. The primary mineralised orientation comprises four stacked steep lodes (Domains 8-11 with average 54/190 dip/dip direction). These lodes terminate at the footwall dolerite-black flag volcanic contact (contact has average orientation of 75/201 dip/dip direction) in the northern part of the OP. The steep lodes are in general mostly greater than 4m thick and average 8-10m width. This orientation differs significantly from the 2012 resource where the majority of steep mineralisation was modelled on the hanging wall and sub-parallel to the dolerite- black flag volcanic contact. Furthermore, top cuts have been adjusted aided by high density drilling that improved variography.
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----- Start of picture text -----
Brilliant
Komatiite Black Flag
Felsic Greenfield
Volcaniclastics Dolerite Sill
4.3 g/t
3.5 g/t
2.2 g/t
1.7 g/t
1.4 g/t
1.0 g/t
0.7 g/t
N O R T H
----- End of picture text -----
Figure 4: July 2020 Greenfields Open Pit Resource Model – looking east and down
The secondary orientation comprises a set of 24 stacked moderate dip structures (domains 1-7 and 12-29) with average orientation of 28/190 (dip/dip direction). These moderate dip structures average around 2m thickness with around 30-40% hosting mineralisation of 4m or more in thickness. The moderate dip mineralisation significantly extends to the SSW from its northern termination at the dolerite-black flag volcanic contact. The moderate dip lodes significantly broaden the width of mineralisation at Greenfields.
There are two mineral shoot plunges recognised in the 2020 Greenfields resource model. Predictably, the intersection of the moderate and steep structural sets forms a shallow ESE plunging shoot. In addition, the steeper lodes host a moderate SE-plunging shoot that generally is in parallel to the intersection of the steep shoots with the footwall dolerite-black flag volcanic contact.
Market Announcement | Page 5 of 19
Updated Coolgardie PFS
Driven by Greenfields resource update, higher sustainable gold price
Following the disappointing outcomes of the 2017 Coolgardie PFS, Focus commenced a process to divest the Coolgardie project. Despite significant interest from third parties that validated Focus’ strategic move, the Company was unable to finalise a divestment because of its inability to secure necessary approvals in a timely manner.
At the start of 2020, Focus decided to pursue other value-adding options for Coolgardie, including an investigation into the feasibility of a resumption of mining at Coolgardie. A decision was made to revisit the 2017 PFS in the context of the significantly higher external gold price environment. As explained earlier, during the data handover process to Mining One, Focus’ exploration team reassessed Greenfields’ gold potential based on a proper evaluation of the modelled orientation of the open pit mineralisation. This resulted in the significant open pit Mineral Resource upgrade for Greenfields and will play an important role in the PFS assessment of the potential viability of returning Coolgardie to production.
The Laverton Gold Project remains Focus’ core and most valuable development option. However, the significant rebasing of the gold price since 2017 means that Coolgardie could become a significant cash producer for Focus in the short to medium term, assist in providing funding for Laverton’s mine development and leave the Company as a multi-asset gold producer.
The Coolgardie PFS is expected to be completed by early August.
Market Announcement | Page 6 of 19
The release of this ASX announcement was authorised by Mr Zhaoya Wang, CEO of Focus Minerals Ltd.
For further information please contact:
For media and investor enquiries please contact:
Zaiqian Zhang Peter Klinger Chief Financial Officer Director, Investor Relations Focus Minerals Ltd. Cannings Purple Phone: +61 8 9215 7888 Phone: +61 411 251 540 Email: [email protected] Email: [email protected]
About Focus Minerals Limited (ASX: FML)
Focus Minerals is a Perth-based, ASX-listed gold exploration company focused on delivering shareholder value from its 100%-owned Laverton Gold Project and Coolgardie Gold Project, in Western Australia’s Goldfields.
The flagship Laverton Gold Project covers 386km[2] area of highly prospective ground that includes the historic Lancefield and Chatterbox Trend mines. Focus’ priority target is to confirm sufficient gold mineralisation at the Beasley Sheer Zone, Lancefield-Wedge Thrust and Karridale to support a Stage 1 production restart at Laverton. In parallel, Focus is working to advance key Laverton resource growth targets including Sickle, Ida-H and Burtville South.
Focus is committed to delivering shareholder value from the Coolgardie Gold Project, a 175km[2] tenement holding that includes the 1.2Mtpa processing plant at Three Mile Hill (on care and maintenance), by continuing exploration and value-enhancing activities.
Competent Person Statement
The information in this announcement that relates to Exploration Results is based on information compiled by Mr Alex Aaltonen, who is a Member of the Australasian Institute of Mining and Metallurgy (AusIMM). Mr Aaltonen is an employee of Focus Minerals Limited. Mr Aaltonen 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.
The Mineral Resource estimates were undertaken by Ms. Hannah Kosovich, an employee of Focus Minerals. Ms Hannah Kosovich is a member of Australian Institute of Geoscientists and has sufficient experience 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 Aaltonen and Ms Hannah Kosovich consent to the inclusion in the report of the matters based on the information in the form and context in which it appears.
Page 7 of 19
JORC Code, 2012 Edition – Table 1 Section 1 Sampling Techniques and Data
| Criteria | Explanation |
|---|---|
| Sampling techniques | • Focus Minerals Ltd (FML) RC samples were sampled on one metre intervals via a riffle splitter. • At the assay laboratory, all samples were oven dried, crushed to a nominal 10mm using a jaw crusher (core samples only) and weighed. Samples in excess of 3kg in weight were riffle split to achieve a maximum 3kg sample weight before being pulverized to 90% passing 75μm. The samples were then prepared for fire assay. • Historic RC holes have been sampled on 1m or as a 2m composite. It is unsure how the composite sampling for pre-Focus drilling would have been undertaken. • For diamond core, sample intervals are either cut on metre intervals or with intervals selected to geological boundaries down to 10cm. Core is cut in half by diamond bladed saw with half sent to the laboratory and half retained in the core tray on site. Some of the diamond core has been ¼ core sampled, this is only in the minority of cases. |
| Drilling techniques | • Drilling included in the resource estimate include RC face sampling hammer or NQ size diamond core. All FML drill core was orientated by the drilling contractor using an Ezy-mark system. Most holes were surveyed upon completion of the drilling have either been surveyed by single-shot camera, electronic multi-shot (EMS) or Gyroscopic methods. |
| Drill sample recovery | • In recent FML drilling all RC samples are drilled dry wherever possible to maximize recovery, with water injected on the outside return to minimize dust. There have been no recovery or sample quality issues for the FML drilling RC chips or drill core. • Sample recovery have been recorded in the drill hole logs for the diamond holes drilled by CGNL with no recovery issues. Historic RC drilling recovery is not recorded. |
| Logging | • FML drill holes were logged for the entire length of the hole. • All diamond core samples were orientated, marked into metre intervals and compared to the depth measurements on the core blocks. Any core loss was noted and recorded in the database. All core was logged for structure and geology using the same system as RC. The core was photographed wet and dry one tray at a time using a standardised photography jig. • All RC samples were geologically logged to record weathering, regolith, rock type, colour, alteration, mineralisation, structure and texture and any other notable features that are present. • Logging was qualitative; however, the geologists often record quantitative mineral percentage ranges. • Original drill logs have been viewed and used to validate data stored in acQuire for a majority of the pre-Focus drilling. |
| Sub-sampling techniques and sample preparation |
• FML diamond core samples were taken from half core or quarter core cut using an Almonte automatic core saw. The remainder of the core was retained in core trays. • RC samples were cone split to a nominal 2.5kg to 3kg sample weight. The drilling method was designed to maximise sample recovery and delivery of a clean, representative sample into the calico bag. • The samples were collected in a pre-numbered calico bag bearing a unique sample ID. Samples were crushed to 75μm at the laboratory and riffle split (if required) to a maximum 3kg sample weight. • Analytical methods for gold analysis for much of the historical drilling are 40g Fire Assay method and 50g Aqua Regia completed at various laboratories in Kalgoorlie and Perth. FML samples have been assayed by ALS Chemex in Kalgoorlie or Perth using a 30g Fire Assay method with an AAS finish. |
Market Announcement | Page 8 of 19
| Criteria | Explanation |
|---|---|
| • The assay laboratories’ sample preparation procedures follow industry best practice, with techniques and practices that are appropriate for this style of mineralisation. Pulp duplicates were taken at the pulverising stage and selective repeats conducted at the laboratories’ discretion. • Drilling completed by Focus is subject to rigorous quality control processes in the sampling process. Routine standards and “blanks” are inserted into the sample strings and monitored on return from the laboratory. Any failures by these control samples to be within the acceptable three standard deviation limits above and below the certified values results in a string of samples around the failed sample to be re- tested by the laboratory. • Regular reviews of the sampling were carried out by the supervising geologist and senior field staff, to ensure all procedures were followed and best industry practice carried out. • The sample sizes were considered to be appropriate for the type, style and consistency of mineralisation encountered during thisphase of exploration. |
|
| Quality of assay data and laboratory tests |
• The assay method and laboratory procedures were appropriate for this style of mineralisation. The fire assay technique was designed to measure total gold in the sample. • No geophysical tools, spectrometers or handheld XRF instruments were used. • The QA/QC process described above was sufficient to establish acceptable levels of accuracy and precision. All results from assay standards and duplicates were scrutinised to ensure they fell within acceptable tolerances. • Very little in the way of quality control data is available from sampling of the historical drilling that currently defines the resource. Drilling by Focus aimed to confirm the geometry of the ore envelope andgrade tenor encountered in historical drilling. |
| Verification of sampling and assaying |
• Significant intervals were visually inspected by company geologists to correlate assay results to logged mineralisation. • Primary data is sent in digital format to the company’s Database Administrator (DBA) as often as was practicable. The DBA imports the data into an acQuire database, with assay results merged into the database upon receipt from the laboratory. Once loaded, data was extracted for verification by the geologist in charge of the project. • Historic holes were validated against paper copies and WAMEX reports where possible. • No adjustments were made to any current or historic data. If data could not be validated to a reasonable level of certainty it was not used in any resource estimations. |
| Location of data points | • All co-ordinates and bearings use the MGA94 Zone 51 grid system. • FML drill collars were surveyed by DGPS base station instruments. • Most of the RC and diamond holes have down hole surveys by either Eastmann single shot camera, Electronic Multi-shot or Gyroscopic methods. • Historic hole collar survey methods are unknown although Gold Mines Coolgardie JV states collars were surveyed by Company Survey. |
| Data spacing and distribution |
• Drilling has been conducted on 20m by 10 – 15m spaced grid on sections orientated across strike of the ore zone at an azimuth of either 020º or 200 º and at various dips. • After mining commenced FML conducted RC Grade control drilling on a 10m x 10m staggered grid at different pit floor levels across the mineralisation, averaging 40m depth. Wider spaced drilling exists at depth up to as wide as 40m by 80m. |
| Orientation of data in relation to geological structure |
• Drilling was designed based on known geological models, field mapping, verified historical data and cross-sectional interpretation. • Drill holes were orientated at right angles to the strike of the deposit, with dip optimised for drill capabilities and dip of the mineralisation. |
Market Announcement | Page 9 of 19
| Criteria | Explanation |
|---|---|
| Sample security | • All samples were reconciled against the sample submission with any omissions or variations reported to FML. • Historic sample security is not recorded. |
| Audits or review | • Significant data validation was completed by consultants Hellmann and Schofield who completed a resource estimate in 2005. |
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
| Criteria | Explanation |
|---|---|
| Mineral tenement and land tenure status |
• Greenfields is located within Mining Lease M15/154, registered to Focus Minerals Ltd. and Focus Operations Pty Ltd of Perth, Western Australia and which is current until April 2027. • There are no current registered Native Title claims over the Coolgardie project areas. |
| Exploration done by other parties |
• Greenfields is a site of numerous historic workings including small pits and shafts. However, no production figures are available for these workings. • Modern exploration by Coolgardie Gold NL include trenching and multiple drill campaigns including RAB, RC and Diamond drilling. • Gold Mines of Coolgardie Pty Ltd (GMC), MPI Gold Pty Ltd and FML have also run drilling campaigns of RC and Diamond at Greenfields. • Focus Minerals mined the deposit by open pit extraction until July 2013. |
| Geology | • The Greenfields deposit is located within the Greenfield dolerite sill within the Coolgardie Greenstone Belt. • There are three rock types present in the pit; dolerite (south wall), felsic volcaniclastics (footwall tomineralisation) and ultramafics (North Wall). The mineralisation at Greenfields forms a conjugate set of steep and moderate dipping lodes. • Mineralisation is hosted by a quartz vein stockwork that exploits a conjugate set of brittle-ductile fractures. Bucky quartz veins have accessory pyrrhotite and arsenopyrite sulphides and sometimes visible gold is observed. Veins display crack seal textures and are commonly weakly wall rock laminated. • The wall rock to the veins is commonly bleached over 0.2 - 0-.4m intervals. |
Market Announcement | Page 10 of 19
| Criteria | Explanation | Explanation | Explanation | Explanation | Explanation | Explanation | Explanation | Explanation | Explanation | |
|---|---|---|---|---|---|---|---|---|---|---|
| Drill hole information | • Historic drilling information has been validated against publicly available WAMEX reports. Not all drill holes can be found referenced in the WAMEX reports. However, cross-checking of original drill surveys was verified against the database. Most of these holes were drilled in the excavated pit area and has been depleted from the reported resource. |
|||||||||
| WAMEX | ||||||||||
| WAMEX | ||||||||||
| Company | Drill Hole Number | Report A- | ||||||||
| Report Date | ||||||||||
| Number | ||||||||||
| Coolgardie Gold NL |
GFD093, GFD094, GFD095, GFD096, GFD097, GFD098, GFD100, GFD101, GFD102, GFD106, GFD107, GFD108, GFD109, GFD110, GFD111, GFD112, GFD113, GFD114, GFD115, GFD099, GFD103, GFD104, GFD105 |
27478 | 01-Apr-89 | |||||||
| GFW119, GFW120 | 30743 | 01-May-90 | ||||||||
| GFC119, GFC120, GFC121, GFC122, GFC123, GFC124, GFC125, GFC126, GFC127, GFC128, GFC129, GFC130, GFC131, GFC132, GFC133, GFC134, GFC135, GFC136, GFC143, GFC144, GFC145, GFC146 |
44537 | 01-May-95 | ||||||||
| GMC | GFC147, GFC148, GFC149, GFC150, GFC151, GFC152, GFC153, GFC154, GFC155, GFC156, GFC157, GFC158, GFC159 |
48019 | 01-May-96 | |||||||
| GFC160, GFC161, GFC162, GFC164, GFC165, GFC166, GFC167, GFC168 |
52248 | 01-Sep-97 | ||||||||
| MPI | GFD432, GFD433 | 66091 | 01-Feb-03 | |||||||
| GFR429, GFR430, GFR431, GFR434 | 66091 | 01-Feb-03 | ||||||||
| Redemption JV | GFDD30160-1, GFDD30220-1, GFDD30300-1, GFDD30340-1 |
74513 | 28-Feb-07 | |||||||
| GFRC29990-1, GFRC30060-1, GFRC30100-1, GFRC30120-1, GFRC30340-2, GFRC30340-3 |
74513 | 28-Feb-07 | ||||||||
| Focus Minerals Ltd |
TMHCD0009, TMHCD0011, TMHCD0017, TMHCD0018, |
92766 | 09-Feb-11 | |||||||
| TMHDD0019, TMHDD0020, TMHDD0021, TMHDD0022, TMHDD0023 |
||||||||||
• Holes not r |
eported to WAMEX FML RC grade control holes. | DEPTH 46 37 23 23 43 40 41 15 46 46 47 40 |
||||||||
| HOLEID | EAST | NORTH | RL | AZIMUTH | DIP | DEPTH | ||||
| GRC350-001 | 328028.86 | 6576479.2 | 349.509 | 1.01 | -61 | 46 | ||||
| GRC350-002 | 328029.93 | 6576503.3 | 349.896 | 0.92 | -58.6 | 37 | ||||
| GRC355-008 | 327980 | 6576464.1 | 355 | 2.12 | -59.7 | 23 | ||||
| GRC355-013 | 327990 | 6576458.3 | 355 | 0 | -60 | 23 | ||||
| GRC355-014 | 327990 | 6576468.3 | 355 | 0 | -60 | 43 | ||||
| GRC355-015 | 327990 | 6576478.3 | 355 | 5.12 | -59.5 | 40 | ||||
| GRC355-016 | 327990 | 6576488.3 | 355 | 0 | -60 | 41 | ||||
| GRC355-017 | 327990 | 6576508.3 | 355 | 0 | -60 | 15 | ||||
| GRC355-019 | 328000 | 6576463.3 | 355 | 0 | -60 | 46 | ||||
| GRC355-020 | 328000 | 6576485 | 355 | 0 | -60 | 46 | ||||
| GRC355-021 | 328000 | 6576503.3 | 355 | 6.21 | -60 | 47 | ||||
| GRC355-022 | 328000 | 6576513.3 | 355 | 2.21 | -58.1 | 40 |
Market Announcement | Page 11 of 19
| Criteria | Explanation | Explanation | |||||||
|---|---|---|---|---|---|---|---|---|---|
| GRC355-027 | 328010.11 | 6576448.7 | 354.91 | 0.01 | -59.8 | 46 | |||
| GRC355-028 | 328010.06 | 6576458.1 | 354.84 | 1.81 | -59.6 | 46 | |||
| GRC355-029 | 328009.97 | 6576468.4 | 354.81 | 0 | -60 | 24 | |||
| GRC355-030 | 328009.85 | 6576477.9 | 354.72 | 0 | -60 | 46 | |||
| GRC355-031 | 328010 | 6576508.3 | 355 | 0 | -60 | 46 | |||
| GRC355-032 | 328020.16 | 6576453.9 | 354.98 | 359.51 | -59.8 | 46 | |||
| GRC355-033 | 328019.95 | 6576473.5 | 354.95 | 0 | -60 | 46 | |||
| GRC355-034 | 328020 | 6576488.3 | 355 | 0 | -60 | 22 | |||
| GRC355-035 | 328020 | 6576508.3 | 355 | 0 | -60 | 46 | |||
| GRC355-037 | 328030 | 6576453.3 | 355 | 358.01 | -60.3 | 46 | |||
| GRC355-038 | 328030 | 6576463.3 | 355 | 352.71 | -60.7 | 35 | |||
| GRC360-002 | 328080 | 6576405.7 | 361.94 | 0 | -60 | 46 | |||
| GRC360-003 | 328079.17 | 6576415.1 | 361.414 | 0 | -60 | 46 | |||
| GRC360-004 | 328069.88 | 6576420.5 | 360.569 | 0 | -60 | 46 | |||
| GRC360-005 | 328070.3 | 6576398.6 | 360.85 | 0 | -60 | 46 | |||
| GRC360-006 | 328060.42 | 6576405.7 | 360.24 | 0 | -60 | 46 | |||
| GRC360-007 | 328060.04 | 6576414.9 | 360.17 | 0 | -60 | 46 | |||
| GRC360-008 | 328060.47 | 6576425 | 360.55 | 0 | -60 | 46 | |||
| GRC360-009 | 328049.94 | 6576430 | 360.32 | 2.52 | -59.5 | 46 | |||
| GRC360-010 | 328050.21 | 6576416.1 | 360.18 | 1.31 | -59.9 | 46 | |||
| GRC360-011 | 328050.03 | 6576400.5 | 359.74 | 0 | -60 | 46 | |||
| GRC360-012 | 328040.21 | 6576413.3 | 360.09 | 0 | -60 | 40 | |||
| GRC360-013 | 328039.85 | 6576415.3 | 360.07 | 0 | -60 | 46 | |||
| GRC360-014 | 328039.75 | 6576425.4 | 360.18 | 0 | -60 | 36 | |||
| GRC360-016 | 328089.98 | 6576390.5 | 359.685 | 0.81 | -60 | 46 | |||
| GRC360-017 | 328100.08 | 6576385.7 | 359.648 | 0.81 | -60 | 46 | |||
| GRC360-019 | 328110.07 | 6576384.2 | 359.563 | 11.52 | -57.1 | 46 | |||
| GRC360-020 | 328110.24 | 6576403.6 | 360.041 | 0.81 | -60 | 46 | |||
| GRC360-023 | 328129.87 | 6576373.9 | 359.6 | 9.62 | -58.3 | 46 | |||
| GRC360-024 | 328129.66 | 6576383.8 | 359.963 | 359.21 | -60.1 | 46 | |||
| GRC360-025 | 328129.88 | 6576393.8 | 359.573 | 0.71 | -60.7 | 46 | |||
| GRC360-026 | 328139.93 | 6576394 | 359.862 | 0.81 | -60 | 46 | |||
| GRC360-027 | 328160.02 | 6576411 | 359.829 | 0.81 | -60 | 46 | |||
| GRC360-028 | 328170.01 | 6576402.7 | 359.983 | 5.42 | -60.7 | 46 | |||
| GRC360-029 | 328170.04 | 6576412.9 | 360.022 | 0.81 | -60 | 46 | |||
| GRC360-030 | 328180.07 | 6576404.4 | 360.273 | 0.81 | -60 | 46 | |||
| GRC360-031 | 328179.82 | 6576420.8 | 360.276 | 0.81 | -60 | 46 | |||
| GRC360-032 | 328189.98 | 6576419.9 | 360.44 | 0.81 | -60 | 46 | |||
| GRC360-033 | 328189.94 | 6576429 | 360.728 | 3.12 | -59.7 | 46 | |||
| GRC360-034 | 328199.97 | 6576414.1 | 360.867 | 0.81 | -60 | 46 | |||
| GRC360-035 | 328200.12 | 6576425.2 | 360.866 | 0.81 | -60 | 46 | |||
| GRC360-036 | 328200.1 | 6576435.7 | 360.826 | 6.62 | -56.4 | 46 | |||
| GRC360-038 | 328209.59 | 6576419.4 | 361.288 | 0.81 | -60 | 46 |
Market Announcement | Page 12 of 19
| Criteria | Explanation | Explanation | |||||||
|---|---|---|---|---|---|---|---|---|---|
| GRC360-039 | 328209.93 | 6576430.6 | 361.445 | 6.01 | -61.3 | 46 | |||
| GRC360-040 | 328210.08 | 6576440.6 | 361.912 | 0.81 | -60 | 33 | |||
| GRC360-042 | 328219.53 | 6576420.6 | 361.436 | 355.92 | -57.7 | 21 | |||
| GRC360-043 | 328220.28 | 6576425.9 | 360.999 | 0.81 | -60 | 46 | |||
| GRC360-044 | 328220.04 | 6576438.8 | 360.147 | 0.81 | -60 | 30 | |||
| GRC360-045 | 328220.07 | 6576449.5 | 360.684 | 357.21 | -61.3 | 23 | |||
| GRC360-046 | 328229.84 | 6576428.5 | 360.269 | 0.81 | -60 | 43 | |||
| GRC360-049 | 328241.9 | 6576415.4 | 366.853 | 0.81 | -60 | 41 | |||
| GRC360-052 | 328249.77 | 6576416.3 | 367.848 | 7.82 | -59.7 | 33 | |||
| GRC360-053 | 328253.76 | 6576427.6 | 369.71 | 359.51 | -59.5 | 21 | |||
| GRC360-054 | 328259.59 | 6576418.7 | 368.932 | 1.81 | -59.9 | 18 | |||
| GRC370-001 | 328150.38 | 6576363 | 369.94 | 3.31 | -60.4 | 46 | |||
| GRC370-002 | 328150 | 6576372.7 | 370 | 3.92 | -60.1 | 46 | |||
| GRC370-003 | 328150 | 6576382.7 | 370 | 0.32 | -59.4 | 27 | |||
| GRC370-004 | 328159.91 | 6576362.5 | 369.92 | 2.71 | -60 | 46 | |||
| GRC370-005 | 328159.98 | 6576377.6 | 369.9 | 359.21 | -60.2 | 47 | |||
| GRC370-006 | 328169.67 | 6576362.5 | 369.87 | 1.51 | -61.1 | 46 | |||
| GRC370-007 | 328169.86 | 6576372.9 | 370.02 | 0.61 | -60.1 | 33 | |||
| GRC370-008 | 328177.65 | 6576344.3 | 370.33 | 357.92 | -59.6 | 46 | |||
| GRC370-009 | 328179.98 | 6576357.9 | 370.24 | 0.81 | -59.6 | 46 | |||
| GRC370-010 | 328179.71 | 6576367.6 | 370.26 | 357.62 | -59.6 | 46 | |||
| GRC370-011 | 328190.1 | 6576342.8 | 370.51 | 0 | -60 | 46 | |||
| GRC370-012 | 328189.88 | 6576362.3 | 370.38 | 0.22 | -59.6 | 46 | |||
| GRC370-013 | 328189.49 | 6576372.1 | 370.7 | 0.22 | -59.1 | 47 | |||
| GRC370-014 | 328200.29 | 6576332.5 | 370.53 | 359.21 | -58.8 | 46 | |||
| GRC370-015 | 328200.02 | 6576357.9 | 370.37 | 0 | -60 | 46 | |||
| GRC370-016 | 328209.56 | 6576343 | 370.44 | 358.42 | -59 | 46 | |||
| GRC370-017 | 328209.59 | 6576351.7 | 370.34 | 1.62 | -59.1 | 46 | |||
| GRC370-018 | 328209.78 | 6576362.8 | 370.36 | 357.01 | -58.9 | 46 | |||
| GRC370-019 | 328210 | 6576372.7 | 370 | 1.92 | -59.6 | 38 | |||
| GRC370-020 | 328209.75 | 6576382.5 | 370.22 | 356.51 | -59.4 | 46 | |||
| GRC370-021 | 328219.81 | 6576343 | 370.25 | 1.31 | -58.5 | 46 | |||
| GRC370-022 | 328219.73 | 6576357.8 | 370.18 | 2.12 | -59.2 | 46 | |||
| GRC370-023 | 328219.95 | 6576378 | 369.89 | 0.32 | -59.3 | 46 | |||
| GRC370-024 | 328230.04 | 6576352.6 | 370.23 | 0 | -60 | 46 | |||
| GRC370-025 | 328229.92 | 6576372.2 | 369.71 | 0 | -60 | 23 | |||
| GRC370-026 | 328229.72 | 6576382.8 | 370.07 | 2.71 | -59.9 | 46 | |||
| GRC370-027 | 328240.09 | 6576383.9 | 369.87 | 0 | -60 | 46 | |||
| GRC370-028 | 328249.76 | 6576386.7 | 369.28 | 0 | -60 | 46 | |||
| GRC370-029 | 328259.25 | 6576386.9 | 369.7 | 0 | -60 | 36 | |||
| GRC370-030 | 328160.08 | 6576397.8 | 370.3 | 0.22 | -60.3 | 46 | |||
| GRC370-031 | 328169.87 | 6576392.7 | 370.51 | 1.12 | -60.5 | 46 | |||
| GRC370-032 | 328180.13 | 6576388.5 | 370.48 | 8.52 | -59.9 | 46 |
Market Announcement | Page 13 of 19
| Criteria | Explanation | Explanation | |||||||
|---|---|---|---|---|---|---|---|---|---|
| GRC370-035 | 328199.99 | 6576387.5 | 371.06 | 2.42 | -60 | 46 | |||
| GRC370-036 | 328200.08 | 6576397.7 | 371.45 | 0.41 | -58.6 | 39 | |||
| GRC370-037 | 328189.9 | 6576398.2 | 371.19 | 359.71 | -59.4 | 46 | |||
| GRC370-038 | 328210.81 | 6576400.3 | 371.87 | 2.31 | -60.6 | 46 | |||
| GRC370-039 | 328220.05 | 6576397.7 | 372.35 | 6.01 | -57.9 | 43 | |||
| GRC370-040 | 328220.04 | 6576386.5 | 370.14 | 1.92 | -60.5 | 46 | |||
| GRC370-041 | 328229.86 | 6576396.5 | 373.09 | 0 | -60 | 46 | |||
| GRC370-042 | 328229.89 | 6576403.2 | 373.06 | 1.22 | -59.3 | 46 | |||
| GRC370-047 | 328239.87 | 6576404 | 374.03 | 4.21 | -59.3 | 46 | |||
| GRC370-049 | 328259.77 | 6576402.3 | 375.31 | 359.12 | -67.8 | 30 | |||
| GRC370-050 | 328270.41 | 6576403.4 | 375.32 | 0 | -70 | 18 | |||
| GRC370-051 | 328269.78 | 6576411.2 | 375.3 | 0 | -60 | 18 | |||
| GRC360-021 | 328119.89 | 6576393.4 | 359.672 | 1.72 | -60.1 | 46 | |||
| GRC360-022 | 328120 | 6576402.7 | 360.015 | 0.81 | -60 | 46 | |||
| GRC360-018 | 328100.1 | 6576408 | 360.176 | 1.12 | -59.7 | 46 | |||
| GRC360-047 | 328230.04 | 6576438.6 | 359.56 | 0.81 | -60 | 28 | |||
| GRC360-015 | 328042.86 | 6576434 | 360.07 | 0 | -60 | 46 | |||
| GRC360-048 | 328229.92 | 6576445.6 | 359.823 | 2.12 | -58.4 | 25 | |||
| GRC360-037 | 328200 | 6576446.1 | 360 | 0.81 | -60 | 36 | |||
| GRC360-041 | 328210 | 6576450.6 | 360 | 0.81 | -60 | 23 | |||
| GRC355-001 | 327970 | 6576473.1 | 355 | 0 | -90 | 16 | |||
| GRC355-009 | 327980 | 6576473.8 | 355 | 2.31 | -59 | 23 | |||
| GRC355-002 | 327970 | 6576478.3 | 355 | 0 | -60 | 18 | |||
| GRC350-007 | 328050.07 | 6576515.1 | 350.923 | 180.82 | -60 | 46 | |||
| GRC350-008 | 328050.04 | 6576521.8 | 351.41 | 180.82 | -60 | 46 | |||
| GRC350-012 | 328070.04 | 6576527.6 | 352.966 | 180.82 | -60 | 46 | |||
| GRC350-011 | 328060.11 | 6576530.2 | 352.768 | 180.82 | -60 | 46 | |||
| GRC350-005 | 328039.9 | 6576529 | 350.931 | 180.82 | -60 | 46 | |||
| GRC350-009 | 328049.51 | 6576532.1 | 352.393 | 180.82 | -60 | 46 | |||
| GRC350-013 | 328070.21 | 6576535.5 | 353.271 | 180.82 | -60 | 46 | |||
| GRC350-010 | 328059.99 | 6576522.3 | 351.766 | 180.82 | -60 | 21 | |||
| GRC350-003 | 328029.97 | 6576513.3 | 350.029 | 0.81 | -60 | 35 | |||
| GRC355-039 | 328030 | 6576518.3 | 355 | 4.92 | -58.6 | 23 | |||
| GT355-001 | 327991.69 | 6576519.8 | 355.143 | 340.82 | -60 | 40 | |||
| GRC355-041 | 328050 | 6576522.3 | 355 | 0 | -90 | 43 | |||
| GT355-002 | 327990.61 | 6576522.2 | 355.311 | 340.82 | -50 | 40 | |||
| GRC355-023 | 328000 | 6576523.3 | 355 | 0.71 | -59.8 | 42 | |||
| GRC355-018 | 327990 | 6576528.3 | 355 | 0 | -60 | 18 | |||
| GRC355-040 | 328030 | 6576528.3 | 355 | 0 | -60 | 17 | |||
| GRC355-024 | 328000 | 6576533.3 | 355 | 0 | -60 | 24 | |||
| GRC355-036 | 328020 | 6576533.3 | 355 | 0 | -60 | 17 | |||
| GRC355-012 | 327980 | 6576533.5 | 355 | 0 | -60 | 17 | |||
| GT355-004 | 328024.47 | 6576534.6 | 355.07 | 340.82 | -60 | 54 |
Market Announcement | Page 14 of 19
| Criteria | Explanation | Explanation | ||||||
|---|---|---|---|---|---|---|---|---|
| GT355-003 | 328023.68 | 6576536.5 | 355.196 | 340.82 | -50 | 44 | ||
| GRC350-014 | 328079.26 | 6576532.5 | 353.668 | 180.82 | -60 | 46 | ||
| GRC355-025 | 328000 | 6576543.3 | 355 | 0 | -60 | 12 | ||
| GT355-005 | 328062.51 | 6576535 | 354.668 | 340.82 | -60 | 54 | ||
| GT355-006 | 328061.24 | 6576539.1 | 354.588 | 340.82 | -50 | 47 | ||
| HOLEID | EAST | NORTH | RL | AZIMUTH | DIP | DEPTH | ||
| GFC002 | 327992.68 | 6576500.7 | 400.5 | 20 | -60 | 40 | ||
| GFC003 | 327985.85 | 6576482.2 | 399.5 | 20 | -60 | 40 | ||
| GFC005 | 328043.5 | 6576525.3 | 399.6 | 20 | -60 | 40 | ||
| GFC006 | 328036.86 | 6576506.6 | 399.3 | 20 | -60 | 40 | ||
| GFC007 | 328030.01 | 6576487.9 | 399.1 | 20 | -60 | 40 | ||
| GFC009 | 328081.94 | 6576512.8 | 399.7 | 20 | -60 | 40 | ||
| GFC010 | 328075 | 6576494 | 399.2 | 20 | -60 | 40 | ||
| GFC011 | 328068.14 | 6576475.5 | 398.9 | 20 | -60 | 40 | ||
| GFC013 | 328120.36 | 6576499.7 | 399.9 | 20 | -60 | 40 | ||
| GFC014 | 328113.79 | 6576480 | 399.4 | 20 | -60 | 40 | ||
| GFC015 | 328106.88 | 6576462 | 398.9 | 20 | -60 | 40 | ||
| GFC017 | 328157.5 | 6576486.1 | 400.5 | 20 | -60 | 40 | ||
| GFC018 | 328150.66 | 6576467.8 | 399.8 | 20 | -60 | 40 | ||
| GFC019 | 328143.89 | 6576448.7 | 399.2 | 20 | -60 | 40 | ||
| GFC021 | 328195.75 | 6576473.7 | 400.3 | 20 | -60 | 40 | ||
| GFC023 | 328181.51 | 6576435.6 | 399.2 | 20 | -60 | 40 | ||
| GFC025 | 328226.61 | 6576442 | 399.6 | 20 | -60 | 40 | ||
| GFC026 | 328219.45 | 6576423.6 | 399 | 20 | -60 | 40 | ||
| GFC027 | 328040.34 | 6576515.8 | 399.4 | 20 | -60 | 40 | ||
| GFC028 | 328033.61 | 6576497.3 | 399.1 | 20 | -60 | 50 | ||
| GFC030 | 328078.64 | 6576502.9 | 399.4 | 20 | -60 | 40 | ||
| GFC031 | 328071.61 | 6576484.3 | 397.8 | 20 | -60 | 50 | ||
| GFC033 | 328117.15 | 6576489.4 | 399.8 | 20 | -60 | 48 | ||
| GFC034 | 328110.49 | 6576471.3 | 399.1 | 20 | -60 | 50 | ||
| GFC036 | 328154.19 | 6576477.3 | 400.1 | 20 | -60 | 40 | ||
| GFC037 | 328147.11 | 6576458.2 | 399.5 | 20 | -60 | 50 | ||
| GFC039 | 328192.53 | 6576464.5 | 400 | 20 | -60 | 40 | ||
| GFC040 | 328185.24 | 6576445.5 | 399.4 | 20 | -60 | 50 | ||
| GFC042 | 328114.33 | 6576479.4 | 399.4 | 38.8 | -60 | 50 | ||
| GFC043 | 328076.73 | 6576492.2 | 399.2 | 38.8 | -60 | 50 | ||
| GFC044 | 328038.1 | 6576505.8 | 399.3 | 20 | -60 | 50 | ||
| GFC050 | 328188.64 | 6576454.7 | 399.5 | 20 | -60 | 50 | ||
| GFC051 | 328151.01 | 6576470 | 399.9 | 38.8 | -60 | 50 | ||
| GFC052 | 328047.17 | 6576535.1 | 399.8 | 20 | -60 | 40 |
Market Announcement | Page 15 of 19
| Criteria | Explanation | Explanation | |||||||
|---|---|---|---|---|---|---|---|---|---|
| GFC054 | 328085.35 | 6576521.5 | 400 | 20 | -60 | 40 | |||
| GFC061 | 328260.02 | 6576419.3 | 399.3 | 20 | -60 | 50 | |||
| GFC062 | 328254.5 | 6576407.7 | 399.3 | 20 | -60 | 50 | |||
| GFC065 | 328161.42 | 6576495.9 | 400.8 | 20 | -60 | 40 | |||
| GFC073 | 328290.5 | 6576388.1 | 398.3 | 20 | -60 | 54 | |||
| GFC075 | 328293.83 | 6576397 | 398.5 | 20 | -60 | 40 | |||
| GFC076 | 328284.47 | 6576369.2 | 398 | 20 | -60 | 60 | |||
| GFC077 | 328276.91 | 6576350.2 | 397.5 | 20 | -60 | 60 | |||
| GFC079 | 328041.94 | 6576409.7 | 399.2 | 20 | -60 | 50 | |||
| GFD029 | 328026.82 | 6576478.6 | 399.2 | 18.89 | -60 | 93 | |||
| GFD032 | 328064.59 | 6576465.3 | 399 | 18.89 | -60 | 95.2 | |||
| GFD035 | 328103.42 | 6576452.8 | 398.6 | 18.89 | -60 | 87.14 | |||
| GFD038 | 328140.09 | 6576439.8 | 399 | 18.89 | -60 | 92 | |||
| GFD041 | 328177.83 | 6576426.8 | 398.7 | 18.89 | -60 | 83.4 | |||
| GFD049 | 328215.89 | 6576414.3 | 398.6 | 18.89 | -60 | 67.01 | |||
| GFD053 | 328020.01 | 6576459.9 | 399.2 | 18.89 | -60 | 129.5 | |||
| GFD055 | 328058.53 | 6576445.9 | 398.8 | 18.89 | -60 | 134.5 | |||
| GFD057 | 328093.12 | 6576436.6 | 398.6 | 18.89 | -60 | 122 | |||
| GFD064 | 328245.37 | 6576382.4 | 398.6 | 18.89 | -60 | 79 | |||
| GFD066 | 328132.25 | 6576421.1 | 398.3 | 18.89 | -60 | 143 | |||
| GFD068 | 328170.32 | 6576408.2 | 398.3 | 18.89 | -60 | 121.5 | |||
| GFD069 | 328207.2 | 6576395.1 | 398.2 | 18.89 | -60 | 119 | |||
| GFD078 | 328050.56 | 6576428 | 398.9 | 18.89 | -60 | 146.4 | |||
| GFD080 | 328010.87 | 6576441 | 399.5 | 18.89 | -60 | 154.1 | |||
| GFD082 | 328088.1 | 6576416.5 | 398.6 | 18.89 | -60 | 133 | |||
| GFD083 | 328080.84 | 6576399 | 398.4 | 18.89 | -60 | 200 | |||
| GFD084 | 328124.89 | 6576402.1 | 398.3 | 18.89 | -60 | 151 | |||
| GFD085 | 328118.56 | 6576384.7 | 398.1 | 18.89 | -60 | 169.35 | |||
| GFD086 | 328163.23 | 6576389.4 | 397.9 | 18.89 | -60 | 131 | |||
| GFD087 | 328155.98 | 6576372 | 397.9 | 18.89 | -60 | 173 | |||
| GFD088 | 328200.38 | 6576376 | 397.9 | 18.89 | -60 | 127 | |||
| GFD089 | 328225.79 | 6576346.9 | 397 | 18.89 | -60 | 149.1 | |||
| GFD090 | 328238.19 | 6576363.3 | 398.1 | 18.89 | -60 | 126 | |||
| GFD091 | 328193.55 | 6576357.4 | 397.5 | 18.89 | -60 | 165 | |||
| GFD092 | 328128.35 | 6576411.5 | 398 | 18.89 | -60 | 141 | |||
| GFC022 | 328189.65 | 6576454.4 | 399.5 | 20 | -60 | 40 | |||
| Data aggregation methods | • | Mineralised intersections are reported width of 1m for RC holes and 0.2m for |
at a 0.5g/t Au cut-off with a minimum reporting diamond holes, composited to 1m. |
||||||
| Relationship between mineralisation widths and intercept lengths |
• | Holes were drilled orthogonal to mineralisation as much as possible, however the exact relationship between intercept width and true width cannot be estimated exactly in all cases. |
|||||||
| Diagrams | • | Refer to Figures and Tables in body of the release. | |||||||
| Balanced reporting | • • |
All drill assay results used in this estimation are published in previous news releases. Historic drill hole results available on WAMEX. |
Market Announcement | Page 16 of 19
| Criteria | Explanation |
|---|---|
| Other substantive exploration data |
• There is no other material exploration data to report at this time. |
| Further work | • Future works at Greenfields will be contingent upon the results of the Preliminary Feasibility Study which is currently underway. |
Section 3 Estimation and Reporting of Mineral Resources
(Criteria listed in section 1, and where relevant in section 2, also apply to this section)
| Criteria Explanation |
Criteria Explanation |
|---|---|
| Database integrity | • Data was geologically logged electronically; collar and downhole surveys were also received electronically as was the laboratory analysis results. These electronic files were loaded into an acQuire database by either consultants rOREdata or the company in-house Database Administrator. Data was routinely extracted to Microsoft Access during the drilling program for validation by the geologist in charge of the project. • FML’s database is a Microsoft SQL Server database (acQuire), which is case sensitive, relational, and normalised to the Third Normal Form. As a result of normalisation, the following data integrity categories exist: oEntity Integrity: no duplicate rows in a table, eliminated redundancy and chance of error. oDomain Integrity: Enforces valid entries for a given column by restricting the type, the format, or a range of values. oReferential Integrity: Rows cannot be deleted which are used by other records. oUser-Defined Integrity: business rules enforced by acQuire and validation codes set up by FML. • Additionally, in-house validation scripts are routinely run in acQuire on FML’s database and they include the following checks: oMissing collar information oMissing logging, sampling, downhole survey data and hole diameter oOverlapping intervals in geological logging, sampling, down hole surveys oChecks for character data in numeric fields • The historical Greenfields drill data was validated by the Focus data management team and the Project Geologist. This involved collaborating all collar, downhole survey, geology and assay data with existing hardcopy material as well as displaying the holes in three dimensions in Surpac to determine any unusual or unlikely trends in the data so that it could be rectified before loading into the Focus site database. This process was thorough and took a couple of months for the team to complete. |
| Site visits | • Alex Aaltonen, the Competent Person for Sections 1 and 2 of Table 1 is FML’s General Manager - Exploration and conducts regular site visits. • Hannah Kosovich, the Competent Person for Section 3 of Table 1 is FML’s Resource Geologist and last visited site in February 2014. |
| Geological interpretation |
• All available drill hole, mining data and pit mapping was used to guide the geological interpretation of the mineralisation. • The mineralised geological interpretation was generated in Seequent Leapfrog Geo implicit modelling software. • A total of 29 lodes were modelled. Four larger, steeper dipping (55o to SSW) lodes were modelled, along with 25 less continuous, shallower dipping (~28o to SSW) lodes. The shallower lodes intersect the steeper lodes near surface with “soft boundaries” meaning drill holes intersecting both mineralised lodes were shared in |
Market Announcement | Page 17 of 19
| Criteria Explanation |
Criteria Explanation |
|---|---|
| the estimation process. However, blocks in the final model were coded with the flat lying mineralised domain estimation values and associated lode codes. • Minor deviation of the lode geometry was modelled between drill holes down dip and along strike. |
|
| Dimensions | • The resource extends over a NW strike length of over 480m and includes the ~150m interval from the base of the final mined surface down to the 150mRL, some 250m below surface. • The thickness of the four steeper lodes varies from average thickness of 20m near surface pinching to an average thickness of 3m at depth. The flatter lying lodes vary from 1m to 8m wide have an average thickness of 3m. |
| Estimation and modelling techniques |
• Samples within the wireframes were composited to even 1m intervals, the dominant sample interval from historic drilling. Residual samples that did not meet the minimum length criteria (less than 0.2m) of the compositing process were appended to the adjacent sample so that all material within the wireframe was included. • Composited assay values of each domain were exported to a text file (.csv) and imported into Snowden Supervisor for geostatistical analysis. • A review of histograms, probability plots and mean/variance plots for the individual lodes revealed outlier sample values in some of the ldoes. A maximum top-cut of 15g/t Au and an average of 10g/t Au was used for the different lodes, with assays above the top-cut set to the top-cut value. • Variograms were modelled in Supervisor for the four steeper lodes and one of the flat lying lodes that had the largest number of samples. Other flay lying lodes shared this variogram. • GEOVIA Surpac Software was used for the estimation and modelling process. The model was created in GDA 94 grid co-ordinates. Block sizes for the model were 5m in Y, 10m in X and 5m in Z direction. Sub celling of the parent blocks was permitted to 1.25m in the Y direction, 2.5m in the X direction and 1.25m in the Z direction. Sub- blocking was used to best fill the wireframes and inherit the grade of the parent block. No rotation was applied to the orientation of the blocks. • Minimum (8) and maximum (20) sample numbers were selected based on a Kriging Neighbourhood analysis in Supervisor. • An elliptical search was used orientated on the lode geometry and based on range of the Variograms. • Three search passes were run in order to fill the block model with estimated Au values. After each search pass the search range was increased and the minimum number of samples was decreased. • The estimate was validated by a number of methods. An initial visual review was done by comparing estimated blocks and raw drill holes. • Tonnage weighted mean grades were compared for all lodes with the raw and top- capped drill hole values. There were no major differences. • Swath plots of drill hole values and estimated Au grades were generated in Supervisor software and showed the estimated grades honoured the trend of the drilling data. |
| Moisture | • Tonnages are estimated on a dry basis. |
| Cut-off parameters | • The Resources for Greenfields have been reported above a 0.8g/t cut-off for open pit above 230mRL. |
| Mining factors or assumptions |
• An existing open pit exists at Greenfields, mining would continue by cut-back and open cut extraction. |
| Metallurgical factors or assumptions |
• In house, metallurgical testwork has been conducted on Greenfields samples and recoveries are in theplus 90% range. |
Market Announcement | Page 18 of 19
| Criteria Explanation |
Criteria Explanation |
|---|---|
| • GMC who mined Greenfields from Dec 2003 to Jan 2005 had an overall reconciliation of ~96.9% of tonnes, 100.7% of grade and 101% of ounces milled compared to mined. |
|
| Environmental factors or assumptions |
• Greenfields deposit occurs in an area of previous disturbance with an open cut pit and associated waste dump. • The Three Mile Hill Processing Plant is currently on care and maintenance, but has all the necessary tailing facilities etc, that would allow for a restart of the plant. |
| Bulk density | • Bulk density test work was carried out on diamond core samples using a water immersion method for these determinations. • Average bulk densities were applied to modelled weathering profiles. • Bulk densities of 2.07, 2.43 and 2.87 t/m³ were applied to Oxide, Transitional and Fresh resources respectively. |
| Classification | • Resources have been classified as either Measured or Indicated based mainly on geological confidence in the geometry and continuity of the lodes. In addition, various estimation output parameters such as number of samples, search pass, kriging variance, and slope of regression have been used to assist in classification. • Measured resources have been reported inside the 2013 Pre-Feasibility Study pit design optimisation. • Indicated resources have been reported above the 230mRL given the close drill _spacing and reasonable prospects for economic extraction. _ |
| Audits or reviews | • No external audits of the mineral resource have been conducted. |
| Discussion of relative accuracy/ confidence |
• The mineral resource relates to global tonnage and grade estimates. • The Greenfields Pit has been mined in 4 campaigns in the modern era commencing in 1986 and finishing in 2005 producing some 0.98Mt @ 1.81g/t for 56,776 ounces (reconciled). |
Market Announcement | Page 19 of 19