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GALILEO MINING LTD — Regulatory Filings 2021
Dec 14, 2021
64962_rns_2021-12-14_d91f4fea-79b7-4f7c-bc11-e0971cdef2ae.pdf
Regulatory Filings
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15 December 2021
ASX: GAL
EXPLORATION UPDATE
Highlights
Corporate Directory
Directors
Chairman & MD Brad Underwood
Non-Executive Director Noel O’Brien
Non-Executive Director Mathew Whyte
Projects
Fraser Range Project Nickel-Copper-Cobalt
Norseman Project Cobalt-Nickel-Palladium
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Two diamond drill holes have been completed at the Delta Blues prospect in the Fraser Range with matrix, stringer, and disseminated sulphides intercepted
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Sulphides occur in association with tonalite intrusion (described petrographically as a trondhjemite) with further potential to be assessed through laboratory assays and down hole EM surveys
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Norseman aircore drilling program complete with 8,700 metres drilled and mineralised nickel-copper-cobalt-palladium sulphides confirmed[1]
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Assays from aircore drilling of multiple nickel and palladium prospects at Norseman are expected to be received from midJanuary onwards
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EM surveying targeting the newly discovered sulphide occurrence at Norseman is planned to commence in January with follow up drilling anticipated to occur in the first quarter of 2022
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Contact Details
T: +61 8 9463 0063 E: [email protected] W: www.galileomining.com.au 13 Colin St, West Perth, WA
Galileo Mining Ltd (ASX: GAL, “Galileo” or the “Company”) is pleased to provide an update on exploration activities at the Company’s Fraser Range and Norseman projects in Western Australia.
Figure 1 - Matrix sulphide mineralisation at 399m downhole in DBDD001 (field of view approximately 20cm across)
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(1) Refer to Galileo’s ASX announcements dated 1st December 2021
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Commenting on the exploration activities, Galileo Managing Director Brad Underwood said:
“Our exploration campaigns at the Fraser Range and Norseman projects continue to yield encouraging results. At Delta Blues, a conductive target beneath sulphide mineralisation at DB2 was tested via two diamond drill holes with matrix, stringer, and disseminated sulphides intercepted in both holes. Our focus now is on down hole EM surveys and laboratory assays, planned for the first quarter of 2022, to gain a better understanding of the prospect’s potential.
At Norseman, we have completed 8,700m of aircore drilling with mineralised nickel-copper-cobalt-palladium sulphides confirmed. We look forward to providing investors with an update on assays from this drilling which are expected to be received from mid-January onwards. Our planned activities at Norseman include EM surveying in January which will target the newly discovered sulphide occurrence. The results from this work will be used in the design of follow up drill testing at this outstanding greenfields prospect.”
Figure 2 – Cross section schematic of drill hole DBDD001 with modelled EM target
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DBDD001
EOH 436m
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– Fraser Range Project Delta Blues Prospect
The first diamond drilling campaign at the Delta Blues prospect is now complete with two holes drilled at the DB2 target (collar details in Appendix 2). Drill holes DBDD001 and DBDD002 were designed to test a conductive target beneath sulphide mineralisation previously intercepted in RC drilling. While matrix, stringer, and disseminated sulphides were intercepted in both drill holes it is unsure whether the modelled conductor can be adequately explained by the mineralisation intercepted or is in part related to graphite which accompanies some sections of the sulphide mineralisation. Observed sulphides are predominantly pyrrhotite with minor chalcopyrite. Down hole EM surveying and laboratory assaying will be required to determine whether there are further targets for drilling within the prospect area.
Geological logging recorded typical Fraser Range meta-sediments and mafic granulites as well as units of felsic (tonalite) intrusive rocks. The intrusive units occur proximal and adjacent to the sulphides and may have a causative relationship. Felsic intrusive samples from RC drill hole DBRC001 were examined petrographically under the microscope and were determined to be trondhjemite, a variety of tonalite.
Summary drill logs are provided in Appendix 1. Core samples from diamond drilling will be submitted to the laboratory for assaying with current turn-around-times of approximately eight to ten weeks.
Figure 3 ––Drill Hole Location Plan at Delta Blues DB2 with EM Target over TMI Magnetic Image
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Norseman Project
Regional aircore drilling at Norseman has now been completed with 8,700 metres drilled at multiple new nickel and palladium drill targets. Massive sulphide was intercepted in drill hole NAC105 with the drill bit unable to break through the mineralisation. Assay results showed values of 0.24% nickel. 0.35% copper, 0.04% cobalt and 0.25 g/t palladium over the final metre of the drill hole at just 60m downhole depth (see ASX announcements dated 17[th] November 2021 and 1[st] December 2021). This new zone of sulphide mineralisation will be followed up with EM surveying scheduled to commence in January. The ground EM survey is designed to define further drill targets for RC drill testing in 2022 with the initial and outstanding drill target being the down dip and along strike continuation of the sulphides identified in NAC105.
Aircore drill samples from the majority of the drilling at Norseman are expected to start coming back from the laboratory in mid-January. Sample batches were submitted to the lab each week as drilling progressed and assay returns are expected weekly from mid-January onwards. Any material results from the aircore drilling will be released to the market as the assays are returned.
Figure 4 ––Location of sulphide target zone for EM surveying around massive sulphide (NAC105)
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Figure 5 – Norseman project location map with a selection of regional mines and infrastructure
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Figure 6 – Galileo Prospect Locations in the Fraser Range Nickel Belt
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Competent Person Statement
The information in this report that relates to Exploration Results is based on, and fairly represents, information and supporting documentation prepared by Mr Brad Underwood, a Member of the Australasian Institute of Mining and Metallurgy, and a full time employee of Galileo Mining Ltd. Mr Underwood has sufficient experience that is relevant to the styles of mineralisation and types of deposit under consideration, and to the activity being undertaken, 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 Underwood consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
With regard to the Company’s ASX Announcements referenced in the above Announcement, the Company is not aware of any new information or data that materially affects the information included in the Announcements.
Authorised for release by the Galileo Board of Directors.
Investor information: phone Galileo Mining on + 61 8 9463 0063 or email [email protected]
Media:
David Tasker Managing Director Chapter One Advisors E: [email protected] T: +61 433 112 936
About Galileo Mining:
Galileo Mining Ltd (ASX: GAL) is focussed on the exploration and development of nickel, copper, cobalt and palladium resources in Western Australia. GAL has Joint Ventures with the Creasy Group over tenements in the Fraser Range which are highly prospective for nickel-copper sulphide deposits similar to the operating Nova mine. GAL also holds tenements near Norseman with over 26,000 tonnes of contained cobalt, and 122,000 tonnes of contained nickel, in JORC compliant resources (see Figure 7 below).
Figure 7: JORC Mineral Resource Estimates for the Norseman Cobalt Project (“Estimates”) (refer to ASX “Prospectus” announcement dated May 25[th] 2018 and ASX announcement dated 11[th] December 2018, accessible at http://www.galileomining.com.au/investors/asx-announcements/). Galileo confirms that all material assumptions and technical parameters underpinning the Estimates continue to apply and have not materially changed).
| Cut-off Cobalt % |
Class | Tonnes Mt | Co | Ni | ||
|---|---|---|---|---|---|---|
| % | Tonnes | % | Tonnes | |||
| MT THIRSTY SILL | ||||||
| 0.06 % | Indicated Inferred Total |
10.5 2.0 12.5 |
0.12 0.11 0.11 |
12,100 2,200 14,300 |
0.58 0.51 0.57 |
60,800 10,200 71,100 |
| MISSION SILL | ||||||
| 0.06 % | Inferred | 7.7 | 0.11 | 8,200 | 0.45 | 35,000 |
| GOBLIN | ||||||
| 0.06 % | Inferred | 4.9 | 0.08 | 4,100 | 0.36 | 16,400 |
| TOTAL JORC COMPLIANT RESOURCES | ||||||
| 0.06 % | Total | 25.1 | 0.11 | 26,600 | 0.49 | 122,500 |
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Appendix 1 –– Delta Blues Prospect Diamond Drill Hole Summary Logs
DBDD001 Drill Log Summary (DB2 Target). Thin section petrography required to determine precise rock classifications.
| From (m) | To (m) | Comment |
|---|---|---|
| 0 | 24 | Transported and saprolite cover |
| 24 | 137 | Quartz-feldspar-garnet-(pyroxene) gneiss |
| 137 | 182 | Gneiss/meta-sediment with tonalite |
| 182 | 197 | Gneiss/meta-sediment; tonalite and disseminated sulphides |
| 197 | 215 | Feldspar-quartz-garnet gneiss |
| 215 | 305 | Gneiss/meta-sediment with tonalite |
| 305 | 351 | Quartz-feldspar-(magnetite) gneiss |
| 351 | 369 | Granulite/meta-sediment with tonalite |
| 369 | 372 | Mafic granulite with disseminated and stringer sulphides; minor graphitic meta-sediment |
| 372 | 393.6 | Mafic granulite with weakly disseminated sulphides |
| 393.6 | 394.5 | Quartz vein and tonalite |
| 394.5 | 397.9 | Mafic granulite and meta-sediment |
| 397.9 | 400.2 | Mafic granulite/ meta-sediment with matrix to stringer sulphide |
| 400.2 | 415.3 | Gneiss and mafic granulite |
| 415.3 | 435.6 | Mafic granulite/meta-sediment with minor sulphide stringers |
DBDD002 Drill Log Summary (DB2 Target). Thin section petrography required to determine precise rock classifications.
| From (m) | To (m) | Comment |
|---|---|---|
| 0 | 24 | Transported and saprolite cover |
| 24 | 139 | Quartz-feldspar-garnet gneiss with metasediment |
| 139 | 184 | Gneiss, metasediment, and pegmatite |
| 184 | 206 | Gneiss/metasediment with tonalite |
| 206 | 234 | Quartz-feldspar-(magnetite) meta-sediment |
| 234 | 245 | Metasediment with tonalite |
| 245 | 256 | Metasediment with weak disseminated sulphide |
| 256 | 259 | Tonalite with meta-sediment |
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| From (m) | To (m) | Comment | |
| 259 | 263 | Quartz-feldspar-graphite meta-sediment with disseminated sulphide | |
| 263 | 265 | Meta-sediment with tonalite | |
| 265 | 271 | Meta-sediment with disseminated sulphide; minor graphitic meta-sed | |
| 271 | 273 | Vein quartz, tonalite, minor meta-sediment | |
| 273 | 297.4 | Mafic granulite and meta-sediment | |
| 297.4 | 298.7 | Mafic granulite/ meta-sediment with matrix to stringer sulphide | |
| 298.7 | 348 | Mafic granulite and meta-sediment | |
| 348 | 363 | Mafic sediment with weakly disseminated and occasional stringer sulphide |
|
| 363 | 390 | Meta-sediment/gneiss | |
| 390 | 397 | Meta-sediment and tonalite | |
| 397 | 405.4 | Meta-sediment with minor tonalite veins |
Appendix 2 –– Diamond Drillhole Collar Details at the Delta Blues Prospect
| Hole ID | Prospect | East | North | RL | Dip | Azimuth | Depth (m) |
|---|---|---|---|---|---|---|---|
| DBDD001 | Delta Blues (DB2) | 583615 | 6544000 | 229 | -60 | 255 | 435.6 |
| DBDD002 | Delta Blues (DB2) | 583580 | 6544100 | 229 | -62 | 260 | 405.4 |
Appendix 3:
Logging of Sulphide Mode, Type, and Percentage
Cautionary Statement: Sulphide estimates are completed by visual observation with analytical laboratory results pending for all drill holes.
Galileo Field Logging Guide
| Sulphide Mode | Percent Range (visually estimated) |
|---|---|
| Weakly disseminated | < 1 % |
| Disseminated & blebby | 1 – 5 % |
| Heavily disseminated | 5 – 20 % |
| Matrix | 20 – 40 % |
| Net textured | 20 – 40 % |
| Semi-massive | >40 to < 80 % |
| Massive | >80 % |
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Appendix 4:
Galileo Mining Ltd – Fraser Range Project
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 (eg 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 (eg ‘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 (eg submarine nodules) may warrant disclosure of detailed information. |
•NA – sampling has yet to occur |
| Drilling techniques |
• Drill type (eg core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg 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). |
•Diamond core drilling was undertaken using HQ core (63.5mm diameter) completed by Terra Drilling Pty Ltd. •All holes were surveyed during drilling using a TruCore downhole electronic survey camera at 30m downhole intervals. •All core is oriented using a TruCore tool to enable placement of a reference mark at the end of each core drilling run. The reference marks are then used to emplace a reference (orientation line) downthe core. |
| 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. |
•HQ diamond core drilling recoveries were estimated for each interval by logging the length of the sample recovered against the reference (orientation) line. Recoveries were all greater than 90% and typically 100%. •No relationship has been determined between sample recoveries and grade. Overall recoveries are excellent and no |
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| Criteria | JORC Code explanation | Commentary | |
| significant issues with core loss or sample bias arerecognised. |
|||
| 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. _ |
•Geological logging of drill holes has been completed. •Logging of the drill core is qualitative and based on the in-situ presentation of the core sample with down-hole depths measured against the reference (orientation) line. •All drill holes were logged in their entirety |
|
| 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 _grainsize of the material being sampled. _ |
•NA – sampling has yet to occur | |
| 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 (eg standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision _have been established. _ |
•NA –assay results pending | |
| 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. _ |
•Field data is collected on site using a standard set of logging templates entered directly into a laptop. Data is then sent to the Galileo database manager for validation and upload into the database. |
|
| 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 |
•Drill hole collars are surveyed with a handheld GPS with an accuracy of +/- 5m which is considered sufficientfor |
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| Criteria | JORC Code explanation | Commentary | |
| used in Mineral Resource estimation. • Specification of the grid system used. • Quality and adequacy of topographic control. |
drill hole location accuracy. •Co-ordinates are in GDA94 datum, Zone 51. •Downhole depths are in metres from surface. •Topographic control has an accuracy of 2m based on detailed satellite imagery derived DTM or on laser altimeter data collected from aeromagnetic surveys |
||
| 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. |
•Drill hole spacing for the individual drill holes was not grid based. The holes were placed to target potential mineralisation as indicated by geophysical methods (EM) and geological interpretation. •Drill spacing is insufficient for the purposes of Mineral Resource estimation. |
|
| 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. |
•It is unknown whether the orientation of sampling achieves unbiased sampling as interpretation of quantitative measurements of mineralised zones/structures has not yet been completed. •The drilling is oriented either perpendicular to the regional lithological strike and dip or perpendicular to the modelled EM conductor. |
|
| Sample security |
• The measures taken to ensure sample security. | •NA – sampling has yet to occur | |
| Audits or reviews |
• The results of any audits or reviews of sampling techniques and data. |
•Continuous improvement internal reviews of sampling techniques and procedures are ongoing. No external auditshave beenperformed. |
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 |
•The Fraser Range Project comprises seven granted exploration licenses, covering 672km2 •Kitchener JV tenement E28/2064 (67% NSZ Resources Pty Ltd, 33% Great Southern Nickel Pty Ltd). •Kitchener tenements E28/2912, E28/2949, E28/2797 (100% NSZ Resources Pty Ltd) •Yardilla JV tenements: E63/1539, E63/1623, E63/1624 (67% FSZ Resources Pty Ltd, 33% Dunstan Holdings Pty Ltd) •NSZ ResourcesPtyLtd &FSZ ResourcesPtyLtd |
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| Criteria | JORC Code explanation | Commentary | |
| licence to operate in the area. | are wholly owned subsidiaries of Galileo Mining Ltd. •Great Southern Nickel Pty Ltd and Dunstan Holdings Pty Ltd are entities of Mark Creasy •The Kitchener Area is approximately 250km east of Kalgoorlie on vacant crown land and on the Boonderoo Pastoral Station. •The Yardilla Area is approximately 90km east of Norseman on vacant crown land and on the Fraser Range Pastoral Station. •Both the Kitchener Area and the Yardilla Area are 100% covered by the Ngadju Native Title Determined Claim. •The tenements are in good standing and there are no known impediments. |
||
| Exploration done by other parties |
• Acknowledgment and appraisal of exploration by other parties. |
•NA - no previous nickel exploration on the tenements |
|
| Geology | • Deposit type, geological setting and style of mineralisation. |
•The target geology is indicative of magmatic nickel- copper sulphide mineralisation hosted in or associated with mafic-ultramafic intrusions within the Fraser Complex of the Albany-Fraser Orogeny. •The underlying unweathered lithology is granulite facies metamorphosed and partially retrogressed sedimentary, mafic and ultramafic igneous rocks as determined by petrographic work. |
|
| 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: o easting and northing of the drillhole collar o elevation or RL (Reduced Level– elevation above sea level in metres) of the drill hole collar o dip and azimuth of the holeo down hole length andinterception depth o 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. _ |
•Refer to drill hole collar table in Appendix 2 | |
| Data aggregation methods |
• In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (eg cutting of high grades) and cut-off grades are usually Material and should be |
•NA – no assays reported |
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| Criteria | JORC Code explanation | Commentary | |
| 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. |
|||
| 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 (eg ‘down hole length, true width not known’). |
•NA – assays not reported •The drilling is oriented perpendicular to the regional lithological strike and dip or perpendicular to the modelled EM conductors |
|
| Diagrams | • Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate _sectional views. _ |
•Project location map and plan map of the drill hole locations with respect to each other and with respect to other available data. •Drill hole locations have been determined with hand-held GPS drill hole collar location (Garmin GPS 78s) +/- 5m in X/Y/Z dimensions |
|
| 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. _ |
•All available relevant information is presented. | |
| Other substantive exploration data |
• Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. |
•Detailed 50m line spaced aeromagnetic data has been used for interpretation of underlying geology. Data was collected using a Geometrics G-823 Caesium vapor magnetometer at an average flying height of 30m. •Modelling and interpretation of MLEM geophysical data was undertaken by Spinifex Gpx Pty Ltd and Geopotential Pty Ltd. •All MLEM geophysical interpretations were completed independently to provide models to assist drill targeting. •Detailed gravity data has been used for interpretation of underlying geology. Data was collected using Scintrex CG-5 Autograv gravity meters positioned using aLeica GX1230receiver |
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| Criteria | JORC Code explanation | Commentary | |
| and GNSS base station. •Petrography was undertaken by R.N. England Consulting Geologist |
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| Further work | • The nature and scale of planned further work (eg 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. |
•Sampling and assaying of samples from diamond drill holes DBDD01 and DBDD002 •Petrographical examination of selected intervals •Down hole EM surveying at the Delta Blues DB2 prospect |
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