Skip to main content

AI assistant

Sign in to chat with this filing

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

Sign up Log in

NORTHERN STAR RESOURCES LTD Capital/Financing Update 2012

Nov 15, 2012

65447_rns_2012-11-15_1b9e0cbc-9f45-45ac-b314-419e37b7c706.pdf

Capital/Financing Update

Open in viewer

Opens in your device viewer

==> picture [178 x 62] intentionally omitted <==

Northern Star confirms plan to double production after strong results expand Ashburton Project High-grade hits to underpin substantial jump in 1Moz resource at what is set to be WA gold miner's second 100,000ozpa operation

Highlights

16 NOVEMBER 2012

� Drilling extends known mineralisation at Ashburton’s key Mt Olympus deposit by another 400m down-plunge, pointing to a substantial increase in current 1Moz resource

  • Latest results include:

Code: NST

Board of Directors

  • 8.5m @ 9.3g/t Au including 3.0m @ 17.0g/t

  • • 10.0m @ 7.8g/t Au including 3.0m @ 20.1g/t • 4.4m @ 17.4g/t Au including 1.0m @ 74.0g/t

  • 6.0m @ 11.6g/t Au

  • 8.0m @ 8.5g/t Au including 1.0m @ 55.0g/t

==> picture [166 x 88] intentionally omitted <==

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

Managing Director
Mr Michael Fotios
Non-Executive Director
Mr Peter Farris
Non-Executive Director
Mr Peter O’Connor
----- End of picture text -----

  • 19.0m @ 6.2g/t Au

  • 26.0m @ 4.2g/t Au including 5.5m @ 7.7g/t

  • 40.0m @ 3.2g/t Au

  • 10.3m @ 4.8g/t Au

  • 5.6m @ 7.7g/t Au

  • 7.0m @ 5.7g/t Au

  • Resource upgrade and maiden reserve set for early next year

  • Two of the latest holes intersected between 7m and 26m of sulphides with some visible gold, assays pending

Issued Capital

==> picture [166 x 87] intentionally omitted <==

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

Options 3.5M
Current Share Price
$1.39
Market Capitalisation
$589 million
----- End of picture text -----

Projects Commodities

Zn, Cu, gold

Investments Commodities Venturex (15%) Cu, Zn, Ag & gold

  • Fresh geological modelling of Mt Olympus and West Olympus deposits has identified potential for continuous mineralisation between the two

  • Mt Olympus remains open along strike as well as down plunge

  • Strong potential to grow Mt Olympus resource through further drilling

  • Metallurgical and economic studies well advanced as part of plan to establish a 100,000ozpa project at Ashburton in addition to existing +100,000ozpa operation at Paulsens

Northern Star Resources (ASX: NST) is pleased to announce that its plans to be a 200,000ozpa-plus WA gold producer have been further boosted by an extremely successful drilling program at its Ashburton Project.

The drilling at Ashburton's flagship Mt Olympus deposit returned a host of outstanding results, some of which extended the known limits of the mineralisation by another 400m down plunge (see Figure 1).

Two holes were drilled down plunge with one intersecting 7m of sulphides with visible gold and 26m of sulphides. Assays are pending (see Figure 2) .

ASX ANNOUNCEMENT 16 NOVEMBER 2012

The drilling also returned high-grade resource infill results such as 4.4m at 17.4gpt, including 1m at 74gpt and 8.5m at 9.3gpt, including 3m at 17gpt gold.

As a result of this success, Northern Star expects to increase the one million-ounce resource at Ashburton early next year and to also calculate a maiden sulphide reserve, subject to ongoing economic studies.

This will mark a key milestone in the Company's plan to establish a standalone 100,000ozpa operation at Ashburton, which will operate in parallel with Northern Star's current +100,000ozpa operation at Paulsens.

==> picture [496 x 92] intentionally omitted <==

==> picture [496 x 92] intentionally omitted <==

==> picture [496 x 92] intentionally omitted <==

Figure 1 - Long Section, Mt Olympus significant drill results including substantial down plunge intersections

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 22] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 21] intentionally omitted <==

==> picture [273 x 20] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 19] intentionally omitted <==

==> picture [241 x 18] intentionally omitted <==

Figure 2 - Mt Olympus down-plunge resource extension drilling showing sulphides and visible gold

The prime focus of the geological team has been on developing a structural/lithological model of the controls on mineralisation that allows accurate prediction of ore shoot positions and efficient targeting of drilling. This

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

ASX ANNOUNCEMENT 16 NOVEMBER 2012

analysis has identified two major factors that have the potential to again substantially grow the known resources;

Firstly it has been identified that Mt Olympus deposit remains open along strike to the East (see Figure 3)

==> picture [379 x 88] intentionally omitted <==

==> picture [379 x 87] intentionally omitted <==

==> picture [379 x 88] intentionally omitted <==

Figure 3 - Plan View, Mt Olympus remain open along strike to the East

Second, it has identified that the Mt Olympus and West Olympus deposits, which are 200m apart, may sit on the same structure and therefore the mineralisation may be continuous (see Figure 4) . Further drilling is planned to investigate whether the linking structure between the two deposits is mineralised. If so, this could substantially improve the economics of the proposed open pit and underground.

==> picture [324 x 82] intentionally omitted <==

==> picture [324 x 81] intentionally omitted <==

==> picture [324 x 82] intentionally omitted <==

Figure 4 - Plan View, Mt Olympus and West Olympus potential for structure to link both deposits

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

ASX ANNOUNCEMENT 16 NOVEMBER 2012

These recent drilling results and geological modelling, coupled with the recently released metallurgical test work (Pressure Oxidation, Bacterial Oxidation and Albion) for sulphide orebodies indicating total gold recovery of 80-90 per cent, significantly strengthen the viability of the Ashburton Project.

"These results are pivotal for Northern Star for three reasons," Managing Director Bill Beament said.

"They reveal there is substantially more gold at Mt Olympus than previously demonstrated, they highlight the significant scope to find a lot more and they show that our plan to double the Company's production by building a 100,000ozpa operation at Ashburton is rapidly moving towards fruition."

Assays received are attached in the appended table. Further announcements will be released regarding the surface drilling as more results become available.

Yours faithfully,

Bill Beament Managing Director Northern Star Resources Ltd

Competent Persons Statements

The information in this announcement that relates to the mineral resource estimation, exploration results, data quality, geological interpretations and potential for eventual economic extraction, is based on information compiled by or under the supervision of Brook Ekers, (Member AIG), who is a fulltime employee of Northern Star Resources Ltd. Mr Ekers has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Persons as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Ekers consents to the inclusion in this announcement of the matters based on this information in the form and context in which it appears.

Forward Looking Statements

Northern Star Resources Limited has prepared this announcement based on information available to it. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this announcement. To the maximum extent permitted by law, none of Northern Star Resources Limited, its directors, employees or agents, advisers, nor any other person accepts any liability, including, without limitation, any liability arising from fault or negligence on the part of any of them or any other person, for any loss arising from the use of this announcement or its contents or otherwise arising in connection with it.

This announcement is not an offer, invitation, solicitation or other recommendation with respect to the subscription for, purchase or sale of any security, and neither this announcement nor anything in it shall form the basis of any contract or commitment whatsoever. This announcement may contain forward looking statements that are subject to risk factors associated with gold exploration, mining and production businesses. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlying assumptions which could cause actual results or trends to differ materially, including but not limited to price fluctuations, actual demand, currency fluctuations, drilling and production results, reserve estimations, loss of market, industry competition, environmental risks, physical risks, legislative, fiscal and regulatory changes, economic and financial market conditions in various countries and regions, political risks, project delay or advancement, approvals and cost estimates.

31 December 2011 Measured Measured Indicated Indicated Inferred Inferred Total Total Total
Tonnes
(,000)		 Grade
(g/t)		 Tonnes
(,000)		 Grade
(g/t)		 Tonnes
(,000)		 Grade
(g/t)		 Tonnes
(,000)		 Grade
(g/t)		 Oz Au
(,000)
Mt Olympus 1,712 2.5 1,533 2.3 4,956 2.8 8,201 2.6 695
Peake 95 5.6 794 4.2 889 4.3 123
**Waugh ** 347 3.6 240 3.6 587 3.6 68
Zeus 508 2.1 532 2.2 1,040 2.2 72
**Electric Dingo ** 98 1.6 444 1.2 542 1.3 22
Romulus 329 2.6 329 2.6 27
Total 1,712 2.5 2,581 2.5 7,295 2.8 11,588 2.7 1,007

1Table 1 - Ashburton Mineral Resources Inclusive of Reserves - 0.7g/t lower cut used for Mt Olympus and 0.9g/t lower cut for others.

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

ASX ANNOUNCEMENT 16 NOVEMBER 2012

31 December 2011 Proved Proved Probable Probable Total Total Total
Tonnes
(,000)		 Grade
(g/t)		 Tonnes
(,000)		 Grade
(g/t)		 Tonnes
(,000)		 Grade
(g/t)		 Oz Au
(,000)
Mt Olympus 248 3.6 113 3.6 361 3.6 42
Peake 47 5.0 47 5.0 8
**Waugh **
Zeus 38 2.4 38 2.4 3
**Electric dingo **
Romulus
Total 446 3.7 53

2Table 2 - Ashburton Reserves @ A$1600 gold price based on oxide and transitional material only (free milling)

Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling Mt Olympus Resource Definition drilling
Drill Hole # Drill type Grid Northing Easting RL Azimuth
(degrees)		 Dip
(degrees)
AMODD0013 DD MGA94_50 7408128 592139 465.3 360 -51
AMODD0014 DD MGA94_50 7408185 592060 464.1 360 -47
AMODD0015 DD MGA94_50 7408195 591940 515.3 360 -56
AMODD0016 DD MGA94_50 7408203 592020 478.2 360 -44
AMODD0017 DD MGA94_50 7408195 592040 469.6 360 -47
AMODD0018 DD MGA94_50 7408166 592060 469.6 360 -68
AMODD0019 DD MGA94_50 7408143 592100 466.9 360 -41
AMORC0066 RC MGA94_50 7408279 592056 434.7 360 -90
AMORC0067 RC MGA94_50 7408281 592076 435.6 360 -70
AMORC0068 RC MGA94_50 7408278 592087 437.9 23 -84
AMORC0069 RC MGA94_50 7408278 592087 437.9 23 -58
AMORC0072 RCD MGA94_50 7408190 592144 447.9 360 -81
AMORCD0009 RCD MGA94_50 7407975 592260 454.4 360 -60
AMORCD0010 RCD MGA94_50 7407919 592240 441.3 360 -60
AMORCD0030 RCD MGA94_50 7408273 592187 460.3 360 -55
AMORCD0044 RCD MGA94_50 7408082 592080 500 360 -60
AMORCD0045 RCD MGA94_50 7408197 591960 514.4 360 -72
AMORCD0046 RCD MGA94_50 7408197 591960 514.4 360 -59
AMORCD0047 RCD MGA94_50 7408144 592080 471.7 360 -59
AMORCD0048 RCD MGA94_50 7408071 592200 473 360 -71
AMORCD0049 RCD MGA94_50 7408063 592180 474.8 360 -64
AMORCD0063 RCD MGA94_50 7408095 592160 472.6 360 -67
AMORCD0070 RCD MGA94_50 7408344 591940 439.7 180 -83
AMORCD0071 RCD MGA94_50 7408331 591940 439.7 180 -64

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

ASX ANNOUNCEMENT 16 NOVEMBER 2012

Mt Olympus Resource Definition Drilling Mt Olympus Resource Definition Drilling Mt Olympus Resource Definition Drilling Mt Olympus Resource Definition Drilling
Drill Hole # Downhole
From (m)		 Downhole
To (m)		 Downhole
Intersection (m)		 Au (g/t) Oxide/Transitional/Sulphide
AMORCD0009 including 237.2
247.5
290.4
294.8		 240.4
249.9
296.8
295.8		 3.2
2.4
6.4
1.0		 3.1
3.2
4.0
8.3		 Fresh
AMORCD0010 NSI Fresh
AMORCD0030 NSI Fresh
AMORCD0044 244 246.3 2.3 7.9 Fresh
AMORCD0045 194
237.1		 195
238.35		 1.0
1.3		 3.0
7.1		 Fresh
AMORCD0046 163
176.2		 165.5
178.4		 2.5
2.2		 3.0
6.4		 Fresh
AMORCD0047 including 148.5
189
192
204.7		 150.5
197
193
210.5		 2.0
8.0
1.0
5.8		 3.1
8.5
55.0
3.9		 Fresh
AMORCD0048 including 230
272
275.5
284.7
301.5		 234
298.6
281
290
207.55		 4.0
26.0
5.5
5.3
6.1		 5.7
4.2
7.7
7.5
3.0		 Fresh
AMORCD0049 217.5 236.5 19.0 6.2 Fresh
AMORCD0063 214.8
223
236.3		 217
225.5
238		 2.2
2.5
1.7		 5.6
3.5
6.4		 Fresh
AMODD0013 99.3
133
146.5
161.4
179		 101.5
135
157
171.7
181		 2.2
2.0
10.5
10.3
2.0		 6.6
3.3
3.0
4.8
3.4		 Fresh
AMODD0014 including 165
169
180		 172
172
185.1		 7.0
3.0
5.1		 5.7
8.5
4.9		 Fresh
AMODD0015 NSI

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

ASX ANNOUNCEMENT 16 NOVEMBER 2012

Drill Hole # Downhole
From (m)		 Downhole
To (m)		 Downhole
Intersection (m)		 Au (g/t) Oxide/Transitional/Sulphide
AMODD0016 including
including		 75.5
77.0
106.0
107.0
151.9
169.5		 84.0
80.0
111.6
108.3
158.0
173.2		 8.5
3.0
5.6
1.3
6.1
3.7		 9.3
17.0
7.7
18.9
6.7
3.4		 Fresh
AMODD0017 82.7
102.0
121.0
180.9		 85.0
104.0
127.0
183.5		 2.3
2.0
6.0
2.6		 3.6
3.9
3.9
5.4		 Fresh
AMODD0018 including 173.0 177.4 4.4
1.0		 14.4
74.0		 Fresh
AMODD0019 118.0
143.0		 123.1
146.1		 5.2
3.1		 3.3
3.1		 Fresh
AMORCD0070 including 15.0
15.0		 41.0
23.0		 26.0
8.0		 3.1
6.0		 Transitional
AMORCD0071 including
including		 2.0
2.0
19.0
24.0		 8.0
5.0
36.0
28.0		 6.0
3.0
17.0
4.0		 3.7
6.7
3.1
6.3		 Transitional
AMORC0072 including
including
including		 120.0
133.0
153.0
161.0
170.0
189.0
232.0		 125.0
173.0
157.0
163.0
171.0
195.0
234.0		 5.0
40.0
4.0
2.0
1.0
6.0
2.0		 3.1
3.2
7.1
7.8
8.8
3.4
3.6		 Fresh
AMORC0066 including
including		 79.0
79.0
85.0		 89.0
80.0
88.0		 10.0
1.0
3.0		 7.8
14.2
20.1		 Fresh
AMORC0067 16.0 18.0 2.0 3.9 Transitional
AMORC0068 5.0
24.0
87.0		 11.0
28.0
96.0		 6.0
4.0
9.0		 11.6
4.8
3.0		 Transitional
AMORC0069 65.0 68.0 3.0 5.2 Fresh

At a nominal 0.7g /t lower cut off and no upper cut off, with <2m internal dilution. NSI means no significant result

Quality Control – Mt Olympus. All core is logged and cut for sampling. The half core is sampled and sent to SGS Australia Pty Ltd (‘SGS’) in Perth Western Australia for assaying. The remaining half core is stored at Mt Olympus. At SGS, samples are dried then crushed. The reverse circulation samples are crushed material and split with a proportion pulverised. A 50-gram portion of the pulp is treated by Fire Assay method with an Atomic Absorption finish. Northern Star Resources inserts on average one standard and blank every 25 samples. Laboratory standards and blanks are inserted by SGS and several pulp duplicates are also assayed as a determinant of mineralisation variability and to their ISO 9001 standard and a NATA Technical certificate.

Level 1, 1 Puccini Court, Stirling WA 6021 Tel: +61 8 6188 2100 Fax: +61 8 6188 2111

Email: [email protected] Website: www.nsrltd.com

More from NORTHERN STAR RESOURCES LTD

Transaction in Own Shares 2026
Jun 9
Transaction in Own Shares 2026
Jun 5
Transaction in Own Shares 2026
Jun 3
Transaction in Own Shares 2026
Jun 3
Regulatory Filings 2026
Jun 3
Regulatory Filings 2026
Jun 2
Transaction in Own Shares 2026
Jun 1
Transaction in Own Shares 2026
May 28
Transaction in Own Shares 2026
May 27
Transaction in Own Shares 2026
May 26
View all filings →