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PRODIGY GOLD NL Interim / Quarterly Report 2012
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Interim / Quarterly Report
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QUARTERLY REPORT
For the 3 Months Ended 30 September 2012
CORPORATE
- $17.5M Cash Position and No Debt - 30th September 2012.
- Mr Andrew Ferguson appointed to the Board.
- ABM wins Best Emerging Company Award at Diggers and Dealers Mining Forum 2012.
BUSINESS – INFRASTRUCTURE / PERMITTING DEVELOPMENT (PREP. FOR MINING)
- New airstrip complete.
- New camp facilities installed.
- Environmental surveys underway.
- Bulk sample permit applications pending.
BUSINESS – EXPLORATION DISCOVERY AND DEVELOPMENT
• Old Pirate Extensions
Extensions to 427,400 ounce Old Pirate Resource:
- East Side Vein at Old Pirate extends with surface sampling to 343m strike length averaging 28.9g/t gold.
- Western Limb Vein at Old Pirate extends with surface sampling of 126m strike length averaging 42.37g/t gold.
- Extensional drill results including 5m averaging 52.27g/t gold, 8m averaging 24.14g/t gold and 2m averaging 87.88g/t gold.
- Metallurgical Testwork delivers exceptional gold recoveries up to 97.3% from gravity only methods (cyanide not required).
• Golden Hind Discovery
- Located 800m south of Old Pirate indicating potential for second open pit feeding integrated mining operation.
- Surface sampling shows vein up to 2m wide with 60m strike length averaging 103.23g/t gold.
- Drilling shows results including:
- 17m averaging 29.43g/t gold including 6m averaging 80.56g/t gold.
- 42m averaging 44g/t gold including 15m averaging 118.5g/t gold. (released 02/10/2012).
• Buccaneer Deposit
• Cypress Zone at Buccaneer delivers high grade intercepts with 6m averaging 20.37g/t gold.
• Regional Exploration
- Electromagnetic survey reveals 2km long x 50m wide conductor of magnitude comparable to sulphide conductor coincident with surface copper anomaly near Kroda Gold Project. This anomaly will be drill-tested with an initial low-cost scout drill program shortly.
- Regional geochemistry programs on-going.
PROJECTS
ABM Resources NL ("ABM" or the "Company") is focused on gold projects in the Northern Territory of Australia.
The Twin Bonanza Gold Camp with its multiple targets has both high-grade gold deposits and porphyry style (bulk tonnage) deposits.
ABM is the largest exploration license holder in the Central Desert regions of the Northern Territory. The Company believes that the region is capable of further world-class gold discoveries. ABM continues to prioritise its targets and a full target summary can be found in Appendix 1.
Figure 1 - ABM Project Location Map in the Northern Territory.
Mineral Resources and Infrastructure / Permitting in Preparation for Mining
During the Quarter ABM started the process of installing additional infrastructure at the Twin Bonanza Gold Camp which will be used for both the exploration phase and for the transfer to the potential mining operation.
Kitchen and mess facilities, shower and ablution blocks as well as a Reverse Osmosis Plant for water purification were installed on site. During the Quarter the Company commissioned a 1.8 kilometre long airstrip, which will support current exploration and potential future mining activities. In addition, the access road to the Twin Bonanza Project has been repaired, graded and sheeted.
Figure 2 – Landing on the ABM Airstrip at Twin Bonanza.
The Company has contracted EcOz Pty Ltd of Darwin to guide the process from Exploration License to Mineral Lease. EcOz has completed further environmental surveys and is preparing documentation for the lodgement of a mining lease application for Old Pirate.
During the Quarter ABM also lodged an application for the extraction of a 10,000 tonne bulk sample from the Old Pirate and the Golden Hind Deposits. The purpose of the bulk sample is to reconcile gold grade and recovery. Further details will be released following the grant of the authorisation. It is intended to complete the bulk sample under the conditions of the Exploration License.
Twin Bonanza Gold Camp
The Twin Bonanza Gold Camp contains more than thirty targets, including the Buccaneer Porphyry Gold Deposit, the Old Pirate Gold Deposit and the Golden Hind Gold Prospect.
Twin Bonanza is centred approximately 22 kilometres south of the Tanami Road and 14 kilometres east of the Western Australia – Northern Territory border. The Project spans the highly prospective "Trans Tanami Structure" – an inferred regional / tectonic geological feature which hosts numerous gold deposits including Newmont's multi-million ounce Callie Gold Mine.
Old Pirate Gold Prospect (High Grade)
The Old Pirate High Grade Gold Prospect sits within a 4 kilometre long gold anomaly located approximately 2 kilometres from the Buccaneer Porphyry Gold Deposit.
Old Pirate consists of outcropping gold bearing quartz veins hosted by folded shales and sandstones with quartz veins preferentially developed in the thicker shale units. Multiple veins have been mapped covering an overall area of 700m by 300m and range from a few centimetres to several metres in width. Drill results indicate gold extends from surface to a depth of at least 200m. Gold is very coarse and can be extremely high grade in the veins.
During the Quarter ABM focused on testing extensions of the resource at Old Pirate. The existing resource (not including recent extensions) is as noted below.
(a) The Old Pirate Resource
Table 1. Old Pirate Resource Estimation without utilising a top-cut
| All Vein Models | Tonnes | Gold (g/t) | Ounces |
|---|---|---|---|
| Indicated | 347,000 | 5.31 | 59,200 |
| Inferred | 1,327,000 | 11.86 | 505,800 |
| Total | 1,673,000 | 10.50 | 565,000 |
| High Grade VeinModels Only | Tonnes | Gold (g/t) | Ounces |
| Indicated | 132,000 | 7.74 | 32,800 |
| Inferred | 354,000 | 22.64 | 257,600 |
| Total | 486,000 | 18.60 | 290,400 |
*Note - totals may vary due to rounding.
Table 2. Old Pirate Resource Estimation with utilising 300g/t top-cut
| All Vein Models | Tonnes | Gold (g/t) | Ounces |
|---|---|---|---|
| Indicated | 347,000 | 5.25 | 58,500 |
| Inferred | 1,327,000 | 8.65 | 368,900 |
| Total | 1,673,000 | 7.95 | 427,400 |
| High Grade VeinModels Only | Tonnes | Gold (g/t) | Ounces |
| Indicated | 132,000 | 7.62 | 32,200 |
| Inferred | 354,000 | 17.52 | 199,400 |
| Total | 486,000 | 14.84 | 231,600 |
*Note - totals may vary due to rounding.
(b) The Old Pirate Surface Sampling Extensions
Further results from the 2012 field season surface sampling program have extended the new high grade East Side vein. Systematic sampling returned 343m strike length averaging 28.9g/t gold (Table 3).
| Table 3. Statistics from full length of the new East Side Veincombined with previously reported 2012 and 2011 results | ||||||
|---|---|---|---|---|---|---|
| Total number of samples (including duplicates) | 357 samples | |||||
| Cumulative strike length projected / sampled | 343 metres | |||||
| Total surface area of quartz sampled | 226.4 sq m | |||||
| Average sample width | 0.9 metres | |||||
| Maximum individual value | 1150 g/t gold | |||||
| Number of samples >100g/t gold | 33 (9%) averaging 196.2 g/t gold | |||||
| Number of samples >10g/t gold | 120 (34%) averaging 82.2 g/t gold | |||||
| Average of all assays (including duplicates)28.90 g/t gold |
In addition to the East Side vein two other new mineralised veins have been identified between the East Side and the main Old Pirate area (Figure 3) with a combined length of 110m and average grade of 15.83g/t gold. The results of these are presented in Table 4 below.
| Table 4. Statistics from 2012 Phase 2 sampling on new veins south east of Old PirateResource | |||||||
|---|---|---|---|---|---|---|---|
| Total number of samples (including duplicates) | 120 samples | ||||||
| Cumulative strike length projected / sampled | 110 metres | ||||||
| Total surface area of quartz sampled | 80 sq m | ||||||
| Average sample width | 0.66m | ||||||
| Maximum individual value | 271g/t gold | ||||||
| Number of samples >100g/t gold | 7 (6%) averaging 134.25 g/t gold | ||||||
| Number of samples >10g/t gold | 29 (24%) averaging 58.82 g/t gold | ||||||
| Average of all assays (including duplicates) | 15.83 g/t Gold |
During the Quarter the Company also continued sampling of a vein on the Western Limb of the main Old Pirate resource. The current resource model does not extend to surface in this area and this newly sampled vein section is also considered potentially extensional to the existing resource. Table 5 contains details of this sampling.
| Table 5. Statistics from 2012 Phase 3 sampling on the Western Limb | ||||||
|---|---|---|---|---|---|---|
| Total number of samples (including duplicates) | 310 samples | |||||
| Cumulative strike length projected / sampled | 126 metres | |||||
| Total surface area of quartz sampled | 24.1 sq m | |||||
| Average sample width | 0.19 metres | |||||
| Maximum individual value | 502 g/t gold | |||||
| Number of samples >100g/t gold | 40 (12.9%) averaging 184.15 g/t gold | |||||
| Number of samples >10g/t gold | 185 (59.7%) averaging 68.36 g/t gold | |||||
| Average of all assays (including duplicates) | 42.37 g/t gold |
Figure 3 - Old Pirate surface sampling map with the 2012 extensional work at East Side vein and Western Limb veins labelled.
(c) Old Pirate Drilling results
Figure 4 - Overall drill map at Old Pirate with recent extensional results shown.
Results from the first round of 2012 drilling showed (in hole OPRC100036) a wide zone of mineralisation of 8m averaging 24.14g/t gold, which is a 90m down-plunge extension of the existing Old Pirate south anticline and resource area and is outside the existing resource. Drilling on the Western Limb also yielded high grades with 5m averaging 52.27g/t gold intersected in OPRC100058. Whilst this hole was drilled within the existing resource area, it is also considered extensional as it links two previously modelled portions (in the resource estimation) of the Old Pirate Western Limb into a single high-grade geological structure.
Additionally (released 9/10/2012) drill results across the northern extensions of the Western Limb Lode have encouragingly shown wider intersections of mineralisation than the vein exposed at surface. Results included 2m averaging 87.88g/t gold including 1m grading 156.5g/t gold. Approximately 300 metres of the Western Limb is included in the Resource to date, the additional work adds a further 130 metres of strike length and remains open to the north. The extensional drilling revealed mineralised quartz veins up to 6 metres wide.
Drilling has been undertaken below the East Side vein none of which has been included in the April 2012 Resource estimation. Systematic surface work has linked this vein to the Old Pirate South area and revealed a 340m strike length vein between 20cm and 3m width with high grade gold at surface. Gold in the vein at surface is very coarse with grains up to 0.5cm erratically distributed throughout the vein. The results of drilling beneath the surface vein to depths of 50m are likely to be included in an expanded open pit design. Drill results include 5m averaging 8.72g/t gold including 1m grading 25.3g/t gold.
(d) Old Pirate Metallurgical Test-Work
ABM's Old Pirate scoping study focused on developing a mine with low upfront capital requirements. As a result, the Company investigated the potential to extract the gold using low-cost gravity methods. In order to advance this process ABM commissioned two companies (Consep and Gekko) who specialise in different products / methods for the extraction of free gravity recoverable gold.
Consep Pty Ltd - Knelson Concentrator Test-Work for Gravity Recoverable Gold conventional crush and grind delivered an outstanding result of 97.3% gold recovered using simple gravity methods in a two pass concentrate with 73.4% in first pass 220 micron grind and 23.9% (cumulative to 97.3%) in second pass 113 micron grind. The gold per tonne in concentrate product was 15.1 kilograms and the calculated head-grade from the 30kg sample was 143g/t gold.
Gekko Systems - Gekko Python / Pressure Jig Amenability Test-Work for Gravity Recoverable Gold with coarse crushing using low-energy / low-water requirement Vertical Shaft Impactor also delivered excellent result with 88.4% gold recovered using simple gravity methods in a separated concentrate using 600 micron crush. This can be increased to 92.9% using a higher mass yield. The gold per tonne in concentrate product was 0.637 kilograms with a calculated head-grade from the 30kg sample of 40.32g/t gold.
Both results exceeded expectations and are considerably better than the preliminary work conducted in 2011, which showed 85.4% gravity recovery from 3.35mm crush and 80 micron grind. Both sets of test results indicate that Old Pirate could be processed to very high recoveries with a simple gravity circuit, at relatively coarse grind sizes, and without the expense of a conventional cyanide leach circuit.
Both the Knelson Concentrator test-work and the Gekko Python amenability test-work conclude that the Old Pirate material is able to yield extremely high gravity gold recoveries. Both companies have commented on the high quality of this material.
Figure 5 - Gold Pan concentrates from Knelson Concentrator test work. Left = First Pass concentrate from 220 micron grind. Right = second pass concentrate from 113 micron grind.
The Golden Hind Discovery
The Golden Hind Prospect is located approximately 800 metres south of the Company's Old Pirate High Grade Gold Deposit. The prospect consists of a single high grade vein with other peripheral gold bearing quartz veins hosted by sandstone and shale. Veins are interpreted to dip steeply to the south-west. High grade mineralisation is currently interpreted to plunge approximately 35 degrees to the south within steeply dipping veins.
(a) Golden Hind Surface Sampling
Surface sampling at the Golden Hind uncovered multiple sub-parallel veins up to 2m wide and revealed 200m mineralised strike length with samples averaging 29.57g/t in longitudinal surface sampling with a high grade section of 60m strike length with samples averaging 103.23g/t gold. The peak assay result is 784g/t gold. Tables 6 shows the surface sampling results at Golden Hind to date.
| Table 6. Statistics from the sampling of the high-grade central Golden Hind Prospect Zone | ||||||
|---|---|---|---|---|---|---|
| Total number of samples (including duplicates) | 94 | |||||
| Total strike length (including projections under shallowcover not sampled) | 60m | |||||
| Total surface area of quartz sampled | 20.20 sq m | |||||
| Average sample width | 0.46 metres | |||||
| Maximum individual value | 784 g/t gold | |||||
| Number of samples >100g/t gold | 25 averaging 265.5g/t gold | |||||
| Number of samples >10g/t gold | 69 averaging 116.4g/t gold | |||||
| Average of all assays (including duplicates) | 86.68 g/t gold | |||||
| Weighted average of all assays (by width of vein) | 103.23 g/t gold |
Subsequently the surface footprint of Golden Hind expanded to an interpreted 15m width by >60m strike length target zone with assays up to 126g/t gold in sheeted veins to the east of the main Golden Hind vein and up to 404g/t gold on the northern extensions of the Golden Hind high grade vein.
Figure 6 - Golden Hind Prospect surface sampling results.
(b) Golden Hind Drilling Results
Drilling at the discovery intersected a wide high grade intersection in hole OPRC100014. The main high grade vein was intersected at 16m depth and averaged 546g/t gold over 3m width within a zone of 15m averaging 118.5g/t gold. Either side of this vein are other high grade structures. ABM personnel proceeded to take the remnant RC samples on site and pan gold from this 3m section. A total of 12 grams of gold was panned from 15 kilograms of material which would indicate a grade of approximately 800g/t with individual gold grains up to 5mm. When gold is so coarse it is difficult for laboratories to estimate the total assay and the laboratory reported this to the Company. Based on the panned sample it would suggest that the assays are under-calling total gold content.
Other results reported during the Quarter included 17m averaging 29.43g/t gold including 6m averaging 80.56g/t gold and 25m averaging 7.62 g/t gold including 8m averaging 14.28g/t gold.
Figure 7 - A total of 12 grams of gold panned from 15kg of material indicating a grade of at least 800g/t gold with the laboratory assays likely under-calling the overall grade.
Gold at the Golden Hind Prospect is contained in quartz veins and quartz vein breccia. These results indicate that the high grade zone is plunging shallowly to the south.
Figure 8 - Map View of the Golden Hind Prospect with select intersections labelled.
Figure 9. Long-section (view towards east) through Golden Hind prospect showing pierce points of where drilling intersects the main gold bearing vein structure. Mineralisation extends either side of the main high grade structure. Holes drilled from the footwall not shown.
(c) The Old Glory Prospect
The Old Glory Prospect is located approximately 250 metres north of the Golden Hind Discovery and 500 metres south of the Old Pirate High Grade Deposit.
Recent sampling of outcropping surface quartz has revealed grades up to 70.98g/t gold. Due to the fact that only the outcropping portions of this prospect were sampled the dimensions are unclear. The Company plans further reconnaissance and has drilled holes to test this area.
Figure 10 - Outcropping quartz veins at the Old Glory Prospect.
Buccaneer Porphyry Gold Prospect
The Twin Bonanza Gold Project includes both the Old Pirate High Grade Gold Deposit and the Buccaneer Porphyry Gold Deposit. The 2012 field programs are primarily focused on advancing the high grade Old Pirate Deposit. However, several areas at Buccaneer remain untested where the Company was drilling to infill and extend the Deposit. The Buccaneer Porphyry Gold Deposit is an intrusive related bulk tonnage gold deposit with several extensional discoveries around Buccaneer including the Cypress, Caribbean, Empress and Eastern Contact Zones.
(a) The Buccaneer Resource
Table 7. Buccaneer Porphyry Gold Deposit Resource Update at varying cut-offs
| 0.2g/t cut off | Million Tonnes | Gold (g/t) | Million Ounces |
|---|---|---|---|
| Indicated | 34.0 | 0.64 | 0.702 |
| Inferred | 93.9 | 0.65 | 1.970 |
| Total | 127.9 | 0.65 | 2.672 |
| 0.4g/t cut-off | Million Tonnes | Gold (g/t) | Million Ounces |
| Indicated | 24.2 | 0.77 | 0.600 |
| Inferred | 64.1 | 0.801.657 | |
| Total | 88.3 | 0.80 | 2.257 |
| 0.6g/t cut-off | Million Tonnes | Gold (g/t) | Million Ounces |
| Indicated | 12.3 | 1.04 | 0.412 |
| Inferred | 31.8 | 1.13 | 1.154 |
| Total | 44.1 | 1.10 | 1.566 |
*Note - totals may vary due to rounding.
(b) Buccaneer Drilling Results
During the Quarter ABM received further drill results including high grade intercepts at the Cypress Zone with 6m averaging 20.37g/t gold within 294m averaging 0.73g/t gold.
Other results include extensions of the Eastern Contact Zone at Buccaneer with 157m averaging 0.45g/t gold including two zones of 39m averaging 0.90g/t gold and 22m averaging 0.97g/t gold.
Figure 11 - Schematic composite contour map of the Buccaneer Porphyry showing all 2012 drill holes to date.
Regional Projects
(a) North Arunta Regional Project Area Geophysics
During the previous quarter ABM conducted regional airborne electromagnetic surveys on the eastern Barrow Creek Project Area, the Swampy / Bonita target areas and the Reynolds Range / Stafford Gold Zone target areas. The principal aim of the survey is to identify key mineralised structural corridors. In particular the survey over the eastern Barrow Creek area has identified a 2km long x 50m wide electromagnetic conductor. The strength of the conductor indicates a possible accumulation of sulphide minerals and is coincident with a surface copper and zinc anomaly near the Kroda Gold Project. This anomaly has been named the "Emma Prospect" and will be drill-tested with an initial low-cost scout drill program shortly.
Regional geochemistry programs are on-going with target areas covered on the Eleanor / Lennon areas, the Swampy / Bonita areas and the Tanami Downs / Mallie Project areas.
Figure 12 - North Arunta Regional Project Area.
Priorities going forward include:
2012 Priority Discovery to Development Stage Projects:
- Twin Bonanza Gold Camp:
- Complete extensional and infill drilling at Old Pirate and the Golden Hind Discovery areas including geotechnical drilling for pit slope design.
- Commission a 10,000 tonne bulk sample using a small scale plant (subject to permitting).
- Continue permitting, environmental and infrastructure upgrades in preparation for possible mining in 2013.
- Update resource estimation and scoping study.
2012 Other Planned Activities:
• Drill test the Emma Prospect (electromagnetic target) located near the Kroda Gold Project.
Non-Core Assets
Discussions on the divestment are ongoing with several parties on the Erayinia base metal project in Western Australia.
Tenement Portfolio
ABM has 78 granted licenses and 40 exploration license applications in the Northern Territory totalling more than 33,000 square kilometres. ABM continues its strong working relationship with the Central Land Council, the Traditional Owners and the Northern Territory Department of Resources.
CORPORATE
Cash Position
ABM is in a strong cash position with $17.5M and no debt at the end of the Quarter.
Board Changes
ABM welcomed Andrew Ferguson as Non-executive Director to the Board. He brings extensive experience in global financial markets and the natural resources sector to the company. Andrew Ferguson is also Executive Director, Chief Executive Officer and Head of Investment Team of APAC Resources Limited, a resource investment company listed on Hong Kong Stock Exchange.
Best Emerging Company Award
ABM was awarded the prestigious Best Emerging Company Award at the 20th annual Diggers & Dealers Mining Forum in Kalgoorlie, Western Australia. A panel of judges consisting of industry experts unanimously agreed that ABM was the deserved recipient of this year's award.
Yours faithfully
DARREN HOLDEN Managing Director
Competent Persons Statement
The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr Darren Holden who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Holden is a full time employee of ABM Resources NL and 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 Person as defined in the 2004 Edition of the "Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves". Mr Holden consents to the inclusion in the documents of the matters based on this information in the form and context in which it appears.
For Further Information Please Contact
Jutta Zimmermann Darren Holden Berdine Mastaglia +61 8 9423 9777 +61 8 9423 9777 +61 8 9423 9777
CFO / Company Secretary Managing Director Investor Relations Manager
ASX ANNOUNCEMENTS
During the Quarter the following ASX announcements were released regarding the Company's activities and projects:
| 21/09/2012 | Notice of Annual General Meeting/Proxy Form |
|---|---|
| 19/09/2012 | Change in substantial holding |
| 17/09/2012 | High-Grade Discovery Confirmed at Golden Hind 17m @ 29.43g/t |
| 12/09/2012 | Response to ASX price query |
| 06/09/2012 | Broadcast - ABM Gold Recoveries from test work at Old Pirate |
| 06/09/2012 | Updated Technical and Corporate Presentation |
| 05/09/2012 | Old Pirate Test Work - Exceptional Gravity Gold Recovery |
| 04/09/2012 | Annual Report Year Ended 30 June 2012 |
| 20/08/2012 | Exploration Update Golden Hind and New Prospect |
| 09/08/2012 | ABM Receives Award at Diggers & Dealers Mining Forum |
| 06/08/2012 | Diggers & Dealers Presentation |
| 06/08/2012 | High Grade Gold Results from the Golden Hind Discovery |
| 02/08/2012 | Old Pirate High Grade Drill Results 5m @ 52.27g/t gold |
| 01/08/2012 | High Grade Gold Drill Results at Buccaneer |
| 16/07/2012 | Phase 3 Surface Vein Sampling Extends Old Pirate |
| 09/07/2012 | Initial Director's Interest Notice |
| 09/07/2012 | Phase 2 Surface Sampling on East Side Vein |
| 09/07/2012 | ABM Welcomes New Director |
| 06/07/2012 | Quarterly Activities and Cashflow Report |
Appendix 1. ABM Asset Summary. Note – readers are referred back to previous announcements for full reporting of exploration results on a particular prospect or project.
Discovery Stage Projects – Several mineralised intercepts confirmed continuous over strike length with at least one sub-project pending drill to define extents or resource.
| Sub-Project | Target Style | Infrastructure /Access | Extents | Best Intersections /Potential or Resource | 2012 Proposedor CompletedActivity | Refer ASXAnnouncementDate ForFurther Details |
|---|---|---|---|---|---|---|
| Twin Bonanza Gold Camp Project | ||||||
| Old Pirate | High gradesedimentaryhosted veins. | 25km south ofTanami Road.All weathertracks. 60kmfrom CoyoteMill. | Extendable over8km of anomalieslargely untestedto the North andSouth of CentralOld Pirate area. | Resource of 427,400ounces of gold averaging7.95g/t gold (top cut) or565,000 ounces of goldaveraging 10.65g/t gold(uncut). | Continuedextensional andinfill drilling.Further surfacesampling andtrenching ofextensionalveins.Metallurgical testwork.Updatedresourceestimations.Bulk sample / trialmining.Mineral leaseapplication. | 02/02/2010,03/03/2010,15/06/2010,08/07/2010,12/07/2010,27/07/2010,31/08/2010,15/11/2010,04/04/2011,08/08/2011,31/08/2011,07/09/2011,13/10/2011,29/11/2011,22/12/2011,05/01/2012,20/01/2012,08/02/2012,16/04/2012,03/05/2012,15/05/2012 ,18/06/2012,09/07/2012,16/07/2012,02/08,2012,05/08/2012,05/09/2012 &09/10/2012 |
| Golden Hind | High gradesedimentaryhosted veins. | 25km south ofTanami Road.All weathertracks. 60kmfrom CoyoteMill. 800m southof Old Pirate. | High grade 60mstrike length,variable width. | Surface strike lengthsampling 60 metersaveraging 103.23g/t gold.Recent drilling returned:3m @ 546g/t gold within:15m @ 118.5g/t gold,6m @ 80.56g/t gold ,21m @ 9.52g/t gold,11m @18.4g/t gold,8m @ 14.28g/t gold incl.1m @ 67.4g/t gold. | Surface samplingand trenching ofextensional veins.Drill test.Bulk Sample.Mineral Leaseapplication. | 28/06/2012,05/08/2012,20/08/2012,17/09/2012 &02/10/2012 |
| Sub-Project | Target Style | Infrastructure /Access | Extents | Best Intersections /Potential or Resource | 2012 Proposedor CompletedActivity | Refer ASXAnnouncementDate ForFurther Details |
|---|---|---|---|---|---|---|
| BuccaneerincludingCaribbean,Cypress,EasternContact, andEmpressZones. | Porphyryrelated gold. | 22km south ofTanami Road.All weathertracks. 60kmfrom CoyoteMill. | 3km by 1.5kmextents. | 2.67Moz Inferred andIndicated Resource.Recent extensionalresults:435m @ 0.69g/t gold incl203m @ 1.07g/t gold incl41m @ 3.54g/t gold.174m @ 0.97g/t gold incl32m @ 1.19g/t gold +31m @ 3.37g/t gold incl19m @ 5.08g/t gold.Recent results atCypress Zone:6m @ 20.37g/t goldwithin294m@ 0.73g/t gold. | Furtherextensionaldrilling focusingon higher gradezones includingCaribbean andCypress Zones.Re-optimisationof resourcefocusing onhigher gradestructural zones.Metallurgical testwork. | 01/02/2010 ,03/03/2010,15/06/2010,19/08/2010,31/08/2010,13/09/2010,22/09/2010,18/10/2010,13/12/2010,13/01/2011,21/02/2011,22/02/2011,28/02/2011,22/03/2011,27/04/2011,09/05/2011,09/06/2011,16/06/2011,04/07/2011,18/07/2011,01/08/2011,17/08/2011,12/09/2011,11/10/2011,24/10/2011,28/11/2011,18/01/2012,19/01/2012,07/03/2012,16/04/2012,03/05/2012,14/06/2012 &01/08/2012 |
| Twin BonanzaGold CampCompanionProjects –Marauder,Casa Anomaly19, Mavericks,Bandit, Corsair,Landlubber. | Various. | 18 to 25kmsouth of TanamiRoad. 18 to45km fromCoyote Mill. | Combinedanomalism over80 sq km. Largelyuntested bydrilling. | Total of 30 targets at theTwin Bonanza GoldCamp incl Old Pirate andBuccaneer.Anomaly 19: 52m @0.32g/t gold incl 18m @0.59g/t gold incl 6m @1.27 g/t gold.Bandit: 5m @ 3.12g/tgold incl 1m @ 13.25g/tgold. | Test multipletargets. | 03/03/2010,31/01/2011,03/02/2011,18/04/2011,24/10/2011&28/11/2011 |
| Northern Tanami Gold Project | ||||||
| Hyperion | High gradesedimentaryhosted veins. | 18km NNE ofGroundrushMine. Allweather roads. | 500m x 100mzone in overall2km ofanomalies. Openat depth. | 202,000 ounce inferredresource. | Ongoingassessment. | 09/03/2010 ,04/11/2010,11/01/2011,09/11/2011,28/02/2012,12/03/2012 &16/04/2012 |
| Sub-Project | Target Style | Infrastructure /Access | Extents | Best Intersections /Potential or Resource | 2012 Proposedor CompletedActivity | Refer ASXAnnouncementDate ForFurther Details |
|---|---|---|---|---|---|---|
| HyperionJasper Hill | High gradesedimentaryhosted veins. | 18km NNE ofGroundrushMine. Allweather roads. | 120m strikelength open. | 25m @ 1.05g/t Au incl.16m @ 1.30g/t Au. | Reconnaissance2012. | 09/03/2010 &04/11/2010 |
| HyperionCompanionProjects – HypWest; Grange,Brokenwood,Old Soldier | High gradesedimentaryhosted veins. | 18km NNE ofGroundrushMine. Allweather roads. | Multiple targets>6 sq km ofanomalism. | 09/03/2010 &11/01/2011 | ||
| Eastern Barrow Creek Gold Project | ||||||
| Kroda 3 | High gradesedimentaryhosted veins. | 18km fromStuart Highway(near BarrowCreek). | 540m by 300manomalous zonedefined byshallow drilling. | 57m @ 3.83g/t gold incl29m @6.83g/t gold incl12m @ 15.69g/t gold.91m @ 1.44g/t gold incl33m @ 3.22g/t gold. | Airbornegeophysics. | 16/03/2010,17/03/2010,20/06/2011,27/09/2011 &03/05/2012 |
| KrodaCompanionProjects 1, 2, 4 | High gradesedimentaryhosted veins. | 18km fromStuart Highway(near BarrowCreek). | More than 14kmof combinedstrike length ofanomalismdefined withshallow drilling /reconnaissance. | 9m @ 2.39g/t Au,6m @ 3.32g/t Au. | Airbornegeophysicsunderway. | 16/03/2010,17/03/2010,20/06/2011 &03/05/2012 |
| Tulsa Project | Shear zonehosted gold? | 45km fromStuart Highwaynear BarrowCreek. | 10km of strikelength ofanomalous goldin soils. | - | Airbornegeophysics.Geochemistry. | - |
| Emma | Base metals. | 18km fromStuart Highwaynear BarrowCreek. | 2km longelectromagneticconductor. | - | Drill testconductor. | - |
| Stafford Gold Zone | ||||||
| Sabre | High gradesedimentaryhosted veins. | 200km NW ofAlice Springs,70km fromTanami Roadvia tracks fromYuendumu. | 600m by 240mdrilled zone. | 35m @ 2.02g/t Au incl17m @ 3.93g/t Au incl2m @ 18.15g/t Au. | Airbornegeophysics. | 18/01/2010,24/05/2010,15/06/2010,07/07/2010 &03/05/2012 |
| Sub-Project | Target Style | Infrastructure /Access | Extents | Best Intersections /Potential or Resource | 2012 Proposedor CompletedActivity | Refer ASXAnnouncementDate ForFurther Details |
|---|---|---|---|---|---|---|
| Stafford GoldZoneCompanionProjects –FalchionYataghan,YataghanSouth,Assegai,Claymore | High gradesedimenthosted veins. | 200km NW ofAlice Springs,70km fromTanami Roadvia tracks fromYuendumu. | 20 kilometres ofanomalous strikelength of theStafford GoldZone.Companionprojects widelyspaced / shallowdrilling. | Up to 2m @ 4.1g/t Au inshallow drilling. | Airbornegeophysics. | 18/01/2010,07/07/2010 &03/05/2012 |
| RewardPolymetallicCompanionProject | Brecciahosted CuAg-Pb-Au. | 200km NW ofAlice Springs,70km fromTanami Roadvia tracks fromYuendumu. | 250m x 100moutcrop of rockchips. | Rock-chips returned upto 20.3% copper and271g/t silver. | Airbornegeophysics. | 18/01/2010,13/05/2010 &03/05/2012 |
| Lake Mackay Projects | ||||||
| Tekapo | Iron OxideCopper-Gold(TennantCreek /Ernest HenryStyle). | 400km east ofAlice Springs,60km fromNyrripi. | 1.2km by 600mgeochemanomaly Cu-AuAg-Bi-Mo-Sb. | 16m @ 3.4g/t Au and 4m@ 2.67% Cu. No drillingin bedrock (surfaceregolith zone).18m @ 3.05g/t gold and17m @ 0.25% copper. | Reconnaissance2012. | 07/01/2010,24/08/2011 &24/11/2011 |
| Dodger | Shear hostedgold +intrusionrelated basemetals. | 400km east ofAlice Springs,68km fromNyrripi. | Regolith (RAB)anomaly 2.5kmlong. | 4m @ 3.56g/t Au.Untested in fresh rock.Several parallel systems.Major underlyingintrusion as the potentialsource. | Reconnaissance2012. | 07/01/2010 |
| Taupo | Iron OxideCopper-Gold(TennantCreek /Ernest HenryStyle). | 400km east ofAlice Springs,99km fromNyrripi. | Regolith (RAB)anomaly 8km by1km Cu-Au-PbZn-Bi. | No test of fresh rock. Allregolith drilling indepleted horizon. | Reconnaissance2012. | 07/01/2010 |
| Lake MackayCompanionProjects –Wakatipu,Manapouri, TeAnau | IOCG, shearhosted gold,intrusiverelated gold. | 400km east ofAlice Springs. | Regolith (RAB &Vacuum)anomalies overvariable extents. | Large low levelanomalies.Manapouri: 1m @5.61g/t gold. | Reconnaissance2012. | 07/01/2010,24/08/2011 &24/11/2011 |
| Sub-Project | Target Style | Infrastructure /Access | Extents | Best Intersections /Potential or Resource | 2012 Proposedor CompletedActivity | Refer ASXAnnouncementDate ForFurther Details |
|---|---|---|---|---|---|---|
| Tanami / Arunta Region Emergent Regional Projects | ||||||
| NorthernTanamiSoldier /Birrindudu | Sedimentaryhosted veins. | ~80km north ofTanami /GroundrushMines. | Extensivegeochemistry andmagneticanomalies over 8sqkm. | No test of fresh rock. | Reconnaissanceand possible drilltest 2012. | 23/11/2009 |
| North Arunta | Porphyryrelated goldandsedimentaryhosted veindeposits. | 70km north ofYuendumu. | UnprospectedELAs spanningthe prolific TransTanamiGeologicalStructure. | No work to date.Regional structuraltargets. | - | 23/11/2009 |
| Bonita | Unknown. | 70km north ofYuendumu. | 6km magneticanomaly. | - | Airbornegeophysics andgeochemistry. | 03/05/2012 |
| Lake Mackay | Iron OxideCopper-Gold,High GradeVein. | 450km east ofAlice Springs,100km fromNyrripi. | UnprospectedELAs spanningmajor structures. | No work to date.Regional structuraltargets. RemoteAustralia. | Reconnaissanceand targetselectionprogram planned. | 23/11/2009 |
Appendix 5B
Mining exploration entity quarterly report
Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/10.
Name of entity
ABM RESOURCES NL
A.C.N. 009 127 020 30 September 2012
ABN Quarter ended ("current quarter")
Consolidated statement of cash flows
| Current quarter | Year to date | |||
|---|---|---|---|---|
| Cash flows related to operating activities | (3 months) | |||
| $A'000 | $A'000 | |||
| 1.1 | Receipts from product sales and related debtors - | |||
| 1.2 | Payments for | (a) exploration & evaluation | (5,298) | (5,298) |
| (b) development (business) | (125) | (125) | ||
| (c) production | ||||
| (d) administration | (329) | (329) | ||
| 1.3 | Dividends received | |||
| 1.4 | Interest and other items of a similar nature received | 529 | 529 | |
| 1.5 | Interest and other costs of finance paid | |||
| 1.6 | Income taxes paid | |||
| 1.7 | Other (provide details if material) | |||
| Net Operating Cash Flows | (5,223) | (5,223) | ||
| Cash flows related to investing activities | ||||
| 1.8 | Payment for purchases of: | (a) prospects | ||
| (b) equity investments | ||||
| (c) other fixed assets | (211) | (211) | ||
| 1.9 | Proceeds from sale of: | (a) prospects | ||
| (b) equity investments | ||||
| (c) other fixed assets | ||||
| 1.10 | Loans to other entities | |||
| 1.11 | Loans repaid by other entities | |||
| 1.12 | Other (provide details if material) | |||
| Net investing cash flows | (211) | (211) | ||
| 1.13 | forward) | Total operating and investing cash flows (carried | (5,434) | (5,434) |
| Current quarter | Year to date | ||
|---|---|---|---|
| (3 months) | |||
| $A'000 | $A'000 | ||
| 1.13 | Total operating and investing cash flows (broughtforward) | (5,434) | (5,434) |
| Cash flows related to financing activities | |||
| 1.14 | Proceeds from issues of shares, options, etc. | ||
| 1.15 | Proceeds from sale of forfeited shares | ||
| 1.16 | Proceeds from borrowings/environmental bonds | (63) | (63) |
| 1.17 | Repayment of borrowings | ||
| 1.18 | Dividends paid | ||
| 1.19 | Other (provide details if material) | ||
| Net financing cash flows | (63) | (63) | |
| Net increase (decrease) in cash held | (5,497) | (5,497) | |
| 1.20 | Cash at beginning of quarter/year to date | 23,035 | 23,035 |
| 1.21 | Exchange rate adjustments to item 1.20 | ||
| 1.22 | Cash at end of quarter | 17,538 | 17,538 |
Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities
- 1.23 Aggregate amount of payments to the parties included in item 1.2 137
- 1.24 Aggregate amount of loans to the parties included in item 1.10
- 1.25 Explanation necessary for an understanding of the transactions
Non-cash financing and investing activities
- 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows
- 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest
| Current quarter$A'000 |
|---|
Financing facilities available
Add notes as necessary for an understanding of the position.
| Amount available$A'000 | Amount used$A'000 | ||
|---|---|---|---|
| 3.1 | Loan facilities | ||
| 3.2 | Credit standby arrangements |
Estimated cash outflows for next quarter
| $A'000 | ||
|---|---|---|
| 4.1 | Exploration and evaluation | 5,000 |
| 4.2 | Development | 100 |
| 4.3 | Production | |
| 4.4 | Administration | 400 |
| Total | 5,500 |
Reconciliation of cash
| accounts is as follows. | Reconciliation of cash at the end of the quarter (as shown in theconsolidated statement of cash flows) to the related items in the | Current quarter$A'000 | Previous quarter$A'000 |
|---|---|---|---|
| 5.1 | Cash on hand and at bank | 503 | 1,001 |
| 5.2 | Deposits at call | 17,035 | 22,034 |
| 5.3 | Bank overdraft | ||
| 5.4Other (provide details)Funds held in trust until shares will be issued | |||
| Total: cash at end of quarter (item 1.22) | 17,538 | 23,035 |
Changes in interests in mining tenements
| Tenement reference | Nature of interest(note (2)) | Interest atbeginningof quarter | Interest atend ofquarter | ||
|---|---|---|---|---|---|
| 6.1 | Interests in miningtenements relinquished,reduced or lapsed | Refer attached | |||
| 6.2 | Interests in miningtenements acquired orincreased | Refer attached |
- See chapter 19 for defined terms.
Issued and quoted securities at end of current quarter
Description includes rate of interest and any redemption or conversion rights together with prices and dates.
| Total number | Number quoted | Issue price persecurity (seenote 3) (cents) | Amount paidup per security(see note 3)(cents) | ||
|---|---|---|---|---|---|
| 7.1 | +securitiesPreference(description) | ||||
| 7.2 | Changes during quarter(a) Increases through issues(b) Decreases throughreturns of capital, buybacks, redemptions | ||||
| 7.3 | +Ordinary securities | 3,241,175,631 | 3,241,175,631 | ||
| 7.4 | Changes during quarter(a)Increases through issues | ||||
| (b) Decreases throughreturns of capital, buy-backs | |||||
| 7.5 | +Convertible debtsecurities (description) | ||||
| 7.6 | Changes during quarter(a) Increases through issues(b) Decreases throughsecurities matured,converted | ||||
| 7.7 | Options (description andconversion factor) * | 280,000,000 | Exercise PriceVarious | Expiry dateVarious | |
| 7.8 | Issued during quarter | ||||
| 7.9 | Exercised during quarter | ||||
| 7.10 | Expired during quarter | ||||
| 7.11 | Debentures(totals only) | ||||
| 7.12 | Unsecured notes (totalsonly) |
* On exercise of these options up to a further 166,500,000 options will be issued ($0.015 @ 5 years from issue date).
Compliance statement
-
- This statement has been prepared under accounting policies, which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).
-
- This statement does give a true and fair view of the matters disclosed.
(Company Secretary)
Sign here: ............................................................ Date: 17 October 2012
Print name: Jutta Zimmermann
Notes
-
- The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.
-
- The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2.
-
- Issued and quoted securities - The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities*.*
-
- The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.
-
- Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.
| FOR THEQUARTER ENDED 30September2012 | ||||
|---|---|---|---|---|
| Areas of interest | Tenements | Economic | Notes | |
| Entity's Interest | ||||
| Northern TerritoryTANAMI | ||||
| Birrindudu | EL5889 | 100 | granted | |
| EL23523 | 100 | application | ||
| EL27705 | 100 | granted | ||
| EL28326 | 100 | granted | ||
| EL28560 | 100 | granted | ||
| EL28566 | 100 | granted | ||
| Supplejack | EL26623 | 100 | application | |
| EL27566 | 100 | granted | ||
| EL27570 | 100 | application | ||
| EL27812 | 100 | granted | ||
| EL27979 | 100 | granted | ||
| EL27980 | 100 | application | ||
| EL9250 | 100 | granted | ||
| Matrix | EL26609 | 100 | granted | |
| EL28333 | 100 | granted | ||
| Cervantes | EL26619 | 100 | granted | |
| EL27125 | 100 | granted | ||
| EL27126 | 100 | granted | ||
| Bonanza | EL25194 | 100 | granted | |
| EL25844 | 100 | granted | ||
| EL26610 | 100 | granted | ||
| EL26616 | 100 | granted | ||
| EL27124 | 100 | granted | ||
| EL27127 | 100 | granted | ||
| EL27339 | 100 | granted | ||
| EL27378 | 100 | granted | ||
| EL27813 | 100 | granted | ||
| EL28322 | 100 | granted | ||
| EL28323 | 100 | granted | ||
| EL28324EL28325 | 100100 | grantedgranted | ||
| EL28327 | 100 | granted | ||
| EL28328 | 100 | granted | ||
| EL28394 | 100 | application | ||
| EL22850 | 100 | granted | ||
| EL23208 | 100 | granted | ||
| EL23659 | 100 | granted | ||
| EL24436 | 100 | granted | ||
| EL24344 | 100 | granted | ||
| EL26608 | 100 | granted | ||
| EL24437 | 100 | granted | ||
| North Tanami | EL29181 | 100 | granted | |
| EL29182 | 100 | granted | ||
| South Tanami | EL25191 | 100 | granted | |
| EL25192 | 100 | granted | ||
| EL28785 | 100 | granted |
SUMMARY OF MINING TENEMENTS AND AREAS OF INTEREST
| FOR THE QUARTER ENDED 30September2012Continued | ||||
|---|---|---|---|---|
| Areas of interest | Tenements | Economic | Notes | |
| Entity's Interest | ||||
| Northern Territory | ||||
| TANAMI | ||||
| Euro | EL25845 | 100 | application | |
| EL26590 | 100 | application | ||
| EL26591 | 100 | application | ||
| EL26592 | 100 | application | ||
| EL26593 | 100 | application | ||
| EL26613 | 100 | application | ||
| EL26615 | 100 | application | ||
| EL26618 | 100 | application | ||
| EL26620 | 100 | application | ||
| EL26621 | 100 | application | ||
| EL26622 | 100 | application | ||
| EL26673 | 100 | application | ||
| EL27604 | 100 | application | ||
| LAKE MACKAY PROJECT | ||||
| Taupo | EL28682 | 100 | application | |
| Tarawera | EL10306 | 100 | granted | |
| EL10305 | 100 | granted | ||
| EL24473 | 100 | application | ||
| EL24492 | 100 | granted | ||
| EL27780 | 100 | granted | ||
| EL23898 | 100 | application | ||
| EL27894 | 100 | application | ||
| EL8695 | 100 | application | ||
| EL9343 | 100 | granted | ||
| EL25866 | 100 | granted | ||
| EL24299 | 100 | granted | ||
| EL24567 | 100 | granted | ||
| EL24915 | 100 | application | ||
| EL24949 | 100 | granted | ||
| EL25630 | 100 | granted | ||
| EL25632 | 100 | granted | ||
| EL29459 | 100 | granted | ||
| EL29460 | 100 | granted | ||
| EL27872 | 100 | granted | ||
| EL29315 | 100 | application | ||
| EL29314 | 100 | application | ||
| EL29316 | 100 | application | ||
| EL29369 | 100 | application | ||
| Tekapo | EL9442 | 100 | granted | |
| EL9449 | 100 | granted | ||
| EL24858 | 100 | granted | ||
| Dodger | EL28028 | 100 | granted | |
| Terry's Find | EL27906 | 100 | granted | |
| McEwin Hills | EL29483 | 100 | granted |
| FOR THE QUARTER ENDED 30September2012Continued | ||||
|---|---|---|---|---|
| Areas of interest | Tenements | Economic | Notes | |
| Entity's Interest | ||||
| Northern Territory | ||||
| NORTH ARUNTA | ||||
| Walkeley Project | EL22554 | 100 | application | |
| EL22555 | 100 | application | ||
| EL26903 | 100 | application | ||
| Bonita | EL23926 | 100 | granted | |
| EL29367 | 100 | granted | ||
| EL23927 | 100 | granted | ||
| EL29368 | 100 | granted | ||
| Reynolds Range | EL28083 | 100 | granted | |
| EL23655 | 60 | granted | ||
| EL23888 | 100 | granted | ||
| Barrow Creek | EL23880 | 100 | granted | |
| EL23883 | 100 | granted | ||
| EL23884 | 100 | granted | ||
| EL23885 | 100 | granted | ||
| EL23886 | 100 | granted | ||
| EL8766 | 100 | granted | ||
| EL25030 | 100 | application | ||
| EL25031 | 100 | application | ||
| EL25033 | 100 | application | ||
| EL25034 | 100 | application | ||
| EL25035 | 100 | application | ||
| EL25036 | 100 | application | ||
| EL25041 | 100 | application | ||
| EL25042 | 100 | application | ||
| EL25044 | 100 | application | ||
| EL26825 | 100 | granted | ||
| EL28515 | 100 | granted | ||
| EL28748 | 100 | granted | ||
| EL28727 | 100 | granted | ||
| Western AustraliaDalgaranga | M59/106 | 100 | ||
| Erayinia | E28/1228 | 70 | Hawthorn Resources Ltd 30% | |
| E28/1611 | 70 | Hawthorn Resources Ltd 30% | ||
| E28/1612 | 70 | Hawthorn Resources Ltd 30% |