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PRODIGY GOLD NL Interim / Quarterly Report 2021
65615_rns_2021-10-28_f8640127-3d84-41aa-8947-422dcdb233d3.pdf
Interim / Quarterly Report
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QUARTERLY REPORT
For the 3 months ended 30 September 2021
Highlights: Prodigy Gold 100% Projects
Reynolds Range Project:
- Results returned for 11 hole, 1,549m RC drilling program at Reynolds Range Project
- Drilling program focused on Reward, Scimitar and Sabre which are all considered prospective for Au, Cu-Au, and Au-Sb mineralisation
- Drilling successfully extended the historically defined significant gold mineralisation trend at Sabre by over 450m with mineralisation remaining open - best results include:
- o 23m @ 0.6g/t Au including 7m @ 1.5 g/t Au (SBRC2101)
- o 15m @ 0.4 g/t Au (SBRC2102)
- o 3m @ 0.7 g/t Au (SBRC2103)
- o 5m @ 0.5 g/t Au (SBRC2104)
- 260m diamond drillhole undertaken to test an EM conductor 50m below surface and 400m long located 350m southeast from the historic Reward Copper Mine that averaged 11% Cu
Hyperion Gold Project:
- 80 hole aircore drilling program completed at PHD Gold Target
- PHD Target structure defined by 2019 Northern Territory Geological Survey (NTGS) airborne magnetic survey
- Aircore drilling defined the mineralised structure with coincident gold and arsenic anomalies
- 240m diamond drill hole completed at PHD Target to test for stratigraphic and structural controls of gold mineralisation extending over 11km at surface
- Diamond drill hole was co-funded as part of the Northern Territory Government's "Resourcing the Territory" initiative
- Diamond drilling at PHD intersected quartz veining and sulphidic sediments
- 210.7m diamond drill hole completed mid-September at Tregony Deposit confirming a new deposit model and exploration concept
Buccaneer Gold Deposit:
- Scoping study geotechnical and metallurgical diamond drilling completed post quarter-end to further evaluate a potential low-cost, heap leach processing scenario for the Buccaneer Resource
- 17 aircore holes for 1,224m completed at Buccaneer Resource to test for shallow extensions to existing resource
Corporate Summary:
- Board changes:
- o Resignation of Chairman Tommy McKeith
- o Matt Briggs appointed Interim Executive Chairman
- o Matt Briggs tendered his resignation – effective at the end of a three-month notice period
- Prodigy Gold maintains a cash balance of A$4.4M as at 30 September 2021
Prodigy Gold NL (ASX: PRX) ('Prodigy Gold' or the 'Company') is pleased to provide this activity report for the three months ended 30 September 2021.
Management Commentary
Commenting on progress made during the September quarter, Prodigy Gold Interim Executive Chairman, Matt Briggs said: "Another productive quarter for Prodigy Gold highlighted significant progress at our Buccaneer Gold Deposit and the completion of key drilling programs within Hyperion.
At the Tregony Deposit within Hyperion, re-logging and re-interpretation of historic drilling has resulted in the confirmation of a new geological model. Drilling at Tregony during the quarter intersected multiple structures which supports the new geological model and highlights the potential for plunge and dip extensions to the mineralisation.
Encouraging outcomes were returned from our drilling program at Buccaneer with confirmation that oxide mineralisation extends for over 150m to the south of the existing Buccaneer Resource. The resource model is currently restricted to the monzogranite intrusion. The conceptual evaluation of the resource under a heap leach processing scenario has highlighted the potential for oxide extensions to the south. Buccaneer continues to shape as an exciting opportunity for Prodigy Gold and further updates will be provided on outcomes from the heap leach scoping study this quarter."
September Quarter Exploration Summary
Reynolds Range Project (100% PRX)
The Reynolds Range Project is accessed from the Stuart Highway 90km north of Alice Springs. Proximity to infrastructure is good, with targets located between 20km and 120km off the NT highway, railway line (Ghan) and the NT gas pipeline. This project has excellent access and is located on pastoral lease. Prodigy Gold has negotiated access and permits to the land. The Project comprises three exploration licences, EL23655, EL23888 and EL28083. All activity in the current program is located on EL23888, wholly owned by Prodigy Gold.
Figure 1 - Reynolds Range Project Map
Reynolds Range RC Drilling Program
During July the Company announced that results had been received from the Reverse Circulation ("RC") drilling program completed during the June 21 quarter at the Reynolds Range Project (Figure 1) in the Northern Territory.
The program comprised 11 RC holes for a total of 1,549m and focused primarily on the Reward, Scimitar, and Sabre Targets. A key outcome from the program was the extension of mineralisation at the Sabre Target by over 450m along strike.
Sabre Prospect
The Sabre Prospect is part of the 14km long Stafford Gold Trend and contains shallow gold workings associated with the Lander Shear Zone. RAB drilling and surface sampling defined gold mineralisation over 500m of strike and there is evidence of antimony also being intersected in the area. Previous RC and diamond drilling intersected high-grade gold mineralisation in weathered rocks, including results of 17m @ 3.93g/t Au (ASX: 24 May 2010) , 26m @ 2.73g/t Au and 24m @ 2.59g/t Au (ASX: 18 January 2010).
Sabre Prospect Drilling
Seven RC holes for 1,081m returned results at the Sabre Prospect. The latest program at Sabre drilled the extensions of the oxide mineralisation (3 holes), the direct extension 100m to the south of previous RC drilling (2 holes), and drill traverse 480m along strike to the south of previous RC drilling. These most southern 2 RC holes drilled under gold anomalism previously intersected in RAB drilling. Hole SBRC2107 significantly deviated to the north and appears to have intersected the upper margin of the north plunging shoot. The drilling has confirmed the interpreted plunge and highlights potential for extensions below existing drilling.
Figure 2 – Sabre drilling plan highlighting significant results from 2021 drilling at Reynolds Range (Historical results (black background) ASX: 18 January 2010)
Further details and diagrams from this program are available in the ASX announcement dated 14 July 2021.
Scimitar Prospect
The Scimitar Au-Cu Prospect is a 1.5km long north-south trending high-grade Cu-Au soil and rock chip anomaly. Au-Cu anomalism is associated with surface quartz veining and alteration halo including malachite.
Scimitar Prospect Drilling
Three RC holes were drilled in the June quarter to test the bedrock source of this anomaly at the southern end of the prospect. While quartz veining and trace sulphides were intersected in the 3 holes drilled, no clear source of the elevated results at surface has been identified. Narrow intervals of lowgrade copper mineralisation were intersected in all three holes. The project does not appear to demonstrate scale potential required to warrant future drilling (ASX: 14 July 2021).
Reward Prospect
The Reward Prospect is considered prospective for copper, gold and silver mineralisation and is located approximately 63km west of the Stuart Highway. Reward hosts some shallow copper oxide workings from the 1950's era and abundant malachite, azurite and chalcocite occurs associated with a brecciated shear zone and sulphidic sediments. This style of polymetallic mineralisation has similarities to the nearby Jervois Deposit, 350km to the east, which hosts 0.43 Mt copper and 21.4 Moz silver, 0.16 Mt lead/zinc and 176 koz Au (ASX KGL: 2 December 2020)
Reward Drilling
In late July, Prodigy Gold commenced diamond drilling at the Reward Copper Gold Prospect. The 260m diamond drillhole was designed to test an EM conductor 50m below surface and 400m long located 350m southeast from the historic Reward Copper Mine that averaged 11% Cu (Figure 3).
Figure 3 - Map of Reward showing historic mine workings with best assay results and EM plate to the south with diamond hole currently underway (ASX: 13 May 2010)
Initial assays are expected to be reported this quarter. Further background on the Reward Prospect and recent drilling program are available in the ASX announcement dated 26 July 2021. Narrow intersections of sulphidic sediment were intersected in the target position. Results are pending at quarter end. No further drilling is planned at the Reward Prospect.
Hyperion Project
Northern Tanami – PHD Target – 100% PRX
PHD is an 11km soil gold anomaly within the Hyperion Project, Northern Territory. It is located 30km northwest of the existing 4.93Mt @ 1.93g/t 310koz gold resource (ASX: 31 July 2018) and 40km north of Northern Star's 1.1Moz Groundrush Resource (Figure 4). Shallow RC drilling by previous owner Ord River Resources in 2005 and 2006 defined gold within two zones over 3.5km of strike at PHD. Sampling along strike of the historic anomalism extended the soil gold anomaly over the structure to 11km in length. Airborne magnetic surveying completed in 2019 highlighted the extensions of the structure along strike and the potential for parallel structures.
PHD Drilling – Aircore and Co-Funded Diamond Hole
In July, the Company advised that a program of aircore drilling had commenced at the PHD Gold Target comprising 80 aircore holes drilling on 1,000m line spacing along 7km of strike.
Figure 4 – Location of PHD Prospect within the Hyperion Project Area
Shortly after, Prodigy Gold was notified that its application for co-funding for a planned diamond drill hole at PHD under the Northern Territory Government's "Resourcing the Territory" initiative was successful. A 240.7m stratigraphic diamond drillhole was completed during the quarter and was designed to provide insight into the structural context and stratigraphic controls of gold mineralisation within the Hyperion Project.
Post quarter end, the Company reported the initial results from the PHD aircore drilling campaign. Drill holes were sampled and assayed using 3m composites, or shorter intervals for visible mineralisation. No significant results (over 0.5g/t Au) were reported (ASX: 6 October 2021).
Results of aircore drilling at the PHD Prospect defined the structure consistently along strike. Future work at the Hyperion Project will focus on high grade extensions to the Tregony Deposit including the strike extensions under cover to the north.
Tregony Deposit
Tregony is a structurally controlled vein-hosted gold deposit within the Hyperion Project, located 30km northwest of the Company's 100% owned Hyperion 4.93Mt @ 1.95g/t 310koz gold resource and 40km north of Northern Star's 1.1Moz Groundrush Resource.
Tregony Drilling
During the quarter, a 210.7m diamond drill hole at the Tregony Deposit intersected visible gold.
The hole intersected veining as shallow as 16.7m, and downhole intervals up to 9.5m wide (Table 1). Visible gold is observed at 58.5m down hole (Figure 5). The intersection of multiple structures supports the new geological model and highlights the potential for plunge and dip extensions to the mineralisation (ASX: 15 September 2021).
Figure 5 – Coarse visible gold in quartz veining at ~58.5m in TGDD2101
Table 1 - Description of veining intervals in drillhole TGDD2101
| Hole ID | From Depth(m) | To Depth(m) | Interval (m) | Description |
|---|---|---|---|---|
| TGDD2101 | 16.7 | 19 | 2.3 | Quartz veining in highly weathered shale |
| TGDD2101 | 45.9 | 49.1 | 3.2 | Thin frequent/infrequent quartz veins |
| TGDD2101 | 55.8 | 59.2 | 3.4 | Thin irregular frequent quartz pyrite veins. 0.4m massive quartzvein with visible gold (58.5-59.2m) |
| TGDD2101 | 68.5 | 78 | Thin frequent quartz veins with pyrite, pyrrhotite and chlorite.9.550% vein material 73.2-77m | |
| TGDD2101 | 88 | 91 | 3 | Thin frequent quartz veins with pyrite |
| TGDD2101 | 101 | 102.2 | 1.2 | Thin frequent quartz veins with quartz breccia |
| TGDD2101 | 173.9 | 177 | 3.1 | Thin frequent/infrequent quartz veins |
New Deposit Model and Exploration Concept
In-house remodeling of historical logging and gold assays from Tregony identified a stacked shear vein system within the hanging wall of the regional-scale Suplejack Shearzone. Stacked shear vein arrays are common in orogenic gold deposits and often are continuous down-dip of the major controlling structure and economically significant (Rhys 2021).
Modelling of the deposit relied heavily on assay data, as the geological logging of historical drillholes was not consistent throughout. Field inspection of the core identified visual gold in several core samples left on site.
The Tregony Deposit and its likely northern extension under cover to the north at Boco are a focus for 2022 RC and diamond drilling.
Figure 6 - Tregony cross section 7,860,220mN higlighting vertically stacked west dipping gold mineralisation
Buccaneer Resource – 100% PRX
The current Buccaneer Resource is 10Mt @ 1.8g/t for 585koz above a 1g/t cut-off grade. The resource cut-off grade is based on processing at a mill the scale of Northern Star's Central Tanami JV Processing Plant or a similar mill built on the Twin Bonanza Mineral Lease. Gold mineralisation is disseminated within a monzogranite intrusion, and typically associated with quartz veins, visible gold is seen in the quartz stockwork veining. Mineralisation extends from near surface to a depth of over 500m and has been defined in several zones over an area of 2,200m by 800m. The deposit remains open at depth, and aircore and RAB drilling suggest the potential for further strike extensions.
| Buccaneer Gold Deposit – Mineral Resource Estimate August 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| Indicated | Inferred | Total | |||||||
| Oxide | Tonnes(Mt) | GradeAu (g/t) | Metal(koz) | Tonnes(Mt) | GradeAu (g/t) | Metal(koz) | Tonnes(Mt) | GradeAu (g/t) | Metal(koz) |
| Oxidised | 0.2 | 1.69 | 12 | 0.1 | 1.82 | 4 | 0.3 | 1.73 | 16 |
| Transitional | 0.7 | 1.69 | 40 | 0.5 | 1.52 | 22 | 1.2 | 1.63 | 62 |
| Fresh | 0.3 | 1.59 | 13 | 8.3 | 1.86 | 494 | 8.5 | 1.85 | 507 |
| Total | 1.2 | 1.67 | 65 | 8.8 | 1.84 | 521 | 10.0 | 1.82 | 585 |
Buccaneer August 2017 Mineral Resource Estimate (ASX: 1 September 2017)
Buccaneer Drilling
At the Buccaneer Resource, a program of 17 aircore holes for 1,124m was completed to test the potential for shallow oxide mineralisation south of the resource and south of the current pit design (Figure 8). Drilling has confirmed that oxide mineralisation at Buccaneer extends a further 150m to the south of the existing resource.
A summary of the results is provided below, and full details can be viewed in the ASX announcement dated 6 October 2021.
Scoping study diamond drilling continues at the Buccaneer Resource. This drilling aims to project geotechnical data for inclusion into a scoping study scenario to treat the 10Mt @ 1.8g/t Au for 585 koz Buccaneer Resource through a low capital heap leach processing facility.
Buccaneer Oxide Mineralisation Extended to the South
Recently completed aircore drill holes were sampled and assayed over 3m composites. The results include:
- 6m @ 1.4 g/t Au from 12m (BCAC21007)
- 9m @ 0.5 g/t Au from 21m (BCAC21012), and
- 6m @ 0.7 g/t Au from 9m (BCAC21016).
Five of 17 holes drilled intersected significant oxide mineralisation. The resource model is currently restricted to the monzogranite intrusion. These result show that oxide mineralisation extends for over 150m to the south of the current Buccaneer Resource. The oxide extensions to the south have the potential to be included in the resource under a heap leach processing scenario.
Buccaneer Scoping Study Continues
The Company's focus is on advancing the heap leach processing scenario for the Buccaneer Resource. Scoping study activities are advancing with a diamond drilling program of 8 holes now complete. This drilling will provide both, geotechnical data and samples for metallurgical recovery testwork to optimise the crush size for heap leach extraction of the gold.
During the quarter results of testing to estimate unconfined compressive strength, crushing work index (CWi) and bond abrasion index (Ai) were returned . These results are more favourable than had been considered in the concept study and support the acceleration of study work.
Studies undertaken over the last 9 months have evaluated a heap leach processing scenario for the Buccaneer Deposit. When the type of mineralisation is appropriate, heap leaching is a simple, lowcost process that can result in significant savings in capital expenditures and operating costs, which can significantly improve a project's economics. Deep weathering in the Tanami results in softer weathered rocks, and sulphide is often completely oxidised up to 100m below surface.
The project is well advanced featuring:
- Granted mineral lease
- Over 300 RC and diamond drillholes
- Exploration and mining agreement with the Traditional Owners administered by the Central Land Council
- Heritage, flora and fauna baseline surveys
- Accommodation camp and workshops
- Water bores with marginal to fresh water
- Airstrip
- Haul road access nearby to the Tanami Road
- 220kl of fuel storage
Figure 7 – Highlighted recent and previous drill intercepts (max Au) along the Buccaneer Monzogranite
Figure 8 – Recent results highlight potential extensions to oxide mineralisation to the south of the monzogranite (pink). The current resource is restricted to the monzogranite.
Figure 9 - Recent Buccaneer diamond drillholes completed to provide geotechnical and metallurgical sample material
Joint Venture Portfolio
Lake Mackay Project Exploration Summary
No field activity was undertaken by the JV in the September quarter. Covid restrictions resulted in a delay to heritage clearances on the project area in WA. Tenement EL29747 was surrendered during the quarter.
Future JV activities proposed for the 2022 field season include 3 diamond holes testing strike and plunge projections of the Phreaker deposit where diamond drilling produced results of 4.5m @ 3.03% Cu, 1.78g/t Au and 14g/t Ag from 562m and 17.47m @ 2.13% Cu, 0.21g/t Au and 9g/t Ag from 575.23m in the June quarter (ASX 26 May 2021). Additionally RC drilling has been designed to test six gold targets including Arcee 12m @ 3.5g/t Au, Goldbug 16m @ 1.15g/t Au and four additional soil gold anomalies.
A major focus of the JV in the longer term will be airborne EM and RC/diamond drilling of targets defined on the southern applications areas. Drilling in this area will require the successful negotiation of an exploration and mining agreement with the Traditional Owners.
Figure 10: Lake Mackay Project Map
Tobruk JV (Newmont)
The identification of a Covid-19 case on Newmont's Tanami Operation towards the end of June 2021 meant that exploration activity was suspended until early in August. More than 75 deep sensing geochemistry survey points were collected when field activity resumed along with a passive seismic survey.
Prodigy Gold Terminates Operator Agreement over the Old Pirate Project
Post quarter end, Prodigy Gold advised that it had terminated the Operator Agreement over the Old Pirate Project for unremedied breaches of the Agreement.
In October 2019, the Company signed a strategic 10-year operator agreement with private company TRL Tanami (now Davidson Gold) over the Company's Old Pirate Project located in the Tanami Region of the Northern Territory (ASX: 3 October 2019). The termination is effective immediately.
Corporate Overview
2021 Environmental, Social and Governance Report
In August, 2021 the Company shared its Environmental, Social and Governance Report. Prodigy Gold is dedicated to measuring and continually improving environmental performance. The Company acknowledges that it conducts mineral exploration and mining on land owned by Traditional Owners and commits to working closely with the community to ensure a good approach is always followed and that the Company acts in a responsible manner and minimises impacts on the environment.
This report outlined the Company's ongoing commitment to high standards and continual improvements in a number of key areas. These areas include health and safety, stakeholder engagement, indigenous interests, environmental performance, water, diversity and local communities.
The Company also commits to maintaining open communication with regulators, the community and stakeholders and to periodically audit performance to further improve outcomes. Cultural Awareness training had been arranged with the Balgo community, however had to be terminated at the request of WA police due to Covid directives. WA health restrictions continue to frustrate cross border activities.
No reportable safety incidents occurred this quarter. A minor oil spill from a waste oil storage drum was fully remediated under the guidance of our environmental consultant.
Board Changes
In September, the Company announced that Tommy McKeith had resigned from his position as Chairman of the Board with immediate effect, in order to focus on his other commitments.
The Board extends its sincere gratitude to Mr McKeith for his significant contribution, effort and commitment he has put into the Company over the period of his directorship and wishes him the best for his future endeavors.
Matt Briggs assumed the role of Interim Executive Chairman until the Annual General Meeting or until the Board completes the process of recruiting a new Chairman.
Post quarter end, Matt Briggs, advised the Company of his resignation as Managing Director at the end of a three-month notice period.
The Company has commenced an executive search for a new Managing Director to provide for a smooth and effective transition. The Board extends its sincere gratitude to Mr Briggs for his tireless work and significant contribution, effort and commitment he has put into the Company over the period of his directorship. Under his stewardship the Company has reinvigorated systematic gold exploration in the Tanami Region and completed several joint ventures with high calibre partners.
Capital Structure
During the quarter Pacific Road Capital ceased to be a substantial holder and APAC Resources Limited increased its stake to 19.9% of Prodigy Gold's shares on issue.
The Company issued 2.6 Million unlisted options, 2 Million options were exercised and 13.4 Million options expired and lapsed unexercised.
As at quarter end the Company has a total of 582,627,606 fully paid ordinary shares and 17.05 Million unlisted options on issue.
Cash Position
As at 30 September 2021, Prodigy Gold held A$4.4M in available cash with no debt.
Payments reported in the Appendix 5B under section 6.1 consist of remuneration paid to executive and non-executive directors of the Company, including PAYG and superannuation, on a cash basis.
Authorised for release by a resolution of Prodigy Gold's Board of Directors.
For further information contact:
Matt Briggs Interim Executive Chairman +61 8 9423 9777
About Prodigy Gold NL
Prodigy Gold has a unique greenfields and brownfields exploration portfolio in the proven multimillion-ounce Tanami Gold district. Prodigy Gold remains highly active in its systematic exploration approach and following the removal of COVID-19 restrictions intends to continue exploration prioritising on:
- drilling targets on its Tanami Projects
- a scoping study on the Buccaneer Resource
- systematic evaluation of high potential early stage targets
- joint ventures to expedite discovery on other targets
Competent Person's Statement
The information in this announcement relating to exploration targets and exploration results are based on information reviewed and checked by Mr Matt Briggs, MAusIMM. Mr Briggs is a Member of The Australasian Institute of Mining and Metallurgy and has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity 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 "JORC Code"). Mr Briggs is a fulltime employee and shareholder of the Company in the position of Interim Executive Chairman and consents to the inclusion of the Exploration Results in the form and context in which they appear.
Prodigy Gold NL confirms that it is not aware of any new information or data that materially affects the information included in the market announcement and that all material assumptions and technical parameters underpinning the estimates included in referenced previous market announcements continue to apply and have not materially changed.
The information in this report that relates to previous exploration results, was either prepared and first disclosed under the JORC Code 2004 or under the JORC Code 2012 and was previously disclosed to ASX on 28 September 2007 or has been crossreferenced in the text to the date of original announcement to ASX. In the case of the 2004 JORC Code Exploration Results first reported by Ord River, they have not been updated to comply with the JORC Code 2012. Refer to the caution in the announcement body regarding historic data validation underway.
The information in this report that relates to gold Mineral Resources for the Hyperion Project was reported to the ASX on 31 July 2018 (JORC 2012) and for the Buccaneer Resource on 1 September 2017. Prodigy Gold confirms that it is not aware of any new information or data that materially affects the information included in the announcements of 31 July 2018 and 1 September 2017, and that all material assumptions and technical parameters underpinning the estimates in the announcement of 31 July 2018 and 1 September 2017 continue to apply and have not materially changed.
Cautionary Statements Relating to Historical Data
The production details for the Reward Mine are referenced from publicly available data sources. The source and date of the production data reported has been reported in the Northern Territory Geological Survey records reporting production from the Reward Gold Mine in 1953. DITT digital records include open file Annual Reports and data pertaining to the exploration and development efforts of previous operators. The historical production data have not been reported in accordance with the JORC Code 2012. A Competent Person has not done sufficient work to disclose the historical production data in accordance with the JORC Code 2012.
The Company cautions that the previous 2004 Tregony Mineral Resource is not reported in accordance with the JORC Code 2012. A Competent Person has not yet done sufficient work to classify the estimates of Mineral Resources in accordance with the JORC Code 2012. Prodigy Gold notes that nothing has come to its attention that causes it to question the accuracy or reliability of the former owner's estimate as first announced by Ord River Resources in ASX release dated 22 November2012, however the Company is in the process of independently validating the former owner's data and estimates and therefore cannot be regarded as reporting, adopting or endorsing those estimates.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
Name of entity
Prodigy Gold NL
ABN Quarter ended ("current quarter")
58 009 127 020 September 2021
| Consolidated statement of cash flows | Current quarter$A'000 | Year to date(3months)$A'000 | |
|---|---|---|---|
| 1. | Cash flows from operating activities | ||
| 1.1 | Receipts from customers | ||
| 1.2 | Payments for | ||
| (a)exploration & evaluation | (1,638) | (1,638) | |
| (b)development | |||
| (c)production | |||
| (d)staff costs | (133) | (133) | |
| (e)administration and corporate costs | (119) | (119) | |
| 1.3 | Dividends received (see note 3) | ||
| 1.4 | Interest received | 7 | 7 |
| 1.5 | Interest and other costs of finance paid | (5) | (5) |
| 1.6 | Income taxes paid | ||
| 1.7 | Government grants and tax incentives | ||
| 1.8 | Other (provide details if material) | 91 | 91 |
| 1.9 | Net cash from / (used in) operatingactivities | (1,797) | (1,797) |
| 2. | Cash flows from investing activities | |||
|---|---|---|---|---|
| 2.1 | Payments to acquire or for: | |||
| (a) | entities | |||
| (b) | tenements | |||
| (c) | property, plant and equipment | (36) | (36) | |
| (d) | exploration & evaluation | |||
| (e) | investments | |||
| (f) | other non-current assets |
| Consolidated statement of cash flows | Current quarter$A'000 | Year to date(3months)$A'000 | |
|---|---|---|---|
| 2.2 | Proceeds from the disposal of: | ||
| (a)entities | |||
| (b)tenements | |||
| (c)property, plant and equipment | |||
| (d)investments | |||
| (e)other non-current assets | |||
| 2.3 | Cash flows from loans to other entities | ||
| 2.4 | Dividends received (see note 3) | ||
| 2.5 | Other (provide details if material) | ||
| 2.6 | Net cash from / (used in) investingactivities | (36) | (36) |
| 3. | Cash flows from financing activities | |
|---|---|---|
| 3.1 | Proceeds from issues of equity securities(excluding convertible debt securities) | |
| 3.2 | Proceeds from issue of convertible debtsecurities | |
| 3.3 | Proceeds from exercise of options | |
| 3.4 | Transaction costs related to issues of equitysecurities or convertible debt securities | |
| 3.5 | Proceeds from borrowings | |
| 3.6 | Repayment of borrowings | |
| 3.7 | Transaction costs related to loans andborrowings | |
| 3.8 | Dividends paid | |
| 3.9 | Other (cash bond for environmentalguarantee) | |
| 3.10 | Net cash from / (used in) financingactivities |
| 4. | Net increase / (decrease) in cash andcash equivalents for the period | ||
|---|---|---|---|
| 4.1 | Cash and cash equivalents at beginning ofperiod | 6,258 | 6,258 |
| 4.2 | Net cash from / (used in) operatingactivities (item 1.9 above) | (1,797) | (1,797) |
| 4.3 | Net cash from / (used in) investing activities(item 2.6 above) | (36) | (36) |
| 4.4 | Net cash from / (used in) financing activities(item 3.10 above) | - | - |
| Consolidated statement of cash flows | Current quarter$A'000 | Year to date(3months)$A'000 | |
|---|---|---|---|
| 4.5 | Effect of movement in exchange rates oncash held | ||
| 4.6 | Cash and cash equivalents at end ofperiod | 4,425 | 4,425 |
| 5. | Reconciliation of cash and cashequivalentsat the end of the quarter (as shown in theconsolidated statement of cash flows) to therelated items in the accounts | Current quarter$A'000 | Previous quarter$A'000 |
|---|---|---|---|
| 5.1 | Bank balances | 1,675 | 2,258 |
| 5.2 | Call deposits | 2,750 | 4,000 |
| 5.3 | Bank overdrafts | ||
| 5.4 | Other (provide details) | ||
| 5.5 | Cash and cash equivalents at end ofquarter (should equal item 4.6 above) | 4,425 | 6,258 |
| 6. | Payments to related parties of the entity and theirassociates | Current quarter$A'000 |
|---|---|---|
| 6.1 | Aggregate amount of payments to related parties and theirassociates included in item 1 | 103 |
| Director fees and salaries (incl. superannuation) on a cash basis | ||
| 6.2 | Aggregate amount of payments to related parties and theirassociates included in item 2 | |
| Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and anexplanation for, such payments. |
Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report
| 7. | Financing facilitiesNote: the term "facility' includes all forms of financingarrangements available to the entity.Add notes as necessary for an understanding of thesources of finance available to the entity. | Total facilityamount at quarterend$A'000 | Amount drawn atquarter end$A'000 | ||
|---|---|---|---|---|---|
| 7.1 | Loan facilities | ||||
| 7.2 | Credit standby arrangements | ||||
| 7.3 | Other (Guarantee Facility) | 2,381 | 2,381 | ||
| 7.4 | Total financing facilities | 2,381 | 2,381 | ||
| 7.5 | Unused financing facilities available at quarter end | - | |||
| 7.6 | Include in the box below a description of each facility above, including the lender, interestrate, maturity date and whether it is secured or unsecured. If any additional financingfacilities have been entered into or are proposed to be entered into after quarter end,include a note providing details of those facilities as well. | ||||
| *Prodigy Gold has guarantee facilities with the ANZ and CBA which do not require anysecurity to be granted over the Company's assets. No interest is payable for the facilities asthe funds drawn are fully cash-backed. Related fees are part of expenditure under point 1.5. |
| 8. | Estimated cash available for future operating activities | $A'000 | ||
|---|---|---|---|---|
| 8.1 | Net cash from / (used in) operating activities (item 1.9) | (1,797) | ||
| 8.2 | (Payments for exploration & evaluation classified as investingactivities) (item 2.1(d)) | |||
| 8.3 | Total relevant outgoings (item 8.1 + item 8.2) | (1,797) | ||
| 8.4 | Cash and cash equivalents at quarter end (item 4.6) | 4,425 | ||
| 8.5 | Unused finance facilities available at quarter end (item 7.5) | |||
| 8.6 | Total available funding (item 8.4 + item 8.5) | 4,425 | ||
| 8.7 | item 8.3) | Estimated quarters of funding available (item 8.6 divided by | 2.5 | |
| Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7. | Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as "N/A". | |||
| 8.8 | If item 8.7 is less than 2 quarters, please provide answers to the following questions: | |||
| 8.8.1 | Does the entity expect that it will continue to have the current level of net operatingcash flows for the time being and, if not, why not? | |||
| Answer: | ||||
| 8.8.2 | Has the entity taken any steps, or does it propose to take any steps, to raise furthercash to fund its operations and, if so, what are those steps and how likely does itbelieve that they will be successful? | |||
| Answer: | ||||
| 8.8.3 | Does the entity expect to be able to continue its operations and to meet its business | |||
| Answer: | ||||
| Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered. |
Compliance statement
- 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
- 2 This statement gives a true and fair view of the matters disclosed.
Date: 29 October 2021
Authorised by: The Board of Directors (Name of body or officer authorising release – see note 4)
Notes
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- This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity's activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
-
- If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.
-
- Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
-
- If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board". If it has been authorised for release to the market by a committee of your board of directors, you can insert here: "By the [name of board committee – eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee".
-
- If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.
Summary of Mining Tenements for the quarter ending 30 September 2021
| Area of Interest | Tenement | Group's | Tenement | Comments/Status Changes | ||||
|---|---|---|---|---|---|---|---|---|
| Interest | Status | During the Quarter | ||||||
| NORTHERN TERRITORY | ||||||||
| TANAMI | ||||||||
| Birrindudu | EL5889 | 100 | granted | Surrendered | ||||
| EL23523 | 100 | granted | ||||||
| EL28326 | 100 | granted | ||||||
| EL31332 | 100 | granted | ||||||
| Bluebush | EL23659 | 100 | granted | |||||
| EL24436 | 100 | granted | ||||||
| EL26610 | 100 | granted | ||||||
| EL26634 | 100 | granted | Surrendered | |||||
| EL27119 | 100 | granted | Surrendered | |||||
| EL27127 | 100 | granted | ||||||
| EL27589 | 100 | granted | ||||||
| EL28327 | 100 | granted | ||||||
| EL29860 | 100 | granted | ||||||
| EL31288 | 100 | granted | ||||||
| EL31290 | 100 | granted | ||||||
| EL31291 | 100 | granted | ||||||
| EL30944 | 100 | application | ||||||
| Bonanza | EL25194 | 100 | granted | |||||
| EL26608 | 100 | granted | ||||||
| EL27378 | 100 | granted | ||||||
| EL28322 | 100 | granted | ||||||
| EL28324 | 100 | granted | ||||||
| EL28325 | 100 | granted | ||||||
| EL28328 | 100 | granted | ||||||
| EL28394 | 100 | granted | ||||||
| EL31289 | 100 | granted | ||||||
| ML29822 | 100 | granted | ||||||
| EL30814 | 100 | application | ||||||
| Hyperion | EL9250 | 100 | granted | |||||
| EL26619 | 100 | granted | Surrendered | |||||
| EL27125 | 100 | granted | ||||||
| EL27126 | 100 | granted | ||||||
| EL27979 | 100 | granted | ||||||
| EL31330 | 100 | granted | Surrendered | |||||
| EL31331 | 100 | granted | ||||||
| EL31530 | 100 | granted | ||||||
| EL32055 | 100 | granted | ||||||
| EL26623 | 100 | application | ||||||
| EL32056 | 100 | application | ||||||
| Abroholos | EL29833 | 100 | application | |||||
| EL29834 | 100 | application | ||||||
| EL25156 | 100 | granted | ||||||
| Tobruk (1) | EL25191 | 100 | granted | |||||
| EL25192 | 100 | granted | ||||||
| EL28785 | 100 | granted | ||||||
| EL29832 | 100 | granted | ||||||
| EL29859 | 100 | granted | ||||||
| EL30270 | 100 | application | ||||||
| EL30274 | 100 | application | ||||||
| EL32057 | 100 | application | ||||||
| Area of Interest | Tenement | Group's | Tenement | Status Changes |
|---|---|---|---|---|
| Interest | Status | During the Year | ||
| Euro | EL25845 | 100 | granted | |
| EL26590 | 100 | granted | ||
| EL26591 | 100 | granted | ||
| EL26592 | 100 | granted | ||
| EL26593 | 100 | granted | ||
| EL26613 | 100 | granted | ||
| EL26615 | 100 | granted | ||
| EL26618 | 100 | granted | ||
| EL26620 | 100 | granted | ||
| EL26621 | 100 | granted | ||
| EL26622 | 100 | granted | ||
| EL26673 | 100 | granted | ||
| EL27604 | 100 | granted | ||
| EL30271 | 100 | application | ||
| EL30272 | 100 | application | ||
| EL30273 | 100 | application | ||
| EL30283 | 100 | application | ||
| Tanami Altura JV (2) | EL26626 | 90 | granted | |
| EL26628 | 90 | granted | ||
| EL29828 | 90 | granted | ||
| EL26627 | 90 | application | ||
| LAKE MACKAY | ||||
| Tekapo | EL28682 | 100 | application | |
| Warumpi (3) | EL24915 | 30 | granted | |
| EL25146 | 30 | granted | ||
| EL30729 | 30 | granted | ||
| EL30730 | 30 | granted | ||
| EL30731 | 30 | granted | ||
| EL30732 | 30 | granted | ||
| EL30733 | 30 | granted | ||
| EL30739 | 30 | granted | ||
| EL30740 | 30 | granted | ||
| EL31234 | 30 | granted | IGO Limited | |
| E80/5001 | 30 | granted | IGO Limited | |
| EL29747 (4) | 25.4 | granted | Castile Resources Pty Ltd / Surrendered | |
| EL31974 (4) | 25.4 | granted | Castile Resources Pty Ltd | |
| EL25147 | 30 | application | ||
| EL31718 | 30 | application | IGO Limited | |
| EL31719 | 30 | application | IGO Limited | |
| EL31720 | 30 | application | IGO Limited | |
| EL31721 | 30 | application | IGO Limited | |
| EL31722 | 30 | application | IGO Limited | |
| EL31913 | 30 | application | IGO Limited | |
| EL32095 | 30 | application | IGO Limited | |
| EL32096 | 30 | application | IGO Limited | |
| EL32097 | 30 | application | IGO Limited | |
| EL32098 | 30 | application | IGO Limited | |
| EL32099 | 30 | application | IGO Limited | |
| EL32100 | 30 | application | IGO Limited | |
| EL32101 | 30 | application | IGO Limited | |
| EL32102 | 30 | application | IGO Limited | |
| EL32103 | 30 | application | IGO Limited |
| Area of Interest | Tenement | Group'sTenement | Status Changes | ||||
|---|---|---|---|---|---|---|---|
| Interest | Status | During the Year | |||||
| NORTH ARUNTA | |||||||
| Barrow Creek | EL8766 | 100 | granted | ||||
| EL23880 | 100 | granted | |||||
| EL23883 | 100 | granted | |||||
| EL23884 | 100 | granted | |||||
| EL23885 | 100 | granted | |||||
| EL23886 | 100 | granted | |||||
| EL25031 | 100 | granted | |||||
| EL25033 | 100 | granted | |||||
| EL25034 | 100 | granted | |||||
| EL25035 | 100 | granted | |||||
| EL25041 | 100 | granted | |||||
| EL25042 | 100 | granted | |||||
| EL25044 | 100 | granted | |||||
| EL26825 | 100 | granted | |||||
| EL28515 | 100 | granted | |||||
| EL29723 | 100 | granted | |||||
| EL29724 | 100 | granted | |||||
| EL29725 | 100 | granted | |||||
| EL29896 | 100 | granted | |||||
| EL30470 | 100 | granted | |||||
| EL30507 | 100 | granted | |||||
| EL30637 | 100 | granted | |||||
| Reynolds Range | EL23655 | 80(5) | granted | ||||
| EL23888 | 100 | granted | |||||
| EL28083 | 100 | granted |
-
Farm-in and Joint Venture Agreement with Newmont Exploration Pty Ltd earning up to a 70% interest in the tenements.
-
Joint Venture with Ngungaju Lithium Operations Pty Ltd (formerly Altura Lithium Operations Pty Ltd).
-
Joint Venture with IGO Limited 70% / Prodigy Gold 30%.
-
Tenement is subject to a Joint Venture between with Castile Resources Pty Ltd (15.3%), IGO Limited (59.3%) and Prodigy Gold NL (25.4%).
-
Tenement is subject to a Joint Venture with Select Resources Pty Ltd. Prodigy Gold holds an 80% beneficial interest with a 60% interest currently registered on title.