AI assistant
RAREX LIMITED — Interim / Quarterly Report 2015
Apr 28, 2015
65681_rns_2015-04-28_f700ef51-12ec-4dda-a440-afaac64c5105.pdf
Interim / Quarterly Report
Open in viewerOpens in your device viewer
==> picture [562 x 60] intentionally omitted <==
----- Start of picture text -----
Clancy Exploration Limited Phone: (02) 6361 1285
3 Corporation Place Fax: (02) 6361 1202
Orange NSW 2800 www.clancyexploration.com
Australia [email protected]
----- End of picture text -----
QUARTERLY ACTIVITIES and CASHFLOW REPORT For the period ending 31 March 2015
The Board of Clancy Exploration Limited is pleased to release its Quarterly Activities report for the period ending 31 March 2015.
Summary
-
Diamond drilling completed at the Fairholme JV testing high-priority Typhoon IP targets: o Four diamond holes for 2,453m;
-
Porphyry system with disseminated chalcopyrite identified ;
-
Lack of veining in the system – narrow low-grade copper intercepts;
-
Disseminated pyrite-pyrrhotite-chalcopyrite and magnetite bodies inferred to be the source of the chargeability anomalies.
-
Diamond drilling completed at the Bell Prospect within the Cundumbul JV :
-
Two diamond holes for 735.7m;
-
Strongly sheared and altered rocks with sulphides intersected;
-
The molybdenum zone intersected in previous RC drilling may be offset by faulting;
-
o Results pending.
-
Aircore drilling completed at the Genaren JV
-
22 aircore holes for 1,219m;
-
No significant results.
Exploration
Fairholme EL6552 and EL6915
(NSW, Clancy 51%; Kaizen Discovery Inc 49%, earning 65% and funding 100%)
The Fairholme project covers 172km[2] of the Fairholme Igneous Complex and is located 12km north of the Cowal gold mine. The geophysical characteristics of the Fairholme Igneous Complex are similar to the Cowal Complex to the south, which hosts the Cowal gold mine (Barrick) and the Marsden porphyry copper-gold deposit (Newcrest).
During the quarter, diamond drilling of three high priority Induced Polarisation (IP) chargeability targets (Targets 3, 5 & 1) at the Dungarvan Prospect was completed (Figure 1). The targets were tested by one ACdiamond (FHD004) and three diamond-only holes (FHD05-7) for a total of 2453m. Targets 3 and 5 coincided with the main magnetic-intrusive centre at the Dungarvan Prospect (FHD004-5 and FHD007) and Target 1 was the strongest chargeability high which lies ~500m NW of the Dungarvan magnetic high.
The holes drilled in to the magnetic high (FHD004-5 & 7; Figure 2) intercepted an extensive porphyry system consisting of diorite, monzodiorite, intermediate feldspar-hornblende porphyry and intermediate feldspar porphyry intrusions hosted by an intermediate package of bedded matrix-supported polymictic
==> picture [561 x 21] intentionally omitted <==
----- Start of picture text -----
1
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
conglomerate and medium to fine-grained volcaniclastic rocks. Porphyry-style veining was not common, though chalcopyrite mainly associated with the feldspar porphyry intrusions was present in disseminated form. More extensive disseminated pyrite-pyrrhotite-chalcopyrite and magnetite bodies are inferred to be the source of the chargeability anomalies.
==> picture [317 x 405] intentionally omitted <==
Figure 1 - Plan view of the outline of the two Typhoon surveys over the Total Magnetic Intensity magnetic image at Fairholme with respect to the location of the Cu-Au prospects.
-
The better intercepts[1] include: FHD004: 2m @ 0.25 g/t Au from 36m;
- 4m @ 0.11% Cu from 63m;
-
1m @ 244 ppm Mo from 412m.
-
FHD005: 3m @ 0.01% Cu from 36m;
-
6m @ 0.16% Cu from 135m;
-
4m @ 0.15% Cu from 452m.
-
FHD007: 11m @ 0.12% Cu from 64m;
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
2
----- End of picture text -----
1 See Table 4 for all Fairholme calculated intercepts.
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
-
1m @ 1.58 g/t Au from 94 m (oxide)
-
5m @ 0.12% Cu from 302m;
-
4m @ 0.1% Cu from 387m;
-
2m @ 0.16% Cu from 395m.
Target 1 was drilled by FHD006 testing for possible blind Cu-Au mineralised intrusions. This hole intercepted strongly sheared intermediate well-bedded fine to medium grained volcaniclastic rocks with lesser conglomerate and much lesser feldspar porphyry intrusions. Mineralisation consisted primarily of pyrite and pyrrhotite-chalcopyrite. Acicular arsenopyrite was present as haloes to rare quartz veins. Alteration was dominated by sericite-chlorite and lesser epidote and no evidence of a blind porphyry intrusive centre was found.
o The better intercepts[1] include: FHD006: 1m @ 0.43 g/t Au from 94m;
- 2m @ 0.13% Cu from 413m.
==> picture [480 x 339] intentionally omitted <==
----- Start of picture text -----
Dungarvan
----- End of picture text -----
Figure 2 - Plan view of the Aircore-Diamond drill program at Fairholme with the background reduced to pole magnetic image, showing the locations of drill strings with reference to the IP chargeability anomaly targets relevant to this release as contours. Historic drill hole collars are also shown coloured by the >500 ppm maximum-in-hole copper.
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
3
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
The 3D inversion generated using the gradient and 3D array data successfully mapped disseminated sulfide in basement rocks buried under conductive cover in most of the survey area. The drilling program confirmed the presence of an unroofed Cu-Au-Mo bearing porphyry system at Dungarvan, which is crosscut by numerous steep low temperature carbonate-bearing semi-ductile shears.
Forward work will include an assessment of the prospectivity of the area and potentially further drilling dependent on internal reviews of the project. Funding remains from the New Frontiers Cooperative drilling to assist with further drilling.
Cundumbul EL6661 and EL7399
(NSW, Clancy 100%; Mitsubishi earning 49% and funding 100%)
The Cundumbul project covers 204.9km[2] of prospective arc units in the Molong Volcanic Belt between Molong and Wellington. There are numerous intrusive complexes at Cundumbul that have anomalous copper and/or gold associated with them.
A two-hole diamond drilling program was completed at the Bell Prospect in February 2015, for a total of 735.7m (Figure 3). A third, failed, wedge hole was also partially drilled. As at quarter end, finalised assay results are still pending and are expected in late April 2015.
==> picture [508 x 345] intentionally omitted <==
Figure 3 – Bell Prospect – Final Drill Hole Plan showing completed diamond drill traces (pale blue). Also shown are RC drill hole traces (black) from 2014 with Mo intercept zones. Coordinates are in MGA94 Zone 55.
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
4
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
Interbedded volcanic sandstones and siltstones and intermediate volcaniclastics of the Ordovician Oakdale Formation were dominant in the core, with intermediate hornblende and feldspar porphyries intruding the host sequence. The Bell Shear Zone, host to high-grade Mo intercepts in previous RC drilling[2] , was intersected and featured textural destruction and strong to intense chlorite-clay-hematite-sericite alteration. Within the shear zone there were wide zones of intensely bleached/K-feldspar alteration associated with hornblende porphyries.
Sulphides are constrained to zones of very fine disseminations of pyrite (± chalcopyrite) and late stage quartz-carbonate-base metal veins (galena/chalcopyrite). The late stage base metal veins were not intersected previously, and indicate vertical zonation of the system.
The strong, Mo-bearing, silica-sericite-pyrite (phyllic) alteration observed in the RC chips in 2014[3] was not intersected. Based on this observation, north-south oriented strike-slip movement of the Bell Shear Zone is inferred, transposing the continuation of the mineralisation at depth.
==> picture [415 x 372] intentionally omitted <==
Figure 4 – Map showing location of Clancy projects in central NSW.
2 Refer to ASX release dated 3 December 2014 for further details
3 Refer to ASX release dated 3 December 2014 for further details
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
5
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
Genaren EL7927
(NSW, Clancy 100%; Mitsubishi earning 49% and funding 100%)
Genaren is located at the northern end of the Northparkes Igneous Complex, 29km north of the Northparkes copper-gold mine.
During the quarter, 22 air core holes for 1219m were drilled at the Cora Lynn and Wilga Vale prospects. The 15 Cora Lynn holes primarily intersected porphyritic inferred Wombin Volcanics with hematite-sericite alteration and lesser amounts of post-Ordovician quartzo-feldspathic volcaniclastic rocks and younger silcrete gravel layers. The only notable intercept[4] was 9m @ 0.06% Cu from 53m to bottom of hole in GAAC019 and was nearest to the previously reported 3m @ 0.26 ppm Au from 31m in GAAC002. The area in between these two holes has not been drilled and any further work in the area will be decided by the Joint Venture parties during the next quarter.
The seven holes completed at Wilga Vale did not return any significant assays.
==> picture [497 x 315] intentionally omitted <==
----- Start of picture text -----
GAAC002
3m @ 0.26 ppm
Au from 31m
GAAC019
9m @ 0.06%Cu
from 53m to BOH
----- End of picture text -----
Figure 4 – Cora Lynn and Wilga Vale prospects shown on EL7927 over Total Magnetic Intensity magnetic image. All known drill collars are shown. The latest intercept is shown in bold.
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
6
----- End of picture text -----
4 See Table 5 for the Genaren calculated intercept.
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
Table 1: Cundumbul Diamond Drill Hole Collars
==> picture [399 x 64] intentionally omitted <==
----- Start of picture text -----
Hole ID MGA_E MGA_N RL (m) Depth (m) Dip° Azi° (Mag)
CND001A 681757 6366150 481 142.8 -75 135
CND001B 681757 6366150 481 424.8 -75 135
CND002 681756 6366151 481 310.9 -60 148
----- End of picture text -----
Table 2: Fairholme Air Core- Diamond Drill Hole Collars
==> picture [399 x 79] intentionally omitted <==
----- Start of picture text -----
Hole ID MGA_E MGA_N RL (m) Depth (m) Dip° Azi° (Mag)
FHD004 534158.4 6297698 210 541.9 -70 32
FHD005 534567 6297072 210 711.7 -82 28
FHD006 533364 6298246 210 793.3 -65 28
FHD007 534506 6297011 210 405.9 -70 28
----- End of picture text -----
Table 3: Genaren Air Core Hole Collars
==> picture [431 x 311] intentionally omitted <==
----- Start of picture text -----
Hole ID MGA_E MGA_N RL (m) Depth (m) Dip° Azi° (Mag)
GAAC022 586412 6382534 266 18 -90 0
GAAC023 587429 6381488 254 60 -90 0
GAAC024 587891 6381751 253 56 -90 0
GAAC025 588397 6381456 262 66 -90 0
GAAC026 587902 6381251 250 56 -90 0
GAAC027 587373 6380670 246 55 -90 0
GAAC028 586914 6382368 247 60 -90 0
GAAC029 587515 6381990 247 60 -90 0
GAAC030 587902 6382254 259 57 -90 0
GAAC031 586906 6382739 244 30 -90 0
GAAC032 588017 6382515 249 63 -90 0
GAAC033 588407 6382004 253 60 -90 0
GAAC034 591527 6384766 252 30 -90 0
GAAC035 591035 6384883 257 36 -90 0
GAAC036 591495 6385692 248 80 -90 0
GAAC037 591013 6385498 250 50 -90 0
GAAC038 591506 6385252 248 64 -90 0
GAAC039 591936 6385033 253 62 -90 0
GAAC040 592031 6385495 251 63 -90 0
----- End of picture text -----
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
7
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
Table 4: Fairholme Air Core- Diamond Drill Hole Significant Intercepts
Cu : Minimum 0.1% Cu with ≤2m of internal waste; Au : Minimum 0.1 g/t Au with ≤2m of internal waste; Mo: Minimum 40 ppm Mo ≤2m of internal waste.
==> picture [356 x 575] intentionally omitted <==
----- Start of picture text -----
Hole ID m From m To Interval m Cu % Au ppm Mo ppm
FHD004 36 38 2 0.02 0.25 -
48 49 1 0.07 0.12 1
51 52 1 0.10 0.03 -
63 67 4 0.11 0.07 1
165 166 1 0.10 0.03 2
273 274 1 0.13 0.17 2
412 413 1 0.04 0.04 244
421 422 1 0.15 0.15 1
466 467 1 0.10 0.06 7
FHD005 54 57 3 0.10 0.00 1
110 111 1 0.12 0.04 1
127 128 1 0.17 0.04 2
135 141 6 0.16 0.07 2
including 136 137 1 0.15 0.11 1
146 147 1 0.14 0.04 5
440 441 1 0.10 0.02 1
452 456 4 0.15 0.03 8
468 469 1 0.13 0.07 5
540 541 1 0.01 0.00 53
FHD006 72 73 1 0.02 0.27 1
77 78 1 0.01 0.10 1
94 95 1 0.01 0.43 2
248 252 4 0.01 0.01 36
267 268 1 0.00 0.13 1
413 415 2 0.13 0.00 12
FHD007 64 75 11 0.12 0.00 2
94 95 1 0.02 1.58 1
183 184 1 0.12 0.04 -
253 254 1 0.12 0.03 1
263 264 1 0.10 0.08 -
284 285 1 0.15 0.06 -
297 298 1 0.11 0.05 1
302 307 5 0.12 0.06 -
including 304 305 1 0.23 0.12 1
387 391 4 0.10 0.02 2
395 397 2 0.16 0.04 2
----- End of picture text -----
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
8
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
Table 5: Genaren Air Core Hole Significant Intercept
Cu : Minimum 0.05% Cu with ≤2m of internal waste. NSR = No significant return.
==> picture [367 x 33] intentionally omitted <==
----- Start of picture text -----
Hole ID m From m To Interval m Cu % Au ppm Mo ppm
GAAC019 53 62 9 0.06 NSR NSR
----- End of picture text -----
Corporate
As at 31 March 2014, the company held cash and restricted cash of $1,142,000.
On 31 December 2014, the Company received a request from a shareholder holding more than 5% of the Company’s issued capital to hold a General Meeting of Shareholders, which was held on 27 February 2015 in Sydney. Two resolutions were put to the meeting as set out in the Notice of Meeting[5] : (1) Removal of a Director; and (2) Issue of up to 50,000,000 Shares. Resolution 1 was defeated and Resolution 2 was passed.
Clancy Tenement Listing
(As at 31 March 2015)
==> picture [466 x 309] intentionally omitted <==
----- Start of picture text -----
State Project Lease No Status ProjectJV Manager interestClancy (km2)Area Note
NSW Condobolin EL7748 Renewed No Clancy 100% 362.8
Mitsubishi Materials
NSW Genaren EL7927 Renewed Yes Clancy 100% 193.6
Corp earning 49%
Mitsubishi Materials
NSW Cundumbul EL6661 Renewed Yes Clancy 100% 141.4
Corp earning 49%
Mitsubishi Materials
NSW Cundumbul EL7399 Renewed Yes Clancy 100% 63.5
Corp earning 49%
NSW Fairholme EL6552 Renewed Yes Clancy 51% 54.5 Kaizen Discovery Inc
earning 65%
NSW Fairholme EL6915 Renewed Yes Clancy 51% 117.5 Kaizen Discovery Inc
earning 65%
NSW Kiola EL8151 Granted No Clancy 100% 284.2
NSW Orange East EL6181 Renewed No Clancy 100% 40.2
NSW Trundle EL8222 Granted No Clancy 100% 167.2
NSW Mount Tennyson EL8226 Granted No Clancy 100% 45.8
NSW Mount Pleasant EL8237 Granted No Clancy 100% 63.5
NSW Koobah EL8302 Granted No Clancy 100% 28.6
TAS Lake Margaret EL28/2009 Granted Yes Bass Metals 25% 59.0 Clancy interest carried to Prefeasibility study
Bass Clancy interest carried
TAS Sock Creek EL20/2010 Granted Yes 25% 11.0
Metals to Prefeasibility study
TNT
TAS Oonah EL63/2004 Renewed Yes Mines 25% 24.0 Clancy contributing
----- End of picture text -----
Please direct enquiries to:
Gordon Barnes
Managing Director Phone: +61 2 6361 1285 Email: [email protected] Web: www.clancyexploration.com
5 Refer to ASX release dated 20 January 2015 for further details
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
9
----- End of picture text -----
Clancy Exploration Limited (ASX: CLY)
Quarterly Activities Report for period ending 31 March 2015
The information in this announcement that relates to Initial Exploration Results is based on information compiled by Dr Jeff Vassallo who is a Member of the Australian Institute of Geoscientists. Dr Vassallo is a full-time employee of Clancy Exploration Limited 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 2012 edition of the “Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves”. Dr Jeff Vassallo consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
About Clancy Exploration
Clancy Exploration (ASX: CLY) is an Australian-focused copper, gold, base metals and tin explorer. The Company’s portfolio consists of copper-gold projects in the Lachlan Fold Belt of NSW and base metal and tin projects in the Mount Read Volcanic Belt of Tasmania.
In NSW, Clancy has 7 wholly owned and managed projects, 2 joint venture projects with Mitsubishi Materials Corporation (MMC) of Japan and 1 joint venture project with Kaizen Discovery Inc., all of which are managed by Clancy. In Tasmania, Clancy has 2 base metal joint venture projects with Bass Metals (ASX: BSM) and 1 tin joint venture project with Niuminco Group Limited (ASX: NIU). The Tasmanian projects are managed by Clancy's joint venture partners. This mix of Clancy and joint venture project funding allows a high level of exploration activity to be maintained, whilst prudently managing Clancy’s financial resources. Details of Clancy’s projects can be found at the Company's website: www.clancyexploration.com
==> picture [561 x 20] intentionally omitted <==
----- Start of picture text -----
10
----- End of picture text -----
Appendix 5B Mining exploration entity quarterly report
Rule 5.3
Appendix 5B
Mining exploration entity quarterly report
Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10
Name of entity
CLANCY EXPLORATION LIMITED
==> picture [451 x 528] intentionally omitted <==
----- Start of picture text -----
ABN Quarter ended (“current quarter”)
65 105 578 756 31 March 2015
Consolidated statement of cash flows
Current quarter Year to date
Cash flows related to operating activities $A’000 (9 months)
$A’000
1.1 Receipts from product sales and related 96 180
debtors
1.2 Payments for (a) exploration & evaluation (991) (2,598)
(b) development
(c) production
(168) (468)
(d) administration
1.3 Dividends received
1.4 Interest and other items of a similar nature
received 7 25
1.5 Interest and other costs of finance paid
1.6 Income taxes (paid)/refunded
1.7 Other
Cash calls received from JV partners 1,046 2,081
Net Operating Cash Flows (10) (780)
Cash flows related to investing activities
1.8 Payment for purchases of: (a) prospects
(b) equity investments
(c) other fixed assets
1.9 Proceeds from sale of: (a) prospects
(b) equity investments
(c) other fixed assets - 63
1.10 Loans to other entities
1.11 Loans repaid by other entities
1.12 Other (provide details if material)
Refund of fee paid to ABM - 150
Release of cash from security deposits 90 90
Net investing cash flows 90 303
1.13 Total operating and investing cash flows
(carried forward) 80 (477)
----- End of picture text -----
- See chapter 19 for defined terms.
17/12/2010 Appendix 5B Page 1
Appendix 5B Mining exploration entity quarterly report
==> picture [476 x 526] intentionally omitted <==
----- Start of picture text -----
1.13 Total operating and investing cash flows (brought
forward) 80 (477)
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
1.17 Repayment of borrowings
1.18 Dividends paid
1.19 Other – Grants received 114 114
Net financing cash flows 114 114
Net increase (decrease) in cash held 194 (363)
1.20 Cash at beginning of quarter/year to date 738 1,295
1.21 Exchange rate adjustments to item 1.20
1.22 Cash at end of quarter 932 932
Payments to directors of the entity and associates of the directors
Payments to related entities of the entity and associates of the related entities
Current quarter
$A'000
1.23 Aggregate amount of payments to the parties included in item 1.2 86
1.24 Aggregate amount of loans to the parties included in item 1.10 -
1.25 Explanation necessary for an understanding of the transactions
Payments of salaries, consulting fees and directors fees to directors and director related entities.
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
None
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
None
----- End of picture text -----
Financing facilities available
Add notes as necessary for an understanding of the position.
==> picture [476 x 75] intentionally omitted <==
----- Start of picture text -----
Amount available Amount used
$A’000 $A’000
3.1 Loan facilities - -
3.2 Credit standby arrangements - -
----- End of picture text -----
- See chapter 19 for defined terms.
Appendix 5B Page 2
17/12/2010
Appendix 5B Mining exploration entity quarterly report
Estimated cash outflows for next quarter
==> picture [456 x 171] intentionally omitted <==
----- Start of picture text -----
$A’000
4.1 Exploration and evaluation 905
(includes approximately $843,000
which is to be funded by JV partners
pursuant to cash calls during the
quarter )
4.2 Development -
4.3 Production -
4.4 Administration 151
Total 1,056
----- End of picture text -----
Reconciliation of cash
| Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. 5.1 Cash on hand and at bank 5.2 Deposits at call 5.3 Bank overdraft 5.4 Other (provide details) Total: cash at end of quarter(item 1.22) *Excludes $210,000 of restricted cash. |
Current quarter $A’000 682 250 - - 932* |
Previous quarter $A’000 488 250 - - 738* |
|---|---|---|
Changes in interests in mining tenements
| 6.1 Interests in mining tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements acquired or increased |
Tenement reference EL30297 EL30445 EL30422 EL30470 Nil |
Nature of interest (note (2)) Reynolds Range (NT) Barrow Creek (NT) Lander River (NT) Barrow Creek (NT) |
Interest at beginning of quarter 100% 100% 100% 100% |
Interest at end of quarter 0% 0% 0% 0% |
|---|---|---|---|---|
- See chapter 19 for defined terms.
17/12/2010 Appendix 5B Page 3
Appendix 5B Mining exploration entity quarterly report
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.
==> picture [462 x 621] intentionally omitted <==
----- Start of picture text -----
Total number Number quoted Issue price per Amount paid up per
security (see note security (see note 3)
3) (cents) (cents)
7.1 Preference
+securities
(description)
7.2 Changes during
quarter
(a) Increases
through issues
(b) Decreases
through returns
of capital, buy-
backs,
redemptions
7.3 +Ordinary 206,254,392 206,254,392
securities
7.4 Changes during
quarter
(a) Increases
through issues
(b) Decreases
through returns
of capital, buy-
backs
7.5 +Convertible
debt securities
( description)
7.6 Changes during
quarter
(a) Increases
through issues
(b) Decreases
through
securities
matured,
converted
7.7 Options Exercise Price Expiry Date
(description and
conversion
factor)
7.8 Issued during
quarter
7.9 Exercised during
quarter
7.10 Expired during
quarter
7.11 Debentures
(totals only)
7.12 Unsecured
notes (totals
only)
----- End of picture text -----
- See chapter 19 for defined terms.
Appendix 5B Page 4
17/12/2010
Appendix 5B Mining exploration entity quarterly report
Compliance statement
-
1 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 5).
-
2 This statement does / ~~does not~~ * (delete one) give a true and fair view of the matters disclosed.
==> picture [98 x 54] intentionally omitted <==
Sign here: ............................................................ Date: 29 April 2015 ( ~~Director~~ /Company secretary)
Print name: Rowan Caren
Notes
-
1 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.
-
2 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.
-
3 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 .
-
4 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.
-
5 Accounting Standards ASX will accept, for example, the use of International Financial Reporting 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.
== == == == ==
- See chapter 19 for defined terms.
17/12/2010 Appendix 5B Page 5
Appendix I – JORC Code, 2012 Edition – Table 1 Australia
Section 1 Sampling Techniques and Data: Fairholme Project
==> picture [745 x 441] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Sampling Nature and quality of sampling (eg cut channels, random chips, or specific Diamond drilling was used to obtain core samples of nominally 1m. Core
techniques specialised industry standard measurement tools appropriate to the minerals samples are cut in half, and dried. Air core drilling was used to obtain samples at
under investigation, such as down hole gamma sondes, or handheld XRF nominal 1m intervals. Nominal 3m composite samples were taken using a PVC
instruments, etc). These examples should not be taken as limiting the broad spear.
meaning of sampling.
Samples are transported to ALS Chemex Orange for preparation and assay.
Include reference to measures taken to ensure sample representivity and the Assay standards are inserted at least every 40 samples. Laboratory standards
appropriate calibration of any measurement tools or systems used. and blanks are analyzed with sample batches as a secondary performance
check. One standard is included with every fire assay batch.
Aspects of the determination of mineralisation that are Material to the Public Diamond and air core drilling were used to obtain core samples of nominally 1m.
Report.
Samples are then crushed to 70% nominal -6mm and pulverized where up to
85% is less than 75 microns. Samples are then homogenized by light pulverizing.
Quality control testing on pulverizing efficiency is conducted on random samples.
Gold was analyzed using a 50g sample via fire assay with AAS finish, (Method
Au – AA22) with a detection level of 0.002ppm. Samples returning >1 g/t are
analyzed by method Au-AA26 with a detection level of 0.01ppm. A further 48
elements are analyzed from a 0.25g charge which is dissolved using a near total
four acid digest with AAS and ICPMS finish (Method ME-MS61). Detection limits
for this method can be found at: http://www.alsglobal.com/en/Our-
Services/Minerals/Geochemistry/Downloads. Samples returning >1% Cu, Pb, Zn
and > 100g/t Ag are analyzed by method Aqua Regia Digestion with ICP-AES
finish (ME-OG46).
In cases where ‘industry standard’ work has been done this would be relatively Diamond drilling was used to obtain 1 m samples from which the core was,
simple (eg ‘reverse circulation drilling was used to obtain 1 m samples from where possible, split along the orientation line to obtain an approximately 3 kg
which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other sample. Air core drilling was used to obtain samples at nominal 1m intervals.
cases more explanation may be required, such as where there is coarse gold Nominal 3m composite samples were taken using a PVC spear.
that has inherent sampling problems. Unusual commodities or mineralisation
types (eg submarine nodules) may warrant disclosure of detailed information. The samples were pulverized to produce a 50g charge for fire assay and 0.25g
charge for acidic digestion.
Drilling Drill type (eg core, reverse circulation, open-hole hammer, rotary air blast, auger, Diamond drilling: Surface holes generally commence as HQ core until
techniques Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth consolidated rock is reached. The HQ rods are left as casing thence NQ coring is
of diamond tails, face-sampling bit or other type, whether core is oriented and if employed.
so, by what method, etc). Air core drilling was by 4 ½ bit.
Drill sample Method of recording and assessing core and chip sample recoveries and results Core recoveries are recorded for every 3 m sample.
----- End of picture text -----
==> picture [745 x 485] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
recovery assessed.
Measures taken to maximise sample recovery and ensure representative nature Triple tube diamond drilling ensures good recovery from varying ground
of the samples. conditions.
Air core samples were bagged as separate 1 metre intervals. Visual checks on
sample sizes assisted with determining sufficient recoveries.
Whether a relationship exists between sample recovery and grade and whether No analysis of recovery versus grade has been undertaken.
sample bias may have occurred due to preferential loss/gain of fine/coarse
material.
Logging Whether core and chip samples have been geologically and geotechnically Systematic geological logging is undertaken. Data collected includes:
logged to a level of detail to support appropriate Mineral Resource estimation, Nature and extent of lithologies
mining studies and metallurgical studies. Relationship between lithologies
Amount and mode of occurrence of ore minerals
Location, extent and nature of structures such as bedding, cleavage,
veins, faults etc. Structural data are recorded for orientated core
Magnetic susceptibility recorded at 0.33m intervals in core and 1m
intervals in chips
No geotechnical logging is undertaken as all prospects are considered
exploration targets.
Whether logging is qualitative or quantitative in nature. Core (or costean, Logging was qualitative by the on-site geologist and re-checked at a later time.
channel, etc) photography.
The total length and percentage of the relevant intersections logged. All core and chips are geologically logged.
Sub-sampling If core, whether cut or sawn and whether quarter, half or all core taken. Core is sawn in half lengthways and one side is sent for analysis.
techniques and
If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled Air core samples were taken by PVC spear.
sample
wet or dry.
preparation
For all sample types, the nature, quality and appropriateness of the sample Samples are dried crushed and pulverized to 85% passing 75 microns, then
preparation technique. homogenized. This is considered appropriate to blend the material prior to
laboratory analysis.
Quality control procedures adopted for all sub-sampling stages to maximise The use of Certified Standard Reference Materials and blanks are inserted at
representivity of samples. least every 40 samples to assess the accuracy and reproducibility of results. The
results of the standards are to be within ±10% variance from known certified
result. ALS conducts internal check samples. These are checked by Clancy
employees. Assay grades are compared with mineralogy logging estimates.
Measures taken to ensure that the sampling is representative of the in situ No field duplicates are taken for core or air core chip samples. Core samples are
material collected, including for instance results for field duplicate/second-half cut in half for nominal down hole intervals of 1m. This is considered
sampling. representative of the in situ material. The sample is crushed and pulverised to
85% passing 75 microns and then homogenized. This is considered appropriate
for the sample material. PVC spear samples are taken diagonally across the
sample bag from top to base to ensure the best representative sample is taken.
----- End of picture text -----
==> picture [745 x 478] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Whether sample sizes are appropriate to the grain size of the material being Sample sizes are considered appropriate to the grain sizes of the minerals
sampled. encountered.
Quality of The nature, quality and appropriateness of the assaying and laboratory Standard assay procedures performed by a reputable assay lab, (ALS Group),
assay data and procedures used and whether the technique is considered partial or total. were undertaken. Gold assays are initially by 50g fire assay with AAS finish,
laboratory tests (method Au-AA22). For samples with a gold value greater than 1ppm method
AU-AA26 is employed. Method ME-MS61 utilizes a near total four acid digest for
a further 48 element suite. Ore grade Ag and base metals are analyzed using
method ME-OG46.
For geophysical tools, spectrometers, handheld XRF instruments, etc, the KT10 magnetic susceptibility meter is used for susceptibility measurements in 3
parameters used in determining the analysis including instrument make and second readings.
model, reading times, calibrations factors applied and their derivation, etc.
Nature of quality control procedures adopted (eg standards, blanks, duplicates, Certified reference material or blanks are inserted at least every 40 samples.
external laboratory checks) and whether acceptable levels of accuracy (ie lack of Standards are purchased from Certified Reference Material manufacture
bias) and precision have been established. companies: Ore Research and Exploration, and Geostats Pty Ltd. Standards
were purchased in foil lined packets of between 60g and 100g. The standard
names on the foil packages were erased before going into the pre numbered
sample bag and the standards are submitted to the lab blind.
Verification of The verification of significant intersections by either independent or alternative The raw assay data forming significant intercepts are examined by at least two
sampling and company personnel. company personnel. Intercepts are calculated via a database query method.
assaying
The use of twinned holes. Twinned holes have not been used since this work is intended to test areas not
previously explored.
Documentation of primary data, data entry procedures, data verification, data Drill hole data including meta data, orientation methods, lithological, mineral,
storage (physical and electronic) protocols. structural, survey, sampling and magnetic susceptibility is collected and entered
directly into an excel spread sheet using drop down codes. When complete the
spreadsheet is emailed to the geological database administrator, the data is
validated and uploaded into an SQL database.
Assay data is provided by ALS via electronic spreadsheet. The data is validated
using the results received from the known certified reference material. Using an
SQL based query the assay data is merged into the database. Hard copies of the
assay certificates are stored with drill hole data.
Discuss any adjustment to assay data. Assay data is not adjusted.
Location of Accuracy and quality of surveys used to locate drill holes (collar and down-hole Drill hole collars are located using hand held GPS to ±5m.
data points surveys), trenches, mine workings and other locations used in Mineral Resource
estimation.
Specification of the grid system used. All coordinates are based on Map Grid Australia 1994 zone 55.
Quality and adequacy of topographic control. Topographic control is maintained by use of State government datasets.
Data spacing Data spacing for reporting of Exploration Results. Drill results are generally widely spaced in the nature of greenfields exploration.
----- End of picture text -----
==> picture [745 x 204] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
and distribution Whether the data spacing and distribution is sufficient to establish the degree of The mineralized areas are yet to demonstrate sufficient grade or continuity to
geological and grade continuity appropriate for the Mineral Resource and Ore support the definition of a Mineral Resource and the classifications applied under
Reserve estimation procedure(s) and classifications applied. the 2012 JORC code.
Whether sample compositing has been applied. Sample compositing is not applied.
Orientation of Whether the orientation of sampling achieves unbiased sampling of possible Where known, drilling is generally orientated to cross the geological trends at
data in relation structures and the extent to which this is known, considering the deposit type. high angles to strike. Where possible, the use of orientated core allows estimates
to geological of the true width and orientation of the mineralisation to be made.
structure If the relationship between the drilling orientation and the orientation of key No sample bias due to drilling orientation is known.
mineralised structures is considered to have introduced a sampling bias, this
should be assessed and reported if material.
Sample The measures taken to ensure sample security. Chain of custody is managed by Clancy. Samples are placed in tied calico bags
security with sample numbers that provide no information on the location of the sample.
Samples are delivered by Clancy personnel to the assay lab.
Audits or The results of any audits or reviews of sampling techniques and data. No audits or reviews have been conducted at this stage.
reviews
----- End of picture text -----
Section 2 Reporting of Exploration Results
==> picture [745 x 252] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Mineral Type, reference name/number, location and ownership including agreements or See Clancy tenement listing section in main body of announcement.
tenement and material issues with third parties such as joint ventures, partnerships, overriding
land tenure royalties, native title interests, historical sites, wilderness or national park and
status environmental settings.
The security of the tenure held at the time of reporting along with any known
impediments to obtaining a licence to operate in the area.
Exploration Acknowledgment and appraisal of exploration by other parties. At Fairholme, the bulk of the previous work was completed Newcrest Mining.
done by other Where available, existing diamond core has been re-logged and mineralized
parties intervals observed.
Geology Deposit type, geological setting and style of mineralisation. At Fairholme the targets are Ordovician porphyry Cu-Au deposits in the
Macquarie Arc and post-Ordovician gold-base metal deposits along faults.
Drill hole A summary of all information material to the understanding of the exploration See tables 1 and 2 in main body of announcement.
Information results including a tabulation of the following information for all Material drill
holes:
easting and northing of the drill hole collar
elevation or RL (Reduced Level – elevation above sea level in
metres) of the drill hole collar
dip and azimuth of the hole
down hole length and interception depth
----- End of picture text -----
==> picture [745 x 483] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
hole length.
If the exclusion of this information is justified on the basis that the information is All holes are reported.
not Material and this exclusion does not detract from the understanding of the
report, the Competent Person should clearly explain why this is the case.
Data In reporting Exploration Results, weighting averaging techniques, maximum All reported assays have been length-weighted. All intervals are calculated with
aggregation and/or minimum grade truncations (eg cutting of high grades) and cut-off grades 0.05%Cu cut-off with no more than 2 m of internal dilution. No upper cut-offs
methods are usually Material and should be stated. have been applied.
Where aggregate intercepts incorporate short lengths of high grade results and Intercepts are length-weighted with no cutting of grades. This may lead to
longer lengths of low grade results, the procedure used for such aggregation elevation of intercept grades due to the presence of a narrow interval of high
should be stated and some typical examples of such aggregations should be grade material. Such high grade zones are reported as included intercepts inside
shown in detail. the broader intercept.
The assumptions used for any reporting of metal equivalent values should be No metal equivalences quoted.
clearly stated.
Relationship These relationships are particularly important in the reporting of Exploration Where possible orientated drill core used to allow determination of orientation of
between Results. structures and mineralisation.
mineralisation
widths and If the geometry of the mineralisation with respect to the drill hole angle is known, Only preliminary information is currently available due to the lack of drill density.
its nature should be reported.
intercept
lengths
If it is not known and only the down hole lengths are reported, there should be a See table in body of report.
clear statement to this effect (eg ‘down hole length, true width not known’).
Diagrams Appropriate maps and sections (with scales) and tabulations of intercepts should See figures in body of report.
be included for any significant discovery being reported These should include,
but not be limited to a plan view of drill hole collar locations and appropriate
sectional views.
Balanced Where comprehensive reporting of all Exploration Results is not practicable, See table in body of report.
reporting representative reporting of both low and high grades and/or widths should be
practiced to avoid misleading reporting of Exploration Results.
Other Other exploration data, if meaningful and material, should be reported including See table in body of report.
substantive (but not limited to): geological observations; geophysical survey results;
exploration geochemical survey results; bulk samples – size and method of treatment;
data metallurgical test results; bulk density, groundwater, geotechnical and rock
characteristics; potential deleterious or contaminating substances.
Further work The nature and scale of planned further work (eg tests for lateral extensions or See body of report.
depth extensions or large-scale step-out drilling).
Diagrams clearly highlighting the areas of possible extensions, including the main See figures in body of report.
geological interpretations and future drilling areas, provided this information is not
----- End of picture text -----
==> picture [745 x 36] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
commercially sensitive.
----- End of picture text -----
Appendix I – JORC Code, 2012 Edition – Table 2
Section 1 Sampling Techniques and Data: Genaren Project
==> picture [745 x 365] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Sampling Nature and quality of sampling (eg cut channels, random chips, or specific Air core drilling was used to obtain samples at nominal 1m intervals. Nominal 3m
techniques specialised industry standard measurement tools appropriate to the minerals composite samples were taken using a PVC spear.
under investigation, such as down hole gamma sondes, or handheld XRF
instruments, etc). These examples should not be taken as limiting the broad Samples were transported to ALS Chemex Orange for preparation and assay.
meaning of sampling.
Include reference to measures taken to ensure sample representivity and the One assay standard was inserted for at least every 40 samples. Laboratory
appropriate calibration of any measurement tools or systems used. standards and blanks are analysed with sample batches as a secondary
performance check. One standard is included with every fire assay batch.
Aspects of the determination of mineralisation that are Material to the Public Air core drilling was used to obtain samples at nominal 1m intervals. Samples are
Report. then crushed to 70% nominal -6mm and pulverized where up to 85% is less than
75 microns. Samples are then homogenized by light pulverizing. Quality control
testing on pulverizing efficiency is conducted on random samples.
Gold was analysed using a 50g sample via fire assay with AAS finish, (Method
Au – AA22) with a detection level of 0.002ppm. Samples returning >1 g/t are
analysed by method Au-AA26 with a detection level of 0.01ppm. A further 48
elements are analysed from a 0.25g charge which is dissolved using a near total
four acid digest with AAS and ICPMS finish (Method ME-MS61). Samples
returning >1% Cu, Pb, Zn and > 100g/t Ag are analysed by method Aqua Regia
Digestion with ICP-AES finish (ME-OG46).
In cases where ‘industry standard’ work has been done this would be relatively Air core drilling was used to obtain 1 m samples from which 2 – 2.5kg was
simple (eg ‘reverse circulation drilling was used to obtain 1 m samples from pulverized to produce a 50g charge for fire assay and a 0.25g charge for acidic
which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other digestion.
cases more explanation may be required, such as where there is coarse gold
that has inherent sampling problems. Unusual commodities or mineralisation
types (eg submarine nodules) may warrant disclosure of detailed information.
Drilling Drill type (eg core, reverse circulation, open-hole hammer, rotary air blast, auger, Drilling was by air core methods. Surface holes were collared into transported
techniques Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth cover, with a 6m pre-collar. PVC casing was utilized to collar the hole. A 4 ½”
of diamond tails, face-sampling bit or other type, whether core is oriented and if blade drill bit and HQ diameter rods were used to drill holes up to 78m vertical
----- End of picture text -----
==> picture [745 x 483] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
so, by what method, etc). depth.
Drill sample Method of recording and assessing core and chip sample recoveries and results Samples were bagged as separate 1 metre intervals. Visual checks on sample
recovery assessed. sizes assisted with determining sufficient recoveries.
Measures taken to maximise sample recovery and ensure representative nature Visual checks on sample sizes assisted with determining sufficient recoveries
of the samples. and alert to sample mixing. Minimal water injection was used to lubricate the
samples.
Whether a relationship exists between sample recovery and grade and whether No analysis of recovery versus grade has been undertaken.
sample bias may have occurred due to preferential loss/gain of fine/coarse
material.
Logging Whether core and chip samples have been geologically and geotechnically Systematic geological logging was undertaken. Data collected included:
logged to a level of detail to support appropriate Mineral Resource estimation, Nature and extent of lithologies
mining studies and metallurgical studies. Relationship between lithologies
Amount and mode of occurrence of any visible ore minerals
Magnetic susceptibility recorded at 1m intervals in samples
No geotechnical logging is undertaken as all prospects are considered
exploration targets.
Whether logging is qualitative or quantitative in nature. Core (or costean, Logging was qualitative on fine sample chips.
channel, etc) photography.
The total length and percentage of the relevant intersections logged. All samples were geologically logged.
Sub-sampling If core, whether cut or sawn and whether quarter, half or all core taken. N/A
techniques and
If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled All samples were representatively selected using a PVC spear. Samples were
sample
wet or dry. mostly dry.
preparation
For all sample types, the nature, quality and appropriateness of the sample Samples were dried crushed and pulverised to 85% passing 75 microns, then
preparation technique. homogenized. This is considered appropriate to blend the material prior to
laboratory analysis.
Quality control procedures adopted for all sub-sampling stages to maximise One Certified Standard Reference Material sample was inserted at least every 40
representivity of samples. samples to assess the accuracy and reproducibility of results. The results of the
standards are to be within ±10% variance from known certified result. ALS
conducts internal check samples. These are checked by Clancy employees.
Assay grades are compared with mineralogy logging estimates.
Measures taken to ensure that the sampling is representative of the in situ Representative composite samples were taken for down hole intervals of 3m.
material collected, including for instance results for field duplicate/second-half This is considered representative of the in situ material. The sample is crushed
sampling. and pulverised to 85% passing 75 microns and then homogenized. This is
considered appropriate for the sample material.
Whether sample sizes are appropriate to the grain size of the material being Sample sizes are considered appropriate to the grain sizes of the minerals
sampled. encountered.
Quality of The nature, quality and appropriateness of the assaying and laboratory Standard assay procedures performed by a reputable assay lab, (ALS Group),
----- End of picture text -----
==> picture [745 x 478] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
assay data and procedures used and whether the technique is considered partial or total. were undertaken. Gold assays are initially by 50g fire assay with AAS finish,
laboratory tests (method Au-AA22). For samples with a gold value greater than 1ppm method
AU-AA26 is employed. Method ME-MS61 utilizes a near total four acid digest for
a further 48 element suite. Ore grade Ag and base metals are analysed using
method ME-OG46.
For geophysical tools, spectrometers, handheld XRF instruments, etc, the KT10 magnetic susceptibility meter is used for susceptibility measurements in 3
parameters used in determining the analysis including instrument make and second readings.
model, reading times, calibrations factors applied and their derivation, etc.
Nature of quality control procedures adopted (eg standards, blanks, duplicates, Certified reference material or blanks are inserted at least every 40 samples.
external laboratory checks) and whether acceptable levels of accuracy (ie lack of Standards are purchased from Certified Reference Material manufacture
bias) and precision have been established. companies: Ore Research and Exploration, and Geostats Pty Ltd. Standards
were purchased in foil lined packets of between 60g and 100g. The standard
names on the foil packages were erased before going into the pre numbered
sample bag and the standards are submitted to the lab blind.
Verification of The verification of significant intersections by either independent or alternative The raw assay data forming significant intercepts are examined by at least two
sampling and company personnel. company personnel. Intercepts are calculated via a database query method.
assaying
The use of twinned holes. Twinned holes have not been used since this work is intended to test areas not
previously explored.
Documentation of primary data, data entry procedures, data verification, data Drill hole data including meta data, orientation methods, lithological, mineral,
storage (physical and electronic) protocols. sampling and magnetic susceptibility is collected and entered directly into an
excel spread sheet using drop down codes. When complete the spreadsheet is
emailed to the geological database administrator, the data is validated and
uploaded into an SQL database.
Assay data is provided by ALS via electronic spreadsheet. The data is validated
using the results received from the known certified reference material. Using an
SQL based query the assay data is merged into the database. Hard copies of the
assay certificates are stored with drill hole data.
Discuss any adjustment to assay data. Assay data is not adjusted.
Location of Accuracy and quality of surveys used to locate drill holes (collar and down-hole Drill hole collars are located using hand held GPS to ±5m.
data points surveys), trenches, mine workings and other locations used in Mineral Resource
estimation.
Specification of the grid system used. All coordinates are based on Map Grid of Australia 1994 Zone 55.
Quality and adequacy of topographic control. Topographic control is maintained by use of State government datasets.
Data spacing Data spacing for reporting of Exploration Results. Drill results are generally widely spaced in the nature of greenfields exploration.
and distribution
Whether the data spacing and distribution is sufficient to establish the degree of The mineralized areas are yet to demonstrate sufficient grade or continuity to
geological and grade continuity appropriate for the Mineral Resource and Ore support the definition of a Mineral Resource and the classifications applied under
Reserve estimation procedure(s) and classifications applied. the 2012 JORC code.
----- End of picture text -----
==> picture [745 x 162] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Whether sample compositing has been applied. Sample compositing is not applied.
Orientation of Whether the orientation of sampling achieves unbiased sampling of possible Where known, drilling is generally orientated to cross the geological trends at
data in relation structures and the extent to which this is known, considering the deposit type. high angles to strike.
to geological
structure If the relationship between the drilling orientation and the orientation of key No sample bias due to drilling orientation is known.
mineralised structures is considered to have introduced a sampling bias, this
should be assessed and reported if material.
Sample The measures taken to ensure sample security. Chain of custody is managed by Clancy. Samples are placed in tied calico bags
security with sample numbers that provide no information on the location of the sample.
Samples are delivered by Clancy personnel to the assay lab.
Audits or The results of any audits or reviews of sampling techniques and data. No audits or reviews have been conducted at this stage.
reviews
----- End of picture text -----
Section 2 Reporting of Exploration Results
==> picture [745 x 291] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
Mineral Type, reference name/number, location and ownership including agreements or See Clancy tenement listing section in main body of announcement.
tenement and material issues with third parties such as joint ventures, partnerships, overriding
land tenure royalties, native title interests, historical sites, wilderness or national park and
status environmental settings.
The security of the tenure held at the time of reporting along with any known
impediments to obtaining a licence to operate in the area.
Exploration Acknowledgment and appraisal of exploration by other parties. At Genaren, previous work was completed by Geopeko and North Ltd.
done by other
parties
Geology Deposit type, geological setting and style of mineralisation. The targets are Ordovician porphyry Cu-Au deposits in the Macquarie Arc and
post-Ordovician gold-base metal deposits along faults.
Drill hole A summary of all information material to the understanding of the exploration See tables 1 and 2 in main body of announcement.
Information results including a tabulation of the following information for all Material drill
holes:
easting and northing of the drill hole collar
elevation or RL (Reduced Level – elevation above sea level in
metres) of the drill hole collar
dip and azimuth of the hole
down hole length and interception depth
hole length.
If the exclusion of this information is justified on the basis that the information is All holes are reported.
not Material and this exclusion does not detract from the understanding of the
----- End of picture text -----
==> picture [745 x 461] intentionally omitted <==
----- Start of picture text -----
Criteria JORC Code explanation Commentary
report, the Competent Person should clearly explain why this is the case.
Data In reporting Exploration Results, weighting averaging techniques, maximum All reported assays have been length-weighted. All intervals are calculated with a
aggregation and/or minimum grade truncations (eg cutting of high grades) and cut-off grades 0.05% Cu cut-off. No upper cut-offs have been applied.
methods are usually Material and should be stated.
Where aggregate intercepts incorporate short lengths of high grade results and Intercepts are length-weighted with no cutting of grades. This may lead to
longer lengths of low grade results, the procedure used for such aggregation elevation of intercept grades due to the presence of a narrow interval of high
should be stated and some typical examples of such aggregations should be grade material. Such high grade zones are reported as included intercepts inside
shown in detail. the broader intercept.
The assumptions used for any reporting of metal equivalent values should be No metal equivalences quoted.
clearly stated.
Relationship These relationships are particularly important in the reporting of Exploration Where possible orientated drill core used to allow determination of orientation of
between Results. structures and mineralisation.
mineralisation
widths and If the geometry of the mineralisation with respect to the drill hole angle is known, Only preliminary information is currently available due to the lack of drill density.
its nature should be reported.
intercept
lengths
If it is not known and only the down hole lengths are reported, there should be a See table in body of report.
clear statement to this effect (eg ‘down hole length, true width not known’).
Diagrams Appropriate maps and sections (with scales) and tabulations of intercepts should See figures in body of report.
be included for any significant discovery being reported These should include,
but not be limited to a plan view of drill hole collar locations and appropriate
sectional views.
Balanced Where comprehensive reporting of all Exploration Results is not practicable, See table in body of report.
reporting representative reporting of both low and high grades and/or widths should be
practiced to avoid misleading reporting of Exploration Results.
Other Other exploration data, if meaningful and material, should be reported including See table in body of report.
substantive (but not limited to): geological observations; geophysical survey results;
exploration geochemical survey results; bulk samples – size and method of treatment;
data metallurgical test results; bulk density, groundwater, geotechnical and rock
characteristics; potential deleterious or contaminating substances.
Further work The nature and scale of planned further work (eg tests for lateral extensions or See body of report.
depth extensions or large-scale step-out drilling).
Diagrams clearly highlighting the areas of possible extensions, including the main See figures in body of report.
geological interpretations and future drilling areas, provided this information is not
commercially sensitive.
----- End of picture text -----