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RUMBLE RESOURCES LIMITED Interim / Quarterly Report 2017
65736_rns_2018-01-29_cdb56377-65b7-42e1-afb6-df468c4b62dc.pdf
Interim / Quarterly Report
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December 2017 Quarterly Activities Report
Rumble Resources Ltd (ASX: RTR) ("Rumble" or "the Company") is pleased to provide an update in respect to the Company's activities during the December 2017 quarter.
Highlights
High Grade Zinc Discovery at Braeside Project, Western Australia
- 4m @ 9.64% Zn, 0.41% Pb near surface from 32m ⃰ ⃰at the Devon Cut Prospect
- Single metre assay within intercept returned 21% Zn
- Broad zone (28 metres @ 1.67% Zn) of strong Zn and Pb anomalism with associated silica – sericite alteration potentially indicative of a large base metal mineralising system
- The Devon Cut Prospect is completely open with a single drill hole (BRRC019) testing a 2km long Zn in soil anomaly
- Other targets tested by the 19 hole RC drilling programme returned significant Zn and Pb mineralisation. Intercepts include:
- 2m @ 3.4% Pb from 25m (BRRC001)
- 2m @ 3.08% Zn, 2.98% Pb from 60m (BRRC003)
- 3m @ 2.19% Zn, 0.95% Pb from 49m (BRRC006)
- 1m @ 2.55% Zn, 2.68% Pb from 45m (BRRC009)
- 1m @ 5.31% Pb from 44m (BRRC020)
- 2m @ 3.6% Pb from 6m (BRRC036)
- Strong wall rock Zn and Pb anomalism has been highlighted at all prospects/targets within wide zones of silica – sericite +/- chlorite alteration
- At the Barker Well target, a single RC drill hole intercepted mineralised alteration over 120m (downhole intercept) with elevated Pb and Zn. (BRRC036 – 124m depth) with the hole ending in 24 metres of Zn mineralisation
- All zones of mineralisation are completely open along strike and down dip
- The maiden reconnaissance 19 RC drill hole program is the first ever to be conducted along the Braeside base metal corridor consisting of 34km of strike and only a small portion of targets tested
⃰ ⃰Down hole length – true width unknown
Earaheedy High Grade Zn Project, Western Australia
• Rumble signed option to acquire up to 75% of the High-grade Zn project with historical drilling intercepted high-grade zinc up to 18.6% within an intersection 3.3m @ 11.2% Zn, and 0.93% Pb from 150m. Other drill-holes include 2m @ 8.23% Zn and 2.77% Pb from 103m.
Fraser Range Ni- Cu Projects, Western Australia – IGO JV
• Joint Venture signed with Independence Group NL (ASX: IGO). IGO to earn-in to up to 70% of Rumble's highly prospective Fraser Range Projects in Western Australia.
Corporate
• Rumble completed a $4.8m Capital Raising which ensures Rumble is well capitalised to follow up the significant exploration success seen in the maiden reconnaissance drill program at Braeside, while simultaneously commencing a works program over the high-grade Barramine Cu-Pb-Zn-Ag project and high-grade Earaheedy Zn project in Western Australia, along with reviewing potential exciting new project acquisitions.
Rumble Resources Ltd
Suite 9, 36 Ord Street West Perth, WA 6005
T +61 8 6555 3980
F +61 8 6555 3981
rumbleresources.com.au
ASX RTR
Executives & Management
Mr Shane Sikora Managing Director
Mr Brett Keillor Technical Director
Mr Matthew Banks Non-executive Director
Mr Michael Smith Non-executive Director
Mr Steven Wood Company Secretary
Rumble's activities during the December 2017 quarter were focussed on the first modern systematic exploration program being undertaken at the Braeside High Grade Zinc – Lead Project ("the Project"), located 140km east of Marble Bar (East Pilbara region of Western Australia), and acquiring high grade quality assets that compliment Rumble's existing project portfolio.
Braeside High Grade Zn – Pb – Cu – Ag - Au – V Project, Western Australia – E45-2032
During the quarter Rumble completed a maiden reconnaissance drilling program at the Braeside Project (E45/2032), located in the Pilbara region of Western Australia, and subsequent to the end of the quarter announced it had discovered significant base metal mineralisation indicative of a large porphyry related base metal mineralising system at the Project**.**
Image 1: Braeside Project - Regional Project Location, Regional Geology, location of Tenements and Includes location of the Barramine Project
Rumble Resources Technical Director, Mr Brett Keillor said "the discovery of significant high grade zinc mineralisation such as 4m @ 9.64% Zn, 0.41% Pb near surface from 32m within a 28 metre wide zone of mineralised alteration at the Devon Cut Prospect in the first ever reconnaissance RC drilling conducted at the Braeside project is outstanding".
"Given that Rumble has only drilled 19 holes to relatively shallow depths into a base metal corridor which has a strike length of 34km, the potential to find further mineralisation which may lead to an economic deposit or camp is high".
"Wide zones of pervasive alteration with base metal anomalism and high-grade intercepts within large soil anomalies with limited high-grade grab sampling along the entire strike length is very significant considering only a small portion of the high order geochemistry and geophysical targets have been partly tested".
"The exciting drill results support the porphyry related base metal deposit style model Rumble has developed from litho-geochemistry, soil geochemistry and geological reconnaissance programmes which has substantially enhanced the project. Rumble considers the Braeside Base Metal Project to be highly prospective for zinc, lead, copper, silver, gold and vanadium deposits that are associated with major fracture/structure zones that extend over the entire 34km of strike".
"Geological knowledge gained from this drill program will aid in further understanding the mineralisation style, however, more importantly, the information will vastly improve exploration methodologies which will expedite targeting for the next drill programs. Rumble plans to aggressively follow up these drill results, arrange access to numerous targets already developed and define new drill targets".
"We have only touched the surface of the potential of project with these results demonstrating the clear prospectivity for high grade mineralisation at Rumbles wider Braeside project area which will be explored for the first time by Rumble this year".
RC Drilling Programme Summary
The RC drilling programme tested thirteen (13) targets over a strike length of 34km within granted tenement E45/2032. A total of 19 angled RC drill-holes were completed for 2004m. First pass assaying involved both single and composite samples (holes were selectively sampled to expedite assay results – some holes are yet to be sampled).
A total of 240 RC chip samples were submitted to Intertek Genalysis Labs in Maddington, Western Australia for multi-element using four acid digestion with ICP-OES and ICP-MS analytical finish.
Re-split of composite samples and RC drill holes not yet sampled will be assayed January-February 2018 and results released to the ASX as they become available.
Targeting of the RC drilling was based on exploration completed by Rumble from June to November in 2017.
Drill targets included:
- High grade base metal grab sample locations within regional base metal in soil anomalism.
- Close to or beneath small scale artisanal workings.
- EM conductors defined by VTEM with ground TEM follow up.
RC Drilling Significant Results Summary
Devon Cut Prospect – Image 1 for Location (single RC drill-hole – BRRC019 – 88m depth)
High grade Zn mineralisation.
- 4m @ 9.64% Zn, 0.41% Pb near surface from 32m.
- High grade zone within broad elevated Zn and Pb alteration (silica-sericite) zone.
- o Altered zone 28m @ 1.69% Zn from 28m (0.18% Zn lower cut-off)
- Mineralisation completely open.
Barker Well Prospect – Image 1 for Location (single RC drill-hole BRRC036 -124m depth)
Significant Pb and Zn mineralisation.
- Very wide alteration down-hole (120m) including silica-sericite-chlorite.
- Significant and elevated Pb and Zn mineralisation includes
- o 2m @ 3.6% Pb from 6m.
- Within broad altered andesitic basalt zone of 14m @ 0.75% Pb (0.15% Pb lower cut-off)
- o 2m @ 3.6% Pb from 6m.
- Elevated Pb and Zn associated with alteration includes:
- o 21m @ 0.21% Pb from 23m (lower cut-off 0.15% Pb)
- o 24m @ 0.13% Zn from 96m (lower cut-off 0.1% Zn)
- Mineralisation completely open.
Cassius Clay Prospect- Image 1 for Location
Significant Pb and Zn mineralisation.
- Three RC drill-holes tested high grade surface mineralisation with small workings.
- Narrow Pb and Zn intercepts include:
- BRRC009 (depth 100m) 1m @ 2.55% Zn, 2.68% Pb from 45m.
- 70m intercept of silica sericite +/- Kspar +/- hematite alteration.
- Mineralisation completely open.
Ragged Hills North – Image 1 for Location
Significant Pb and Zn mineralisation.
- Four RC drill-holes tested high grade base metal surface mineralisation north of the Ragged Hills Historic Pb mine.
- 600m of strike tested.
- Narrow Pb and Zn intercepts include:
- BRRC001 (depth 158m) 2m @ 3.4% Pb from 25m.
- 55m intercept of silica +/- sericite +/- Kspar +/- hematite +/- chlorite alteration.
- BRRC003 (depth 100m) 2m @ 3.08% Zn, 2.98% Pb from 60m.
- 40m intercept of silica sericite hematite alteration.
- BRRC006 (depth 88m) 3m @ 2.19% Zn, 0.95% Pb from 49m.
- 30m intercept of silica sericite +/- Kspar +/- hematite alteration.
- BRRC001 (depth 158m) 2m @ 3.4% Pb from 25m.
- Mineralisation open to north and at depth.
Mt Brockman Prospect- Image 1 for Location (single RC drill-hole BRRC020 71m depth)
Significant Pb mineralisation.
- BRRC020 1m @ 5.31% Pb from 44m
- o 55m intercept of silica sericite +/- hematite +/- chlorite +/- magnetite alteration.
- Mineralisation completely open.
Of the thirteen targets tested, five targets (Devon Cut, Barker Well, Ragged Hills North, Cassius Clay and Mt Brockman) returned significant base metal mineralisation (Devon Cut returned high-grade Zn mineralisation). A further 4 targets (RC Drill-holes – BRRC008, BRRC021, BRRC022 and BRRC037) returned elevated Zn and Pb (>1000ppm Zn and Pb).
Devon Cut Prospect – High Grade Zn mineralisation - New Discovery
The Devon Cut Prospect has been defined by zinc in soil anomalism (>300ppm Zn contour >1km strike) with two small historic workings (small diggings) associated with a NNW trending structure with wide alteration zones in andesitic basalt (see Image 2). Grab sampling has been limited to eight (8) rock chip samples which returned high grade Zn and Pb. Assays from the grab sampling included (32.7% Pb, 29.46% Pb, 23.18% Pb, 14.36% Zn, 6.3% Zn and 5.74% Zn).
High grade Pb and Zn grab samples at surface were targeted by a single RC drill hole (BRRC019) which intercepted 4m @ 9.64% Zn, 0.41% Pb from 32m within a wide zone of silica-sericite alteration with elevated Zn and Pb which averaged 28m @ 1.69% Zn from 28m (see image 3). The intercepted mineralisation was sphalerite and galena. The mineralisation is completely open.
Assaying (first stage) comprised of 1m interval sampling, 2m and 4m composite sampling. The high grade 4m intercept included a single metre high grade intercept of 21% Zn and 0.97% Pb.
Image 2. Plan of the Devon Cut Prospect Area – RC Drill Hole BRRC019 with Zn in Soil Contouring and Grab Sample Locations. Note: Open in all Directions
Image 3. Devon Cut Prospect. RC Drill Hole Section – BRRC019 Note: Open in all Directions
Barker Well Prospect – Wide Zone of Mineralised Alteration
Near the Barker Well Prospect, a single RC drill hole (BRRC036) tested a zone of strong silica - sericite alteration approximately 40m south of a small prospect (Barker Well). Previous exploration by Rumble had highlighted a north trending zone with grab sampling returning 38.1% Pb, 24.04% Pb and 4.23% Pb with anomalous Zn. Only three grab samples have been taken in this area (see image 5).
Approximately 120m of altered (completely open) andesitic basalt was intercepted (hole length – 124m) in hole BRRC036 (see image 4). Strong silica – sericite with chlorite alteration returned elevated Pb and Zn (composite sampling) with a higher-grade intercept of 2m @ 3.6% Pb from 6m within a broad 14m @ 0.75% Pb from surface.
In addition to the near surface Pb mineralisation, two elevated base metal zones within the alteration returned:
- 21m @ 0.21% Pb from 23m • 24m @ 0.13% Zn from 96m
The broad zone of alteration in plan is up to 100m in width and is completely open along strike.
Image 5 – Barker Well Prospect – Location of RC drill-hole BRRC036 and Grab Sample Locations Note: Open in all Directions
Exploration Potential
The discovery of wide zones of mineralised alteration with significant intercepts such as 4m @ 9.64% Zn, 0.41% Pb (Devon Cut Prospect) from the recent RC drilling supports the porphyry related base metal deposit style model Rumble has developed from litho-geochemistry, soil geochemistry and geological reconnaissance programmes.
The reconnaissance RC drilling programme has highlighted widespread base metal mineralisation with five of the selected thirteen targets returning significant mineralisation and wide zones of alteration. A further four targets returned elevated base metals and associated alteration.
Rumble considers the Braeside Base Metal Project to be highly prospective for significant Zn – Pb +/- Cu, Ag, Au, V mineralisation and potential economic deposits that are associated with major fracture/structure zones that extend over 30km in strike. Large fracture/structures with pervasive silica – sericite alteration and associated Kspar (potassic), hematite, chlorite and magnetite are strongly mineralised with Zn and Pb. The structures are likely laterally extensive feeders associated with known sub volcanic rhyolites that outcrop further to the east. Research and litho-geochemical studies by Rumble has shown mineralisation (Pb dating), the rhyolite and the host andesitic basalt are approximately the same age.
Future Exploration
As reported, only select single metre and composite sampling and assaying has been completed (a number of holes are yet to be sampled). Rumble will complete the sampling Jan-Feb 2018 and will conduct detailed multi-element geochemistry to highlight potential element associations to aid in exploration.
Planned exploration for the 2018 field season includes:
- Detailed geochemistry (soil and grab sampling) and geological mapping of the strong base metal mineralisation discovered by the recent RC drilling with the aim to delineate the newly discovered mineralisation and generate further drill targets.
- o Focus will be on the Devon Cut and Barker Well prospects.
- Detailed geochemistry and geological mapping of new targets to generate drill targets.
- o As previously reported (announcement 16th Oct 2017 Numerous High-Grade Zn – Pb – Cu – Ag - Au – V Targets Identified at Braeside Project from Infill Soil and Rock Chip Sampling), many base metal and Au soil anomalies and targets have been defined within E45/2032 and remain untested.
- First pass geochemistry (soil, stream sediment and grab sampling) of newly granted tenements within the Braeside Project area.
- It is anticipated that the next round of drilling will be in April-May 2018 (subject to wet season).
Barramine Cu- Pb-Zn- Ag Project, Western Australia – E45/4368
Rumble previously signed a binding option agreement to acquire up to 70% of the Barramine Cu-Pb-Zn-Ag Project. This binding option agreement allows Rumble to complete due diligence and if satisfied at its election enter a joint venture agreement.
During the quarter Rumble continued to complete due diligence on the project. The Barramine Project E45/4368 is located approximately 150km ENE of Marble Bar in the Pilbara Region of Western Australia (See Image 1) and is contiguous to the Braeside Project. The Barramine Project covers the northern extension of the Fortescue and Hamersley Group Rocks (Late Archaean) that lie within Rumble's Braeside Project.
The north and northwest trending faults/structural zones, some with associated base metal mineralisation are hosted in Fortescue Group intermediate/mafic volcanics and volcaniclastics in association with the Koongaling Felsic Volcanics. The felsic volcanics are bimodal with the Fortescue Group basalts and are potentially the source of the poly-metallic mineralisation.
Previous Exploration
The Barramine Project consists of a number of untested high-grade Cu, Pb, Zn, Ag and Au prospects and occurrences associated with a major NNW fault zone within mafic volcanics and volcaniclastic.
Two locations within the Barramine Project have been subject to historical prospecting pits and minor grab sampling for base metals in the Barramine and Camel Hump Prospects. Both prospects are related to steep NNW trending reverse faults that contain copper, lead, Zinc and silver. Previous work has shown the historical samples were taken on the structures to be similar in style to the Braeside-style structures to the south east.
- At the Barramine prospect a channel sample collected by Blatchford in 1925 assayed 25.32% copper, 279 g/t silver, and a trace of lead.
- At the Camel Hump prospect, rock chip samples were assayed up to 13.4% Copper, 6% Lead, 1.8% Zinc and 131 g/t Silver
Exploration Potential
Rumble recently completed exploration at the Braeside Project which identified significant base metal trends and VTEM conductors that appear to extend north into the Barramine Project - See image 6 and image 7.
Very limited modern exploration to the South East of the Barramine project with the poly-metallic mineralisation not been tested by detailed geophysics, geochemistry and drilling. Subject to successful completion of due diligence and exercise of the option, the Company will outline its proposed exploration program.
Image 6 – VTEM Conductors at Braeside Project open to Barramine Project Image 7 – Zinc geochemistry at Braeside project open to Barramine project
Earaheedy High Grade Zn Project, Western Australia
During the quarter Rumble announced that it has signed a binding option agreement to acquire up to 75% of the Earaheedy Zinc Project (E69/3464 – 75 km²), located approximately 110km north of Wiluna, Western Australia, covering most of the known zones of primary carbonate-hosted zinc – lead mineralisation in the Earaheedy Basin.
Image 8. Project Location and Regional Geology – Earaheedy Project – E69/3464
Exploration Overview
Broad spaced drilling (completed in the 1990's) defined several prospects containing oxidised and primary Zn-Pb mineralisation (zinc dominant) associated a flat lying to shallow northeast dipping laterally continuous dolomite horizon with over 20 kilometres strike. The initial drill spacing was 5 to 10km. The current drill spacing is approximately 1km by 1km. Three prospects were defined within the current Earaheedy Project (E69/3464).
| Hole | Prospect | East | North | From (m) | To (m) | Intersection |
|---|---|---|---|---|---|---|
| TDH4 | Navajoh | 264466 | 7158215 | 150.2 | 157.5 | 7.3m @ 6.12% Zn, 0.77% Pb |
| incl. | 150.2 | 153.5 | 3.3m @ 11.2% Zn, 0.93% Pb | |||
| TDH14 | Chinook | 252886 | 7166840 | 222.5 | 231.5 | 9m @ 3.54% Zn, 0.58% Pb, 2.3ppm Ag |
| TRC47 | Magazine | 262263 | 7159796 | 103 | 114 | 11m @ 2.66% Zn, 0.84% Pb, 4.4ppm Ag |
| incl. | 103 | 105 | 2m @ 8.23% Zn, 2.77% Pb, 6 ppm Ag | |||
| TRC70 | Chinook | 253471 | 7165813 | 126 | 131 | 5m @ 2.52% Zn, 1.02% Pb, 6.8 ppm Ag |
| TDH20 | Navajoh | 265616 | 7158831 | 210.5 | 216.5 | 6m @ 3.9% Zn, 0.39% Pb, 2.5 ppm Ag |
| and | 225 | 241 | 16m @ 1.0% Zn, 0.12%Pb |
Table 1. Selected drill intersections from the Navajoh, Magazine and Chinook Prospects
Zinc and lead mineralisation with elevated silver is associated with the Navajoh Dolomite Member (also known as the Sweetwaters Well Member) of the Yelma Formation. The Yelma Formation is the lower unit of the 5000m thick Earaheedy Basin (Palaeoproterozoic). Sphalerite, galena, pyrite and marcasite (coarse grain) occurs as stratiform/stratabound ore fill veins and breccias, dissolution cavity fill, disseminated, stylolitic and fault fill mineralisation styles.
The mineralisation style is considered Mississippi Valley Type (MVT) with metal rich brines (dewatering during diagenesis) migrating laterally and following up late basin structures to react with carbonate rocks precipitating Zn and Pb sulphides. Subsequent later faulting has likely remobilised sulphides and potentially developed high angle higher grade base metal mineralisation.
Narrow high-grade silver mineralisation (TDH16 – 2m @ 149 g/t Ag (4.8 oz/t) from 223m and 4m @ 559 g/t Ag (18 oz/t) from 257m**)** may represent remobilisation of sulphides.
Image 9. Structural Contours (Zn%-m) Drill Holes Intercepting Mineralised Horizon.
Exploration Potential
Review of the historic drilling has concluded that approximately half the drill holes did not intercept the target horizon. A total of 64 drill holes were completed within the project area (E69/3464) with only 35 drill holes intercepting the stratiform zinc horizon (including partial end of hole intercepts).
Structural contouring of the flat lying mineralised carbonate horizon by Rumble has highlighted the extent of mineralisation. Using Zn%-m (cumulative assay values > 0.15% Zn per hole) contouring as a guide (see Image 24), significant areas of untested potential mineralisation remain completely open. North of the Magazine prospect (image 2), drill hole spacing is up to 2km. Note that the Zn%-m contouring represents metal endowment per drill hole and does not indicate economic grade and widths.
Review by Rumble has highlighted strong zinc and lead zonation associated with the Magazine and Navajoh Prospects. Based on Zn:Pb ratios of the total zinc and lead metal endowment of the drill holes that intercept the mineralised zone, the zonation is parallel to the host geology and an inferred low to moderate angle fault structure delineated by aero-magnetics beneath the Yelma Formation. Image 25 presents the strong Zn:Pb zonation and the potential late basin low to moderate angle bedding fault.
The significance of the zonation and the inferred bedding parallel fault is:
- The zonation has not been modified by later transfer faults and reflects the main mineralisation phase.
- The parallel bedding fault is potentially mineralised and may have been the main conduit for the zinc and lead mineralisation.
- The intersections of the cross cutting faults (including transfer faults), the parallel bedding fault and the stratiform mineralised carbonate horizon are high order targets for high-grade Zn and Pb deposits.
Image 10. Southeast Portion of Earaheedy Project Zn:Pb Ratio of Mineralisation in Drill Holes over Aero-Magnetic Coloured TMI Image.
Exploration Model and Strategy
Rumble considers the exploration model to be analogous to known MVT (Mississippi Valley Type) deposits worldwide whereby high grade Zn – Pb sulphide mineralisation is associated with moderate to high angle faults. The Earaheedy Project, based on the mineralisation style, host rocks, known basement structural architecture and the current drilling density (2km by 1km and 1km by 1km spacing), has the potential to host a significant Zn – Pb resource.
The target size is similar to the Pillara (Blendevale) Zn – Pb deposit located in the Devonian limestones of the Lennard Shelf, Kimberley Region, Western Australia which produced 10.3 Mt @ 6.9% Zn and 2.3% Pb. Of note, the discovery drill-hole (8m @ 8.9% Zn, 3.5% Pb below 210m) at Pillara, was the 136th drill hole in the area.
Image 11 – X Section Pillara Deposit Image 12 – Potential Earaheedy MVT Model
The exploration strategy planned by Rumble include
- High resolution gravity survey
- o With carbonates underlaying the entire project area, density contrast modelling may help delineate basement structures that reflect mineralisation pathways.
- o High density anomalies may be directly related to sulphides.
- Subject to basement structures delineated by gravity and remodelling magnetics, IP or appropriate electrical geophysical method will focus on these structures to define drilling targets and then drill test.
Fraser Range Ni-Cu Projects, Western Australia – IGO JV
During the quarter Rumble announced that it has secured the involvement of leading base metal and gold miner Independence Group NL (ASX: IGO) to explore and earn an interest in its highly prospective projects in the Fraser Range region of WA (Image 13).
Under the terms of the Agreement between Rumble and Independence Newsearch Pty Ltd (a wholly owned subsidiary of Independence Group NL), IGO has been granted the right to earn 70% equity in Rumble's 100%-owned Fraser Range Project by spending $1.5mil on exploration over 3 years.
The agreement allows exploration of the Fraser Range Project to be accelerated with IGO to apply its extensive Fraser Range expertise as the dominant regional player in the Fraser Range, particularly the knowledge it has gained through the development and operation of the world-class Nova Project, and its ability to fund ongoing exploration programs.
Importantly, Rumble will maintain an exposure to the ongoing exploration and development of the Fraser Range Project without additional financial commitment, given that it will be free-carried through to the first Pre-Feasibility Study (PFS) on any of the tenements.
The Agreement is consistent with Rumble's decision to place greater focus of its resources and activities on its High Grade Lead- Zinc Braeside Project, the high-grade Barramine Cu-Pb-Zn-Ag project and high-grade Earaheedy Zn project in Western Australia in Western Australia.
Rumble will provide exploration updates on the Fraser Range Projects as they become available.
Image 13 – Rumble's 100% Owned Fraser Range Projects
Ongoing Review of Resource Opportunities
During the quarter the Company reviewed exciting opportunities in the resource sector in line with the set of objective criteria's set out by the Board, including targeting more advanced and near term production assets.
A number of these opportunities that met the Company's stringent criteria are at advanced stages with due diligence and discussions ongoing.
The Company will keep the market updated should any of these discussions result in an agreement being reached.
Rumble Current Portfolio
The Company continues to review its project portfolio which encompassed project prioritisation and consideration of expenditure commitments with a view to rationalise costs. There was no further on-ground exploration activity on Rumble's other projects during the quarter.
Corporate
During the quarter Rumble completed a capital raising for A$4,800,000.
This funding ensures Rumble is well capitalised to follow up the significant exploration success seen in maiden reconnaissance drill program at Braeside, while simultaneously commencing a works program planned at the high-grade Barramine Cu-Pb-Zn-Ag project and high-grade Earaheedy Zn project in Western Australia, along with reviewing potential exciting new project acquisitions.
Shane Sikora Managing Director
- ENDS -
For further information visit rumbleresources.com.au or contact [email protected].
About Rumble Resources Ltd
Rumble Resources Ltd is an Australian based exploration company, officially admitted to the ASX on the 1st July 2011. Rumble was established with the aim of adding significant value to its current gold and base metal assets and will continue to look at mineral acquisition opportunities both in Australia and abroad.
Forward Looking and Cautionary Statement
The information in this report that relates to historic exploration results was collected from DMP reports submitted by government agencies and previous explorers. Rumble has not completed the historical data or the verification process. As sufficient work has not yet been done to verify the historical exploration results, investors are cautioned against placing undue reliance on them.
Competent Persons Statement
The information in this report that relates to Exploration Results is based on information compiled by Mr Brett Keillor, who is a Member of the Australasian Institute of Mining & Metallurgy and the Australian Institute of Geoscientists. Mr Keillor is an employee of Rumble Resources Limited. Mr Keillor has sufficient experience 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 of Exploration Results, Mineral Resources and Ore Reserves".
Appendix
In accordance with Listing Rule 5.3.3. Rumble provides the following information in relation to its mining tenements.
1. The mining tenements held at the end of the quarter and their location.
| Project | TenementNumber | Status | Location | BeneficialPercentageInterest |
|---|---|---|---|---|
| Beadell | E45/2405 | Granted | Western Australia | 100% |
| Beadell | E45/4891 | Application | Western Australia | 100% |
| Big Red | E28/2268 | Granted | Western Australia | 100% Note 5 |
| Thunderstorm | E28/2528 | Granted | Western Australia | 100% Note 5 |
| Thunderstorm | E28/2529 | Granted | Western Australia | 100% Note 5 |
| Thunderstorm | E28/2595 | Granted | Western Australia | 100% Note 5 |
| Thunderdome | E28/2366 | Granted | Western Australia | 100% Note 5 |
| Mt Gibson | E59/2215 | Granted | Western Australia | 100% |
| Mt Gibson | E59/2216 | Granted | Western Australia | 100% |
| Braeside | E45/2032 | Granted | Western Australia | 0% Note 2 |
| Braeside | E45/4872 | Application | Western Australia | 100% |
| Braeside | E45/4873 | Granted | Western Australia | 100% |
| Braeside | E45/4874 | Granted | Western Australia | 100% |
| Braeside | E45/4937 | Application | Western Australia | 100% |
| Braeside | E45/4938 | Application | Western Australia | 100% |
| Braeside | P45/3037 | Granted | Western Australia | 100% |
| Barramine | E45/4368 | Granted | Western Australia | 0%Note 3 |
| Earaheedy | E69/3464 | Granted | Western Australia | 0% Note 4 |
| Earaheedy | E69/3543 | Application | Western Australia | 100% |
| Derosa | Bompela | Granted | Burkina Faso | 85% Note 1 |
| Burkina Faso | Pogoro | Granted | Burkina Faso | 100% |
| Burkina Faso | Yalore | Granted | Burkina Faso | 100% |
2. Mining tenements acquired during the quarter and their location:
| Project | TenementNumber | Status | Location | BeneficialPercentageInterest |
|---|---|---|---|---|
| Earaheedy | E69/3543 | Application | Western Australia | 100% |
| Earaheedy | E69/3464 | Granted | Western Australia | 0% Note 4 |
3. Mining tenements disposed of during the quarter and their location:
| Project | TenementNumber | Status | Location | Comment |
|---|---|---|---|---|
| Nil |
1. Derosa Project, Burkina Faso
Bompela is subject to a Joint Venture agreement with Canyon Resources limited whereby Rumble owns 85% interest and Canyon a 15% interest.
2. Braeside Project, Western Australia
E45/2032 is subject to an earn in agreement whereby Rumble can earn a 70% interest by spending A$1.5mill over 3 years. Refer ASX announcement 20 March 2017 for further details in respect of the acquisition.
3. Barramine Project, Western Australia
E45/4368 is subject to an earn in agreement whereby Rumble can earn a 70% interest by spending A$1.5mill over 3 years. Refer ASX announcement 7 September 2017 for further details in respect of the acquisition.
4. Earaheedy Project, Western Australia
E69/3464 is subject to an option agreement whereby Rumble can earn a 75% interest by spending paying A$500k within 3 years. Refer ASX announcement 12th October 2017 for further details in respect of the acquisition.
5. Fraser Range Projects, Western Australia
E28/2268, E28/2528, E28/2529, E28/2595, E28/2366 is subject to earn-out agreement whereby IGO can earn a 70% interest by spending paying A$1.5mil in exploration over 3 years. Refer ASX announcement 2nd October 2017 for further details in respect of the acquisition.
+Rule 5.5
Appendix 5B
Mining exploration entity and oil and gas exploration entity quarterly report
Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10, 01/05/13, 01/09/16
| Name of entity | |||||
|---|---|---|---|---|---|
| Rumble Resources Limited | |||||
| ABN | Quarter ended ("current quarter") | ||||
| Consolidated statement of cash flows | Current quarter$A'000 | Year to date(6 months)$A'000 | |
|---|---|---|---|
| 1. | Cash flows from operating activities | ||
| 1.1 | Receipts from customers | - | - |
| 1.2 | Payments for | ||
| (a)exploration & evaluation | (193) | (515) | |
| (b)development | - | - | |
| (c)production | - | - | |
| (d)staff costs | (71) | (117) | |
| (e)administration and corporate costs | (130) | (273) | |
| 1.3 | Dividends received (see note 3) | - | - |
| 1.4 | Interest received | 4 | 7 |
| 1.5 | Interest and other costs of finance paid | - | - |
| 1.6 | Income taxes paid | - | - |
| 1.7 | Research and development refunds | - | - |
| 1.8 | Other (provide details if material) | 36 | 35 |
| 1.9 | Net cash from / (used in) operatingactivities | (353) | (864) |
| 2. | Cash flows from investing activities | |
|---|---|---|
| 2.1 | Payments to acquire: | |
| (a)property, plant and equipment | - | |
| (b)tenements (see item 10) | - | |
| (c)investments | - | |
| (d)other non-current assets | - |
- See chapter 19 for defined terms
1 September 2016 Page 1
| Consolidated statement of cash flows | Current quarter$A'000 | Year to date(6 months)$A'000 | |
|---|---|---|---|
| 2.2 | Proceeds from the disposal of: | ||
| (a)property, plant and equipment | - | - | |
| (b)tenements (see item 10) | - | - | |
| (c)investments | - | - | |
| (d)other non-current assets | - | - | |
| 2.3 | Cash flows from loans to other entities | - | - |
| 2.4 | Dividends received (see note 3) | - | - |
| 2.5 | Other (provide details if material) | - | - |
| 2.6 | Net cash from / (used in) investingactivities | - | - |
| 3. | Cash flows from financing activities | ||
|---|---|---|---|
| 3.1 | Proceeds from issues of shares | 4,800 | 4,850 |
| 3.2 | Proceeds from issue of convertible notes | - | - |
| 3.3 | Proceeds from exercise of share options | - | - |
| 3.4 | Transaction costs related to issues ofshares, convertible notes or options | (288) | (336) |
| 3.5 | Proceeds from borrowings | - | - |
| 3.6 | Repayment of borrowings | - | - |
| 3.7 | Transaction costs related to loans andborrowings | - | - |
| 3.8 | Dividends paid | - | - |
| 3.9 | Other (provide details if material) | - | - |
| 3.10 | Net cash from / (used in) financingactivities | 4,512 | 4,514 |
| 4. | Net increase / (decrease) in cash andcash equivalents forthe period | ||
|---|---|---|---|
| 4.1 | Cash and cash equivalents at beginning ofperiod | 1,104 | 1,613 |
| 4.2 | Net cash from / (used in) operatingactivities (item 1.9 above) | (353) | (864) |
| 4.3 | Net cash from / (used in) investing activities(item 2.6 above) | - | - |
| 4.4 | Net cash from / (used in) financing activities(item 3.10 above) | 4,512 | 4,514 |
| 4.5 | Effect of movement in exchange rates oncash held | - | - |
| 4.6 | Cash and cash equivalents at end ofperiod | 5,263 | 5,263 |
| 5. | Reconciliation of cash and cashequivalentsat the end of the quarter (as shown in theconsolidated statement of cash flows) to therelated items in the accounts | Current quarter$A'000 | Previous quarter$A'000 |
|---|---|---|---|
| 5.1 | Bank balances | 5,213 | 1,054 |
| 5.2 | Call deposits | 50 | 50 |
| 5.3 | Bank overdrafts | - | - |
| 5.4 | Funds held in trust for issuance of shares. | - | - |
| 5.5 | Cash and cash equivalents at end ofquarter (should equal item 4.6 above) | 5,263 | 1,104 |
| 6. | Payments to directors of the entity and their associates | Current quarter$A'000 | |||
|---|---|---|---|---|---|
| 6.1 | Aggregate amount of payments to these parties included in item 1.2 | 113 | |||
| 6.2 | Aggregate amount of cash flow from loans to these parties includedin item 2.3 | - | |||
| 6.3 | Include below any explanation necessary to understand the transactions included initems 6.1 and 6.2 | ||||
| Executive and non-executive director fees and technical consulting services. |
| 7. | Payments to related entities of the entity and their |
|---|---|
| associates |
| 7.1 | Aggregate amount of payments to these parties included in item 1.2 | - | |||
|---|---|---|---|---|---|
| ----- | -- | -- | -------------------------------------------------------------------- | -- | --- |
| 7.2 | Aggregate amount of cash flow from loans to these parties included | |
|---|---|---|
| in item 2.3 |
7.3 Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2
| n/a | ||
|---|---|---|
Current quarter $A'000
| 8. | Financingfacilities availableAdd notes as necessary for anunderstanding of the position | Total facility amountat quarter end$A'000 | Amount drawn atquarter end$A'000 | |
|---|---|---|---|---|
| 8.1 | Loan facilities | - | - | |
| 8.2 | Credit standby arrangements | - | - | |
| 8.3 | Other (please specify) | - | - | |
8.4 Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well.
n/a
| 9. | Estimated cash outflows for next quarter | $A'000 |
|---|---|---|
| 9.1 | Exploration and evaluation | (500) |
| 9.2 | Development | - |
| 9.3 | Production | - |
| 9.4 | Staff costs | (90) |
| 9.5 | Administration and corporate costs | (130) |
| 9.6 | Other (provide details if material) | |
| 9.7 | Total estimated cash outflows | (720) |
| 10. | Changes intenements(items 2.1(b) and2.2(b) above) | Tenementreferenceandlocation | Nature of interest | Interest atbeginningof quarter | Interestat end ofquarter |
|---|---|---|---|---|---|
| 10.1 | Interests in miningtenements andpetroleum tenementslapsed, relinquishedor reduced | ||||
| 10.2 | Interests in miningtenements andpetroleum tenementsacquired or increased | E69/3464E69/3543 | GrantedApplication | WesternAustralia | 0%*100% |
*E69/3464 is subject to an option agreement whereby Rumble can earn a 75% interest by spending paying A$500k within 3 years. Refer ASX announcement 12th October 2017 for further details in respect of the acquisition.
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.
[lodged electronically without signature] 30 January 2018
Sign here: ............................................................ Date: ............................................. (Director/Company secretary) Steven Wood
Print name: .........................................................
Notes
-
- The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.
-
- If this quarterly 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 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.