Impact Minerals Confident of Blackridge Gold Potential

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THE BOURSE WHISPERER: Impact Minerals (ASX: IPT) completed a review of previous gold production data at the company’s Blackridge conglomerate-hosted gold project located about 30 kilometres north of Clermont in central Queensland.

Impact Minerals used previous data that had been recorded by the Geological Survey of Queensland from 82 small mine shafts, which the company said demonstrated that high-grade gold had been mined over an area of at least one square kilometre from surface to depths of up to 80 metres.

The distribution of the old shafts and mapping by the Geological Survey indicates that the high-grade zones occur in linear fault-controlled zones that were referred to by the original miners as ‘runs’.

Impact has received bulk sample results for gold it says has identified potential for further high-grade runs that have not been mined both closer to surface and deeper, further to the west beyond the limited mining depths achieved by the early miners.

The company has interpreted other gold results from bulk samples taken by previous workers, and by Impact, to indicate the potential for large volumes of lower grade gold between these high-grade runs as well as higher up in the sequence.

The company considers, together, all of this data demonstrates the large-scale potential of the gold bearing units at Blackridge, and further bulk samples are planned for this Quarter.

These samples will be mostly taken on granted Mining Lease 2385 which was recently purchased by Impact Minerals and has now been approved by the Minister for Mines in Queensland.

“All of this work indicates the potential for a large mineralised system at Blackridge,” Impact Minerals said in its ASX announcement.

“Further bulk samples are now required on a more systematic basis to determine the gold grade distribution close to surface.

“A program of work for this is being compiled and will be completed as soon as practicable.

“In addition, shallow drill holes are also required to help determine the effectiveness of drilling as a sampling medium.

“Work by companies such as Novo Resources Corporation in the emerging conglomerate-hosted gold province of the Pilbara region of Western Australia, has shown that very large samples may need to be processed in order to overcome the significant ‘nugget effect’ that is a major factor in the exploration for this style of deposit.

“Impact has shown that the nugget effect was an important factor affecting the results of previous exploration drilling at Blackridge.

“Accordingly, drilling may not be highly effective at Blackridge.

“However, the purchase of Mining Lease ML2386 has provided a strategic advantage by allowing very large samples to be taken where appropriate.”

 

Email: info@impactminerals.com.au

Website: www.impactminerals.com.au

 

Alliance Resources Snares More Wilcherry Interest

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THE BOURSE WHISPERER: Alliance Resources (ASX: AGS) has increased its interest in the Wilcherry Project Joint Venture (WPJV) Exploration Area in South Australia to 79.01 per cent.

Alliance Resources’ stakein the WPJV comes via its wholly-owned subsidiary Alliance Craton Explorer Pty Ltd (ACE).

Alliance’s JV partner Tyranna Resources (ASX: TYX) has diluted its interest in the WPJV Exploration Area to 20.99 per cent, having elected not to contribute to the WPJV approved Program and Budget for the period 1 July 2018 to 30 June 2019 totalling $3.2 million.

Alliance explained that ACE’s interest in the WPJV Exploration Area may increase to 83.64 per cent by 30 June 2019, should actual expenditure reach the approved FY2019 P&B expenditure.

Alliance released a maiden Mineral Resource estimate in September for the Weednanna gold deposit, part of the Wilcherry project, of 1.097 million tonnes at 5.1 grams per tonne gold for 181,000 ounces gold.

This was followed in October by an announcement of the discovery of graphite at the Yeltana prospect, 20 km west of the Weednanna gold deposit.

The discovery yielded drill results, including:

21.05 metres at 9.28 per cent total graphitic carbon (TGC) from 171.75m;

17.1m at 8.54 per cent TGC from 148m; and

17.2m at 5.05per cent TGC from 234.1m.

Alliance declared an Exploration Target for the Yeltana graphite prospect of between 24.5 million and 59 million tonnes grading between 5.5per cent and 10.2 per cent TGC.

“The potential quality and grade of this Exploration Target is conceptual in nature as there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource,” the company said in its ASX announcement.

 

Email: info@allianceresources.com.au

Website: www.allianceresources.com.au

 

Azure Minerals Very Happy with Oposura Scoping Study Results

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THE BOURSE WHISPERER: Azure Minerals (ASX: AZS) released positive outcomes from a recently-completed Scoping Study on the company’s 100 per cent-owned Oposura zinc-lead-silver project, located in Sonora, Mexico.

Azure Minerals said the study had delivered a Life of Mine (LOM) EBITDA of $237 million, NPV8 (pre-tax) of $112 million and an IRR (pre-tax) of 76 per cent, which it claims confirms Oposura as an economically and technically robust, high-margin project.

The company intimated that the low operating and capital costs, high-value concentrate, strong operating cashflows, a payback period of about 16 months and, most importantly, a C1 cash cost (per pound of payable zinc production) in the lowest quartile of world zinc producers, all support the positive project economics.

“The completion of this study with its very positive project economics represents a key milestone for the company,” Azure Minerals managing director Tony Rovira said in the company’s announcement to the Australian Securities Exchange.

“We’re immediately progressing into the Feasibility Study stage with the intention of developing Oposura into the company’s first operating mine as swiftly as possible to take advantage of the strong zinc thematic.

“The style of the deposit will deliver exceptionally low estimated operating costs, driven by the near-surface, high-grade mineralisation and efficient open pit and underground mining methods which will see Oposura’s costs in the lowest quartile of zinc producers globally.

“Furthermore, there is excellent potential that additional exploration, which is currently underway, will significantly expand the project’s resources and further improve the project economics and increase the mine life.

“We see this project as technically and financially robust and eminently financeable, and the company has received strong expressions of interest from debt providers, concentrate offtakers and strategic parties interested at the asset level.

“We look forward to advancing this project expeditiously towards production that will see Azure transition from an exploration company to a producer.”

 

Website: www.azureminerals.com.au

 

Galena Mining Kicks-off Abra DFS

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THE BOURSE WHISPERER: Galena Mining (ASX: G1A) has commenced a definitive/bankable feasibility study (DFS) for the company’s wholly-owned Abra base metals project, located in Western Australia.

Galena Mining announced it has retained Australian engineering consulting and contracting company, GR Engineering Services Limited (ASX: GNG) to undertake key portions of the DFS related to plant design, capital cost and operating cost estimation, process and non-process infrastructure evaluation.

“The recently published pre-feasibility study for Abra demonstrated outstanding investment returns and we’re keen to see it engineered to the highest standards so we’re in a strong position to commence construction next year,” Galena Mining managing director Alex Molyneux said in the company’s announcement to the Australian Securities Exchange.

“In this regard we’re very pleased to have GR Engineering onboard in a key role.”

In addition to the appointment of GR Engineering, Galena also recently appointed a full-time metallurgy and study manager to lead the internal DFS work under the guidance of COO, Troy Flannery.

Galena explained that the DFS and various related appointments follow completion of a pre-feasibility study (PFS) for Abra that predicted a 1.2 million tonne per annum throughput underground mine and conventional floatation concentrator for the project to produce a high-grade, high-value lead silver concentrate containing 91,000 tonnes per annum of lead and 760,000 ounces per annum of silver over a 14-year mine life.

Key work items in the PFS were already completed to DFS-level including: geotechnical drilling; metallurgical testwork; environmental studies and reports; water supply analysis; hydrogeology; underground mine designs; and infrastructure design.

The DFS is targeted to be complete in mid-2019, while in the meantime, Galena expects to progress value-adding milestone workstreams in parallel.

Galena is maintaining its targeted commencement of construction at Abra in 2019, initial production in 2021 and the first full-year of steady-state commercial production in 2022.

 

Email: admin@galenamining.com.au

Website: www.galenamining.com.au

 

Corazon Mining Upgrades Lynn Lake Mineral Resource

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THE BOURSE WHISPERER: Corazon Mining (ASX: CZN) released a new, upgraded Mineral Resource Estimate for the company’s Lynn Lake nickel-copper-cobalt sulphide project in Canada.

The updated JORC Code 2012-compliant Resource has come in at:

15.3 million tonnes at 0.72 per cent nickel, 0.34 pe cent copper, 0.034 per cent cobalt (Indicated and Inferred, at a 0.5%Ni cut-off), for total contained metal of 110,400 tonnes nickel, 51,400 tonnes copper, 5,200 tonnes cobalt.

The upgraded Resource also includes a high-grade Resource Estimate of:

5.2 million tonnes at 1 per cent nickel, 0.41 per cent copper, 0.044 per cent cobalt (Indicated & Inferred, 0.7%Ni cut-off).

Corazon Mining explained the new Resource Estimate represents more than a 60 per cent increase in total tonnes and a 35 per cent increase in nickel and copper metal, in comparison to its previous JORC Mineral Resource Estimate of 2015.

Of further interest is that this time, cobalt has been included in the new Resource Estimate (historically excluded), which the company considers adds further value.

Corazon Mining said the new Resource provides an excellent foundation upon which it can now base mining and development studies.

These studies are expected to be undertaken subsequent to detailed metallurgical testwork, which is currently in progress and scheduled for completion by the end of this year.

“This Resource represents a huge improvement in quality from the previous work and, along with the first modern metallurgical testwork which is currently underway, will give us a very clear indication of Lynn Lake’s value and what is needed for the redevelopment of the Mining Centre,” Corazon Mining managing director Brett Smith said in the company’s announcement to the Australian Securities Exchange.

 

Email: info@corazon.com.au

Website: www.corazon.com.au

 

OZ Minerals Moves to 51% Ownership at West Musgrave

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THE BOURSE WHISPERER: Cassini Resources (ASX: CZI) declared OZ Minerals (ASX: OZL) to have reached 51 per cent ownership of the West Musgrave project (WMP) Joint Venture in Western Australia.

OZ Minerals (ASX: OZL) has completed the earn in of 51 per cent of the West Musgrave project following the necessary investment of $22 million.

Cassini Resources and OZ Minerals are currently conducting a Pre-Feasibility Study (PFS) of the West Musgrave copper nickel project, which has been focused to date on further drilling and improving metallurgical recoveries.

Cassini Resources managing director Richard Bevan said in the announcement to the Australian Securities Exchange. “With the West Musgrave project’s PFS being well on track, we look forward to continuing our strong relationship with OZ Minerals as the project progresses.”

OZ Minerals’ deal with Cassini is one of a number of exploration earn-in agreements the company has with explorers.

OZ Minerals approaches these deals by providing with exploration expertise in specific geologies and locations while earn-in partners access capital to undertake drilling programs.

OZ Minerals typically works with the earn-in partners to oversee projects while they manage on the ground activities.

The company considers the early study results achieved to date at the WMP encouraging in a number of areas, including resource extension drilling and metallurgy, with good progress made in heritage clearances and community engagement.

“Our confidence in the project’s potential has increased and supports reaching the 51 per cent earn-in level earlier than originally anticipated,” OZ Minerals CEO Andrew Cole said.

“Recent early metallurgical test work shows significant improvements over the results achieved during the Further Scoping Study with a material improvement in copper and nickel recoveries.

“On results to date, we have also seen an increase in copper concentrate grade while nickel concentrate grade remains in line with the Further Scoping Study.

“These encouraging, improvements together with results from our regional exploration drill program that intersected massive sulphides at Yappsu (located approximately six kilometres from the Nebo-Babel deposits which are the primary focus of the PFS), further support our view that West Musgrave has the potential to be an exciting new mineral province with near mine and district opportunities.

“The 2018 resource drilling program to date has also increased our confidence in the existing resource model and geological interpretation such that we now intend to bring forward the 2019 infill drilling program to commence later this year, so as to enhance the potential Feasibility Study schedule.”

 

Email: info@ozminerals.com

Website: www.ozminerals.com

 

Metallica Minerals to Merge with Melior Resources

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THE BOURSE WHISPERER: Metallica Minerals (ASX: MLM) announced it has entered into a binding Arrangement Agreement (AA) to merge with TSX_V-listed Melior Resources.

Metallica Minerals said the merger would be via a Plan of Arrangement to be approved by the court in British Columbia, Canada.

The company intimated the merger will create a diversified Queensland mining company with near term production and a strong pipeline of future growth opportunities, boasting a strong portfolio of assets located in Queensland, which has a stable and well-established regulatory regime.

The merging entities believe their complementary mineral sands and bauxite projects, together with project proximity and combined management expertise, provide the opportunity for both sets of shareholders.

The merger is to be implemented by way of a Canadian Plan of Arrangement, whereby Metallica has agreed to acquire all issued capital of Melior by the issue of 20 new Metallica shares for every 1 Melior share held.

Announcing the deal, Metallica said the merged entity will have an enhanced capital markets profile, a strengthened investor base and a strong pipeline of growth assets, positioning it to become a strong new ASX-listed mining company well situated to take advantage of the favourable outlook for mineral sands and bauxite.

“This is a transformational deal for both companies,” Metallica Minerals chairman Peter Turnbull said in the company’s announcement to the Australian Securities Exchange.

“Melior’s Goondicum ilmenite project shares similar attributes to Urquhart Bauxite in that it is fully funded and will be brought into production relatively quickly for a modest capital outlay and will provide a valuable source of near-term cash flow.

“We look forward to combining the respective skills of the two companies to successfully develop those projects and pursue further growth opportunities to build a significant, profitable mining house generating excellent returns for shareholders.”

 

Email: admin@metallicaminerals.com.au

Website: www.metallicaminerals.com.au

 

Lithium Australia Produces Lithium Chemicals From Sileach Trial Plant

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THE BOURSE WHISPERER: Lithium Australia announced the production of lithium chemicals from the company’s Sileach Pilot Plant.

SiLeach® is Lithium Australia’s proprietary lithium processing technology.

The company has conducted Stage 1 and 2 trials of the process at the ANSTO’s minerals piloting facility in New South Wales shortly after commissioning of the second generation, purpose built pilot plant.

Lithium Australia declared Stage 1 of the SiLeach pilot plant trial achieved 94 per cent lithium extraction on continuous run, after which Stage 2 of the SiLeach pilot plant trial kicked off on schedule and produced lithium phosphate within 16 hours of start-up.

from Stage 1 of the trial, SiLeach succeeded in generating lithium solutions from mine waste to feed Stage 2 of the trial, designed to generate lithium chemicals from those solutions.

The Stage 2 trial began as planned on 10 September 2018.

The SiLeach technology was used to separate and remove calcium and fluorine impurities from the lithium solutions generated during Stage 1.

The impurities were precipitated as solids prior to the subsequent precipitation of high-purity lithium phosphate.

Lithium Australia indicated that the barren liquor from that process will be further vendor tested for the recovery of potassium sulphate.

“The success of the new pilot plant facility at ANSTO augurs well for our scale-up aspirations,” Lithium Australia managing director Adrian Griffin said in the company’s announcement to the Australian Securities Exchange.

“It’s encouraging to note the relative ease with which we’ve achieved targets to date, particularly in view of the feed material used – in this case, contaminated mine waste from the Kalgoorlie region.

“SiLeach is ideal for recovering lithium from such materials.

“We’re also enthusiastic about other applications for some of these process steps; in particular, the recovery of lithium from brine, which currently involves lengthy solar evaporation and is subject to the vagaries of the weather.”

 

Email: info@lithium-au.com

Website: www.lithium-au.com

 

Indiana Resources Extends Mali Ground

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THE BOURSE WHISPERER: Indiana Resources (ASX: IDA) has entered a joint venture agreement via the company’s wholly owned subsidiary Mukuyu Resources Limited.

Indiana Resources has struck the JV with Caracal Gold Mali SARL, a wholly owned subsidiary of Cradle Arc plc.

The JV covers the Kossanto West gold project in western Mali, located immediately adjacent to Indiana’s Koussikoto Ouest gold project.

Indiana Resources indicated the JV effectively doubles the land available for exploration activities, bringing the company’s total exploration area in Mali to 263 square kilometres.

Kossanto West comprises two permits, the Kobokoto Est and Koussikoto exploration permits, which cover a total area of 137sqkm, located on the Main Transcurrent Zone, which is interpreted to be one of the structures which controls mineralisation in Western Mali.

Indiana said it is considered an excellent geological and structural location, located within the Kenieba Inlier of Western Mali, which is known to host a number of very large gold deposits, including the Loulou 12.5 million ounce deposit of Randgold Resources and the Sabodala 2 million ounce deposit of Teranga Gold.

“Indiana is pleased to have concluded the JV with Cradle Arc as it provides a low-cost option that is non-dilutive to Indiana shareholders and involves no cash payment, with all expenditure to be committed to exploration,” Indiana Resources CEO Chris van Wijk said in the company’s announcement to the Australian Securities Exchange.

“It is consistent with the company’s stated strategy to increase our interests in Mali and allows Indiana to methodically continue its exploration in the area.

“Our review of the area has indicated that there is strong potential for the results recently returned from Koussikoto to extend further north into the Kossanto West tenement and we are keen to commence activities on the ground next month.”

 

Email: info@indianaresources.com.au

Website: www.indianaresources.com.au

 

Sheffield Resources Signs Native Title Co-Existence Agreement

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THE BOURSE WHISPERER: Sheffield Resources (ASX: SFX) signed a Co-existence Agreement (Agreement) in relation to the company’s Thunderbird mineral sands project in northern Western Australia.

Sheffield Resources said the signing follows its recent signing of an in principle and non-binding term sheet with the Traditional Owner Negotiation Committee (TONC) that represents the Mount Jowlaenga Polygon #2 claimant group (Traditional Owners).

Sheffield has worked closely with the TONC and its advisors to formalise the terms of the agreement, which has now been executed and delivered to the Traditional Owners.

This allows the Kimberley Land Council (KLC) to proceed with an Authorisation Meeting, which involves a meeting with a wider group of Traditional Owners to consider authorising the Named Applicants to execute the Agreement.

Sheffield explained that the Authorisation Meeting represents the final step in this process and is currently expected to take place in late October or early November 2018.

“We commend all parties for their efforts in finalising the terms negotiated with the TONC in a timely and conciliatory manner,” Sheffield Resources managing director Bruce McFadzean said in the company’s announcement to the Australian Securities Exchange.

“The signing of the Agreement is now binding on Sheffield and provides certainty to the wider group of Traditional Owners in the period leading to the Authorisation Meeting.”

Sheffield indicated it aims to continue to work closely with communities throughout the Kimberley on employment and business opportunities as part of its commitment to the development of Thunderbird.

McFadzean said the company was focussed on its licence to operate with Traditional Owners and the wider Kimberley community and looked forward to working alongside them as the project moves into development.

 

Email: info@sheffieldresources.com.au

Website: www.sheffieldresources.com.au