Drill Results - Bailieston Gold Project, Australia
ECR Minerals plc
AIM: ECR
US OTC: MTGDY
ECR MINERALS plc
(“ECR Minerals”, “ECR” or the “Company”)
DRILL RESULTS - BAILIESTON GOLD PROJECT, AUSTRALIA
LONDON: 24 July 2017 - The directors of ECR Minerals plc are
pleased to announce the results of the recently completed reverse
circulation (RC) exploration drilling programme at the Bailieston gold
project in Victoria, Australia.
HIGHLIGHTS
* A total of 592 m RC drilling completed in June 2017, for a total of
seven holes.
* Three targets tested, being the old Byron Shaft workings, the Scoulars
trend and the Maori trend.
* Results for the Scoulars and Maori trends are consistent with the
geological model, whilst drilling around the Byron Shaft did not
intersect the target mineralisation. All three targets warrant continued
exploration along the identified geochemical anomalies.
Craig Brown, CEO of ECR, commented:
“The drilling successfully confirmed our overall geological model for
the Bailieston project, and we look forward to planning the next phase
of exploration, building on these first-pass results. We are currently
looking at the results in the context of ECR’s wider strategy in
Victoria, where the Company now has 100% ownership of four Exploration
Licences containing numerous gold prospects, and will update
shareholders in due course regarding next steps.”
RESULTS OF DRILLING
The drilling programme was designed as a low-cost verification of the
geological model for the Bailieston project as a whole. Hence, the
programme was limited to six shallow drill holes with one deeper hole.
Although no high-grade mineralisation was intersected, this is not
unexpected given the relatively small size of the programme and the fact
that it was spread over three prospects.
The mineralisation at the Byron Shaft appears to be a short zone of high
grade mineralisation that ends abruptly at the southern end where the
two drillholes on this target were placed. Drillhole MGARC02 intersected
a cavity at 141 m downhole as well as weak mineralisation at 125 m
downhole. It is interpreted that the cavity intersected at 141 m was the
southern extension of the old workings where a narrow extension of the
Byron Shaft mineralisation was mined.
o Drillhole MGARC02: 1 m at 0.93 g/t Au from 125 m downhole
Drilling on the Scoulars trend confirmed the Company’s geological model.
Drillholes MGARC04 and MGARC05 intersected broader and shallow low-grade
mineralisation in a zone interpreted to be several hundred metres long.
Two of the three exploratory drillholes at Scoulars intersected gold
mineralisation:
o MGARC04: 9 m at 0.48 g/t Au from 15 m downhole including 1 m at 1.13
g/t
o MGARC04: 6 m at 0.57 g/t Au from 34 m downhole including 1 m at 1.25
g/t
o MGARC05: 13 m at 0.85 g/t Au from 10 m downhole including 4 m at 1.46
g/t
o MGARC05: 2 m at 3.16 g/t Au from 47 m downhole
Drilling on the Maori trend provided the highest grade results with
drillhole MGARC07 intersecting 2 m at 6.21 g/t Au with lower grade
mineralisation either side in a zone associated with some old workings:
o MGARC07: 4 m at 3.29 g/t Au from 39 m downhole including 2 m at 6.21
g/t
COMPETENT PERSONS STATEMENT
The information in this announcement that relates to Exploration
Targets, Exploration Results, Mineral Resources or Ore Reserves is based
on information compiled by Mr Ivor W O Jones, a Competent Person who is
a Fellow and Chartered Professional (Geology) of The Australasian
Institute of Mining and Metallurgy. Mr Jones is Executive Director and
Chief Operating Officer of ECR and a full-time employee of the Company.
Mr Jones has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity being undertaken 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’. Mr Jones consents to the
inclusion in the announcement of the material based on his information
in the form and context in which it appears.
ABOUT ECR
ECR is a mineral exploration and development company. ECR’s wholly owned
Australian subsidiary Mercator Gold Australia has acquired 100%
ownership of the Avoca, Bailieston, Moormbool and Timor gold projects in
Victoria, Australia.
ECR has earned a 25% interest in the Danglay epithermal gold project, an
advanced exploration project located in a prolific gold and copper
mining district in the north of the Philippines. An NI43-101 technical
report was completed in respect of the Danglay project in December 2015,
and is available for download from ECR’s website.
ECR’s wholly owned Argentine subsidiary Ochre Mining has 100% ownership
of the SLM gold project in La Rioja, Argentina. Exploration at SLM has
focused on identifying small tonnage mesothermal gold deposits which may
be suitable for relatively near-term production.
MARKET ABUSE REGULATIONS (EU) No. 596/2014
The information contained within this announcement is deemed by the
Company to constitute inside information as stipulated under the Market
Abuse Regulations (EU) No. 596/2014 (MAR). Upon the publication of this
announcement via Regulatory Information Service (RIS), this inside
information is now considered to be in the public domain.
GLOSSARY
|
Au:
|
|
|
gold
|
|
g/t:
|
|
|
grams per tonne
|
|
m:
|
|
|
metre
|
|
|
|
|
|
FOR FURTHER INFORMATION, PLEASE CONTACT:
|
ECR Minerals plc
|
Tel: +44 (0)20 7929 1010
|
|
William (Bill) Howell, Non-Executive Chairman
|
|
|
Craig Brown, Director & CEO
Ivor Jones, Director & COO
|
|
|
|
|
|
Email: info@ecrminerals.com
|
|
|
Website: www.ecrminerals.com
|
|
|
|
|
|
Cairn Financial Advisers LLP
|
Tel: +44 (0)20 7213 0880
|
|
Nominated Adviser
|
|
|
Emma Earl / Jo Turner
|
|
|
|
|
|
Optiva Securities Ltd
|
Tel: +44 (0)203 137 1902
|
|
Broker
|
|
|
Graeme Dickson
|
|
|
|
|
|
FlowComms
|
Tel: +44 (0)7891 677 441
|
|
Investor Relations
|
|
|
Sasha Sethi
|
|
FORWARD LOOKING STATEMENTS
This announcement may include forward looking statements. Such
statements may be subject to numerous known and unknown risks,
uncertainties and other factors that could cause actual results or
events to differ materially from current expectations. There can be no
assurance that such statements will prove to be accurate and therefore
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place
undue reliance on forward looking statements. Any forward-looking
statements contained herein speak only as of the date hereof (unless
stated otherwise) and, except as may be required by applicable laws or
regulations (including the AIM Rules for Companies), the Company
disclaims any obligation to update or modify such forward-looking
statements because of new information, future events or for any other
reason.
Table 1 Collar and target information for the June 2017
Bailieston drilling
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hole ID
|
|
Date drilled
|
|
GPS Easting
|
|
GPS Northing
|
|
Azimuth
|
|
Dip
|
|
Depth
|
|
Target
|
|
|
MGARC01
|
|
16/06/2017
|
|
326363
|
|
5931327
|
|
60
|
|
60
|
|
75 m
|
|
Byron
|
|
|
MGARC02
|
|
17/06/2017
|
|
326322
|
|
5931321
|
|
60
|
|
60
|
|
164 m
|
|
Byron
|
|
|
MGARC03
|
|
14/06/2017
|
|
326355
|
|
5931532
|
|
62
|
|
60
|
|
75 m
|
|
Scoulars
|
|
|
MGARC04
|
|
21/06/2017
|
|
326459
|
|
5931414
|
|
58
|
|
60
|
|
60 m
|
|
Scoulars
|
|
|
MGARC05
|
|
16/06/2017
|
|
326503
|
|
5931326
|
|
50
|
|
60
|
|
60 m
|
|
Scoulars
|
|
|
MGARC06
|
|
21/06/2017
|
|
326615
|
|
5931371
|
|
53
|
|
55
|
|
80 m
|
|
Maori
|
|
|
MGARC07
|
|
22/06/2017
|
|
326635
|
|
5931319
|
|
60
|
|
60
|
|
78 m
|
|
Maori
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 2 Intersections of mineralisation from the June 2017
Bailieston drilling
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Location
|
|
Hole ID
|
|
From (m)
|
|
To (m)
|
|
Length (m)
|
|
Grade (g/t Au)
|
|
|
Byron Shaft
|
|
MGARC01
|
|
No significant intersections
|
|
|
|
|
|
|
Byron Shaft
|
|
MGARC02
|
|
141
|
|
141.5
|
|
0.5
|
|
Cavity
|
|
|
Byron Shaft
|
|
MGARC02
|
|
125
|
|
126
|
|
1
|
|
0.93
|
|
|
Scoulars trend
|
|
MGARC03
|
|
No significant intersections
|
|
|
|
|
|
|
Scoulars trend
|
|
MGARC04
|
|
15
|
|
24
|
|
9
|
|
0.48
|
|
|
|
|
|
|
|
|
including
|
|
1
|
|
1.13
|
|
|
Scoulars trend
|
|
MGARC04
|
|
34
|
|
40
|
|
6
|
|
0.57
|
|
|
|
|
|
|
|
|
including
|
|
1
|
|
1.25
|
|
|
Scoulars trend
|
|
MGARC05
|
|
10
|
|
23
|
|
13
|
|
0.85
|
|
|
|
|
|
|
|
|
including
|
|
4
|
|
1.46
|
|
|
Scoulars trend
|
|
MGARC05
|
|
47
|
|
49
|
|
2
|
|
3.16
|
|
|
Maori trend
|
|
MGARC06
|
|
No significant intersections
|
|
|
|
|
|
|
Maori trend
|
|
MGARC07
|
|
39
|
|
43
|
|
4
|
|
3.29
|
|
|
|
|
|
|
|
|
including
|
|
2
|
|
6.21
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Section 1 Sampling Techniques and Data (JORC CODE, 2012 EDITION – TABLE
1)
|
|
|
|
|
|
|
|
Criteria
|
|
Classification Code explanation
|
|
Commentary
|
|
|
Sampling techniques
|
|
-
Nature and quality of sampling (eg cut channels, random
chips, or specific specialised industry standard measurement
tools appropriate to the minerals under investigation, such as
down hole gamma sondes, or handheld XRF instruments, etc). These
examples should not be taken as limiting the broad meaning of
sampling.
-
Include reference to measures taken to ensure sample
representivity and the appropriate calibration of any
measurement tools or systems used.
-
Aspects of the determination of mineralisation that are
Material to the Public Report.
-
In cases where ‘industry standard’ work has been done this
would be relatively simple (eg ‘reverse circulation drilling was
used to obtain 1 m samples from which 3 kg was pulverised to
produce a 30 g charge for fire assay’). In other 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.
|
|
-
Reverse circulation (‘RC’) drilling has been used to obtain 1
m samples from which 4 to 5 kg of sample was taken. The 4-5kg
sample was split and a 1.2 kg subsample fully pulverised, and a
50 g charge initially fire assayed. Subsequently, 1 kg was
reassayed using a bulk leach.
|
|
|
Drilling techniques
|
|
-
Drill type (eg core, reverse circulation, open-hole hammer,
rotary air blast, auger, Bangka, sonic, etc) and details (eg
core diameter, triple or standard tube, depth of diamond tails,
face-sampling bit or other type, whether core is oriented and if
so, by what method, etc).
|
|
-
RC holes were completed with a 5 inch face sampling hammer.
|
|
|
Drill sample recovery
|
|
-
Method of recording and assessing core and chip sample
recoveries and results assessed.
-
Measures taken to maximise sample recovery and ensure
representative nature of the samples.
-
Whether a relationship exists between sample recovery and
grade and whether sample bias may have occurred due to
preferential loss/gain of fine/coarse material.
|
|
-
RC total sample was collected before any preparation.
-
There is no information on whether or not there is a
relationship between sample recovery and grade.
|
|
|
Logging
|
|
-
Whether core and chip samples have been geologically and
geotechnically logged to a level of detail to support
appropriate Mineral Resource estimation, mining studies and
metallurgical studies.
-
Whether logging is qualitative or quantitative in nature.
Core (or costean, channel, etc) photography.
-
The total length and percentage of the relevant intersections
logged.
|
|
-
Each 1m chip sample was systematically logged.
-
Samples have not been photographed as yet.
|
|
|
Sub-sampling techniques and sample preparation
|
|
-
If core, whether cut or sawn and whether quarter, half or all
core taken.
-
If non-core, whether riffled, tube sampled, rotary split, etc
and whether sampled wet or dry.
-
For all sample types, the nature, quality and appropriateness
of the sample preparation technique.
-
Quality control procedures adopted for all sub-sampling
stages to maximise representivity of samples.
-
Measures taken to ensure that the sampling is representative
of the in situ material collected, including for instance
results for field duplicate/second-half sampling.
-
Whether sample sizes are appropriate to the grain size of the
material being sampled.
|
|
-
RC samples were split using a 3 stage Jones riffle splitter in
order to obtain a 4-5 kg sub-sample. Where samples were wet, a
tube was used to collect as good a sample as possible.
-
Nearly all samples were collected dry. Very few samples were wet.
-
The Bendigo sample preparation facility was inspected by Ivor
Jones during a 2017 site visit and found to be suitable for
purpose.
-
Select samples were also assayed using a bulk leach to test for
appropriateness of the size of the subsample being assayed and a
much larger sample being assayed. There was very little
difference between the bulk assay and the fire assay technique.
|
|
|
Quality of assay data and laboratory tests
|
|
-
The nature, quality and appropriateness of the assaying and
laboratory procedures used and whether the technique is
considered partial or total.
-
For geophysical tools, spectrometers, handheld XRF
instruments, etc, the parameters used in determining the
analysis including instrument make and model, reading times,
calibrations factors applied and their derivation, etc.
-
Nature of quality control procedures adopted (eg standards,
blanks, duplicates, external laboratory checks) and whether
acceptable levels of accuracy (ie lack of bias) and precision
have been established.
|
|
-
1 in every 25 samples was blank material, 1 in every 25 samples
was a CRM. 62 pulp samples (~ 10%) were re-assayed using a BLEG
technique.
-
Based on the analysis of the results from the QAQC processes, it
can be concluded that sample assay determination accuracy and
precision is within accepted industry standards and
contamination during sample preparation was not an issue. It is
the author’s opinion that the sample preparation and assay
determinations provided by On-Site assay laboratory are
acceptable.
|
|
|
Verification of sampling and assaying
|
|
-
The verification of significant intersections by either
independent or alternative company personnel.
-
The use of twinned holes.
-
Documentation of primary data, data entry procedures, data
verification, data storage (physical and electronic) protocols.
-
Discuss any adjustment to assay data.
|
|
-
There has been no twinned holes or other verification of data
reported here.
-
There has been no adjustment to the assays.
|
|
|
Location of data points
|
|
-
Accuracy and quality of surveys used to locate drill holes
(collar and down-hole surveys), trenches, mine workings and
other locations used in Mineral Resource estimation.
-
Specification of the grid system used.
-
Quality and adequacy of topographic control.
|
|
-
Collar locations were recorded by GPS measurements.
-
Down-hole surveys were systematically performed every 30m.
-
Geographical data were obtained and reported according to the
UTM zone 55S (WGS84).
-
Elevation and accurate coordinates will be determined when the
collars are surveyed.
|
|
|
Data spacing and distribution
|
|
-
Data spacing for reporting of Exploration Results.
-
Whether the data spacing and distribution is sufficient to
establish the degree of geological and grade continuity
appropriate for the Mineral Resource and Ore Reserve estimation
procedure(s) and classifications applied.
-
Whether sample compositing has been applied.
|
|
-
Data spacing varies between 50 m and 200 m along strike.
-
Data spacing and distribution is not sufficient for the
evaluation of mineral resources.
-
Sample compositing has been applied for exploration results
reporting.
|
|
|
Orientation of data in relation to geological structure
|
|
-
Whether the orientation of sampling achieves unbiased
sampling of possible structures and the extent to which this is
known, considering the deposit type.
-
If the relationship between the drilling orientation and the
orientation of key mineralised structures is considered to have
introduced a sampling bias, this should be assessed and reported
if material.
|
|
-
Drilling was performed towards the northeast whilst the
mineralisation is northwest-southeast striking. Drilling
intersects the mineralisation at a relatively high angle and is
not expected to cause any issues in the evaluation of the
project.
|
|
|
Sample security
|
|
-
The measures taken to ensure sample security.
|
|
-
Samples were individually bagged and sealed in larger bags of
10; the bags were under the direct supervision of ECR until they
were delivered to the laboratory, and always on the same day as
the sample was drilled.
|
|
|
Audits or reviews
|
|
-
The results of any audits or reviews of sampling techniques
and data.
|
|
-
There has been no external review of the sampling and assaying
procedures.
|
|
|
|
|
|
|
|
|
Section 2 Reporting of Exploration Results (JORC CODE, 2012 EDITION –
TABLE 1)
|
|
|
|
|
|
|
|
Criteria
|
|
Classification Code explanation
|
|
Commentary
|
|
|
Mineral tenement and land tenure status
|
|
-
Type, reference name/number, location and ownership including
agreements or material issues with third parties such as joint
ventures, partnerships, overriding royalties, native title
interests, historical sites, wilderness or national park and
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.
|
|
-
The Bailieston project falls within ECR’s Bailieston (EL5433)
tenement. The tenement largely falls within Crown Land.
-
EL5433 is due for renewal in March 2018.
-
EL5433 is subject to a royalty agreement with Currawong
Resources Pty Ltd.
|
|
|
Exploration done by other parties
|
|
-
Acknowledgment and appraisal of exploration by other parties.
|
|
-
Work completed by earlier companies has been used to guide the
Company’s exploration on the Maori trend. However, exploration
has been very limited on the Scoulars trend.
|
|
|
Geology
|
|
-
Deposit type, geological setting and style of mineralisation.
|
|
-
Mineralisation appears to be a disseminated style of
mineralisation associated with disseminated and oxidized
hematite with minor quartz.
|
|
|
Drill hole Information
|
|
-
A summary of all information material to the understanding of
the exploration 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 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.
|
|
-
Drill hole information has been tabulated as a part of this
report.
|
|
|
Data aggregation methods
|
|
-
In reporting Exploration Results, weighting averaging
techniques, maximum and/or minimum grade truncations (eg cutting
of high grades) and cut-off grades are usually Material and
should be stated.
-
Where aggregate intercepts incorporate short lengths of high
grade results and longer lengths of low grade results, the
procedure used for such aggregation should be stated and some
typical examples of such aggregations should be shown in detail.
-
The assumptions used for any reporting of metal equivalent
values should be clearly stated.
|
|
-
Exploration results have been averaged over the entire
intersection of interest using a value of 0.2 g/t to define the
limits of the low-grade intersections.
-
There are no metal equivalent values considered.
|
|
|
Relationship between mineralisation widths and intercept lengths
|
|
-
These relationships are particularly important in the
reporting of Exploration Results.
-
If the geometry of the mineralisation with respect to the
drill hole angle is known, its nature should be reported.
-
If it is not known and only the down hole lengths are
reported, there should be a clear statement to this effect (eg
‘down hole length, true width not known’).
|
|
-
The drill intercepts are interpreted to have intersected the
mineralised packages at a high angle.
|
|
|
Diagrams
|
|
-
Appropriate maps and sections (with scales) and tabulations
of intercepts should 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.
|
|
-
A plan of the Bailieston project area showing geochemical
results and interpretations has been made available previously.
|
|
|
Balanced reporting
|
|
-
Where comprehensive reporting of all Exploration Results is
not practicable, representative reporting of both low and high
grades and/or widths should be practiced to avoid misleading
reporting of Exploration Results.
|
|
-
This has been incorporated in the tabulation of the results in
this report.
|
|
|
Other substantive exploration data
|
|
-
Other exploration data, if meaningful and material, should be
reported including (but not limited to): geological
observations; geophysical survey results; geochemical survey
results; bulk samples – size and method of treatment;
metallurgical test results; bulk density, groundwater,
geotechnical and rock characteristics; potential deleterious or
contaminating substances.
|
|
-
A plan of the Bailieston project area showing geochemical
results and interpretations has been made available previously.
|
|
|
Further work
|
|
-
The nature and scale of planned further work (eg tests for
lateral extensions or depth extensions or large-scale step-out
drilling).
-
Diagrams clearly highlighting the areas of possible
extensions, including the main geological interpretations and
future drilling areas, provided this information is not
commercially sensitive.
|
|
-
Exploration should continue along the geochemical anomalies to
test for any significant mineralisation.
-
Whilst the grade at Scoulars is relatively low, the
mineralisation is relatively thick and shallow. It is
recommended that this mineralisation is further tested to see if
a bulk low grade resource can be identified.
-
Follow-up drilling on the Maori trend should also be considered.
-
Additional exploration should cover the Byron Shaft area.
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20170723005033/en/
