RNS

RNS Number : 2005D
Arc Minerals Limited
08 October 2018
 

Arc Minerals Ltd / Epic: ARCM / Market: AIM / Sector: Mining & Exploration

 

 

8 October 2018

Arc Minerals Ltd 

('Arc' or the 'Company')

 

Arc Reports Significant Drill Results from Zamsort

 

Arc Minerals is pleased to report first Diamond Drill ("DD") and further Reverse Circulation ("RC") assay results from the Company's 11,000m drilling programme at the Kalaba prospect, part of its Zamsort Copper-Cobalt Project ("Zamsort").

 

Highlights:

 

·     Mineralisation intersected in all 46 holes drilled to date

·     Disseminated cobalt mineralisation intersected throughout the mineralised zones

·   Maximum thickness of mineralised zone more than doubled to 144m with average thickness ranging between 60m to 80m

·     Zones of elevated mineralisation up to 0.19% Cobalt and 1.31% Copper

·     Surface soil anomalism indicates a potential mineralised system of scale extending to the north for 5km over a strike of 2km

·     Mineralisation open to the north and west of Kalaba, mainly from or near surface

·     25 Diamond Drilling and 21 Reverse Circulation holes completed with more assay results expected in the near-term

 

Highlights of these first DD and additonal RC results received include: 

 

KDD001A            1.15% Cu Eq. from surface to 29.3m with 0.45% Cu and 0.07% Co

                               

including from 7.3m; 18.5m at 0.63% Cu and 0.09% Co or 1.52% Cu Eq.

 

and

 

from 17.5m; 8.3m at 0.81% Cu and 0.13% Co or 2.06% Cu Eq.

 

KDD006               0.54% Cu Eq. over 144m from surface with 0.20% Cu and 0.03% Co

                               

including from 11.5m; 3m at 1.07% Cu and 0.07% Co or 1.79% Cu Eq.

 

and

 

from 33m; 55m at 0.30% Cu and 0.03% Co or 0.63% Cu Eq.

 

KDD012               3.26% Cu Eq. from 34.3m to 39.3m with 1.31% Cu and 0.19% Co

 

Including from 48m; 90.83m at 0.24% Cu and 0.03% Co or 0.56% Cu Eq.

 

 

KARC009             0.64% Cu Eq. over 127m from surface with 0.28% Cu and 0.04% Co

                               

including from 0m; 8m at 0.41% Cu and 0.14% Co or 1.77% Cu Eq.

 

and

 

from 24m; 26m at 0.53% Cu and 0.01% Co or 0.63% Cu Eq.

 

                             and

 

                             from 57m; 48m @ 0.31% Cu and 0.04% Co or 0.68% Cu Eq.

 

               

 

Nick von Schirnding, Executive Chairman of Arc Minerals commented:

 

"The results of our drilling programme to date show a continuous band of mineralization, from surface in the south gently dipping to the north, the dimensions of which have to date exceeded all our initial internal expectations.  With several intersections now well over 100m in thickness and the average thickness ranging between 60m to 80m, our Kalaba Prospect is beginning to show all the hallmarks of a typical large deposit in the Domes region in north west Zambia. Further, we are seeing elevated grades averaging up to 1.3% copper and 0.19% cobalt within this band of mineralisation - with continuous cobalt dissemination throughout the mineralised zones.

With a pipeline of completed drill holes and three rigs turning on-site day and night we expect to be reporting drill results from the Zamsort project on a frequent basis from now with a view to reporting a maiden JORC Resource for Zamsort in the near future.

In the meantime, the pilot plant is on schedule and under budget and commissioning is expected to commence in Q4 of this year.  We are at a very exciting crossroads for the Company and following on from our recently announced premium fundraise we have a healthy balance sheet to progress exploration and development work at Zamsort. I look forward to updating shareholders on further developments in the near term."

 

Drilling Results

The table below sets out the results of the holes for which assays have been received by Zamsort from SGS Inspection Service Ltd in Kalulushi, Zambia.

 

Hole

From

To

Length

Cu

Co

Cu Eq.

KDD001

0.00

25.80

25.80

0.29

0.06

0.87

30.30

35.50

5.20

0.27

0.08

1.07

KDD001A

1.00

30.30

29.30

0.45

0.07

1.15

incl.

7.30

25.80

18.50

0.63

0.09

1.52

17.50

25.80

8.30

0.81

0.13

2.06

KDD002

42.00

76.00

34.00

0.24

0.04

0.68

incl.

45.55

62.00

16.45

0.48

0.03

0.81

KDD002

81.40

138.00

56.60

0.17

0.05

0.64

KDD006

0.00

144.00

144.00

0.20

0.03

0.54

incl.

11.50

14.50

3.00

1.07

0.07

1.79

33.00

88.00

55.00

0.30

0.03

0.63

41.00

49.50

8.50

0.24

0.06

0.80

128.00

144.00

16.00

0.17

0.07

0.90

KDD010

6.83

73.50

66.67

0.18

0.03

0.52

incl.

14.43

18.50

4.07

0.04

0.12

1.23

34.00

51.00

17.00

0.40

0.03

0.73

KDD010

78.00

99.00

21.00

0.13

0.05

0.67

incl.

91.50

99.00

7.50

0.01

0.10

1.05

KDD012

3.80

29.30

25.50

0.10

0.06

0.68

incl.

7.80

18.80

11.00

0.19

0.10

1.19

KDD012

34.30

39.30

5.00

1.31

0.19

3.26

49.80

140.63

90.83

0.24

0.03

0.56

incl.

49.80

83.00

33.20

0.29

0.03

0.60

90.43

114.80

24.37

0.31

0.03

0.62

KRC007

22.00

115.00

93.00

0.17

0.04

0.55

incl.

40.00

58.00

18.00

0.13

0.07

0.78

62.00

80.00

18.00

0.31

0.03

0.58

107.00

115.00

8.00

0.04

0.08

0.84

KRC009

0.00

127.00

127.00

0.28

0.04

0.64

Incl.

0.00

8.00

8.00

0.41

0.14

1.77

24.00

50.00

26.00

0.53

0.01

0.63

57.00

105.00

48.00

0.31

0.04

0.68

Notes:    

1)    Reported intervals are downhole widths, which are similar to the true widths.

2)   Reported intervals are calculated for zones assaying > 0.2% Copper or 0.02% Cobalt and containing less than 3 meters of internal waste.

3)   The Copper equivalent values are estimated using current metal prices of $6000/t copper and $60,000/t cobalt and are presented for ease of interval comparison only. Metallurgical factors are assumed to be 100% although the recovery factors for the respective metals may vary significantly.

4)    The Copper equivalent values may differ slightly due to rounding.

 

 

 

 

Figure 1 - location Map of Zamsort. To view the image, please click on the following hyperlink http://www.arcminerals.com/gal.php?gID=148

Figure 2 - Cross section of the Kalaba Prospect with northern extension. To view the image, please click on the following hyperlink http://www.arcminerals.com/gal.php?gID=148

 

 

 

Drilling Programme

 

These diamond and reverse circulation drill holes have been collared so that they test the strike and down dip extensions to the mineralisation that is exposed on surface at the Kalaba open pit.

 

The mineralisation is hosted by a dolomitic unit which crops out on surface in the south and dips in a northerly direction below an overlying schistose unit. The mineralisation at present has been tested down dip for 600m and along strike for 500m and remains open to the north and west, bounded by the Kalaba river to the east and south.

 

An 11,000-metre drilling programme (4,400m of diamond and 6,600m of Reverse Circulation drilling) is currently underway at the Kalaba prospect. Part of the drilling programme is designed with the view to create a shallow oxide resource for the Commercial Scale Demonstration Plant ("CSD plant") that is currently in the process of being completed. The principal aim is to establish a Maiden Mineral Resource Estimate at the Kalaba prospect.

 

To date, 25 diamond holes have been completed totalling over 3,750 meters and 21 RC holes for over 1,900 meters. Assays for the rest of the holes drilled expected during the coming weeks and months.

 

The spatial location of the samples is derived using GPS collar survey pickups. True widths have not been determined as the level of detail required to calculate accurate true widths is not yet available, as a result down hole widths have been reported. However true widths are not expected to differ significantly from the down hole widths reported.

 

 

 

Quality Assurance/Quality Control (QA/QC)

 

The core from the diamond core was sampled at up to 1.5m metre intervals with the split core (PQ - ¼ core; HQ - ½ core) bagged and sent to SGS Inspection Service Ltd in Kalulushi, Zambia, an ISO accredited laboratory for assaying.

 

The samples from the reverse circulation drill program were collected at one metre intervals following which they are weighed. Samples were split at the drill site using a riffle splitter with the split sample bagged separately and reject inserted back in the original sample bag. The split RC sample of approximately 2kg was sent to SGS Inspection Service Ltd in Kalulushi, Zambia, an ISO accredited laboratory for assaying.

 

The samples were sorted, dried, crushed and pulped before final chemical analysis using ICP-OES methods. Standards, blanks and duplicates were inserted regularly in the sample stream and checks were done for Copper and Cobalt.

 

 

Qualified Persons

The information in this press release is based on information provided by Zamsort Limited on behalf of Arc Minerals.  Mr Vassilios Carellas (BSc (Hons), MAusIMM) is the Chief Operating Officer for Arc Minerals and 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 under the JORC Code (2012).  Mr Carellas consents to the inclusion in this announcement of the matters based on his information in the form and context in which it appears.

 

Notes to the Editors

Arc Minerals is an AIM listed exploration and mine development company focused on a diversified portfolio of mining projects with interests in Slovakia, Eritrea, the Democratic Republic of the Congo and Zambia. 

 

ARC Minerals current holdings include:

·   100% interest in CASA Mining Limited, a private company that has a 72% interest in the 3-million-ounce inferred Resource Akyanga gold deposit in the DRC.

·    A 66% equity interest in Zamsort Limited ("Zamsort"), a private company focused on a prospective copper and cobalt licence in the Zambia Copperbelt, together with a convertible loan to Zamsort which converts into approximately a five percent additional equity interest in Zamsort, with interest on the convertible note being rolled forward to the end of 2018;

·     100% ownership of the Kremnica Mining Licence Area in Slovakia which host the 1.3Moz AuEq   Au PFS stage turec Gold Project.

 

For more information visit www.arcminerals.com

 

**ENDS**

Contacts

Arc Minerals Ltd

Nick von Schirnding (Chairman)

 

+44 (0) 20 7917 2942

 

SP Angel (Nominated Adviser & Broker)

Ewan Leggat / Lindsay Mair / Soltan Tagiev

+44 (0) 20 3470 0470

 

 

 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

 

Forward-looking Statements

This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterised by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

 

 

 

Technical Glossary

Assay

 

the laboratory test conducted to determine the proportion of a mineral within a rock or other material.

Diamond Drilling

 

a drilling method in which penetration is achieved through abrasive cutting by rotation of a diamond encrusted drill bit. This drilling method enables the collection of tubes of intact rock (core)

Dip

 

a line directed down the steepest axis of a planar structure including a planar ore body or zone of mineralization. The dip has a measurable direction and inclination from the horizontal

Grade

 

the proportion of a mineral within a rock or other material which for gold is usually measured in g/t

JORC Resource

 

Resource estimated according to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia

 

M

 

metre, a unit of length as per the International System of Units

Mineralisation

 

the process or processes by which a mineral is introduced into a rock, resulting in a valuable or potentially valuable deposit.  It is a general term, incorporating various types; e.g., fissure filling, impregnation, and replacement

Mineral Resource

Mineral Resource for which tonnage, grade and mineral content can be estimated with a low level of confidence. It is inferred from geological evidence and assumed but not verified geological and/or grade continuity. It is based on information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill-holes which may be limited or of uncertain quality and reliability

QA/QC

Quality Control and Quality Assurance, a set of defined  procedures in all aspects of the mineral deposit evaluation to ensure the best possible confidence in resultant mineral Resource and Reserve estimates are achieved; the quality of an estimate is dependent on the quality of the data used

Reverse Circulation Drilling

Or RC drilling - uses rods with inner and outer tubes, the drill cuttings are returned to surface inside the rods. The drilling mechanism is a pneumatic reciprocating piston known as a hammer driving a tungsten-steel drill bit.

 


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