REG - Alien Metals Limited - Further Update on Donovan 2 Cu-Au Project

Alien MetalsAnnouncement

10/05/2022 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220510:nRSJ9099Ka&default-theme=true

RNS Number : 9099K  Alien Metals Limited  10 May 2022

 

 

Trading Symbols

AIM: UFO

FWB: I3A1

10 May 2022

 

Alien Metals Ltd

("Alien" or "the Company")

 

78m sulphide bearing zone intersected at Donovan 2 Cu-Au Project

 

Follow the link to view the announcement in full, including all figures:

http://www.rns-pdf.londonstockexchange.com/rns/9099K_1-2022-5-10.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/9099K_1-2022-5-10.pdf)

 

Alien Metals Ltd (LSE AIM:UFO), a global minerals exploration and development
company, is pleased to update the market on ongoing exploration activities at
its high-grade silver and copper-gold projects in Zacatecas, Mexico, further
to its announcement of 28 March 2022. The following update is based on the
Company's internal assessment of observations to date whilst formal drilling
results are awaited.

 

Highlights

·    Drilling at the Donovan 2 Cu-Au Project has intersected a 78m zone of
alteration and disseminated sulphides, including pyrite and arsenopyrite, from
107m (assays pending) in DONDD-A04.

·    DONDD-A01 to A03 appear to have intersected a steeply dipping
alteration zone at the Los Alamos 'well' target, associated with the 3.3%
copper bearing samples historically taken by Alien in the well.

·    A 40m long trench excavated above an intensely altered intersection
identified in historic drill hole DON-21-003 intersected a calcite bearing
vein, trending northeast for about 11m. This may be associated with a
mineralised system.

·    Initial drilling at the high-grade San Celso Silver project has
intersected the targeted mineralised zone. The recently completed programme
included three holes for 201 metres:

o  Hole SCDD-A01 intersected a 4.9m zone of quartz/calcite alteration from
27.4m depth, as well as a zone interpreted to be historic underground working
that the Company was not aware existed in this area.

o  SCDD-A02 intersected a strongly altered, calcite rich zone from 28.5m to
31.6m depth and a second quartz-rich alteration zone at 71m for 1m.

o  SCDD-A03 intersected a strongly altered, calcite-rich zone from 71m to
73.8m depth, similar to the intersection in hole SCDD-A02.

·    Samples from drilling at San Celso and Donovan 2 have been submitted
to the laboratory for analysis, with results expected in the coming weeks.

 

Bill Brodie Good, CEO & Technical Director of Alien Metals, commented: "We
are very pleased to see this initial drilling at San Celso and Donovan 2
intersect showing encouraging zones of alteration. The Donovan 2 drilling has
returned some strong disseminated sulphide intersections, which is highly
promising for the potential presence of a VMS type mineralised system. In
particular, hole A04 returned a 78m thick zone of intense alteration and
visible sulphides, including pyrite and arsenopyrite.

 

"The team continues trenching and sampling activities at priority zones at San
Celso, Donovan 2 and Los Campos. We look forward to receiving the assays
results from this initial work and sharing them with the market."

 

Further to the announcement of 28 March 2022, the inaugural drilling programme
commenced at San Celso with three diamond holes drilled on the western end of
the vein targets to test this area, while understanding the drilling
conditions prior to moving to the central targets. 201 metres were drilled in
these initial three holes. Due to the inadequate quality of core at San Celso,
the Company moved the drill rig to the Donovan 2 to understand if it was the
ground or the drilling that caused issues at San Celso and an initial four
holes were drilled there. To date, a total of 611 metres have been drilled;
the rig is now on standby due to the continued poor core recovery from both
project areas pending results.

At San Celso, three holes (SCDD-A01 to SCDD-A03) were drilled for 201m along
the western strike of the main historic mines. All three holes intersected
zones of alteration, calcification and silicification associated with possible
mineralised zones similar to the historic mineralisation identified on the
permit. Hole SCDD-A01, targeting the extension of the Christinatis vein,
drilled through a 2m cavity that appears to be historic workings. The
unexpected cavity is highly encouraging, as the Company interprets this as a
positive sign for additional silver mineralisation in this area. Core recovery
in the targeted zones, however, were below expectations. The Company has
submitted samples to the local laboratory for analysis. A review of the
drilling method is in progress to increase effective core and sample recovery
in future drilling.

At the Donovan 2 Cu-Au project, four holes (DONDD-A01 to DONDD-A04) were
drilled for 411m. Three holes were aimed at testing the Los Alamos 'well'
target, stepping back on each previous hole to pick up the zone of interest
underneath each previous hole to better define the zone of interest and test
its continuity. These holes defined what appears to be a steeply dipping
alteration zone with calcrete, quartz and trace sulphides. Only hole DONDD-A02
returned sufficient core to be able to clearly define the geology of the zone.

The fourth hole, DONDD-A04, tested a geophysical target south west of Los
Alamos, which the Company believes has similarities to the geophysical targets
from the San Nicolas VMS Copper deposit owned by TECK, and which aided in the
discovery of San Nicolas.

Hole DONDD-A04 at Donovan 2 intersected a 77.85m wide zone of
strong-to-intense silicification, with finely disseminated pyrite and traces
of arsenopyrite. This layer of silicification could be part of a lateral or
deeper mineralised body.

With low core recovery in the critical intersections of all holes drilled to
date, the Company decided to submit as many samples to the laboratory as
possible. Results from the initial drilling will help define the follow-up
drilling options at both projects whilst continuing with the planned Los
Campos drilling campaign. RC drilling is being considered as an alternative to
core drilling.

The trench put across the top of the drill hole D0N-21-003 (which intersected
an 11.5m zone of intense alteration returning on average 0.4% Zn and 0.4% Pb
from 12.4m depth (announcement of 28 March 2022)) intersected a calcite-rich
structure in the southern end of the trench over several metres. Samples were
taken along the entire trench for submission to the laboratory. Based on
results, additional trenching in the area could follow.

The Company has submitted 436 samples to Actlabs in Guadalupe, Zacatecas
State, for analysis of 38 main elements, including gold, silver, copper, lead
and zinc, as well as other trace elements to aid in identifying
mineralisation. The Company looks forward to updating the market once all the
results are available.

Figure 1: Location of Alien's projects, Mexico.

Figure 2: Location of initial drill holes, San Celso, May 2022

Figure 3: Location of initial drill holes and trench, Donovan 2, May 2022

Figure 4: Cross Section looking north east of Los Alamos drill intersection,
Donovan 2, May 2022

Figure 5: Cross Section of Hole DONDD-A04, Donovan 2, May 2022

Figure 6. Geological field map of Trench DON-21-003, looking North West,
Donovan 2, May 2022

 

 

For further information, please visit the Company's website at
www.alienmetals.uk, or contact:

 

Alien Metals Limited

Bill Brodie Good, CEO & Technical Director

Tel: +44 (0)20 3811 2144

 

Beaumont Cornish Limited (Nomad)

James Biddle / Roland Cornish

www.beaumontcornish.com

Tel: +44 (0) 207 628 3396

 

Turner Pope Investments (TPI) Limited (Joint Broker)

Andrew Thacker / James Pope

Tel: +44 (0) 20 3657 0050

 

WH Ireland Ltd (Joint Broker)

Harry Ansell / Katy Mitchell

Tel +44 (0) 207 220 1666

 

Yellow Jersey PR (Financial PR)

Sarah Hollins / Annabel Atkins / James Lingfield

alienmetals@yellowjerseypr.com

Tel: +44 (0) 20 3004 9512

 

Notes to Editors

 

Alien Metals Ltd is a mining exploration and development company listed on the
AIM market of the London Stock Exchange (LSE: UFO). The Company's focus is on
precious and base metal commodities, with its operations located in proven
mining jurisdictions and it has embarked upon an acquisition-led strategy
headed by a high-quality geological team to build a strong portfolio of
diversified assets. In 2019, the Company acquired 51% of the Brockman and
Hancock Ranges high-grade (Direct Shipping Ore) iron ore projects and with a
conditional agreement to increase its interest to 90% in May 2021 also being
put in place.

The Company acquired 100% of the Elizabeth Hill Silver Project, which consists
of the Elizabeth Hill Historic Silver Mine Mining Lease and the 115km(2)
exploration tenement around the mine. The Company also holds two silver
projects, San Celso and Los Campos, located in Zacatecas State, Mexico,
Mexico's largest silver producing state, which produced over 190m Oz of silver
in 2018 alone, accounting for 45% of the total silver production of Mexico for
that year. The Company also holds a Copper Gold project in the same region,
Donovan 2.

In March 2022 the Company acquired 100% of the former joint venture interest
in the Munni Munni Platinum Group Metals and Gold Project in the West Pilbara,
Western Australia, one of Australia's major underexplored PGE and base metals
projects. Munni Munni holds a historic deposit containing 2.2Moz 4E PGM:
Palladium, Platinum, Gold, Rhodium.

The Company was also awarded an Exploration Licence in Greenland in late 2020,
which surrounds the world class Citronen Zinc-Lead deposit.

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCURVVRUUUVARR