REG - Berkeley Energia - DFS confirms Salamanca as a low cost producer <Origin Href="QuoteRef">BKY.AX</Origin> - Part 15
14/07/2016 07:31
- Part 15: For the preceding part double click ID:nRSN1376En
assayed for uranium at internal company laboratories using XRF, AAS or fluorometric methods.
Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples. Berkeley field tests determined that the sample size and method of sampling produce representative RC samples. QA/QC procedures involved the use of standards and blanks
which were inserted into sample batches at a frequency of approximately 15-20%. Quality control procedures used by JEN and ENUSA are unknown.
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. Duplicate splits of RC samples were taken every 10m down hole within the sampled intervals by Berkeley. The results from these duplicates show optimal repeatability.
Whether sample sizes are appropriate to the grain size of the material being sampled. The uranium is typically very fine grained. Previous test work carried out by Berkeley using different sample sizes demonstrated that the selected sample size is
appropriate.
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. Berkeley assayed samples for uranium using the pressed powder XRF method. This analytical method reports total uranium content.JEN and ENUSA assayed samples for uranium
were completed at internal company laboratories using XRF, AAS or fluorometric methods. The sampling and analytical methods used by Berkeley, JEN and ENUSA are considered
appropriate for this style of uranium mineralisation.
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. Down-hole gamma logging was undertaken for all probe accessible holes drilled by Berkeley to provide eU3O8 ("equivalent" U3O8 grade) data. The down-hole gamma response
was converted to eU3O8 by correcting for radon, hole diameter, air/water and a deconvolution filter was also applied. eU3O8 data was used in the mineral resource grade
estimation process when chemical assay data was not available.eU3O8 data was also used to verify mineralisation intersections based on assay results.
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. Standards, blanks and duplicates were regularly inserted into the sample stream by Berkeley, with approximately 15-20% of all samples used for quality control. The
external laboratories maintain their own process of QA/QC utilising internal standards, repeats and duplicates.Review of the Berkeley quality control samples, as well as
the external laboratory quality QA/QC reports, has shown no sample preparation issues, acceptable levels of accuracy and precision and no bias in the analytical datasets.
JEN and ENUSA used internal company laboratories. No QA/QC data is available for this historic data.Berkeley drilling has confirmed the historical JEN and ENUSA drilling
and shown the grade continuity to be reasonable.
Verification of sampling and assaying The verification of significant intersections by either independent or alternative company personnel. Reported significant intersections were checked and verified by Senior Geological management.
The use of twinned holes. No twinned holes were drilled.
Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols. All primary data was recorded in templates designed by Berkeley. Assay data from the external laboratory is received in spreadsheets and downloaded directly into an
Access Database managed by the Company. Data is entered into controlled excel templates for validation. The validated data is then loaded into a password secured
relational database by a designated Company geologist. Daily backups of all digital data are undertaken. These procedures are documented in the Berkeley Technical
Procedures and Protocols manual. JEN and ENUSA primary paper data was digitalized and recoded following the Berkeley protocols. The validated data was then loaded into
the password secured relational database by a designated Company geologist.
Discuss any adjustment to assay data. Uranium (ppm) assays received from the external laboratory were converted to U3O8 (ppm) using the stoichiometric factor of 1.179. ENUSA data was received as ppt (parts
per thousand) and converted to ppm (parts per million)
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. Berkeley drill hole collar locations were surveyed by qualified surveyors (Cubica Ingeniería Metrica S.L) using standard DGPS equipment achieving sub decimetre accuracy
in horizontal and vertical position.Berkeley down-hole surveys were undertaken using a Geovista down-hole deviation probe. Measurements were taken every 1cm down hole and
averaged every 10m. No strongly magnetic rocks are present within the deposit which may affect magnetic based readings. JEN and ENUSA holes were drilled on grid
coordinates and were not surveyed after drilling.
Specification of the grid system used. The grid system is UTM ED1950 Zone 29N.
Quality and adequacy of topographic control. Topographic control was based on a digital terrain model with sub metric accuracy sourced from the Spanish Geographical Institute (Instituto Geográfico Nacional) and was
verified by comparison with drill hole collar surveys completed by the surveyor using DGPS.
Data spacing and distribution Data spacing for reporting of Exploration Results. The majority of the Berkeley drilling was undertaken on a nominal 50m by 50m grid, with some closer spaced drilling on 35m by 35m.Section lines are orientated
approximately perpendicular to the interpreted strike of the mineralisation. The historical JEN and ENUSA drilling was completed on spaced 50m by 50m grid with some
infill areas spaced 35m by 35m.
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. The data spacing (notionally 50m by 50m) is considered sufficient to verify geological and grade continuity, and allow the estimation of Indicated Mineral Resources.
Whether sample compositing has been applied. No compositing of RC samples in the field has been undertaken.
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. The mineralisation at Alameda has two strong orientations. The main body of the mineralisation trends in a NE-SW direction over a strike length of approximately 800m. To
the north, the mineralisation trends in a NNW-SSE direction, sub parallel to lithology, over a strike length of approximately 1,500m. Despite the general dip of the host
geological units and structures ranging from 50-70°, the mineralised zone is interpreted to be sub-horizontal (due to post mineralisation supergene processes) to
shallowly dipping to the SE.
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. The majority of DD and RC drill holes are vertical. Due to the interpreted flat lying nature of the mineralisation, no sampling bias is considered to have been introduced
by the orientation of the drilling. This has been validated by the drilling of 31 inclined DD holes and 30 inclined RC holes.
Sample security The measures taken to ensure sample security. Chain of custody is managed by Berkeley. Samples were transported from the drill site by Company vehicle to a sample preparation shed where samples were prepared for
dispatch. Samples were sent directly from the sample preparation shed to the laboratory using a certified courier or a Berkeley owned vehicle authorised for radioactive
materials transport. No other freight was transported with the samples which were taken directly from the Berkeley facility to the external laboratory. Sample submission
forms were sent in paper form with the samples as well as electronically to the laboratory. Reconciliation of samples occurred prior to commencement of sample preparation
for assaying.The historical drilling samples were prepared and analysis using internal company laboratories. The chain of custody is unknown.
Audits or reviews The results of any audits or reviews of sampling techniques and data. Sampling techniques and procedures, as well as QA/QC data, are reviewed internally an ongoing basis. Chris Arnold (Principal Geologist, AMC Consultants (UK))
independently reviewed the sampling techniques, procedures and data. He undertook a number of site visits to review and inspect the application of procedures. These
reviews concluded that the sampling and analytical results have resulted in data suitable for incorporation into Mineral Resource estimation.
Audits or reviews
The results of any audits or reviews of sampling techniques and data.
Sampling techniques and procedures, as well as QA/QC data, are reviewed internally an ongoing basis. Chris Arnold
(Principal Geologist, AMC Consultants (UK)) independently reviewed the sampling techniques, procedures and data. He
undertook a number of site visits to review and inspect the application of procedures. These reviews concluded that the
sampling and analytical results have resulted in data suitable for incorporation into Mineral Resource estimation.
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
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 Alameda deposit lies on the Salamanca XXVIII Definitive State Reserve 6362 which is 100% owned by Berkeley Minera España S.L., a wholly owned subsidiary of Berkeley
Energia Limited.The Definitive State Reserve is currently in the 12th year of its 2nd 30-year term (valid until 13 August 2033) and may be extended for an additional
period of 30 years. It covers an area of 16.5km2 and includes the entire area containing the Alameda mineralisation.No historical sites or national parks are located
within the Concession.
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. Tenure in the form of a Definitive State Reserve has been granted and is considered secure. There are no known impediments to obtaining a licence to operate in this area.
Exploration done by other parties Acknowledgment and appraisal of exploration by other parties. Previous exploration at Alameda was completed initially by JEN and ENUSA, both Spanish state run companies, from the late 1950's through to the mid 1980's. Work completed
by JEN and ENUSA included mapping, radiometric surveys, trenching, RP, RC and DD drilling.A detailed data assessment and verification of the historical data supplied by
JEN and ENUSA has been undertaken by Berkeley. No significant issues with the data were detected.
Geology Deposit type, geological setting and style of mineralisation. The uranium mineralisation is hosted within Cambrian metasediments adjacent to granite. The mineralisation typically occurs as a sub-horizontal to shallowly dipping layer
occurring between surface and 180m depth with strong structural control on either side of a central breccia zone. The style of the uranium mineralisation includes veins,
stockwork and disseminated mineralisation in joint/fracture filling associated with brittle deformation. Uraninite and coffinite are the primary uranium minerals.
Secondary uranium mineralisation is developed in "supergene-like" tabular zones corresponding to the depth of weathering. Most of the mineralisation is hosted within
partially weathered (51%) and unweathered (46%) metasediment. This deposit falls into the category defined by the International Atomic Energy Association (IAEA) as Vein
Type, Sub Type Iberian Type.
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:o easting and northing of the drill hole collaro elevation or RL (Reduced Level - elevation above sea level in metres) of the drill hole collaro dip and azimuth of the holeo down hole length and interception deptho hole length. No new exploration results are included in this release.
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. All Berkeley drill holes within the resource area have previously been reported in releases to the ASX providing collar easting, northing, elevation, dip, azimuth and
length of hole and mineralised intercepts as encountered.
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. No new exploration results are included in this release. All Berkeley drill holes within the resource area have previously been reported.
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. No new exploration results are included in this release. All Berkeley drill holes within the resource area have previously been reported.
The assumptions used for any reporting of metal equivalent values should be clearly stated. No metal equivalent values were used.
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. All drilling was planned in such a way as to intersect expected mineralisation in a perpendicular manner. The uranium mineralisation is interpreted to be flat lying to
shallowly dipping so the majority of the RC holes were drilled vertically.The interpreted geometry of the mineralisation has been validated by the drilling of 33 inclined
DD holes and 32 inclined RC holes.
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 previously reported (no new exploration results are included in this release) down-hole intervals are interpreted to approximate true widths.
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. Appropriate diagrams, including drill plans and cross sections have been included in previously reported ASX releases.
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. No new exploration results are included in this release. All Berkeley drill holes within the resource area have previously been reported.
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. Down-hole gamma logging of all Berkeley holes was undertaken to provide eU3O8 data. Comparison of eU3O8 data with chemical assay data have shown that on average eU3O8
tends to underestimate at higher grades (>500ppm) and overestimate at lower grades (<200ppm). The Mineral Resource Estimate (MRE) reported in this release was estimated
using chemical assay data as the primary method for grade estimation in the modelling process. eU3O8 data was used for grade estimation process when chemical assay data
was not available.The Company has reported the results of a PFS for the Salamanca Project which includes the Alameda deposit (refer ASX Announcement dated 26 September
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