REG - Caledonia Mining Crp - Encouraging drilling results at Blanket Gold Mine
10/07/2023 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:20230710:nRSJ4002Fa&default-theme=true
RNS Number : 4002F Caledonia Mining Corporation PLC 10 July 2023
Caledonia Mining Corporation Plc
Encouraging results from drilling at Blanket Gold Mine's Eroica zone,
including 8.6m at 15.56g/t, 13.44m at 6.62g/t and 22.32m at 4.03g/t
(NYSE AMERICAN, AIM and VFEX: CMCL)
St Helier, July 10, 2023 - Caledonia Mining Corporation Plc ("Caledonia" or
the "Company") is pleased to report encouraging results from the ongoing
underground drilling program at Blanket Mine which currently targets depth
extensions to the Eroica ore body. Approximately 5,600 meters ("m") of
drilling have been completed between January 2023 and the end of May 2023.
Initial results indicate that the existing Eroica ore body continues at depth
with grades and widths being generally better than expected.
Highlights of the results include:
Hole Identifier Orebody Name * Orebody Intersection Core Length (m) True width (m) Gold Grade (g/t) Orebody Intersection depth from surface (m) End of Hole Depth (m)
From (m) To (m)
ERC750EX2303 ERCN_HW 262.7 278.3 15.6 8.6 15.56 891.4 356.3
ERC750EX2301 ERCN_HW 263.8 281.2 17.4 13.44 6.62 914.9 352.2
ERC750EX2206 ERCN_HW 203.9 246.5 42.6 22.32 4.03 870.3 281.3
* ERCN_HW - Eroica North Hanging Wall
The complete drilling results and locations are provided in Appendix 1 below
Deep level drilling at Blanket Mine was suspended several years ago due to
underground logistical constraints and the impact of Covid-19 on contractor
operations. Following completion of the Central Shaft and related
infrastructure, deep level drilling resumed in January 2023 and is currently
focussed on the Eroica ore body where a crosscut has been mined to allow
optimal access to drill the deeper zones of the steeply-dipping ore body.
Approximately 5,600m of drilling were completed between January 1, 2023 and
May 30, 2023; approximately a further 12,900m are planned for the remainder of
2023.
At the Eroica zone, drilling from an exploration drive on the 750m level of
the mine has focussed mainly on converting inferred resources to indicated
resources, in addition to drilling areas outside of inferred resources as the
mineralization extends to depth, between 850m and 1150m below surface (see
diagram below and Figure 1 in Appendix 1). This is above the bottom of the
new Central Shaft and therefore any resources that are identified in this area
will be served by the planned Central Shaft infrastructure.
Diagram: Vertical Long Section of Blanket Mine, Showing the Main Orebodies,
Mine Infrastructure, Highlighting (Inset Box) the Eroica zone Where Recent
Drilling Has Taken Place
Overall, the results confirm the Eroica zone persists to depth as earlier
modelled, and, encouragingly, the results indicate that grades and widths are
significantly higher than previously thought.
In addition, the deepest hole drilled in the programme, hole ERC750EX2214,
returned strong intersections some 120m vertically beneath the current
inferred resource, which returned true widths of 5.78m grading 8.18 grams per
tonne ("g/t") gold and 8m grading 7.7g/t gold. The zone also remains
completely open below these intersections.
These results, along with the results of further planned exploration, will be
reflected in a revised mineral resource statement which will be published in
due course.
Mark Learmonth, Caledonia's Chief Executive Officer, commented on the initial
drilling results:
"I am delighted with the results of the drilling campaign so far. In
particular, the grades are very encouraging when compared to the historically
achieved mining grades from Eroica which have been approximately 4-5g/t. The
Central Shaft and related infrastructure are vital not only to increase
production, but to give us the capacity to re-start exploration with a view to
extending the life at Blanket Mine. We have invested heavily in Blanket Mine
in the last 7 years, including investment in 2023 (which will be continued in
2024) in a new tailings facility with an anticipated life of approximately 14
years, to create a mine infrastructure which can sustain production beyond the
current production horizon.
"These results are very encouraging and we look forward to receiving results
from extension drilling at the Blanket ore bodies and also from the next phase
of drilling."
Appendix 1
Table 1
Individual drill results from deep drilling program at Blanket Mine
Hole Identifier Orebody Name * Orebody Intersection Core Length (m) True width (m) Grade (g/t) Orebody Intersection depth from surface (m) End of Hole Depth(m)
From (m) To (m)
ERC750EX2201 ERCN_HW 183.5 193.7 10.2 7.11 4.23 812.7 248.3
ERC750EX2202 ERCN_HW 170.4 177 6.6 6.29 1.96 810.1 254.4
ERC750EX2202 ERCN_FW 212.4 226.8 14.4 9.17 2.7 853.1 254.4
ERC750EX2203 ERCN_HW 204.45 221.45 17 10.36 2.82 841.4 260.3
ERC750EX2204 ERCN_HW 224.95 272.95 48 30.25 2.79 896.1 308.4
ERC750EX2205 ERCN_HW 208.3 232.9 24.6 13.48 3.63 871.1 290.5
ERC750EX2205 ERCN_FW 268.3 272.5 4.2 2.4 3.11 922.5 290.5
ERC750EX2206 ERCN_HW 203.9 246.5 42.6 22.32 4.03 870.3 281.3
ERC750EX2206 ERCN_FW 263.9 272.3 8.4 4.37 3.5 918.5 281.3
ERC750EX2207 ERCN_HW 218.9 223.5 4.6 3.06 10.33 864.9 290.3
ERC750EX2208 ERCN_HW 200.1 214.6 14.5 8.81 9.1 852.8 278.2
ERC750EX2209 ERCN_HW 199.5 208.3 8.8 4.49 3.64 831.0 254.1
ERC750EX2210 ERCN_HW 205.65 208.65 3 1.92 3.24 837.0 269.1
ERC750EX2211 ERCN_HW 232.1 233.9 1.8 1.26 2.17 849.4 287.1
ERC750EX2212 ERCN_HW 229.57 231.37 1.8 0.97 1.84 830.5 271.8
ERC750EX2213 ERCN_HW 221.2 221.8 0.6 0.30 4.47 825.7 271.8
ERC750EX2214 ERCN_HW 269.13 275.73 6.6 5.78 8.18 909.1 401.3
ERC750EX2214 ERCN_FW 294.33 308.13 13.8 8 7.7 933.1 401.3
ERC750EX2215 ERCN_HW 299.57 303.77 4.2 3.6 2.57 932.3 382.1
ERC750EX2216 ERCN_HW 292.6 310.9 18.3 12.9 3.76 924.5 377.0
ERC750EX2216 ERCN_FW 318.4 329.6 11.2 9.2 3.88 964.1 377.0
ERC750EX2301 ERCN_HW 263.8 281.2 17.4 13.44 6.62 914.9 352.2
ERC750EX2302 ERCN_HW 236.1 247.2 11.1 7.51 6.33 888.7 359.1
ERC750EX2303 ERCN_HW 262.7 278.3 15.6 8.6 15.56 891.4 356.3
ERC750EX2305 ERCN_HW 293.8 296.2 1.8 4.01 0.37 923.9 365.6
ERC750EX2306 ERCN_HW 237.6 242.4 4.8 3.06 2.51 869.7 350.3
* ERCN_HW - Eroica North Hanging Wall
* ERCN_FW - Eroica North Foot Wall
Table 2
Underground exploration drill hole; azimuth, dip, drilled length, and collar
location at surface (UTM NAD83)
Hole Identifier Azimuth (°) Dip (°) Drilled Length(m) UTM Easting(m) UTM Northing(m) UTM Elevation(m)
ERC750EX2201 28.68 -65.74 248.3 697293.97 7694520.35 387.24
ERC750EX2202 122.15 -71.33 254.4 697294.02 7694518.55 387.28
ERC750EX2203 134.01 -66.13 260.25 697293.43 7694515.39 387.22
ERC750EX2205 64.65 -82.27 290.5 697294.22 7694518.74 387.20
ERC750EX2206 80.24 -82.13 281.3 697294.15 7694518.38 387.23
ERC750EX2207 25.10 -79.18 290.3 697293.05 7694519.71 387.15
ERC750EX2204 126.73 -81.37 308.35 697293.68 7694518.23 387.21
ERC750EX2208 21.35 -73.80 278.2 697292.55 7694520.03 387.25
ERC750EX2209 16.83 -63.62 254.1 697292.54 7694520.35 386.94
ERC750EX2210 13.81 -64.94 269.1 697292.47 7694520.36 386.96
ERC750EX2211 144.29 -60.21 287.05 697292.52 7694517.26 387.03
ERC750EX2212 151.74 -52.44 271.8 697292.14 7694516.75 386.99
ERC750EX2213 12.70 -53.74 304.9 697291.26 7694521.81 387.18
ERC750EX2214 101.48 -70.97 401.3 697206.10 7694514.52 388.00
ERC750EX2215 119.61 -68.33 398.1 697206.49 7694513.08 388.04
ERC750EX2216 97.17 -76.86 377.2 697206.09 7694514.30 387.98
ERC750EX2301 58.43 -73.25 352.2 697205.90 7694514.12 388.05
ERC750EX2302 63.22 -63.51 359.1 697206.09 7694514.99 388.10
ERC750EX2303 64.05 -64.99 356.3 697206.37 7694517.17 388.10
ERC750EX2304 40.08 -68.88 359.3 697205.73 7694517.32 388.14
ERC750EX2305 39.47 -70.26 365.5 697205.07 7694518.30 388.22
ERC750EX2306 44.84 -56.80 350.3 697206.27 7694517.19 388.00
Figure 1. Vertical Long Section of the Eroica Zone Showing Recent Drill
Results
Enquiries:
Caledonia Mining Corporation Plc
Mark Learmonth Tel: +44 1534 679 800
Camilla Horsfall Tel: +44 7817 841 793
Cenkos Securities plc (Nomad and Joint Broker)
Adrian Hadden Tel: +44 207 397 1965
Neil McDonald Tel: +44 131 220 9771
Pearl Kellie Tel: +44 131 220 9775
Liberum Capital Limited (Joint Broker)
Scott Mathieson/Kane Collings Tel: +44 20 3100 2000
BlytheRay Financial PR (UK)
Tim Blythe/Megan Ray Tel: +44 207 138 3204
3PPB (Financial PR, North America)
Patrick Chidley Tel: +1 917 991 7701
Paul Durham Tel: +1 203 940 2538
Curate Public Relations (Zimbabwe)
Debra Tatenda Tel: +263 77802131
IH Securities (Private) Limited (VFEX Sponsor - Zimbabwe)
Lloyd Mlotshwa Tel: +263 (242) 745 119/33/39
Qualified Persons
Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services,
has reviewed and approved the scientific and technical information contained
in this news release. Craig James Harvey is a "Qualified Person" as defined by
each of (i) the Canadian Securities Administrators' National Instrument 43-101
- Standards of Disclosure for Mineral Projects and (ii) sub-part 1300 of
Regulation S-K of the U.S. Securities Act.
Quality Assurance and Quality Control
Access to Blanket Mine premises is controlled by security personnel on the
first gate. On the second gate, in addition to security, entry is gained by
biometric entry system. Diamond drilling is performed by qualified diamond
drillers under the supervision of a diamond drill foreperson. Drilled core is
routinely brought to surface to the core shed where it is received and laid
down. A qualified geological technician performs geotechnical logging while a
qualified geologist logs the core and marks the portions for splitting. The
core is split in half along the core axis using an electric core cutter
equipped with a diamond saw cutter. The geologist marks the sample intervals,
put tickets, insert standards and blanks. One half of the sample is put into a
plastic sample bag and sealed with cable ties. The sampling information is
entered into the database. The other half of the core is marked with sample
intervals and sample numbers and returned to the core box and retained for
future reference. The samples are put in marked grain bags and tied with cable
ties.
Transportation is by road using mine vehicle to a SADCAS accredited testing
laboratory (accreditation number TEST-05 0030) in Kwekwe, some 330km from
Blanket Mine. A delivery note is signed as proof of dispatch.
Gold is analysed by a 50 grams fire assay with an Atomic Absorption (AA)
finish. The laboratory also has internal quality control ("QC") programs that
include insertion of reagent blanks, reference materials, and pulp duplicates.
Blanket Mine inserts QC samples (blanks and reference materials) at regular
intervals to monitor laboratory performance.
When results are received, the assay results are painted against the sample
numbers on the core retained.
Note: This announcement contains inside information which is disclosed in
accordance with the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it
forms part of UK domestic law by virtue of the European Union (Withdrawal) Act
2018 and is disclosed in accordance with the Company's obligations under
Article 17 of MAR.
Cautionary Note Concerning Forward-Looking Information
Information and statements contained in this news release that are not
historical facts are "forward-looking information" within the meaning of
applicable securities legislation that involve risks and uncertainties
relating, but not limited, to Caledonia's current expectations, intentions,
plans, and beliefs. Forward-looking information can often be identified by
forward-looking words such as "anticipate", "believe", "expect", "goal",
"plan", "target", "intend", "estimate", "could", "should", "may" and "will" or
the negative of these terms or similar words suggesting future outcomes, or
other expectations, beliefs, plans, objectives, assumptions, intentions or
statements about future events or performance. Examples of forward-looking
information in this news release include: planned exploration programs,
focuses, strategies, drilling targets and work, potential for further
exploration of certain areas, potential drilling results and related
expectations, costs and expenditures, including with respect to the cost of
development and production, project economics, gold price assumptions,
potential mineralization, projected ore grades, opportunities to add near mine
and further high-grade mineral reserves and resources, expectations regarding
the mine plan, sustaining capital and value of operations and other statements
and information that is based on forecasts and projections of future
operational, geological or financial results, estimates of amounts not yet
determinable and assumptions of management. This forward-looking information
is based, in part, on assumptions and factors that may change or prove to be
incorrect, thus causing actual results, performance or achievements to be
materially different from those expressed or implied by forward-looking
information. Such factors and assumptions include, but are not limited to:
failure to establish estimated resources and reserves, the grade and recovery
of ore which is mined varying from estimates, success of future exploration
and drilling programs, reliability of drilling, sampling and assay data,
assumptions regarding the representativeness of mineralization being
inaccurate, success of planned metallurgical test-work, capital and operating
costs varying significantly from estimates, delays in obtaining or failures to
obtain required governmental, environmental or other project approvals,
inflation, changes in exchange rates, fluctuations in commodity prices, delays
in the development of projects and other factors.
Exploration results that include geophysics, sampling, and drill results on
wide spacings may not be indicative of the occurrence of a mineral deposit.
Such results do not provide assurance that further work will establish
sufficient grade, continuity, metallurgical characteristics and economic
potential to be classed as a category of mineral resource. A mineral resource
that is classified as "inferred" or "indicated" has a great amount of
uncertainty as to its existence and economic and legal feasibility. It cannot
be assumed that any or part of an "indicated mineral resource" or "inferred
mineral resource" will ever be upgraded to a higher category of mineral
resource. Investors are cautioned not to assume that all or any part of
mineral deposits in these categories will ever be converted into proven and
probable mineral reserves.
Security holders, potential security holders and other prospective investors
should be aware that these statements are subject to known and unknown risks,
uncertainties and other factors that could cause actual results to differ
materially from those suggested by the forward-looking statements. Such
factors include, but are not limited to: risks relating to estimates of
mineral reserves and mineral resources proving to be inaccurate, fluctuations
in gold price, risks and hazards associated with the business of mineral
exploration, development and mining, risks relating to the credit worthiness
or financial condition of suppliers, refiners and other parties with whom the
Company does business; inadequate insurance, or inability to obtain insurance,
to cover these risks and hazards, employee relations; relationships with and
claims by local communities and indigenous populations; political risk; risks
related to natural disasters, terrorism, civil unrest, public health concerns
(including health epidemics or outbreaks of communicable diseases such as the
coronavirus (COVID-19)); availability and increasing costs associated with
mining inputs and labour; the speculative nature of mineral exploration and
development, including the risks of obtaining or maintaining necessary
licenses and permits, diminishing quantities or grades of mineral reserves as
mining occurs; global financial condition, the actual results of current
exploration activities, changes to conclusions of economic evaluations, and
changes in project parameters to deal with unanticipated economic or other
factors, risks of increased capital and operating costs, environmental, safety
or regulatory risks, expropriation, the Company's title to properties
including ownership thereof, increased competition in the mining industry for
properties, equipment, qualified personnel and their costs, risks relating to
the uncertainty of timing of events including targeted production rate
increase and currency fluctuations. Security holders, potential security
holders and other prospective investors are cautioned not to place undue
reliance on forward-looking information. By its nature, forward-looking
information involves numerous assumptions, inherent risks and uncertainties,
both general and specific, that contribute to the possibility that the
predictions, forecasts, projections and various future events will not
occur. Caledonia undertakes no obligation to update publicly or otherwise
revise any forward-looking information whether as a result of new information,
future events or other such factors which affect this information, except as
required by law.
For a more detailed discussion of such risks and other factors that may affect
the Company's ability to achieve the expectations set forth in the
forward-looking statements contained in this news release, see the Company's
latest 20-F and Management's Discussion and Analysis, each under the heading
"Risk Factors", available on the SEDAR website at www.sedar (http://www.sedar)
.com or on EDGAR at www.sec (http://www.sec) .gov. The foregoing should be
reviewed in conjunction with the information and risk factors and assumptions
found in this news release.
This news release is not an offer of the shares of Caledonia for sale in the
United States or elsewhere. This news release shall not constitute an offer to
sell or the solicitation of an offer to buy, nor shall there be any sale of
the shares of Caledonia, in any province, state or jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such province, state or
jurisdiction.
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 DRLEASXXESKDEFARecent news on Caledonia Mining
See all newsREG - Caledonia Mining Crp - Blanket Mine Q1 2025 Production
AnnouncementREG - Caledonia Mining Crp - Completion of Solar Plant sale
AnnouncementREG - Caledonia Mining Crp - Issue of New Long-Term Incentive Awards
AnnouncementREG - Caledonia Mining Crp - Results for the year ended December 31, 2024
AnnouncementREG - Caledonia Mining Crp - Payment date change to Caledonia’s April dividend
Announcement