REG - Caledonia Mining Crp - High Grade Drill Results at Blanket Mine
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RNS Number : 8611N Caledonia Mining Corporation PLC 23 June 2025
Caledonia Mining Corporation Plc
High Grade Drill Results at Blanket Mine
Better than expected grades and widths from drilling in multiple areas
anticipated to boost gold resources at Blanket
(NYSE AMERICAN, AIM and VFEX: CMCL)
St Helier, June 23, 2025 - Caledonia Mining Corporation Plc ("Caledonia" or
"the Company") is pleased to report further encouraging high grade results
from the ongoing resource expansion drill programme at Caledonia's 64% owned
Blanket Mine. The programme is aimed at evaluating the continuity of the
mineralised zones on the Blanket, Eroica and Lima orebodies (which comprise
three of the main orebodies at Blanket Mine). The objectives of the programme
are to increase the confidence levels of the existing mineral resource and to
grow the mineral resource estimate below the 34 level of the mine (1,110
metres). These results follow the previously announced results on January
30, 2024.
Results from 6,976 metres of underground drilling from January 2024 to the end
of April 2025 indicate that the existing Blanket and Eroica orebodies have
grades and widths which are generally better than expected, while the Lima
orebody is shown to continue below 22 level (750 metres). A new potential
orebody has been intersected in the Blanket orebody area of the mine, with
impressive grades and widths.
Table 1. Drilling Highlights**
Holes Identifier Orebody Name Orebody Intersection Core Length (m) True width (m) Grade (g/t) Orebody Intersection depth from surface (m) *E.O.H (m)
From (m) To (m)
BLK870EX2312 NEW 120.30 152.10 31.80 24 .73 6.71 895 251.1
BLK870EX2308 NEW 21.1 31.9 10.8 5.93 17.73 817.1 262.4
BLK4_5 45.1 71.4 26.3 14.71 4.71 840.4
ARS1110EX2308 BLK1FW 66.2 79.4 13.2 8.98 25.06 1 096.4 190.4
BLK1FW 82.4 85.4 3.0 2.05 21.39 1 111.2
BLK1110EX2412 BQR 56.9 64.7 7.8 5.27 13.02 1 087.7 242.8
BLK1110EX2414 BQR 84.0 91.2 7.2 4.32 8.95 1 116.0 96.0
ERC750EX2402 ERCN 366.0 375.0 9.0 6.70 7.26 998.9 425.4
ERC750EX2403 ERCN 413.4 420.6 7.2 4.75 6.15 1 039.2 454.4
*End of hole depth
**The complete long hole drilling results for January 2024 to April 2025 are
provided in Appendix 1
Mark Learmonth, Caledonia's Chief Executive Officer, commented:
"Our ongoing drilling campaign continues to demonstrate encouraging results,
further improving our confidence in the Blanket Mine mineral resource and
pointing to additional future mineral resource growth. The grades and widths
we are seeing from this drilling campaign are as good as and, in some cases,
considerably better than results from previous drilling campaigns, which is
highly encouraging.
"We anticipate that the positive grades and widths will result in an increased
overall mineral resource estimate, which in due course should result in the
extension of the existing life of mine. We have invested heavily in Blanket
Mine over the last seven years to increase production capacity, resulting in a
mine infrastructure that can sustain production beyond the current production
horizon.
"Drilling is currently focussed on the Blanket and Eroica orebodies, where
crosscuts have been developed to allow optimal access to drill the deeper
zones of the steeply-dipping orebodies. These results are extremely promising,
and we look forward to the next phase of drilling and updating the market
accordingly."
Commentary
The drilling at Blanket Mine continues to confirm the continuation of several
of the main orebodies (the Blanket, Eroica and Lima orebodies) at depth at the
lowest levels of the mine and beyond. The increased density of drilling
intersections from the programme is aimed at upgrading the inferred mineral
resource estimate to the indicated mineral resource category or better,
providing a solid resource base for life of mine planning. Grades and widths
in the results from the Blanket and Eroica orebodies have been generally
better than previously expected and modelled.
Further data on each drill hole is set out at Appendix 2 and pictorial
representations of the holes are included below.
Figure 1. Blanket Mine Drilling - Long Section (North - South) of Blanket Mine
Showing Locality of Drilling
Blanket Orebody - Strong Grades and Widths in Infill Drilling and New Orebody
Discovered
In holes BLK870EX2312 and BLK870EX2308 (holes 16 and 13 on the section below,
respectively), drilling intersected a new orebody which is believed to be
another subparallel orebody which would be in addition to the 6 subparallel
orebodies which currently comprise the Blanket series of orebodies (together
referred to as the Blanket orebody). The initial intersections into this
previously unknown orebody are highly encouraging, with highlights of 31.8
metres (estimated true width of 24.73 metres) at 6.71 grammes per tonne
("g/t") gold and 10.8 metres (estimated true width of 5.93 metres) at 17.73
g/t gold.
Infill drill results into the Blanket orebody have returned, in general,
better widths and grades than expected when compared to the current mineral
resource estimate contained within the report entitled "NI 43-101 Technical
Report on the Blanket Gold Mine, Zimbabwe" with an effective date of 31
December 2023.
A comparison of drillhole ARS1110EX2308 with the 2023 resource model shows a
similar width for Blanket 1 Footwall (BLK1FW) orebody of approximately 13
metres while the drillhole grades return a composite grade inclusive of
internal dilution from 66.21 to 85.41 metres downhole of 20.64 g/t compared to
a mineral resource model grade of approximately 4.64 g/t.
The Blanket 1 Hangingwall (BLK1HW), in the same drillhole ARS1110EX2308,
returned a similar value of 6.28 g/t when compared to the mineral resource
model grade of between 4.0 and 6.0 g/t while the true width in the drillhole
of 7.14 metres is thicker than the mineral resource model width of
approximately 3.30 metres.
Drill results reported in this announcement concern intersections between 26
and 34 level on the south end of the mine (Figure 2), plus intersections below
34 level in the middle portion of the Blanket orebody (Figure 3). This
information will form part of the planned mineral resource update anticipated
to be published by year end.
Figure 2. Blanket Orebody - Drilling from 26 Level (870 metres below surface)
Figure 3. Blanket Orebody - Drilling from 34 Level (1,110 metres below
surface)
Eroica and Lima Orebodies - Solid Intersections at Eroica at 34 Level and
Extension Demonstrated at Lima
Drilling commenced at Lima and initial intersections are encouraging. The
likelihood of the Lima orebody (Lima main, footwall, hangingwall and
intermediates) extending from 22 level to 34 level is considered to be high.
The potential down dip continuation of the Lima orebody will be accessible
from Eroica orebody development on 30 and 34 level with relatively minor
extensions to current development.
Figure 4. Eroica and Lima Orebodies - Drilling from 750 metres (22 Level)
below surface
This information will form part of the planned mineral resource update
anticipated to be published by year end.
Future Exploration Plans and other Programs Ongoing
Drilling will continue to evaluate the Blanket, ARM and ARS orebodies to the
38 level (1,230 metres) and beyond.
In addition to underground exploration drilling, Blanket Mine has commenced a
surface exploration project within the area held under the Blanket Mine mining
lease. The program is targeting the Banded Iron Formation ("BIF") which
strikes in a north-westerly direction and has been exploited at the nearby
Vubachikwe and Sabiwa gold mines. The BIF extends from the southern boundary
of the Blanket Mine lease area through to the northern boundary and beyond.
Initial work comprised Induced Polarisation ("IP") and Ground Magnetic ("GM")
surveys over a selected area. These surveys delineated anomalous zones over a
600-metre strike length which subsequent surface reconnaissance mapping and
pitting has shown to be quartz filled shear zones hosted within the BIF. Grab
samples from shallow surface pits returned assay values ranging between 0.59
and 32.12 g/t from analysis at the Blanket Mine assay laboratory.
Planned activities for 2025 include:
• Surface trenching at 50 metres spacing over the strike length of
600 metres.
• Reverse Circulation ("RC") drilling focusing on defining the
potential of shallow oxide mineral resources.
Appendix 1
Map Ref No. 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)
1 ARS1110EX2305 BQR 4.80 14.40 9.60 5.10 2.48 1038 182.10
BLK1HW 94.50 105.90 11.40 5.68 4.11 1104
BLK1FW 116.10 120.90 4.80 2.35 7.21 1120
2 ARS1110EX2306 BQR 4.20 19.30 15.10 6.10 4.18 1038 174.10
BLK1HW 69.50 98.80 29.30 10.67 3.33 1083
3 ARS1110EX2307 BQR 4.55 6.85 2.30 1.44 11.93 1039 164.40
BLK1HW 24.78 32.41 7.63 4.89 4.59 1058
BLK1FW 131.30 133.10 1.80 1.26 11.85 1156
4 ARS1110EX2308 BQR 6.10 12.18 6.08 3.97 9.08 1041 190.40
BLK1HW 43.96 54.61 10.65 7.14 6.28 1076
BLK1FW 66.21 79.41 13.20 8.98 25.06 1096
BLK1FW 82.41 85.41 3.00 2.05 21.39 1111
5 ARS1110EX2501 ARSEWL 85.50 92.10 6.60 2.35 0.38 1110 260.30
6 BLK1110EX2410 BQR 67.50 73.90 6.40 4.19 3.61 1098 233.30
BQR 78.10 81.70 3.60 2.37 3.59 1108
7 BLK1110EX2411 BQR 60.50 61.70 1.20 0.81 5.80 1090 194.30
8 BLK1110EX2412 BQR 56.90 64.70 7.80 5.27 13.02 1088 242.80
9 BLK1110EX2414 BQR 84.00 91.20 7.20 4.32 8.95 1116 96.00
10 BLK870EX2305 BLK4_5 26.10 39.30 13.20 7.06 2.66 818 281.10
11 BLK870EX2306 BLK4_5 36.70 46.30 9.60 5.11 2.89 832 278.40
12 BLK870EX2307 BLK4_5 43.60 54.40 10.80 5.84 1.51 839 278.40
13 BLK870EX2308 NEW 21.14 31.94 10.80 5.93 17.73 817 262.40
BLK4_5 45.09 71.40 26.31 14.71 4.71 840
BLK2FW 239.50 244.80 5.30 3.57 3.78 1024
14 BLK870EX2310 BLK4_5 36.40 46.80 10.40 7.43 3.65 829 275.30
15 BLK870EX2311 BLK4_5 29.30 38.90 9.60 6.25 2.74 823 215.30
16 BLK870EX2312 BLK4_5 56.10 62.10 6.00 7.36 3.21 843 251.10
NEW 113.10 116.10 3.00 2.33 4.13 889
NEW 120.30 152.10 31.80 24.73 6.71 895
NEW 164.70 168.90 4.20 3.28 2.59 930
NEW 181.50 183.90 2.40 1.88 3.24 942
17 ERC750EX2311 ERCS 235.80 238.80 3.00 1.26 1.61 861 269.20
18 ERC750EX2314 ERC 138.30 143.10 4.80 2.20 0.71 790
ERCS 177.80 178.80 1.00 0.44 4.43 821 267.10
19 ERC750EX2315 ERCS 143.10 144.90 1.80 0.74 6.27 796 275.10
20 ERC750EX2316 No significant intersection 203.60
21 ERC750EX2317 ERCS 202.40 206.60 4.20 0.69 0.70 820 288.00
22 ERC750EX2318 ERCS 256.10 265.90 9.80 0.96 0.72 842 265.90
23 ERC750EX2401 No significant intersection 356.20
24 ERC750EX2402 ERCN 366.00 375.00 9.00 6.70 7.26 999 425.40
25 ERC750EX2403 ERCN 413.40 420.60 7.20 4.75 6.15 1039 454.40
26 LIM750EX2501 LIM 66.40 69.70 3.30 1.14 1.22 730 592.20
LIMINT 76.30 79.90 3.60 1.25 5.76 742
* ERCN - Eroica North, ERCS - Eroica South, BQR - Blanket Quartz Reef,
BLK1HW - Blanket 1 Hanging wall, BLK1FW - Blanket 1 Footwall, BLK2FW - Blanket
2 Footwall, BLK4_5 - Blanket 4 and 5, ARSEWL - AR South East - West Limb, LIM
- Lima Main, LIMI - Lima Intermediate, NEW - Mineralisation not correlated to
known orebodies.
Appendix 2
Underground exploration drill hole; azimuth, dip, drilled length, and collar
location (UTM NAD83)
Hole Identifier Azimuth (°) Dip (°) Drilled Length (m) UTM Easting (m) UTM Northing (m) UTM Elevation (m)
ARS1110EX2305 128.3 49.4 182.1 697 766.1 7 693 019.4 25.6
ARS1110EX2306 140.3 44.7 174.1 697 765.7 7 693 017.8 25.0
ARS1110EX2307 44.7 69.9 164.4 697 761.5 7 693 022.1 25.0
ARS1110EX2308 77.7 68.9 190.4 697 766.2 7 693 020.0 25.1
ARS1110EX2501 339.6 62.5 260.3 697 674.6 7 693 026.5 25.1
BLK1110EX2410 50.2 70.8 233.3 697 681.7 7 693 030.0 25.5
BLK1110EX2411 35.6 66.2 194.3 697 681.7 7 693 030.2 25.3
BLK1110EX2412 56.0 69.1 242.8 697 682.3 7 693 030.1 25.3
BLK1110EX2414 69.5 75.8 96.0 697 682.2 7 693 029.6 25.3
BLK870EX2305 2.9 57.1 281.1 698 042.1 7 692 510.2 263.7
BLK870EX2306 19.0 72.5 278.4 698 043.2 7 692 509.8 263.6
BLK870EX2307 49.4 77.2 278.4 698 043.3 7 692 509.5 263.7
BLK870EX2308 76.6 76.4 262.4 698 043.3 7 692 509.3 263.7
BLK870EX2310 84.7 63.1 275.3 698 043.0 7 692 509.6 263.8
BLK870EX2311 28.4 63.9 215.3 698 043.5 7 692 509.6 263.7
BLK870EX2312 88.7 57.0 251.1 698 043.3 7 692 509.1 263.8
ERC750EX2311 145.5 57.0 269.2 697 312.5 7 694 285.9 387.0
ERC750EX2314 130.8 59.5 267.1 697 313.3 7 694 286.4 387.0
ERC750EX2315 135.5 61.0 275.1 697 313.8 7 694 287.3 387.0
ERC750EX2316 112.7 65.4 203.6 697 313.4 7 694 288.3 387.1
ERC750EX2317 153.0 50.2 288.0 697 313.1 7 694 286.8 387.1
ERC750EX2318 154.1 45.9 265.9 697 313.2 7 694 286.6 387.0
ERC750EX2401 53.5 72.5 356.2 697 090.9 7 694 511.7 389.3
ERC750EX2402 78.6 70.7 425.4 697 090.8 7 694 511.1 389.5
ERC750EX2403 94.1 71.1 454.4 697 090.9 7 694 510.6 389.4
LIM750EX2501 337.4 69.6 592.2 697 324.3 7 694 849.4 389.4
Enquiries:
Caledonia Mining Corporation Plc
Mark Learmonth Tel: +44 1534 679 800
Camilla Horsfall Tel: +44 7817 841 793
Cavendish Capital Markets Limited (Nomad and Joint Broker)
Adrian Hadden
Pearl Kellie Tel: +44 207 397 1965
Tel: +44 131 220 9775
Panmure Liberum (Joint Broker)
Scott Mathieson Tel: +44 20 3100 2000
Camarco, Financial PR (UK)
Gordon Poole Tel: +44 20 3757 4980
Elfie Kent
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) Tel: +263 (242) 745 119/33/39
Lloyd Mlotshwa
Qualified Person
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 of 1933.
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 a 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 and extensions to it, 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);
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.sedarplus.ca or on
EDGAR at 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.
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