REG - Cobra Resources PLC - Work Programme Update

Cobra ResourcesAnnouncement

14/03/2022 07:01

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RNS Number : 5618E  Cobra Resources PLC  14 March 2022

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET
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14 March 2022

 

Cobra Resources plc

 ("Cobra" or the "Company")

 

Work Programme Update

 

Cobra (LSE: COBR), an exploration company focused on advancing the Wudinna
Project in South Australia, provides further detail regarding the next phase
of the Company's 2022 exploration programme, including its strategy to advance
the rare earths discovery announced in February 2022.

 

A presentation explaining the exploration programme with management commentary
and associated indicative timelines is available to view on the Company's
website at:

 

www.cobraplc.com/category/presentations/
(http://www.cobraplc.com/category/presentations/)

 

Rupert Verco, CEO of Cobra, commented:

 

"Cobra's planned 2022 work programme is fully funded and focuses on rapidly
expanding the rare earths discovery and updating the gold mineral resource
estimate. We are pursuing a three-pronged strategy of gold, rare earths, and
iron oxide copper gold, with highly encouraging indicators across all three.
This intense period of activity is also expected to see Cobra achieve its 75%
earn-in to the Wudinna Project milestone in Q3 2022."

 

Rare Earths Work Programme

 

Cobra has to date defined potential ionic clay rare earth mineralisation over
a 0.5 km(2) area at the Clarke prospect where the average true width Rare
Earth Oxide ("REO") intercept is 18.7m and the average Total Rare Earth Oxides
("TREO") intercept is 597 ppm(1).

 

The Company has initiated accelerated definition works to test the extent of
Rare Earth Element ("REE") mineralisation proximal to existing gold
occurrences. This is being done through re-analysis of retained samples from
previous drilling programmes in stages, expanding the tested REE
mineralisation footprint from 0.5 km(2) to 4.4 km(2) by the end of April 2022,
and generating results intermittently from the end of March through to June
2022.

Stage 1: Re-analysis of Cobra 2020 drilling

·    Metallurgical testing is underway to test recovery through standard
desorption leach methods

·    14 holes from Baggy Green (550 samples)

·    Two holes from Barns (67 samples)

·    One hole from White Tank (39 samples)

·    All samples from 1m downhole samples

·    Validation of REE potential at existing defined gold resources

·    Results to demonstrate true REE grade potential

Stage 2: Re-analysis of historic drilling at Clarke

·    200m x 200m definition

·    Variable downhole composite lengths (2-6m) limits resolution of true
grades but provides an indication of spatial continuity

·    38 holes (272 samples)

·    Stage 2 increases tested area from 0.5 km(2) to 1.8 km(2)

Stage 3: Re-analysis of historic drilling at Baggy Green

·    200 x 200m definition

·    Variable downhole composite lengths (2-6m) limits resolution true of
grades but provides an indication of spatial continuity

·    66 holes (551 Samples)

·    Tests 2.6 km(2)

Stage 4: Re-analysis of drilling at Barns and White Tank (subject to Stage 1
results)

·    50 - 70 holes (600 - 800 samples)

Stage 5: Test regional targets

·    Re-analysis of pervious drilling - approximately 100 holes (1,200 -
1,400 samples)

Field Work Phase 1:

·    Rotary Air Blast ("RAB") saprolite drilling programme to test for
REEs across regional targets and testing the northern continuity of Clarke
mineralisation

·  Pathfinder and multi-element analysis of basement with the aim of
de-risking follow-up Reverse Circulation ("RC") drilling

Field Work Phase 2:

 

Cobra intends to commence RC drilling of gold and IOCG priority targets in Q3
2022, including:

 

·   Testing the northern continuity of mineralisation at Clarke beyond
drillhole CBRC0050 (33m at 1.03 g/t gold)

·   Drilling resource extensions at Barns, including infill drilling of
high-grade zones to improve resource confidence

·    Testing anomalous pathfinder results at Benaud

·    Maiden drill testing of IOCG targets 1-3

 

The Company's intention is to further de-risk and refine targets through the
planned RAB rare earths drilling programme where pathfinder and basement
chemistry can be tested. The Company also intends to commission a ground
gravity survey of IOCG targets 4 and 5 as the next phase of the IOCG
exploration strategy.

 

(1)Refer to 7 February 2022 RNS announcement: "Wudinna Project Update"

 

Enquiries:

 

 Cobra Resources plc                           via Vigo Consulting

 Rupert Verco (Australia)                      +44 (0)20 7390 0234

 Dan Maling (UK)

 SI Capital Limited (Joint Broker)             +44 (0)1483 413 500

 Nick Emerson

 Sam Lomanto

 Peterhouse Capital Limited (Joint Broker)

 Duncan Vasey                                  +44 (0)20 7469 0932

 Lucy Williams

 Vigo Consulting (Financial Public Relations)  +44 (0)20 7390 0234

 Ben Simons

 Charlie Neish

 Kendall Hill

 

The person who arranged for the release of this announcement was Rupert Verco,
CEO of the Company.

 

About Cobra

Cobra's Wudinna Project is located in the Gawler Craton which is home to some
of the largest IOCG discoveries in Australia including Olympic Dam, as well as
Prominent Hill and Carrapateena. Cobra's Wudinna tenements contain extensive
orogenic gold mineralisation and are characterised by potentially
open-pitable, high-grade gold intersections, with ready access to nearby
infrastructure. Recent drilling has discovered Rare Earth Mineralisation
proximal to and above gold mineralisation. The grades, style of mineralogy and
intercept widths are highly desirable. In addition, Cobra has over 22 orogenic
gold prospects, with grades of between 16 g/t up to 37.4 g/t gold outside of
the current 211,000 oz JORC Mineral Resource Estimate, as well as one
copper-gold prospect, and five IOCG targets.

 

 

 

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