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RNS Number : 1485W Cobra Resources PLC 16 August 2022
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16 August 2022
Cobra Resources plc
("Cobra" or the "Company")
Wudinna Project Update
Aircore Drilling Yields Exceptional Gold and Rare Earth Results at Clarke
Cobra, a gold, IOCG, and rare earth exploration company focused on the Wudinna
Project in South Australia, announces results from 29 holes that were drilled
as part of an extensive 91-hole, 4,000m aircore drilling programme in June
2022 designed to inform and de-risk deeper Reverse Circulation ("RC") drilling
later this year. The results received to date from 29 shallow holes drilled at
the Clarke prospect are exceptional for both gold and rare earths and confirm:
· Further along-strike gold mineralisation, highlighted by CBAC0014
that intersected 12m at 1.25 g/t gold from only 18m and includes 6m at 2.29
g/t gold. This extends intersected gold mineralisation at Clarke beyond 500m
· Significant, target-generating gold in saprolite has been defined
across broad zones north of previously intersected gold mineralisation. In
comparison to drilled mineralisation zones, the anomalous zones northwest of
Clarke are more significant, supporting further mineralisation down-dip and
along strike
· Expanding high-grade clay hosted rare earths: Rare Earth Elements
("REE") have been intersected above and proximal to gold intersections, with
26 of the 29 holes yielding intersections with a length weighted average
intersection of 13.3m at 934 ppm Total Rare Earth Oxide ("TREO"), and an
average Magnet Rare Earth ("MREO")(1) equating to 24% of the TREO
· The REE results infill and extend the defined 4 km(2) mineralisation
footprint of clay hosted REE mineralisation and demonstrate grade upside. REE
mineralisation remains open in all directions
· Significant REE intersections include:
o 14m at 3,703 ppm TREO from 18m, including 6m at 6,648 ppm TREO from 22m
CBAC0021
o 10m at 2,220 ppm TREO from 42m, including 2m at 8,163 ppm TREO from 48m
CBAC0022
o 34m at 854 ppm TREO from 16m, including 4m at 1,205 ppm TREO from 34m
CBAC0023
o 26m at 928 ppm TREO from 14m, including 6m at 2,046 ppm TREO from 22m
CBAC0027
· The results provide the Board with confidence of further exploration
success within the planned RC drilling scheduled to commence once all results
are received
(Note 1)MREO = Nd(2)O(3) + Pr(6)O(11) + Dy(2)O(3) + Tb(2)O(3)
Rupert Verco, CEO of Cobra, commented:
"These results confirm along-strike continuity of gold and rare earth
mineralisation at the Clarke prospect. Some of the widths and grades
intersected at such shallow depths are extremely exciting and should have
positive implications on grades at depth when we return with the RC rig.
Whilst we eagerly await further assays, the results from Clarke enable us to
refine our geological models and improve the precision of our planned RC
drilling campaign.
Over a six-month period, we have unveiled an exceptional value-add opportunity
with rare earth mineralisation that is not only complementary to gold
mineralisation, but regionally scalable. Whilst there remains further
metallurgical test work to improve recoveries to be undertaken, the vertically
associated nature of mineralisation at Clarke and Baggy Green supports
favourable mining economics, whilst the growing regional occurrence across our
3,261 km(2) land holding places Cobra in a position to define a potentially
extensive clay-hosted rare earth resource enabling us to capitalise on the
global demand for critical rare earth minerals and to contribute to
decarbonisation.
We look forward to updating the market as further results are received and we
complete our preparations for our highly anticipated RC programme."
Presentation
A presentation of results from the June 2022 aircore drilling programme of the
Clarke prospect with management commentary is available on the Company's
website at www.cobraplc.com (http://www.cobraplc.com) .
Results
highlights
· CBAC0014 intersected 12m at 1.25 g/t gold from 18m, including 6m at
2.29 g/t from 22m. This is the shallowest defined gold mineralisation
encountered at the project
· Highly anomalous gold in saprolite across broad zones recorded within
16 holes, supporting further gold mineralisation along strike and at depth
that will be followed up with planned RC drilling. Notable anomalous zones
include:
o CBAC0020 intersected 16m at 0.22 g/t gold from 12m, including 2m at 0.9
g/t from 16m
o CBAC0013 intersected 12m at 0.29 g/t gold from 18m
o CBAC0007 intersected 18m at 0.14 g/t gold from 14m
o CBAC0027 intersected 6m at 0.31 g/t gold from 16m
o CBAC0016 intersected 10m at 0.16 g/t gold from 10m
o CBAC0009 intersected 12m at 0.10 g/t gold from 20m
o CBAC0017 intersected 8m at 0.12 g/t gold from 50m
· Gold mineralisation at Clarke has now been intersected over 500m of
strike at Clarke, with mineralisation remaining open to the northwest
· 89% of holes yield significant REE mineralisation greater than 500
ppm TREO, where:
o The highest 2m intersection grade is 8,682 ppm TREO, where the neodymium +
praseodymium + dysprosium + terbium oxide grade is 2,015 ppm CBAC0021
o The average true width of reported intersections is 13.3m and the weighted
average TREO is 934 ppm
o The length weighted average TREO minus Cerium ("TREO-Ce") is 609 ppm,
demonstrating a favourable basket assemblage of high-value rare earths
o Intersections are enriched in high-value rare earths used in permanent
magnets "MREO", where neodymium + praseodymium + dysprosium + terbium equate
to 24% of the TREO
o The length weighted average of scandium oxide (Sc(2)O(3)) is 30 ppm which
is comparable to other REE associated resources. Scandium is an element
utilised in aviation, is in growing demand and is often associated with clay
hosted REE deposits
· REE mineralisation remains open to the north, east and west of the
defined REE mineralisation footprint
· Results provide favourable drill density to contribute to a planned
maiden REE resource estimate
· Highlight intersections above and proximal to gold mineralisation at
Clarke include:
o CBAC0021 intersects 14m at 3,703 ppm TREO from 18m, including 6m at 6,648
ppm TREO from 22m
o CBAC0022 intersects 10m at 2,220 ppm TREO from 42m, including 2m at 8,163
ppm TREO from 48m
o CBAC0023 intersects 34m at 854 ppm TREO from 16m, including 4m at 1,205
ppm TREO from 34m
o CBAC0027 intersects 26m at 928 ppm TREO from 14m, including 6m at 2,046
ppm TREO from 22m
o CBAC0019 intersects 26m at 793 ppm TREO from 26m
o CBAC0026 intersects 22m at 704 ppm TREO from 16m
o CBAC0012 intersects 12m at 1,212 ppm TREO from 18m
o CBAC0008 intersects 2m at 789 ppm TREO and 17m at 1,515 ppm TREO from 56m
o CBAC0007 intersects 22m at 672 ppm TREO from 22m
o CBAC0016 intersects 10m at 965 ppm TREO from 14m
· Multi-element pathfinder chemistry remains outstanding for all
drillholes. Gold and REE assays are outstanding for the remaining 62
drillholes and are expected to be received over the coming weeks
Further information pertaining to reported results
The Clarke gold and REE prospect is located 1.75 km north of the 94,000 oz
Baggy Green gold deposit that forms part of the Wudinna Project's 211,000 oz
gold Mineral Resource Estimate ("MRE"). In Cobra's maiden 2020 drilling
programme, drilling intersected 31m at 3.06 g/t to the north of previously
intercepted gold mineralisation at the Clarke prospect.
RC drilling in November 2021 defined broad intersections of clay hosted
mineralisation above and proximal to intersected gold mineralisation. A
comprehensive re-analysis programme has defined extensive REE mineralisation
over a 4 km(2) footprint:
· Elevated REE mineralisation occurs within the weathered saprolite
zone, above and proximal to gold mineralisation across the Clarke and Baggy
Green prospects
· XRD analysis performed by the CSIRO supports that a component of
REE bursary is adsorbed to the primary clay particles being kaolin and
montmorillonite in similar fashion to the highly desirable Ion Adsorbed Clay
("IAC") hosted deposits of southern China
· Preliminary metallurgical test work focusing on extraction
techniques adopted to ionic phase mineralisation using H(2)SO(4) as a
lixiviant and performed by ANSTO yielded recoveries of up to 34% TREE ("Total
Rare Earth Element") from samples across two holes at Clarke
· Further re-analysis of historic drilling demonstrates
considerable regional scalability
Results from this programme at Clarke were intended to:
1. De-risk follow-up RC drilling that will enable intersected gold
mineralisation at Clarke to be incorporated into an updated MRE
2. Validate REE intersections defined from the re-analysis of pulps
retained from historic drill programmes
3. Infill and extend REE mineralisation for the incorporation into a
maiden REE mineral resource estimate
Significant and anomalous gold intersections from the aircore programme and
significant REE oxide intersections are defined in tables 1 and 2 below.
· The intersected strike of gold mineralisation at Clarke now
exceeds 500m
· Results support the current lode interpretation striking WNW and
dipping moderately to the NE
· Mineralisation remains open to the northwest of drillhole
CBAC0014 that intersected 12m at 1.25 g/t gold
· Follow-up RC drilling will test down-dip continuities of highly
anomalous gold in saprolite
· REE mineralisation remains open in all directions, whilst
intersection widths and higher REE grades will contribute favourably to a
maiden REE estimate at Clarke
The location of reported gold and REE intersections is demonstrated in Figure
1 below:
Figure 1: Significant intersections and collar locations from the reported 29
holes at Clarke
Table 1: Significant and anomalous gold intersections from the June 2022
aircore drilling programme, reported as downhole intersections
BHID DH From (m) DH To Interval (m) Au g/t Including
(m)
CBAC0014 18 30 12 1.25 6m at 2.29 g/t Au [22 - 28m]
CBAC0020 12 38 26 0.22 2m at 0.9 g/t Au [16 - 18m]
CBAC0005 10 12 2 0.12
CBAC0007 14 32 18 0.11
CBAC0008 26 28 2 0.11
CBAC0008 38 40 2 0.12
CBAC0009 20 32 12 0.10
CBAC0010 22 24 2 0.19
CBAC0027 16 22 6 0.31
CBAC0011 38 40 2 0.11
CBAC0013 18 30 12 0.29
CBAC0016 14 24 10 0.16
CBAC0017 50 58 8 0.12
Table 2: Significant rare earth oxide intersections, reported as downhole and
true width
BHID DH From (m) DH To (m) Interval (m) Au g/t Including
CBAC0005 10 12 2 0.11
CBAC0007 14 32 18 0.12
CBAC0008 26 28 2 0.10
CBAC0008 38 40 2 0.19
CBAC0009 20 32 12 0.12
CBAC0010 22 24 2
CBAC0008 38 40 2 0.16
CBAC0009 18 30 12 0.12
CBAC0014 18 30 12 0.12 6m at 2.29 g/t Au [22 - 28m]
BHID DH From (m) DH To (m) DH Int (m) TREO + Y (ppm) Neodymium Praseodymium Terbium Dysprosium MREO % Scandium
Nd2O3 Pr6O11 Tb4O7 Dy2O3 Sc2O3
ppm % TREO ppm % TREO ppm % TREO ppm % TREO ppm
CBAC0005 16 20 4 976 161 16.5% 42 4.3% 3.7 0.4% 21 2.2% 23% 20
CBAC0006 36 40 4 772 119 15.4% 33 4.3% 2.6 0.3% 16 2.1% 22% 38
CBAC0007 38 60 22 672 122 18.2% 34 5.1% 2.4 0.4% 14 2.1% 26% 25
inc 38 40 2 1,296 253 19.6% 77 5.9% 4.6 0.4% 25 1.9% 28% 39
CBAC0008 38 40 2 789 142 18.0% 41 5.2% 2.6 0.3% 14 1.8% 25% 103
and 56 73 17 1,515 232 15.3% 59 3.9% 7.7 0.5% 47 3.1% 23% 23
inc 64 73 9 2,296 339 14.8% 86 3.7% 12.5 0.5% 78 3.4% 22% 29
CBAC0009 40 50 10 897 162 18.1% 45 5.1% 3.0 0.3% 17 1.9% 25% 22
CBAC0010 28 42 14 707 107 15.2% 29 4.2% 1.7 0.2% 10 1.4% 21% 12
CBAC0011 34 40 6 562 101 17.9% 27 4.9% 1.6 0.3% 9 1.6% 25% 32
CBAC0012 28 40 12 1,212 210 17.3% 59 4.9% 4.2 0.3% 25 2.1% 25% 30
CBAC0013 28 34 6 548 115 20.9% 32 5.8% 1.7 0.3% 9 1.7% 29% 18
CBAC0014 40 60 20 567 86 15.1% 23 4.0% 2.2 0.4% 14 2.4% 22% 26
CBAC0015 14 22 8 552 93 16.9% 26 4.8% 2.2 0.4% 13 2.3% 24% 20
CBAC0016 14 24 10 965 167 17.3% 46 4.7% 3.7 0.4% 21 2.2% 25% 25
CBAC0017 42 46 4 515 80 15.5% 22 4.2% 1.4 0.3% 8 1.5% 21% 20
CBAC0018 26 42 16 537 94 17.5% 25 4.7% 1.7 0.3% 10 1.8% 24% 22
CBAC0019 24 50 26 793 133 16.8% 36 4.5% 2.8 0.3% 16 2.0% 24% 35
CBAC0020 42 46 4 837 98 11.7% 25 3.0% 5.4 0.6% 38 4.5% 20% 18
CBAC0021 18 32 14 3,703 662 17.9% 162 4.4% 14.2 0.4% 81 2.2% 25% 32
inc 22 28 6 6,648 1203 18.1% 295 4.4% 25.6 0.4% 146 2.2% 25% 36
CBAC0022 42 52 10 2,220 436 19.6% 106 4.8% 10.2 0.5% 60 2.7% 28% 53
inc 48 50 2 8,163 1573 19.3% 372 4.6% 38.9 0.5% 231 2.8% 27% 87
CBAC0023 16 50 34 854 149 17.5% 40 4.7% 3.3 0.4% 19 2.2% 25% 30
inc 34 38 4 1,205 273 22.6% 67 5.6% 6.0 0.5% 33 2.7% 31% 46
CBAC0024 34 46 12 510 78 15.2% 21 4.2% 1.8 0.4% 11 2.1% 22% 51
CBAC0025 28 36 8 745 137 18.3% 37 5.0% 2.6 0.4% 15 2.0% 26% 25
CBAC0026 16 38 22 704 118 16.7% 32 4.6% 1.8 0.3% 10 1.4% 23% 35
CBAC0027 14 40 26 928 163 17.6% 44 4.7% 3.6 0.4% 20 2.2% 25% 42
inc 22 28 6 2,046 354 17.3% 93 4.5% 7.6 0.4% 43 2.1% 24% 52
CBAC0028 20 44 24 525 99 18.9% 27 5.2% 2.1 0.4% 12 2.3% 27% 27
CBAC0029 26 36 10 574 88 15.4% 25 4.3% 2.0 0.4% 12 2.1% 22% 34
Further Information regarding the aircore drilling programme
Aircore drilling is a low-cost, low-disturbance drilling process that enables
samples to be collected through the weathered horizon and into the top of hard
rock basement. The process has been employed to identify pathfinder minerals
associated with gold mineralisation whose properties provide greater
resistance to secondary weathering processes - and are retained within the
saprolite horizon - than gold, which is readily mobilised. The nature of the
saprolite hosted REE mineralisation enables means aircore drilling is the
primary process to test clay hosted REE mineralisation.
The programme has been designed to de-risk higher cost RC drilling, whilst
enabling the evaluation of REEs enriched within the kaolinised clays of the
saprolite horizon. The derived multi-chemistry dataset is designed to
value-add through:
· Intersecting shallow gold mineralisation proximal to known gold
prospects
· Defining REE mineralisation within the weathered saprolite horizon
· Providing basement rock pathfinder chemistry to advance targeting
at regional gold and IOCG targets
Results presented within this announcement relate to 29 holes drilled at the
Clarke prospect. Assays from a further 62 holes are expected in the coming
weeks. Outstanding assays relate to:
· An additional 6 holes from the Clarke prospect testing shallow gold
zones and infilling high grade REE mineralisation south of defined gold zones
and a further 12 holes testing broader structures proximal to Baggy Green and
Clarke mineralisation
· Thompson: 9 holes testing the along strike continuity of REE
mineralisation in follow-up to historic drillhole re-analysis which included
SCH-0922 that intersected 31m at 1,427 ppm TREO, including 12m at 3,168 ppm
TREO
· IOCG geophysical anomalies: 11 drillholes yielding maiden samples from
hard rock at IOCG targets 1-3
· Barns and White Tank: 11 drillholes testing gold resource extensions,
and variances in saprolite geochemistry
· Anderson: 6 holes testing REE prospectivity across a regionally
significant structure and following up reported REE mineralisation where
WUD1-0231 intersected 18m at 2,024 ppm TREO from 24m, including 12m at 2,767
ppm TREO from 30m, above the previously reported 1m at 1.013 g/t gold from 79m
· Regional targets: a further 16 holes across 5 regional targets,
following up anomalous gold in calcrete and perspective clay hosted REE
potential
Further re-analysis of historic drilling
The Company's growing dataset of REE results has highlighted the significance
of REE mineralisation at several regional targets tested in Stage 4
re-analysis, reported on 20 June 2022. Both the Thompson and Anderson
prospects yield high basket assemblages of heavy rare earths and high-value
magnet rare earths (Figure 2), whilst the presence of montmorillonite and
illite clays and varied chemical assemblages support the potential for a
greater bursary of Ion Adsorption mineralisation.
As a result, an additional 750 samples from 70 holes at Thompson and 6 holes
from Anderson have been submitted for REE analysis. The results of are
anticipated in late September 2022. Drillholes from Thompson have been
selected at a 200m by 1,000m spacing over an area representing ~25 km(2). This
re-analysis shall enable the Thompson prospect to be considered in a maiden
REE resource estimate.
Figure 2: Graphed Assemblage of REEs from significant intersections reported
from pulp re-analyses, demonstrating the increased composition of high-value
REEs at Thompson and Anderson prospects.
The location of reported drillholes and outstanding aircore drillholes, and
holes for further re-analysis are detailed in Figure 3 below.
Figure 3: Drillhole collar locations 91 aircore and the planned additional
re-analyses of 76 holes from Thompson and Anderson.
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) +44 (0)20 7469 0932
Duncan Vasey
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 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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Wudinna Project Description
The Eyre Peninsula Gold Joint Venture comprises a 1,832 km(2) land holding,
that forms part of the Company's 3,262 km(2) landholding in the Gawler Craton.
The Wudinna Gold Project within the Joint Venture tenement holding comprises a
cluster of gold prospects which includes the Barns, White Tank and Baggy Green
deposits.
Competent Persons Statement
Information and data presented within this announcement has been compiled by
Mr Robert Blythman, a Member of the Australian Institute of Geoscientists
("MAIG"). Mr Blythman is a Consultant to Cobra Resources Plc and has
sufficient experience, which is relevant to the style of mineralisation,
deposit type and to the activity which he is undertaking to qualify as a
Competent Person defined by the 2012 Edition of the Australasian Code for
Reporting Exploration Results, Mineral Resources and Ore Reserves (the "JORC"
Code). This includes 10 years of Mining, Resource Estimation and Exploration
relevant to the style of mineralisation.
Information in this announcement has been assessed by Mr Rupert Verco, a
Fellow of the Australasian Institute of Mining and Metallurgy ("FAusIMM"). Mr
Verco an employee of Cobra Resources Plc has more than 16 years relevant
industry experience, which is relevant to the style of mineralisation, deposit
type and to the activity which he is undertaking to qualify as a Competent
Person as defined in the 2012 Edition of the Australasian Code for Reporting
Exploration Results, Mineral Resources and Ore Reserves (the "JORC" Code).
This includes 10 years of Mining, Resource Estimation and Exploration relevant
to the style of mineralisation.
Information in this announcement relates to exploration results that have been
reported in the following announcements:
"Wudinna Project Update - Initial Gold and Rare Earth Results", dated 14
December 2021
"Wudinna Project Update - Re-Analysis Defines Large Rare Earth Mineralisation
Footprint Above Baggy Green and Clarke Gold Mineralisation", dated 4 May 2022
"Wudinna Project Update - Northern Drillholes at Clarke Intersect Additional
Gold Mineralisation, Additional Rare Earth Intersections Directly Above Gold
Zones", dated 7 February 2022
"Wudinna Project Update - Stage 4 Re-Analysis Demonstrates Large Scalability
of Rare Earth Mineralisation, Preliminary Metallurgical Testing Provides
Encouraging Recovery Potential", dated 20 June 2022
JORC Code, 2012 Edition - Table 1 report template
Section 1 Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections.)
Criteria JORC Code explanation Commentary
Sampling techniques · Nature and quality of sampling (eg cut channels, random chips, or · Sampling during Cobra Resources 2022 AC drilling program at the
specific specialised industry standard measurement tools appropriate to the Clarke Prospect was obtained through air core (AC) drilling methods.
minerals under investigation, such as down hole gamma sondes, or handheld XRF
instruments, etc). These examples should not be taken as limiting the broad · Historic RC and RAB drilling methods have been employed at Clarke
meaning of sampling. and Baggy Green prospects since 2000. Rotary air-core and Reverse Circulation
(RC) drilling occurred in 2021 and were used to aid in the programme design
· Include reference to measures taken to ensure sample representivity but have not been used for grade estimations or defining results that are
and the appropriate calibration of any measurement tools or systems used. reported in this announcement.
· Aspects of the determination of mineralisation that are Material to · Two meter samples were collected in 20l buckets via a rig mounted
the Public Report. cyclone. An aluminum scoop was used to collect a 2-4kg sub sample from meach
bucket. Samples were taken from the point of collar, but only samples from the
· In cases where 'industry standard' work has been done this would be commencement of saprolite were selected for analysis.
relatively simple (eg 'reverse circulation drilling was used to obtain 1 m
samples from which 3 kg was pulverised to produce a 30 g charge for fire · Samples submitted to the Genalysis Intertek Laboratories, Adelaide
assay'). In other cases more explanation may be required, such as where there and pulverized to produce the 25g fire assay charge and 4 acid digest sample.
is coarse gold that has inherent sampling problems. Unusual commodities or
mineralisation types (eg submarine nodules) may warrant disclosure of detailed · A summary of previous drilling at the Clarke Prospect is outlined
information. in the Cobra Resources RNS number 7923A from 7(th) February 2022
Drilling techniques · Drill type (eg core, reverse circulation, open-hole hammer, rotary air · Drilling completed by McLeod Drilling Pty Ltd using 75.7mm NQ air
blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple or core drilling techniques from an ALMET Aircore rig mounted on a Toyota
standard tube, depth of diamond tails, face-sampling bit or other type, Landcruiser 6x6 and a 200psi, 400cfm Sullair compressor.
whether core is oriented and if so, by what method, etc).
Drill sample recovery · Method of recording and assessing core and chip sample recoveries and · Sample recovery was generally good with water being intersected in
results assessed. less than 10% of the drilled holes. All samples were recorded for sample type,
quality and contamination potential and entered within a sample log.
· Measures taken to maximise sample recovery and ensure representative
nature of the samples. · In general, sample recoveries were good with 20-25kg for each two
meter interval being recovered.
· Whether a relationship exists between sample recovery and grade and
whether sample bias may have occurred due to preferential loss/gain of · No relationships between sample recovery and grade have been
fine/coarse material. identified.
Logging · Whether core and chip samples have been geologically and · All drill samples were logged by an experienced geologist at the
geotechnically logged to a level of detail to support appropriate Mineral time of drilling. Lithology, colour, weathering and moisture were documented.
Resource estimation, mining studies and metallurgical studies.
· All drilled metres were logged.
· Whether logging is qualitative or quantitative in nature. Core (or
costean, channel, etc) photography. · Logging is generally qualitative in nature.
· The total length and percentage of the relevant intersections logged. · All AC drill metres has been geologically logged on two metre
intervals (1,269m in total).
Sub-sampling techniques and sample preparation · If core, whether cut or sawn and whether quarter, half or all core · The use of an aluminum scoop to collect the required 2-4kg of
taken. sub-sample from each 2m sample length controlled the sample volume submitted
to the lab.
· If non-core, whether riffled, tube sampled, rotary split, etc and
whether sampled wet or dry. · Additional sub-sampling was performed through the preparation and
processing of samples according to the laboratories internal protocols.
· For all sample types, the nature, quality and appropriateness of the
sample preparation technique. · Duplicate samples were collected from the sample buckets using an
aluminium scoop at a 1 in 50 sample frequency.
· Quality control procedures adopted for all sub-sampling stages to
maximise representivity of samples. · Sample sizes were appropriate for the material being sampled.
· Measures taken to ensure that the sampling is representative of the in · Assessment of duplicate results indicated this sub - sample method
situ material collected, including for instance results for field provided good repeatability for rare earths and lower repeatability for gold.
duplicate/second-half sampling.
· Whether sample sizes are appropriate to the grain size of the material
being sampled.
Quality of assay data and laboratory tests · The nature, quality and appropriateness of the assaying and laboratory · Samples were submitted to Genalysis Intertek Laboratories, Adelaide
procedures used and whether the technique is considered partial or total. for preparation and analysis.
· For geophysical tools, spectrometers, handheld XRF instruments, etc, · Gold quantity was analysed using 25g fire assay techniques
the parameters used in determining the analysis including instrument make and (FA25/OE04) that utilizes a 25 g lead collection fire assay with ICP-OES
model, reading times, calibrations factors applied and their derivation, etc. finish to deliver reportable precision to 0.005 ppm.
· Nature of quality control procedures adopted (eg standards, blanks, · Multi element geochemistry were digested by four acid ICP-MS and
duplicates, external laboratory checks) and whether acceptable levels of analysed for Ag, Ce, Cu, Dy, Er, Eu, Gd, Ho, La, Lu, Na, Nd, Pr, Sc, Sm, Tb,
accuracy (ie lack of bias) and precision have been established. Th, Tm, U, Y and Yb.
· Field blanks and standards were submitted at a frequency of 1 in 50
samples.
· Field duplicate samples were submitted at a frequency of 1 in 50
samples
· Reported assays are to acceptable levels of accuracy and precision.
Verification of sampling and assaying · The verification of significant intersections by either independent or · Sampling data was recorded in field books, checked upon digitizing
alternative company personnel. and transferred to database.
· The use of twinned holes. · Geological logging was undertaken digitally via the MX Deposit
logging interface and synchronized to the database at least daily during the
· Documentation of primary data, data entry procedures, data drill program
verification, data storage (physical and electronic) protocols.
· Compositing of assays was undertaken and reviewed by Cobra Staff.
· Discuss any adjustment to assay data.
· Original copies of lab assay data are retained digitally on the
Cobra server for future reference.
· Physical copies of field sampling books are retained by Cobra for
future reference.
· Significant intercepts have been prepared by Mr Rupert Verco and
reviewed by Mr Robert Blythman
Location of data points · Accuracy and quality of surveys used to locate drill holes (collar and · Collar locations were surveyed using Google Pixel 6 mobile phone
down-hole surveys), trenches, mine workings and other locations used in utilizing the Avenza Map app. Collar points recorded with a horizontal
Mineral Resource estimation. accuracy within 5m.
· Specification of the grid system used. · Locations are recorded in geodetic datum GDA 94 zone 53.
· Quality and adequacy of topographic control. · no downhole surveying was undertaken. All holes were set up
vertically and are assumed vertical.
· Collar elevations have been projected to the Australian Height
Datum surface.
· The survey methods applied are considered adequate as an indicator
of mineralization. More accurate survey methods would be required for use in a
gold Mineral Resource estimation, in particular elevation.
Data spacing and distribution · Data spacing for reporting of Exploration Results. · Drillhole spacing was designed on transects 50 to 80m apart.
Drillholes generally 50 - 60m apart on these transects but up to 70m apart.
· Whether the data spacing and distribution is sufficient to establish
the degree of geological and grade continuity appropriate for the Mineral · Additional scouting holes were drilled opportunistically on
Resource and Ore Reserve estimation procedure(s) and classifications applied. existing tracks at spacings 25-150m from previous drillholes.
· Whether sample compositing has been applied. · All holes were vertical.
· Data spacing is considered adequate for a saprolite hosted rare
earth Mineral Resource estimation. Further drilling at a closer spacing would
be required for use in a gold Mineral Resource estimation.
· No sample compositing has been applied
Orientation of data in relation to geological structure · Whether the orientation of sampling achieves unbiased sampling of · The program was designed to increase confidence of the NW striking
possible structures and the extent to which this is known, considering the interpretation of gold mineralization and test the extents of saprolite hosted
deposit type. rare earth mineralization. Vertical drillholes provide are not considered to
present any down dip bias for gold based on the indicative nature of the
· If the relationship between the drilling orientation and the drilling results.
orientation of key mineralised structures is considered to have introduced a
sampling bias, this should be assessed and reported if material. · Vertical drillholes allow for an unbiased testing of the horizontal
saprolite hosted rare earth mineralization.
· Drilling results are not presented as true width but are not
considered to present any down-dip bias.
Sample security · The measures taken to ensure sample security. · Transport of samples to Adelaide was undertaken by a competent
independent contractor. Samples were packaged in zip tied polyweave bags in
bundles of 5 samples at the drill rig and transported in larger bulka bags by
batch while being transported.
Audits or reviews · The results of any audits or reviews of sampling techniques and data. · No laboratory audit or review has been undertaken.
· Genalysis Intertek Laboratories Adelaide are a NATA (National
Association of Testing Authorities) accredited laboratory, recognition of
their analytical competence.
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
Criteria JORC Code explanation Commentary
Mineral tenement and land tenure status · Type, reference name/number, location and ownership including · This drilling program has been carried out on EL 6131, currently
agreements or material issues with third parties such as joint ventures, owned 100% by Peninsula Resources limited, a wholly owned subsidiary of
partnerships, overriding royalties, native title interests, historical sites, Andromeda Metals Limited.
wilderness or national park and environmental settings.
· Alcrest Royalties Australia Pty Ltd retains a 1.5% NSR royalty over
· The security of the tenure held at the time of reporting along with future mineral production from both licences.
any known impediments to obtaining a licence to operate in the area.
· Baggy Green, Clarke, Laker & the IOCG targets are located
within Pinkawillinnie Conservation Park. Native Title Agreement has been
negotiated with the NT Claimant and has been registered with the SA
Government.
· Aboriginal heritage surveys have been completed over the Baggy
Green project area, with no sites located in the immediate vicinity.
· A Native Title Agreement is in place with the relevant Native Title
party.
Exploration done by other parties · Acknowledgment and appraisal of exploration by other parties. • On-ground exploration completed prior to Andromeda Metals' work
was limited to 400 m spaced soil geochemistry completed by Newcrest Mining
Limited over the Barns prospect.
· Other than the flying of regional airborne geophysics and coarse
spaced ground gravity, there has been no recorded exploration in the vicinity
of the Baggy Green deposit prior to Andromeda Metals' work.
Geology · Deposit type, geological setting and style of mineralisation. · The deposits are either lode gold or intrusion type mineralization
related to the 1590 Ma Hiltaba/ GRV tectonothermal event.
· Gold mineralization has a spatial association with mafic
intrusions/ granodiorite alteration and is associated with metasomatic
alteration of host rocks.
· Rare earth minerals occur within the kaolinized saprolite horizon.
Preliminary work supports IAC (Ion Adsorbed Clay) mineralisation. Further work
is planned to define mineralogy and nature of mineral occurrence.
· A summary of all information material to the understanding of the · The report includes a tabulation of drillhole collar information
exploration results including a tabulation of the following information for and associated interval grades to allow an understanding of the results
all Material drill holes: reported herein.
o easting and northing of the drill hole collar · Sections have not been provided as the nature vertical drilling
does not enable accurate interpretation of mineralized gold lodes.
o elevation or RL (Reduced Level - elevation above sea level in metres) of
the drill hole collar · Sections will be produced upon the completion of planned RC
drilling.
o dip and azimuth of the hole
o down hole length and interception depth
o hole length.
· 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.
Data aggregation methods · In reporting Exploration Results, weighting averaging techniques, · Reported summary intercepts are weighted averages based on length.
maximum and/or minimum grade truncations (eg cutting of high grades) and
cut-off grades are usually Material and should be stated. · No maximum/ minimum grade cuts have been applied.
· Where aggregate intercepts incorporate short lengths of high grade · No metal equivalent values have been calculated.
results and longer lengths of low grade results, the procedure used for such
aggregation should be stated and some typical examples of such aggregations · Rare earth element analyses were originally reported in elemental
should be shown in detail. form and have been converted to relevant oxide concentrations in line with
industry standards. Conversion factors tabulated below:
· The assumptions used for any reporting of metal equivalent values
Element Oxide Factor
should be clearly stated. Cerium CeO2 1.2284
Dysprosium Dy2O3 1.1477
Erbium Er2O3 1.1435
Europium Eu2O3 1.1579
Gadolinium Gd2O3 1.1526
Holmium Ho2O3 1.1455
Lanthanum La2O3 1.1728
Lutetium Lu2O3 1.1371
Neodymium Nd2O3 1.1664
Praseodymium Pr2O3 1.1703
Scandium Sc2O3 1.5338
Samarium Sm2O3 1.1596
Terbium Tb2O3 1.151
Thulium Tm2O3 1.1421
Yttrium Y2O3 1.2699
Ytterbium Yb2O3 1.1387
· The reporting of REE oxides is done so in accordance with industry
standards with the following calculations applied:
o TREO = La2O3 + CeO2 + Pr6O11 + Nd2O3 + Sm2O3 + Eu2O3 + Gd2O3 + Tb4O7 +
Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 + Yb2O3 + Lu2O3 + Y2O3
o CREO = Nd2O3 + Eu2O3 + Tb4O7 + Dy2O3 + Y2O3
o LREO = La2O3 + CeO2 + Pr6O11 + Nd2O3
o HREO = Sm2O3 + Eu2O3 + Gd2O3 + Tb4O7 + Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 +
Yb2O3 + Lu2O3 + Y2O3
o NdPr = Nd2O3 + Pr6O11
o TREO-Ce = TREO - CeO2
o % Nd = Nd2O3/ TREO
o %Pr = Pr6O11/TREO
o %Dy = Dy2O3/TREO
o %HREO = HREO/TREO
o %LREO = LREO/TREO
Relationship between mineralisation widths and intercept lengths · These relationships are particularly important in the reporting of · This drilling programme is designed to confirm the orientation and
Exploration Results. continuity of mineralisation. Preliminary results support unbiased testing of
mineralized structures.
· If the geometry of the mineralisation with respect to the drill hole
angle is known, its nature should be reported. · Previous holes drilled have been drilled in several orientations
due to the unknown nature of mineralisation.
· 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 · The work completed to date is not considered robust to adequately
not known'). define mineralisation geometry.
Diagrams · Appropriate maps and sections (with scales) and tabulations of · Plan maps are referenced that demonstrate results of interest.
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.
Balanced reporting · Where comprehensive reporting of all Exploration Results is not · Referenced Plans detail the extent of drilling and the locations of
practicable, representative reporting of both low and high grades and/or both high and low grades. Comprehensive results are reported.
widths should be practiced to avoid misleading reporting of Exploration
Results.
Other substantive exploration data · Other exploration data, if meaningful and material, should be reported · Significant gold intersects of previous drilling is not tabulated
including (but not limited to): geological observations; geophysical survey or referenced on plans
results; geochemical survey results; bulk samples - size and method of
treatment; metallurgical test results; bulk density, groundwater, geotechnical · Refer to previous announcements listed in rns for previous REE
and rock characteristics; potential deleterious or contaminating substances. results and metallurgical testing and detailed gold intersections.
Further work · The nature and scale of planned further work (eg tests for lateral · Further slimline RC drilling is planned to test for both lateral
extensions or depth extensions or large-scale step-out drilling). and depth extensions. The complete results from this programme will form the
foundation for a maiden resource estimation at Clarke.
· Diagrams clearly highlighting the areas of possible extensions,
including the main geological interpretations and future drilling areas,
provided this information is not commercially sensitive.
· The reporting of REE oxides is done so in accordance with industry
standards with the following calculations applied:
o TREO = La2O3 + CeO2 + Pr6O11 + Nd2O3 + Sm2O3 + Eu2O3 + Gd2O3 + Tb4O7 +
Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 + Yb2O3 + Lu2O3 + Y2O3
o CREO = Nd2O3 + Eu2O3 + Tb4O7 + Dy2O3 + Y2O3
o LREO = La2O3 + CeO2 + Pr6O11 + Nd2O3
o HREO = Sm2O3 + Eu2O3 + Gd2O3 + Tb4O7 + Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 +
Yb2O3 + Lu2O3 + Y2O3
o NdPr = Nd2O3 + Pr6O11
o TREO-Ce = TREO - CeO2
o % Nd = Nd2O3/ TREO
o %Pr = Pr6O11/TREO
o %Dy = Dy2O3/TREO
o %HREO = HREO/TREO
o %LREO = LREO/TREO
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.
· 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').
· This drilling programme is designed to confirm the orientation and
continuity of mineralisation. Preliminary results support unbiased testing of
mineralized structures.
· Previous holes drilled have been drilled in several orientations
due to the unknown nature of mineralisation.
· The work completed to date is not considered robust to adequately
define mineralisation geometry.
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.
· Plan maps are referenced that demonstrate results of interest.
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.
· Referenced Plans detail the extent of drilling and the locations of
both high and low grades. Comprehensive results are 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.
· Significant gold intersects of previous drilling is not tabulated
or referenced on plans
· Refer to previous announcements listed in rns for previous REE
results and metallurgical testing and detailed gold intersections.
Further work
· The nature and scale of planned further work (eg tests for lateral
extensions or depth extensions or large-scale step-out drilling).
· Diagrams clearly highlighting the areas of possible extensions,
including the main geological interpretations and future drilling areas,
provided this information is not commercially sensitive.
· Further slimline RC drilling is planned to test for both lateral
and depth extensions. The complete results from this programme will form the
foundation for a maiden resource estimation at Clarke.
Appendices
Appendices 1: Collar locations of reported and outstanding drill results
Hole ID Hole type Easting Northing Depth (m) Dip Assays Received/ Reported
Au REE Multi-Element
CBAC001 AC 546,763 6,364,519 17 -90 Y Y N
CBAC002 AC 546,729 6,364,615 13 -90 Y Y N
CBAC003 AC 546,848 6,364,656 15 -90 Y Y N
CBAC004 AC 546,948 6,364,681 21 -90 Y Y N
CBAC005 AC 546,824 6,364,730 22 -90 Y Y N
CBAC006 AC 547,033 6,365,380 40 -90 Y Y N
CBAC007 AC 546,887 6,365,294 69 -90 Y Y N
CBAC008 AC 546,833 6,365,265 73 -90 Y Y N
CBAC009 AC 546,787 6,365,239 52 -90 Y Y N
CBAC010 AC 546,744 6,365,213 42 -90 Y Y N
CBAC011 AC 546,779 6,365,151 40 -90 Y Y N
CBAC012 AC 546,945 6,365,239 40 -90 Y Y N
CBAC013 AC 546,885 6,365,206 59 -90 Y Y N
CBAC014 AC 546,832 6,365,179 61 -90 Y Y N
CBAC015 AC 546,955 6,365,177 34 -90 Y Y N
CBAC016 AC 546,904 6,365,149 58 -90 Y Y N
CBAC017 AC 546,860 6,365,129 60 -90 Y Y N
CBAC018 AC 546,814 6,365,105 48 -90 Y Y N
CBAC019 AC 546,798 6,365,066 54 -90 Y Y N
CBAC020 AC 546,936 6,365,061 54 -90 Y Y N
CBAC021 AC 546,885 6,365,085 55 -90 Y Y N
CBAC022 AC 546,825 6,365,022 54 -90 Y Y N
CBAC023 AC 546,860 6,364,978 54 -90 Y Y N
CBAC024 AC 547,114 6,364,887 48 -90 Y Y N
CBAC025 AC 547,182 6,364,880 48 -90 Y Y N
CBAC026 AC 547,206 6,364,822 42 -90 Y Y N
CBAC027 AC 547,152 6,364,826 48 -90 Y Y N
CBAC028 AC 547,101 6,364,840 51 -90 Y Y N
CBAC029 AC 547,050 6,364,830 40 -90 Y Y N
CBAC030 AC 547,062 6,364,887 50 -90 N N N
CBAC031 AC 547,013 6,364,864 48 -90 N N N
CBAC032 AC 547,298 6,364,763 30 -90 N N N
CBAC033 AC 547,202 6,364,772 39 -90 N N N
CBAC034 AC 547,100 6,364,779 48 -90 N N N
CBAC035 AC 545,075 6,365,851 28 -90 N N N
CBAC036 AC 545,063 6,365,252 36 -90 N N N
CBAC037 AC 545,038 6,364,195 34 -90 N N N
CBAC038 AC 574,706 6,358,835 16 -90 N N N
CBAC039 AC 573,256 6,358,867 25 -90 N N N
CBAC040 AC 571,639 6,359,007 60 -90 N N N
CBAC041 AC 570,239 6,359,082 52 -90 N N N
CBAC042 AC 568,574 6,359,446 34 -90 N N N
CBAC043 AC 568,794 6,359,447 41 -90 N N N
CBAC044 AC 569,050 6,359,447 40 -90 N N N
CBAC045 AC 568,367 6,358,977 55 -90 N N N
CBAC046 AC 568,328 6,362,265 52 -90 N N N
CBAC047 AC 568,826 6,362,054 18 -90 N N N
CBAC048 AC 567,034 6,355,421 29 -90 N N N
CBAC049 AC 566,908 6,355,739 44 -90 N N N
CBAC050 AC 566,542 6,356,670 72 -90 N N N
CBAC051 AC 566,010 6,357,916 27 -90 N N N
CBAC052 AC 568,621 6,362,052 39 -90 N N N
CBAC053 AC 556,208 6,361,649 45 -90 N N N
CBAC054 AC 556,171 6,362,895 44 -90 N N N
CBAC055 AC 556,131 6,363,573 54 -90 N N N
CBAC056 AC 556,152 6,364,782 50 -90 N N N
CBAC057 AC 556,142 6,365,279 47 -90 N N N
CBAC058 AC 543,292 6,366,697 53 -90 N N N
CBAC059 AC 538,454 6,364,865 42 -90 N N N
CBAC060 AC 539,850 6,364,300 26 -90 N N N
CBAC061 AC 540,349 6,367,726 32 -90 N N N
CBAC062 AC 541,086 6,367,426 30 -90 N N N
CBAC063 AC 541,980 6,366,878 28 -90 N N N
CBAC064 AC 542,632 6,366,572 32 -90 N N N
CBAC065 AC 542,963 6,366,472 59 -90 N N N
CBAC066 AC 543,238 6,366,355 26 -90 N N N
CBAC068 AC 541,143 6,364,814 39 -90 N N N
CBAC069 AC 542,085 6,364,556 45 -90 N N N
CBAC070 AC 542,287 6,365,560 30 -90 N N N
CBAC071 AC 541,059 6,365,951 26 -90 N N N
CBAC072 AC 540,703 6,366,144 24 -90 N N N
CBAC073 AC 554,802 6,358,484 30 -90 N N N
CBAC074 AC 555,219 6,355,578 23 -90 N N N
CBAC075 AC 555,045 6,355,594 42 -90 N N N
CBAC076 AC 552,649 6,358,365 44 -90 N N N
CBAC077 AC 550,518 6,358,359 44 -90 N N N
CBAC078 AC 551,286 6,358,365 57 -90 N N N
CBAC079 AC 577,109 6,342,265 41 -90 N N N
CBAC080 AC 576,000 6,342,283 47 -90 N N N
CBAC081 AC 576,500 6,342,270 47 -90 N N N
CBAC082 AC 575,500 6,342,250 28 -90 N N N
CBAC083 AC 575,000 6,342,280 37 -90 N N N
CBAC084 AC 574,500 6,342,240 37 -90 N N N
CBAC085 AC 574,000 6,342,280 45 -90 N N N
CBAC086 AC 573,500 6,342,240 42 -90 N N N
CBAC087 AC 572,805 6,342,277 56 -90 N N N
CBAC088 AC 574,493 6,370,510 36 -90 N N N
CBAC089 AC 569,196 6,369,994 30 -90 N N N
CBAC090 AC 568,942 6,369,157 40 -90 N N N
CBAC091 AC 567,276 6,368,844 30 -90 N N N
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