REG - Empire Metals Ltd - 2023 Exploration Programmes Underway

Empire MetalsAnnouncement

12/01/2023 07:01

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RNS Number : 4307M  Empire Metals Limited  12 January 2023

Empire Metals Limited / LON: EEE / Sector: Natural Resources

 

12 January 2023

Empire Metals Limited

("Empire" or "the Company")

 

2023 Exploration Programmes Underway

at Pitfield and Eclipse-Gindalbie Projects

 

Empire Metals Limited (LON: EEE), the AIM-quoted resource exploration and
development company, is pleased to announce that exploration field work is
progressing well at the Pitfield Copper Project ("Pitfield"), and that
drilling has also recommenced at the Eclipse-Gindalbie Project, both located
in Western Australia.

 

Highlights

·    Field work at Pitfield has been focused on under-explored areas of
the project to generate new exploration data that will add significantly to
the Company's understanding of the size and nature of this potential "Giant"
copper province.

·    Pitfield has the potential to contain multiple sediment-hosted
stratabound copper ("SSC") deposits across a 40km N-S magnetic anomaly (as
announced on 21 September 2022).

·    Empire's exploration team has completed two field campaigns,
collecting soil and rock samples as well as surface mapping of geological
features.

·    Surface mapping has resulted in a number of rock samples being
collected which have confirmed copper enrichment along with quartz and
magnetite - all key elements of the SSC model.

·    A contract geophysical survey crew was mobilised in December to
Pitfield and completed five traverses of Dipole - Dipole Induced Polarisation
("DD-IP") for a total of 8,450 Line metres.

·    The aim of the DD-IP survey is to resolve conceptual sediment-hosted
strata bound copper (SSC) mineralisation targets supported by existing
geological mapping and surface sampling results.

·    Further soil sampling and DD-IP surveying is expected to continue in
Q1 2023 with a view to expediting a maiden drill programme at Pitfield to
evaluate the economic potential of SSC targets defined by the current work.

·    At Eclipse-Gindalbie a small Reverse Circulation ("RC") drilling
campaign was carried out, commencing 3 January, targeting a new area around
the historical South Gippsland #3 mine, which to date has been under-explored.

 

Shaun Bunn, Managing Director, said: "Great progress has been made on our two
main exploration camps at Pitfield and Eclipse-Gindalbie over recent weeks as
we set ourselves up for a major exploration push during H1 2023. What is
particularly exciting is that we have found a way to speed up our field
activities at Pitfield, having been able to contract an IP surveying team that
could mobilise to site in mid-December, well ahead of our previously announced
exploration schedule.

 

"Our highly experienced exploration team has now completed two field campaigns
and is currently undertaking a third campaign which completes this initial
phase of geochemical mapping. Once the geophysical data from the DD-IP survey
is interpreted, and the soil and rock sampling assays are received, we will be
in an excellent position to identify potential copper sulphide targets beneath
the surface soil anomalies for an initial drilling campaign at Pitfield."

 

IP Survey Details

Induced Polarisation (IP) is a survey technique where electrodes induce and
measure a potential field in the ground. From this data, the soil
chargeability and apparent resistivity can be measured.

Over selected areas, from 8 December 2022 to 17 December 2022, Kinematex Pty
Ltd ("Kinematex") carried out five traverses of Dipole - Dipole IP ("DD-IP")
for a total of 8,450 Line metres (refer Table 1).

 

 Name       Length  Min       Min        Max       Max

                    Easting   Northing   Easting   Northing
 Line PM01  2000    367950    6753800    369950    6753800
 Line PM02  1850    368100    6753000    369950    6753000
 Line PM03  1700    368300    6752250    370000    6752350
 Line PM04  1200    370600    6752000    371800    6752000
 Line GC01  1700    370500    6739000    372200    6739000

Table 1.DD-IP Survey Lines completed (GDA2020 MGA Z50)

 

The project area lies upon numerous freehold cropping and grazing lots. The
survey area is characterised by an undulating topography, shallow soil profile
with localised areas of sand cover, mainly steeply-dipping clastic
metasedimentary sequences, local small porphyritic granite intrusions
commensurate with a rift basin setting.

 

Along with the survey data collected the survey team recorded simple field
observations as described by survey line below:

 

Line PM01           6753800mN

The line traversed displayed harvested canola crops, gullies, and an
undulating topography. Malachite and mudstone with copper oxidation was noted
at 368960mE (Sample PT001 & PT002). Small blocks (50mm x 50mm) of clastic
sedimentary rocks were evident in the crop fields.

 

Figure 1. Line PM01

 

Line PM02           6753000mN

 

The line traversed Mt Scratch which displayed thick vegetation, steep escarpments, breakaways, gullies and harvested wheat crops. Topography presented rubbly ferruginous duricrust, coarse conglomerate, volcanic rocks and steeply-dipping clastic sedimentary rocks. A pegmatite sample (PT003) was collected at 369423mE.

Figure 2. Line PM02

 

Line PM03      6752250mN

The line was moved 100m South due to a parallel star picketed fence straddling
native vegetation along the line from approx. 369100mE to 369800mE.
Perpendicular fence intersections are notable at 368608mE & 369890mE. The
line displayed thick vegetation, a steep gully to the west with conglomerate
boulders, and ferruginous duricrust on the eastern and western end of the
line. The remainder of line was underlain by undulating topography and
harvested wheat crops. Small blocks of dark clastic sedimentary rocks are
notable in the wheat crops.

 

Figure 3. Line PM03

 

Line PM04           6752000mN

The line traversed a steep gully with conglomerate boulders to the east with
ferruginous duricrust, epidotised and potassic granite at 370820mE. The
western extents of the line were very conductive.

 

Figure 4. LinePM04

 

Line GC01            6739000mN

The line traversed a small gully to the west and a small area of native
vegetation in the centre of the line. The remainder of the line presents as
moderately undulating harvested wheat crops with small exposures of
ferruginous duricrust, granite and clastic sedimentary rocks. The eastern
extent of the line was sandy and very resistive.

 

Figure 5. Line GC01

 

Field Mapping, Soil and Rock Sampling

Extensive Cu, Ag, Ni and Zn anomalies have previously been highlighted in
historic surface sampling (as announced on 23 November 2022). In the context
of sedimentary rock sequences, copper values >100ppm, nickel >50ppm and
silver >0.5ppm are considered highly anomalous and may indicate the
presence of significant SSC mineral systems. By multiplying the assays for all
four elements to produce an overall  mineralised factor several Cu-Ag-Ni-Zn
anomalous zones, each stretching over several kilometres, become clearer
(Figure 6).

 

The current geological mapping and soil sampling programme aims to both extend
these mineralised zones even further, and define substantial new areas of
metal anomalism compatible with SSC systems. The current work is targeted at
unexplored portions of the project with soil sample lines positioned in the
northern, central and southern areas of the licence.

 

Two field trips have been completed to date, with the third and final field
trip of the phase of the initial geological mapping and soil sampling
programme now underway.  To date, over 550 soil samples have been collected,
along with a number of rock samples of interest, including a malachite-bearing
silicified breccia (copper carbonate mineral), a magnetite-enriched sandstone,
and several samples with intense iron-oxide enrichment. These rock specimens
are particularly encouraging as they confirm the presence of copper enrichment
along with quartz and magnetite - all key elements of the SSC model.

Figure 6. Surface sampling by CRA highlighting combined Cu-Ag-Ni-Zn anomalism
showing soil sampling lines.

 

RC Drilling Campaign at Eclipse-Gindalbie

 

The combined Eclipse-Gindalbie Gold Project consists of two adjacent mining
leases, located near the historic gold mining town of Gindalbie, situated 55km
north-east of Kalgoorlie. Empire holds a 75% interest in the 306ha Eclipse
mining lease (M27/153), which contains the Eclipse and Jack's Dream historical
gold mine workings, and which have been to date the focus of the Company's
drilling campaigns. Since commencing its involvement at Eclipse in August
2020, Empire has completed five exploratory drilling programmes, consisting of
124 RC drill holes for a total of 11,001 metres and nine diamond drill holes
for a total of 1,200 metres.

 

In February 2022 Empire entered into a Tribute Agreement that gives Empire the
exclusive right to explore, develop and mine within a granted area on Maher
Mining's 100% owned mining lease M27/158, which sits adjacent to the eastern
border of the Eclipse licence area and extends the current area for
exploration targets by over 200% to a total of 943ha. The "granted" area
covers 643ha of highly prospective ground containing historic gold mines
located along a series of northwest-southeast striking mineralised trends. The
main trend containing the Company's Eclipse and Jack's Dream deposits aligns
with several of the old workings to the southeast including the Golden Puzzle,
Laurel and Bulletin mines. Other, sub-parallel north-west - south-east
striking trends have been identified which include the Homeward Bound and
South Gippsland #3 mines.

 

Following on from successful drilling campaigns in February 2022 and June
2022, targeting historical gold workings within the Gindalbie licence area,
the Company decided to carry out a small RC campaign consisting of nine RC
drill holes for 770m. This drilling is focused around the historical South
Gippsland #3 mine where previous drilling by the Company found evidence of
kaolin-rich clays within the intensely leached upper part of the weathering
profile. Kaolin is an important source of alumina and hence the Company
decided to drill to test the extent and quality of this material and to
determine what association it may have with the adjacent high grade South
Gippsland #3 gold mine.

 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed
inside information for the purposes of Article 7 of Regulation (EU) No
596/2014, as incorporated into UK law by the European Union (Withdrawal) Act
2018, until the release of this announcement.

 

**ENDS**

 

For further information please visit www.empiremetals.co.uk
(http://www.empiremetals.co.uk)   or contact:

 Empire Metals Ltd                                                                       Tel: 020 7907 9327

 Shaun Bunn / Greg Kuenzel
 S. P. Angel Corporate Finance LLP (Nomad & Broker)                                      Tel: 020 3470 0470

 Ewan Leggat / Adam Cowl
 Shard Capital Partners LLP (Joint Broker)                                               Tel: 020 7186 9950

 Damon Heath
 St Brides Partners Ltd (Financial                                                       Tel: 020 7236 1177
 PR)

 Susie Geliher / Ana Ribeiro / Max Bennett

 

About Empire Metals Limited
Empire Metals is an AIM-listed (LON: EEE) exploration and resource development company with a project portfolio comprising gold interests in Australia and Austria.

 

The Company's strategy is to develop a pipeline of projects at different stages in the development curve. Its initial focus has been on the high-grade Eclipse and Gindalbie Gold Projects in Western Australia.  The Company expanded its exploration licence area in April 2022 from 9.5km(2) to 1,728km(2) with the acquisition of the Pitfield Copper-Gold Project and the Walton Copper-Gold Project in Western Australia, and the Stavely Copper-Gold Project in the Stavely Arc region of Victoria.

 

Empire also holds a portfolio of three precious metals projects located an historically high-grade gold production region comprising the Rotgulden, Schonberg and Walchen prospects in central-southern Austria.

 

The Board continues to evaluate opportunities through which to realise the
value of its wider portfolio and reviews further assets which meet the
Company's investment criteria.

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