REG - Empire Metals Ltd - Exploration Activities Commence: Pitfield Project

Empire MetalsAnnouncement

20/06/2022 07:00

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RNS Number : 3683P  Empire Metals Limited  20 June 2022

 

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

20 June 2022

Empire Metals Limited

 

Exploration Activities Commence at the Pitfield Copper-Gold Project

following the confirmation of strong magnetic stratigraphy/alteration

 

Empire Metals Limited (LON: EEE), the AIM-quoted resource exploration and
development company, is pleased to announce the commencement of its
exploration activities at the 615km(2) Pitfield Copper-Gold Project
('Pitfield'), located in Western Australia.

 

Highlights

·    Start of exploration - the Pitfield project is hosted by
Neoproterozoic rocks coinciding with a globally important copper
mineralisation era known for major copper ("Cu") - gold ("Au") deposits such
as Newcrest Mining Ltd's Telfer Mine, Rio Tinto's Winu Project and the
Havieron project (a joint venture between Newcrest Mining Ltd and Greatland
Gold).

·    Multiple proximal historic copper mines and prospects including the
historic Baxters copper mine at Arrino, which lies along strike, and produced
106 tonnes of copper at a grade between 20-30% Cu. The favourable geology of
the basin has previously attracted major mining companies, including
Kennecott, Carpentaria (MIM), BHP and CRA.

·    Two highly experienced airborne geophysical survey companies engaged
which will separately complete an airborne electromagnetic survey and an
airborne magnetic across the Pitfield tenement area.

·    Confirmed strong magnetic stratigraphy/alteration within the project
area in regional magnetic surveys  flown at 200m line-spacing.

·    Plans for a more detailed magnetic survey to cover the main area of
enhanced magnetic response, which will provide valuable
structural/stratigraphic details and context to geochemical exploration data
to assist with prospect-scale on ground target definition.

·    Empire is also planning an airborne electro-magnetic survey, which
covers the entire project area on 400m line spacing. The key objective is to
map the geology of the Yandanooka basin, in particular to complement the
magnetic data by highlighting potentially preferred host rocks for copper. In
addition, the survey will aim to identify any anomalous conductive areas that
may relate to sulphide accumulations or native copper associated with
mineralised systems.

 

Shaun Bunn, Managing Director, said: "Pitfield represents an exceptional
opportunity for the Company to make a significant new discovery, being in an
extremely favourable confluence of major geological structures and the only
exposure of copper-prospective Neoproterozoic sediments along the western
margin of the Yilgarn. The collection of detailed geophysical data over the
project area will greatly assist with the targeting of copper-gold anomalies
and will guide our on-ground exploration work.

 

"The initiation of exploration activities at Pitfield marks a significant
milestone in the Company's transition to an Australian focused copper-gold
explorer, and, whilst we are still at an early exploration stage at Pitfield,
we look forward to building a compelling geological map and database that
highlights the strong potential for a major copper-gold discovery."

 

The Pitfield Copper-Gold Project

Location and Regional Geology

Pitfield is comprised of a granted Exploration Licence (E70/5465) and an
Exploration Licence Application (E70/5876) covering a total of 615 sq km.
Pitfield is located near Three Springs, a town  313 kilometres north of
Perth, Western Australia on the Midlands Road, which until the opening of the
Brand Highway in 1975 was the main road route from Perth to the state's north.
(refer Figure 1).

 

Figure 1.- Location Map - Showing Regional Geology of the Yilgarn Province and
the location of Pitfield

 

Pitfield lies at a unique setting along the boundary of Western Yilgarn
province, where a major craton-scale structure internal to Southwest Gneiss
province intersects and offsets the Yilgarn margin and controls the position
of the Neoproterozoic Yandanooka basin, the only example of this globally
important copper prospective age adjacent to the western Yilgarn craton.

 

The Neoproterozoic is a globally important copper mineralisation era, which
includes the copper belt of southern Africa (DRC, Zambia and Namibia), and the
highly mineralised Paterson province in the north of Western Australia, host
to major Cu-Au deposits such as Newcrest Mining Ltd's Telfer Mine, Rio Tinto's
Winu Project and the Havieron project (JV between Newcrest Mining Ltd and
Greatland Gold). Both of these major copper provinces are of similar age to
the Yandanooka basin sequence.

 

The emerging Calingiri copper deposits held by Caravel Minerals Ltd are also
localised along this major structure some 150kms to the south, along with the
well-known long-life Three Springs talc mine which lies adjacent to the east
of Pitfield.

 

Local Geology and Historical Mining Activities

Pitfield encompasses much of the highly prospective Neoproterozoic Yandanooka
Group sediments consisting of sandstone, siltstone and polymictic conglomerate
with andesite to trachyte clasts. A rib of the Mesoproterozoic Mullingarra
Gneiss is exposed close to the western margin of the project area.

 

About 25% of the project area is exposed/weathered Proterozoic rocks of the
Yandanooka Group where the known copper prospects are located. There is minor
Permian cover and 70% of the area comprises a shallow transported cover.
Government geophysical surveying shows a gravity-high anomaly which suggests
higher density mafic rocks at depth, which may provide a source for copper
within the project.

 

Major lithological contacts, either within basins or at the basement contact
(particularly transitions between oxidised and reduced rocks) can focus copper
deposition. Pitfield is located along strike from the historic Baxters copper
mine at Arrino which produced 106 tonnes of copper at a grade between 20-30%
Cu which, along with numerous other prospects, demonstrates that the copper
mineralisation process has occurred in the Pitfield area.

 

Geochemical sampling by others has confirmed that a previously identified
magnetic anomaly associated with alteration including magnetite/ hematite,
epidote replacement and fractures and carbonate-quartz veinlets is host to
extensive copper anomalism, extending south from Baxters and with greater than
150ppm Cu in soils identified over a strike length of 7km (refer Figure 2.).
The anomaly remains open to the south and east including over 10km of this
high-intensity magnetic feature within the project which is yet to be
explored. Limited exploration has been undertaken within the project outside a
5km radius from the Baxters mine.

 

 

Figure 2.  Local Geology showing tenements and location of historic mining
activities and 7km copper anomaly south of Baxters.

 

 

Pitfield's favourable geology has attracted major mining companies that have
historically carried out preliminary exploration activities within the area,
including:

 

•     Kennecott (1966) - who completed surface geochemistry and drilled
10 diamond holes in the vicinity of Baxters which intersected strongly
anomalous copper outside the Pitfield licence.

•     Carpentaria (MIM) in early 1980s - who again focussed work close
to the Baxters mine and completed shallow RAB and 4 diamond holes which
returned strongly anomalous copper in several holes with fracture controlled
and disseminated native copper & chalcopyrite observed (including "DH3a"
which was collared on the Pitfield tenement, and which returned numerous
values above 500ppm Cu, up to 1280 ppm Cu). Strongly anomalous values
exceeding 500ppm Cu were intersected in shallow RAB drilling which extends on
to the current E70/5465.

•     BHP (1984) identified similarities between the Yandanooka basin
and African copper belt sequences and completed IP geophysics, shallow RAB,
and four stratigraphic diamond holes focussed along the western contact of the
Yandanooka basin with basement Mullingarra gneiss without success
(unfortunately too far west and in the footwall of the main magnetic anomaly).

•           CRA (1993) completed IP geophysics and auger sampling
which built on the previous MIM work defined a significant Cu-in-auger anomaly
(plus Ag) over some 7km strike length open to the east and south and followed
up with two diamond holes, the southern hole on Pitfield recording copper
anomalism with a maximum value of 570ppm (from 4m chip samples of drillcore)
associated with fracture-controlled malachite and minor native copper

 

No further work of relevance to copper exploration has been completed in the
30 years since the CRA programme.

 

Planned Geophysical Survey Activities

Airborne Magnetic Survey

The current regional magnetic surveys have been flown at 200m line-spacing and
indicate strongly magnetic stratigraphy/alteration is present within the
project area (refer Figure 3.)

 

Empire's more detailed survey, to be completed by Magspec Airborne Surveys Pty
Ltd, will be flown on a 50m line spacing at a height of some 30m and
comprising some 3470 line km, giving an enhanced magnetic and radiometric
resolution over the main areas of interest. This will provide valuable
structural/stratigraphic details which will help provide context to
geochemical exploration data and hassist with prospect-scale on ground target
definition

 

Figure 3. Pitifled tenements showing the regional magnetic and gravity
setting.

 

Airborne Electro-Magnetic Survey

This survey, to be flown by New Resolution Geophysics Australia Pty Ltd
('NRG') using the well-known, very capable heliborne 'Xcite' electro-magnetic
acquisition system, covers the entire project area on a 400m line spacing.  A
survey altitude of 30 to 40m (Transmitter-Receiver array) and 60 to 70m
(helicopter) will be employed. The magnetometer sensor is located mid-way
between the bird and the helicopter. A total of 134 lines will be flown for an
overall 1608 line km (refer Figure 4.).

 

 

Figure 4.  NRG's Xcite™ systems are towed arrays, using high performance
AS350 B-series helicopters (or similar). The AS350 is ideal for the close
terrain following required for geophysical surveys.

 

The key objective of completing this airborne electro-magnetic survey is to
map the geology of the Yandanooka basin, in particular to complement the
magnetic data by highlighting non-magnetic fine-grained sedimentary rocks
(reduced siltstone/shale are more conductive than coarser-grained
sandstone/conglomerate) which are potentially preferred host rocks for copper.
A secondary objective is to identify any anomalous conductive areas that may
relate to sulphide accumulations or native copper associated with mineralised
systems.

 

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 / Selina Lovell

 

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 9.5km2 to 1,728km2 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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