REG - Empire Metals Ltd - Geochemical Mapping Highlights “Giant” Copper

Empire MetalsAnnouncement

03/11/2022 07:01

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RNS Number : 1315F  Empire Metals Limited  03 November 2022

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

 

3 November 2022

Empire Metals Limited

("Empire" or "the Company")

 

Geochemical Mapping Highlights the "Giant" Copper Province Potential at
Pitfield

 

Empire Metals Limited (LON: EEE), the AIM-quoted resource exploration and
development company, is pleased to provide an analysis of the historical
geochemical sampling that has been compiled to date on the Pitfield Copper
Project ('Pitfield'), located in Western Australia.  The mapping shows
extensive copper, silver and other base metals anomalism over a 40km strike
length, giving further confidence in the potential to discover a "Giant"
copper mineralised system at Pitfield.

 

Highlights

·    An exceptionally large magnetic anomaly extending over 40km N-S has
been identified in the Airborne Magnetic- (AM) survey data, likely caused by a
basin-scale alteration event.

·    A subsequent Airborne Electro-Magnetic (AEM) survey identified a
suite of highly conductive rocks within the Mt Scratch siltstone surrounding
the magnetic feature.

·    Historical geochemical sampling by CRA Limited ("CRA") in the
vicinity of the magnetic anomaly indicates high background values for copper
(Cu), silver (Ag), zinc (Zn) and nickel (Ni) including up to 2.3% Cu and
20.8g/t Ag from surface rock chip sampling.

·    Pitfield has the potential to contain multiple sediment-hosted
stratabound copper (SSC) deposits lying within what may be a "Giant" copper
mineralised system.

·    Exploration field work to commence by Q1 2023 ahead of an intended
drill programme to evaluate the economic significance of any SSC deposit.

 

Shaun Bunn, Managing Director, said: "I am delighted to provide an update on
our emerging Giant copper exploration project at Pitfield, where geochemical
mapping has confirmed high background values of copper, silver and other base
metals across almost our entire licence area.

 

"Since significantly expanding the exploration camps within our portfolio from
3.1km(2) to 1,728km(2) earlier this year, thanks largely to the acquisition of
three highly prospective large-scale copper-gold projects, we have focused on
successfully building up the prerequisite assay databases and geological,
geophysical and geochemical maps initially for the Pitfield Copper Project.
This information has underpinned our hypothesis that Pitfield is potentially a
newly discovered Giant copper system.  Armed with this historical geochemical
sampling data and the analysis of the AM and AEM survey, we will plan our next
phase of surface exploration work before moving on to the evaluation of the
economic significance of any SSC deposits through drilling.

 

"I look forward to being able to provide further updates over the coming
months as we continue to develop our understanding of the exciting opportunity
that Pitfield has to offer."

 

Geochemical Mapping

The favourable geology of the Yandanooka basin for large-scale copper deposits
has previously attracted major mining companies which carried out exploration
within the area, including: Kennecott Corporation ("Kennecott"), MIM Holdings
("MIM"), BHP Group Limited ("BHP") and CRA. Widespread copper, silver, nickel
and zinc anomalism has been identified over large parts of the Yandanooka
basin by these previous explorers, particularly in association with
magnetite-altered rocks.

 

CRA (1992) completed IP geophysics and auger sampling defining a +7km
Cu-in-auger anomaly (plus Ag) over what is now the western flank of the
Pitfield project, and remains open to the east and south. CRA 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.

 

CRA also carried out soil sampling at Mt Scratch towards the north of the
project area which shows a direct correlation between more strongly anomalous
copper-in-soils with magnetic units within the stratigraphy. Rock chip samples
taken by CRA from surface exposures returned very encouraging Cu-Ag values (up
to 2.3% Cu and 20.8 g/t Ag) within the magnetic units highlighting a large,
highly prospective SSC target (Figure 1).

 

Pitfield remains an early phase exploration project and as such requires
further surface exploration work to effectively define geochemical (soils,
auger and AC drilling) and geophysical anomalies (electrical surveys such as
IP) prior to evaluating their economic significance through drilling.

Figure 1. Surface sampling by CRA highlighting Cu anomalism.

 

Extensive Ag, Zn and Ni anomalies were also highlighted within the surface
sampling. 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.
Such values are widespread within the sampled portions of the project. The
Cu-Ag-Ni-Zn anomalous areas require further surface geochemical exploration to
fully define their extent with field work set to commence by the first quarter
of 2023.

 

The co-existence of Cu and Ag (Figure 2) is extremely encouraging as SSC
deposits are an important source of other metals, ranking first among all
deposit types in the world for cobalt (Co) production and fourth among all
deposit types in silver (Ag) production. However, those that contain
by-product Ag do not contain by-product Co and vice versa.

 

Figure 2. Surface sampling by CRA highlighting Ag anomalism.

 

 

The high Ni values (Figure 3). Are also significant in that they act as a good
pathfinder in these highly weathered conditions as Ni is more stable in the
laterites in comparison to more mobile elements such as Cu-Ag-Zn.

 

Figure 3. Surface sampling by CRA highlighting Ni anomalism

 

Geophysical surveying, geochemical sampling and geology work show that the
Yandanooka basin contains coincident favourable features that make this an
attractive sediment-hosted copper exploration target.

 

The AEM survey identified significant variations in rock conductivity
including a suite of anomalous conductive features within the Mt Scratch
siltstone, which indicates the presence of reductants such as graphite.  The
presence of reduced carbonaceous rocks (containing organic matter, graphite or
hydrocarbons) stratigraphically higher in the sequence may provide a redox
trap to allow for the precipitation of copper.

 

 

 

 

The AMG survey has distinguished a widespread, stratabound, regional magnetic
anomaly (magnetite-bearing alteration) over 40km long. This massive magnetic
anomaly, extending over 40km north-south indicates that the project area has
been impacted by a large alteration event compatible with the influx of warm,
oxidized, metals-transporting, sedimentary brines.

 

BHP (1984), who drilled four stratigraphic diamond holes focussed along the
western contact of the Yandanooka basin within the basement Mullingarra
gneiss, confirmed that the basement rock was depleted in Cu, indicating that
the base metals have been leached and mobilised by the fluids passing through
and this most likely explains the Cu anomalies identified within the upper
zones of siltstone/sandstone.

 

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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