REG - Galileo Resources - Exploration Results from wider area at Shinganda

Galileo ResourcesAnnouncement

02/02/2023 07:01

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RNS Number : 6444O  Galileo Resources PLC  02 February 2023

For immediate release

 

02 February 2023

Galileo Resources Plc

("Galileo" or "the Company")

 

Initial Exploration Results from wider area at Shinganda Project, Zambia:

High Gold Grades Encountered

 

Galileo Resources plc ("Galileo "or the "Company") is pleased to report on
work progress on a number of new prospects, including discovery of high-grade
gold and associated copper mineralisation, at the Shinganda Copper-Gold
(Cu-Au) Project, Zambia (the 'Project") where the Company has the right to
earn an initial 51% interest. Follow-up exploration over additional ground to
that focused on to date has revealed highly anomalous surface gold and
associated copper results on three of eight selected targets several
kilometres distant from the Shinganda outcrop zone where lengthy drill
intervals of copper-gold mineralisation were recently reported (see RNS dated
18 January 2023).

 

Highlights

 

·    Target 1 bedrock grab samples returned the highest grade gold assays
for the Shinganda project to date peaking at 33.90g/t Au, 20.16g/t Au and
8.54g/t Au.

 

·    This target is also anomalous in copper, returning grades of 0.28%,
0.46% and 0.24% Cu respectively for the high-grade gold results.

 

·    Target 1 which shows an east-west anomalous gold trend over a minimum
area of 120m by 25m remains open to the east, west and south and is a priority
candidate for further testing of the strike extensions prior to drilling.

 

·    Target 7, a 25m-wide pit located 8km from Target 1 returned peak gold
and copper values of 3.44g/t Au and 0.53% Cu from a chip/channel sampling
programme. This zone remains open in several directions.

 

·    Soil sampling over Target 9, returned two separate soil anomalies,
500m apart with pXRF values of up to 409ppm Cu (approximately 10 times
background levels). These results are consistent with previous Galileo grab
sampling that returned values of 1.10% Cu, 0.63g/t Au at the same location.

 

·    The high-grade gold results often with complementary copper values
warrant a commitment to a significant programme of exploration in 2023. Work
planned will include testing of strike extensions of the three targets
highlighted by means of pitting and possibly soil surveys followed by drilling
to test depth extent.

 

·    The targets that have been tested were selected largely based on
exposure of bedrock. Whilst cover is shallow, often less than 1.0m to 2.0m,
the strike rate in terms of anomalous gold and copper values discovered is
considered by the Company to be very significant.

 

·    The Company has commissioned a re-interpretation of ground magnetic
geophysical data to better define possible additional targets and, based on
recent success, may also expand soil geochemical surveys to test for other
blind targets.

 

 

Colin Bird Chairman & CEO said: "The Shinganda project has a number of
small-scale workings within the licence area showing a similar style of
mineralisation. Historic and current exploration by Galileo has broadly
defined an area of high prospectivity covering 12km by 6km. Live exploration
updates such as the recent grab and soil samples returning a peak gold value
of 33.90g/t Au only serve to confirm the exciting opportunity offered by
Shinganda. It is becoming increasingly evident that the only quality technical
activity was carried out by a Major Mining House which identified certain
geological trends which are holding up and being confirmed and extended by our
activities. The only other work undertaken was for immediate gain high-grade
open pitting with no follow up thereafter. The more we explore the more
positive we become about the Project. Our focus now is to identify the
mineralisation driver as well as prove up a meaningful resource."

 

Exploration Results to Date

 

While initial work to date has focussed on the recently drilled copper-zinc
deposit at the Shinganda outcrop area (see RNS dated 18 January 2023), the
Company has also followed up eight other known copper and gold occurrences on
the property, collecting a set of grab samples for assay. Reconnaissance
visits were made to all the occurrences in August 2022 and four of these were
selected for priority follow-up, designated as Targets 1, 7, 8 and 9, with
work completed to date on Targets 1, 7 and 9.

 

It is noteworthy that the targets investigated were all selected because of
outcropping bedrock. The licence area is largely covered by shallow surficial
material that is often no more than 1 to 2m thick, implying that the prognosis
for further discoveries with additional exploration aimed at blind targets
using trenching and soil geochemistry is good.

 

 

Target 1:

Located 5km southeast from the previously drill-tested Shinganda outcrop
occurrence that reported a peak drill intercept of 50.3m @ 1.54% Cu, 0.30g/t
Au from 21.0m, Target 1 comprises a small shallow open pit working covering
about 10m x 7m, oriented almost east-west. The exposure consists mainly of
massive, siliceous hematite with malachite occurring as fine disseminations
and in vugs. This prospect had the highest gold grades encountered during the
reconnaissance sampling programme, with grab samples assaying up to 10.19g/t
Au and 4.43% Cu.

 

The Company subsequently undertook a follow-up programme of exploration
pitting to penetrate the hard laterite cover in the area with the aim of
extending the footprint of the discovery and checking the grades along the
strike of the zone. Thirteen pits were dug on three profiles to a maximum of
3.5m depth. Where bedrock was encountered, it was logged, and a grab sample
collected for assay from the base of the pit. One pit failed to get to bedrock
but, of the others, ten encountered varying styles of siliceous, hematite
breccia similar to that seen in the old excavation, with copper oxide in the
form of malachite reported in one pit.

 

Grab samples were assayed at the SGS laboratory for gold by fire assay and
copper by Atomic Absorption Spectrometry. Results returned highly anomalous
gold values, with accompanying anomalous copper, including by far the highest
values encountered on the Shinganda licence to date at 33.90g/t Au, 0.28% Cu
and 20.16g/t Au, 0.46% Cu - refer to Table 1.

 

 

 Table 1: Shinganda Target 1

 Exploration Pit Peak Assay Results
 PIT ID  Depth (m)  Assay Au g/t  Assay Cu%
 1       0.45       3.53          0.03
 7       1.0        8.54          0.24
 8       2.8        0.16          0.02
 9       0.5        33.90         0.28
 11      1.6        20.16         0.46
 12      2.1        0.32          0.07

 

The anomalous zone currently covers a minimum area of about 120m long and 25m
wide and remains open to the east, west and south. Follow-up plans for 2023
include a programme of scout core drilling to further extend the occurrence
and to test its' continuity to depth, as well as to obtain core samples for
assay.

 

Target 7:

This is a relatively large, exposed pit working, approximately 25m across,
located about 5km southwest from the Shinganda outcrop occurrence. Massive
banded/bedded siliceous hematite is exposed in the pit face dipping towards
the south, with sparse finely disseminated malachite. The regional host rock
exposed in the east side of the pit comprises pink shale/siltstone. There is a
possible fault between this unit and the massive hematite.

 

First-pass reconnaissance grab sampling by Galileo at this pit (refer to RNS
dated 20 July 2022) returned values of 3.77% Cu, 1.24g/t Au from
malachite-mineralised siliceous hematite and 0.23% Cu, 1.45g/t Au from
hematite with no visible copper mineralisation. Also, the pink shale/siltstone
exposed in the eastern corner of the pit returned anomalous copper in a grab
sample at 1.21% Cu with negligible gold content, although no copper
mineralisation was observed.

 

Recent work by the Company comprised more systematic sampling across the full
width of the exposure in the pit get a better handle on the geology and
structure, as well as the distribution of mineralisation (see Table 2 below).
Results confirmed the initial reconnaissance sample results, with
significantly anomalous gold results in the hematite gossan up to 3.44g/t Au
along with accompanying copper up to 0.50% Cu. The adjoining shale again
returned anomalous copper values up to 0.53% Cu, with trace gold.

 

 Table 2: Shinganda Target 7

 Rock Chip Sampling Peak Assay Results from Exposed Pit
 Sample No.  Sample Description                                           Assay Au g/t  Assay Cu%
 A04705      Hematitic silicified breccia fragments from fault contact    1.83          0.37
 A04708      Dark reddish-brown hematitic silicified breccia              3.44          0.16
 A04709      Hematitic silicified breccia with no visible mineralisation  0.80          0.50
 A04713      Hematitic silicified breccia with no visible mineralisation  0.73          0.24

 

The mineralised gossan zone appears to dip at a shallow angle towards the
south away from the exposure in the pit. Follow-up plans for 2023 at this
target will also include a programme of scout core drilling to further extend
the occurrence down-dip and along strike and to test the gold and copper
grades.

 

Target 9:

This comprises an outcrop zone of pale whitish, siliceous siltstone located
about 4km west of the Shinganda outcrop occurrence. There is a small
exploration pit and trench at the site, with bedrock exhibiting steep bedding
and striking almost east-west. Malachite copper mineralisation occurs as fine
disseminations and in blebs/clusters weathering from chalcopyrite. A previous
grab sample from this pit returned values of 1.10% Cu, 0.63g/t Au.

 

As there is no hard pan layer evident at this site, a soil sampling programme
was carried out comprising 600 samples on a 50m x 50m grid over a 2 square
kilometre area to establish the extent and trend of the mineralisation. The
samples were tested for copper using a hand-held XRF instrument. Results show
two clearly anomalous target zones, one centred on the mineralised outcrop
extending for about 1km on strike and a further anomaly centred about 500m to
the north, covering a core area of 450m x 250m, with values up to 409ppm Cu
(about 10 times background). There is no bedrock exposure at the second site.

 

Galileo plans to follow up these two anomalous zones by undertaking a
trenching and sampling programme to assist in defining drill targets.

 

 

Technical Sign-Off

Technical information in this announcement has been reviewed by Edward (Ed)
Slowey, BSc, PGeo, Technical Director of Galileo. Mr Slowey is a geologist
with more than 40 years' relevant experience in mineral exploration and
mining, a founder member of the Institute of Geologists of Ireland and is a
Qualified Person under the AIM rules. Mr Slowey has reviewed and approved
this announcement.

 

You can also follow Galileo on Twitter: @GalileoResource

 

For further information, please contact: Galileo Resources PLC

 

 Colin Bird, Chairman                       Tel +44 (0) 20 7581 4477
 Beaumont Cornish Limited - Nomad           Tel +44 (0) 20 7628 3396

 Roland Cornish/James Biddle
 Novum Securities Limited - Joint Broker    +44 (0) 20 7399 9400

 Colin Rowbury /Jon Belliss
 Shard Capital Partners LLP - Joint Broker  Tel +44 (0) 20 7186 9952

 Damon Heath

 

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR").

 

 

Technical Glossary

 

 "breccia"            Rock fragmented into angular components

 "chalcopyrite"       A copper-iron sulphide mineral, CuFeS(2), often found in copper ores

 "fault/shear zone"   Plane of failure in faulted body of rock

 "gossan"             A surface capping of hydrated oxides of iron formed from metallic sulphides

 "hematite"           A mineral composed of ferric iron oxide

 "hydrothermal"       Descriptive of hot magmatic emanations rich in water

 "malachite"          A green copper carbonate mineral (Cu(2)(OH)2CO(3)) which forms by alteration

                    of copper sulphide minerals

 "silica"             Silicon dioxide, of which the mineral quartz is one form

 "supergene"          Descriptive of a mineral deposit, weathering or alteration formed by
                      descending solutions

 "pXRF"               A hand-held instrument to determine the chemistry of a sample by measuring the
                      fluorescent (or secondary) X-ray emitted from a sample when it is excited by a
                      primary X-ray source

 

 

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