REG - GreenX Metals Ltd - New Copper Targets Identified at ARC
20/01/2022 07:05
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220120:nRST0361Za&default-theme=true
RNS Number : 0361Z GreenX Metals Limited 20 January 2022
greenx metals limited
NEWS RELEASE 20 JANUARY 2022
New Copper Targets Identified at ARC
· Latest analysis identifies new "walk-up" native copper and copper
sulphide targets for the upcoming field program
· New priority, walk-up, at-surface target identified along the Knuth
Fault which is a Discovery Zone "lookalike" feature
· Two additional exposures of native copper mineralisation identified
from recently unearthed historical documentation at Neergaard Dal
· Recent structural geology review reinforces evidence of a large-scale
mineral system and regional fertility related to identified faults
· Exploration targeting and efficiency of upcoming field programs
greatly improved through enhanced geological understanding of ARC
GreenX Metals Limited (GreenX or the Company) is pleased to report the
findings from ongoing geological analysis at the Arctic Rift Copper Project
(ARC or ARC Project). The latest analysis identifies new "walk-up" native
copper and copper sulphide targets for the upcoming field program.
GreenX in collaboration with its joint venture (JV) partner Greenfields
Exploration Ltd (GEX) has advanced its understanding of ARC in northern
Greenland. A recent structural geology report describes for the first-time
structural features that are tied to the widespread copper sulphide and native
copper mineralisation. In addition, an ongoing review of historical notes and
data has identified a location containing two types of native copper
mineralisation that further strengthens the ARC's analogy with the
economically significant Keweenaw Peninsula in Michigan, USA, which contained
a total pre-mined endowment of 16 Mt of copper.
This validates the JV's geological modelling on ARC and provides multiple new
targets for sampling during the upcoming field season.
Mr Stoikovich, Chief Executive Officer of GreenX Metals said: "The latest
supporting evidence for extensive and intense copper mineralisation in an
entirely new province is very exciting. This true first-mover opportunity has
tremendous potential for multiple major new copper discoveries."
Dr Bell, Project Leader said: "Our low-cost mineral system analysis program
continues to gain momentum. The concepts for the new province are rapidly
gaining supporting evidence and the precision of our targeting is increasing
markedly. This greatly improves the efficiency of our upcoming field
programs."
Structural Geology Review
A structural review of the currently available datasets of ARC's geology was
recently conducted by specialist consultant Dr Mark Munro(1). It was confirmed
that the known copper mineralisation, including the native copper and
Discovery Zone copper sulphides, is associated with reverse faults. Reverse
faults are considered to be an important structural control on mineralisation
at ARC, with the recent study both extending the known reverse faults with
associated mineralisation and identifying new reverse faults.
Dr Munro holds a PhD in Structural and Metamorphic Geology from James Cook
University. As a three-year post-doctoral researcher at the University of
Western Australia he studied the mineralisation, alteration, and structure of
deposits. In addition to his considerable field and structural knowledge, he
is a 3D modeler and has global experience with precious and base metal
projects. Following a position as a mapper with the Geological Survey of
Western Australia, Dr Munro has spent four years working as an applied
structural geologist for industry. He engages in the structural logging of
drill core, in addition to both surface and underground mapping, with view to
understanding the multi-scale aspects of deposit generation.
Eigil Reverse Fault
Reverse faults are associated with the Discovery Zone copper sulphides, from
which high-grade results have previously been reported (GreenX press release,
dated 6(th) October, 2021). This set of faulting is now known as Eigil. The
Discovery Zone includes 4.5m grading 2.15% Cu and 35.5 g/t Ag (true width,
Chip Line #7); and samples from the 3m long Trench #1 grading 5.28% Cu and 112
g/t Ag and 3.55% Cu and 263g/t Ag. (GreenX press release, dated 6 October,
2021). This at-surface copper sulphide mineralisation is known to have a
strike extent of more than 2 km trending beneath the shallow cover of the
valley.
The review by Dr Mark Munro has identified the Eigil reverse fault, an
extension of the Discovery Zone, that trends to the northwest into
Independence Fjord. This demonstrates known mineralised structures
intersecting the Zig-Zag flood basalts, and further strengthens the ARC's
analogy with the prolific and economically significant Keweenaw Peninsula.
At this analogy in Michigan, the mineralised reverse faults are the fluid
transport conduits for the strata bound native copper deposition in flood
basalts, and copper sulphides in the overlying sediments. The Keweenaw
Peninsula contained a pre-mining endowment of +7 Mt of copper contained in
sulphides and 8.9 Mt of native copper.
Knuth Fault
A second subparallel, northwest-trending reverse fault known as Knuth, is
located 7 km to the southwest of Eigil. The Knuth Fault shows similar reverse
motion and has never been sampled and represents an entirely new, easily
tested zone that is highly prospective for copper mineralisation.
Conceptually, Knuth has a similar strike extent to that of Discovery Zone,
creating the potential for a new area of high-grade mineralisation.
Valley Fault
A third reverse fault is identified 15 km southwest of Knuth. The JV partners'
extrapolation of this fault has it trending towards the Neergaard Dal native
copper occurrence. At this occurrence in 1979, Government geologists found
native copper clasts in scree below a cliff face with breccia-hosted and
basalt-hosted copper mineralisation.
A new feature identified by Dr Munro is a fault that roughly trends
north-south to NNE-SSW striking (defined by the Neergaard Valley) with
indications of a west-side-up, east-side-down movement. The Valley Fault may
also have a reverse movement given the compression from an ancient mountain
building event to the east. Both native copper and copper sulphides are known
to occur at the confluence of the Valley Fault and the younger orthogonal
reverse faults(2).
These observations are important as they reduce the number of faults to be
examined and provide targets that can quickly be evaluated in the field.
Consequently, the search space and hence exploration costs have been reduced,
and timelines shortened.
Historical Data Secured - New Native Copper OccurRences Identified
The JV has secured digitised notebooks from the Government's reconnaissance
field work that was performed in the area in 1979 and 1980. Valuable new
information about sites of native copper was gained from translating these
notebooks. Despite being very brief, the field work identified numerous
examples of native copper in association with the basalt rocks in Neergaard
Valley, the main north-south oriented feature of the Minik Anomaly (GreenX
press release dated 6 October 2021).
What is particularly striking is that in the centre of this anomaly there is a
historical description of native copper occurring in both breccias (fissures)
and gas-cavities occurring near one another. At the Keweenaw Peninsula, native
copper specimens weighing over 500 tonnes were mined from fissures and
underpinned the original 'gold'-rush. However, it was the copper found in
gas-cavities within the flood basalts that underpinned much of the 99-year
mining history of the district. The historical description of fissure copper
next to cavity-hosted copper within ARC adds strong support to the Keweenaw
analogy as well as evidence of a vigorous (favourable), breccia inducing
mineralisation event. The JV partners will investigate this site as a matter
of priority during the 2022 field program.
Regional Developments
During early December 2021, Ironbark Zinc (ASX:IBG) announced that it secured
a Preliminary Project Letter approval for a US$657m loan from the US
Government's EXIM Bank for the development of Ironbark's Citronen lead-zinc
project. The Citronen project is located approximately 150 km further north
than ARC. The loan, if approved, will mean that the United States is financing
most of the cost of developing the strategically important Citronen project.
This project will include the construction of an airstrip and port at
Citronen, which may provide infrastructure support for a future development at
ARC.
Greenland has been increasingly recognised as one of the last great mineral
frontiers, with interest from leading miners and commodities houses including
Anglo American, Glencore, Trafigura, and IGO. More recently, major foreign
governments have also stepped in to support and finance mineral development
projects. The Australian Financial Review reported that Greenland 'has found
itself in the middle of a geopolitical great game', with the funding for
Citronen ' surfing a wave of geopolitical project funding' in the Arctic
region. The United States and the European Union are now all making concrete
moves to finance mineral projects in Greenland.
ABOUT THE ARCTIC RIFT COPPER PROJECT
The Arctic Rift Copper Project is an exploration joint venture between GreenX
and GEX. GRX can earn 80% of ARC by spending A$10 M by October 2026. The ARC
Project is targeting large scale copper in multiple settings across a 5,774
km(2) Special Exploration Licence in eastern North Greenland. The area has
been historically underexplored yet is prospective for copper, forming part of
the newly identified Kiffaanngissuseq metallogenic province. This province
is thought to be analogous to the Keweenaw Peninsula of Michigan, USA, which
contained a pre-mining endowment of +7 Mt of copper contained in sulphides and
8.9 Mt of native copper. Like Keweenaw, ARC is known to contain at surface,
high-grade copper sulphides, 'fissure' native copper, and native copper
contained in what were formerly gas bubbles and layers between lava flows.
-ENDS-
Competent Persons Statement
Information in this announcement that relates to Exploration Results is based
on information compiled by Dr Jonathan Bell, a Competent Person who is a
member of the Australian Institute of Geoscientists (AIG). Dr Bell is the
Managing Director of Greenfields Exploration Limited and holds an indirect
interest in performance rights in Prairie. Dr Bell has sufficient experience
that is relevant to the style of mineralisation and type of deposit under
consideration and to the activity being undertaken, to qualify as a Competent
Person as defined in the 2012 Edition of the 'Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves'. Dr Bell consents
to the inclusion in this announcement of the matters based on his information
in the form and context in which it appears.
To view this announcement in full, including all illustrations and figures,
please refer to www.greenxmetals.com (http://www.greenxmetals.com) .
References
(1) Munro, Mark (2021). "Structural Review of the Arctic Rift
Copper Project, Greenland", Munro Geoscience Pty Ltd
(2) While available data highlights reverse components along a
number of the Northwest-trending faults, key exposures suggest that some
record extensional (normal) activation. This suggests a history of potential
reactivation.
JORC Table 1, section 2: Reporting of Exploration Results
Criteria Arctic Rift Copper project
Mineral tenement and land tenure status The Arctic Rift Copper project ('ARC') comprises a single Special Exploration
Licence ('MEL-S' 2021-07). The spatial area of the application is
5,774km(2), the boundary of which is defined by the points:
82°3'N, 29°18'W 81°35'N, 26°8'W
82°3'N, 25°41'W 81°30'N, 26°8'W
82°0'N, 25°41'W 81°30'N, 26°54'W
82°0'N, 25°43'W 81°25'N, 26°54'W
81°59'N, 25°43'W 81°25'N, 28°20'W
81°59'N, 25°44'W 81°21'N, 28°20'W
81°58'N, 25°44'W 81°21'N, 29°35'W
81°58'N, 25°46'W 81°19'N, 29°35'W
81°56'N, 25°46'W 81°19'N, 31°0'W
81°56'N, 25°48'W 81°27'N, 31°0'W
81°55'N, 25°48'W 81°27'N, 31°42'W
81°55'N, 25°50'W 81°34'N, 31°42'W
81°53'N, 25°50'W 81°34'N, 32°7'W
81°53'N, 25°52'W 81°51'N, 32°7'W
81°50'N, 25°52'W 81°51'N, 31°0'W
81°50'N, 25°54'W 81°54'N, 31°0'W
81°46'N, 25°54'W 81°54'N, 30°18'W
81°46'N, 25°55'W 81°58'N, 30°18'W
81°35'N, 25°55'W 81°58'N, 29°18'W
An MEL-S confers an exclusive right to explore for mineral for three years at
a reduced holding cost, provided each licence covers more than 1,000km(2).
After three years, the holder of Special Exploration Licence has the right to
convert the area, whole or in part, to conventional Exploration
Licences. Due to the Coronavirus pandemic, all licence obligation in
Greenland have been paused until the end of 2021, such that the MEL-S can
convert to a normal licence at the end of 2024.
The minimum expenditure obligation for a MEL-S is DKK500/km(2) indexed to
Danish CPI as of January 1992. The GEX estimates the expenditure requirement
will be approximately AUD1,080,000 per annum. However, the Government has
waived all expenditure obligations for 2020 and 2021, and as such, no holding
cost of the licence will crystallise until 31 December 2022. The obligation
for 2022 will be calculated on 1 January 2023 based on the area under licence
on a preceding day. Expenditure above the minimum regulatory requirement is
carried forward for a maximum of three years. ARC is in good standing.
There are no third-party royalties or other rights relating to ARC.
Exploration done by other parties North Greenland was first commercially explored in 1969 and 1972, which
identified native copper and copper sulphides in eastern North Greenland. It
wasn't until 1979 and 1980 that more substantive work was performed, this time
by the Government.
ARC was subject to commercial exploration by Avannaa Resources Limited
('Avannaa') in 2010 and 2011. In its first year, Avannaa focussed its work
in a small area in the northern part of the licence area known as Neergaard
North. This work focussed on historical Government and academic work that
had identified highly anomalous copper mineralisation. In 2010, the work
included geochemical soil sampling, rock chipping and trenching of high-grade
material associated with a NW-SE trending fault breccias. Based on the
success of the 2010 program, Avannaa undertook a much larger regional
reconnaissance program in 2011. This program involved a heli-supported
geochemical sampling program over a large area designed to test the copper
prospectivity of various stratigraphic positions, as well as extending the
length of the 'Discovery Zone' identified in 2010. Both aspects of this
program were successful in that the Discovery Zone was shown to have a minimum
strike length of 2km before disappearing undercover; and that certain
stratigraphic horizons show copper anomalism over a significant lateral
extent. However, much of the extended area explored by Avannaa was located
to the southeast of the ARC and is now located in a Government-mandated no-go
zone for mineral exploration.
Geology
ARC contains a sequence of Mesoproterozoic-aged sediments sandstones belonging
to the Independence Fjord Basin that have been intruded by highly altered
dolerites and overlain by 1.2km of Mesoproterozoic-aged flood basalts
('Zig-Zag Fm' basalts). In turn, the basalts are overlain by 1.1km of
Neoproterozoic-aged (1,000M to 541M years ago) clastic and carbonate sediments
belonging to the Hagen Fjord Group. The lower portion of the Hagen Fjord
Group is dominated by sandstones and siltstones, and the upper part by
limestone and dolomites. Based on stream sediment samples, the iron oxide
minerals switch from magnetite to the east of ARC, to haematite within ARC,
which reflects a change in fluid oxidation state (from reduced to oxidised).
Fluid flow is from east to west which implies that oxidation is a component of
the copper dropping out of solution. The oxidation of a reduced fluid is
consistent with the chemistry required to form native copper such as that
observed in ARC. The metamorphic grade of the Zig-Zag Fm basalts is of the
zeolite facies, and the Hagen Fjord Group sediments show lower grade
metamorphism. There is adequate preservation aside from mechanical erosion.
Commercially interesting copper mineralisation occurs in both the basalts and
Hagen Fjord Group sediments. The basalts are known to contain in situ native
copper, and native copper is found extensively in the surrounding drainage
systems. Significantly, the native copper specimens recovered by the
Government in 1979, and by Avannaa in 2010 measured 17cm and weighed up to 1kg
respectively. These large native copper specimens are thought to originate
from amygdales (gas voids) in the basalt, although native copper occurring in
faults is also known to occur within ARC. Greenfields considers that the
age, setting, and mineral composition makes the Zig-Zag Fm copper analogous to
the copper deposits of the Michigan Upper (Keweenaw) Peninsula, and a primary
source of copper for the anomalies reported in the overlying sediments. The
fault breccias that transect the basalts and Neoproterozoic sediments are
interpreted by the Company to represent fluid pathways as there are zones of
intense potassium alteration within the surrounding quartz dominated
sedimentary rocks. These breccias, which are up to 25m wide, show copper
mineralisation. The chalcocite and chalcopyrite copper-bearing minerals are
significant as they demonstrate that sulphur has been added into a previously
sulphur-undersaturated system. A source of sulphur is generally considered
an important factor in the sediment-hosted copper 'deposit model'. Other
important components of the deposit model are also reported, including
pseudomorphed gypsum (a source of sulphur, and copper mobilising salts),
hydrogeologic seals, and contrasting oxidation states. Copper sulphides
occur in the predicted geological lithological settings. The highest copper
grades are close to geophysical gravity, magnetic and electromagnetic
anomalies. The ~640 km(2) area of geophysical and geochemical anomalism is
dubbed the Minik Anomaly (or 'Singularity' in the supporting Technical
Assessment Report)
The age of the known mineralisation concerns at least two episodes. The
Company identifies the Elzevirian Orogeny (c. 1,250Ma) as the likely event
associated with the native copper mineralisation in the basalts. However,
the Neoproterozoic-aged sediment-hosted copper sulphides demonstrate that
there was a second mineralising event associated with the waning Caledonian
Orogeny (c. 390 to 380 Ma) The Elzevirian and Caledonian orogenies have a
similar orientation. The c. 385 maximum age is supported by the absence of
mineralisation known to younger than the Silurian Period (443.8 Ma to 419.2
Ma). The Silurian is associated with the formation of the Citronen zinc
deposit, currently licenced by Ironbark Zinc Ltd. Greenfields considers
Citronen and ARC's copper sulphides to have formed due to the same event.
The known copper and zinc, combined with a Greenfields interpreted geological
history, geochronology, and hydrothermal fluid temperatures, to define the
+60,000km(2) Kiffaanngissuseq Metallogenic Province.
The basal flows of the Zig-Zag Fm basalts show a marked depletion in nickel.
Such a depletion suggests that the nickel may have been deposited into
sulphides and conceptually, as nickel sulphide deposit. There has been no
effective commercial work on testing the nickel sulphide potential.
Pentlandite, a nickel-bearing sulphide, is observed in at least one of the
intrusions beneath the basalts. There is no other evidence upon which the
nickel-sulphide prospectivity can be evaluated at this stage.
The known copper mineralisation, both sulphide and native, appears to have a
structural control. An independent structural geologist, Dr Mark Munro,
conducted a review of ARC and confirmed that in an area otherwise dominated by
normal faulting, the there is clear evidence of reverse faulting which GEX
observes to correlate with the known mineralisation. This review was based
on satellite imagery, as well as oblique photography of the fjords taken in
1979/1980. Dr Munro's review also included GEX's revised lithological and
structural mapping based on the same data, and largely concurred with GEX's
interpretation relative to the historical mapping. This reverse faulting
does not appear to have been previously reported in the literature.
Furthermore, and new to GEX's understanding was that Dr Munro identified that
Neergaard Valley ('Dal' in Danish) as being a fault with a west side up
motion, possibly in a shortening motion. At the analogous Keweenaw
Peninsula, reverse faulting is considered a primary control on copper
mineralisation, and it closely associated with both the native copper and
copper sulphides in Michigan.
An interactive Government portal that contains the geology, and supporting
reports can be accessed via: http://www.greenmin.gl/home.seam
(http://www.greenmin.gl/home.seam) . A fully referenced Technical Assessment
Report on ARC, can be accessed at
http://dx.doi.org/10.13140/RG.2.2.18610.84161
(http://dx.doi.org/10.13140/RG.2.2.18610.84161) .
Drill hole information No drilling has ever occurred within the ARC or in the surrounding area.
Data aggregation methods All historical assay results presented in this release are based on those
published by third parties. Greenfields has made a point of reporting the
weighted-averages and has avoided individual high-grade results that may not
be representative of the mineral system. No bottom- or top-cuts have been
applied. No metal equivalent calculations have been performed.
Relationship between mineralisation width and intercept lengths. The reported historical trenching and channelling results are presented on
both 'as is' sub-perpendicular intersection, and where available estimates are
available, true-width basis. Accompanying statements accompany all
true-width estimates. No sub-parallel or parallel sample intervals were
collected or disclosed. These results are disclosed in GRX's news release
dated 6 October 2021.
Diagrams All relevant maps are presented in the main body of this document, with
additional tables and figures available in the Technical Assessment Report and
the GRX news release dated 6 October 2021.
Balanced reporting Greenfields has sourced and reasonably presented the relevant results, where
available. The reader is cautioned that geochemical rock chip samples, by
their nature, are not representative samples. Geochemical rock chip samples
are erratically collected, lack scale and design. Geochemical results must
be viewed as empirical evidence of anomalism, and not as a representative
indication of mineralisation. Furthermore, due to the historical nature of
the samples, it is not possible at the time of publication, to perform checks
and balances on the numbers quoted in the literature.
Other substantive exploration data In 1998, the Government conducted an airborne electromagnetic survey in the
north of the ARC. The flight lines were carried out at an altitude of 120m
above ground on a 400m line spacing. The geophysical data is freely
available on the Government portal. Sediment-hosted copper typically does
not respond to most geophysical methods and as such, the data is not suited to
direct-detection. The only exception is 3D induced polarisation methods that
have not been conducted in ARC. However, Greenfields identifies that the
magnetic anomaly is coincident with a gravity anomaly and interprets this
signature to represent an iron-enriched hydrothermal footprint. Native
copper and copper sulphides occur within this anomaly. No bulk density,
geotechnical, metallurgical, rock characterisation, or groundwater analysis
has been performed. Greenfields is unaware of any deleterious or
contaminating substances associated with the known mineralisation.
Further work Despite the highly encouraging results and strong indications of a large
mineral system, the ARC is at an early stage of exploration. Greenfields has
tightly constrained the main mineralising events, but currently only 2D data
are available. Obtaining 3D data down to the basement of the basins will
help in modelling the movement of metal rich fluids. Due to the extensive
outcrop, high-quality rock sampling is recommended to provide a baseline
geochemical profile in addition to quantifying the copper-silver grade of the
samples.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END MSCSEDSESEESESFRecent news on GreenX Metals
See all newsREG - GreenX Metals Ltd - ASX Trading Halt
AnnouncementREG - GreenX Metals Ltd - Quarterly Report March 2025
AnnouncementREG - GreenX Metals Ltd - Tannenberg Copper Project Expanded to 1,900km2
AnnouncementREG - GreenX Metals Ltd - Half-year Report
AnnouncementREG - GreenX Metals Ltd - Quarterly Activities Report December 2024
Announcement