REG - Red Rock Resources - Drill Results from Mt Bute, Victoria, Australia

Red Rock ResourcesAnnouncement

13/06/2022 14:30

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RNS Number : 6844O  Red Rock Resources plc  13 June 2022

Red Rock Resources PLC

("Red Rock" or the "Company")

 Drill Results from First Hole at Mt Bute Prospect in Victoria, Australia

Discovery of Intrusion Related Gold Mineralisation Confirmed

13 June 2022

Red Rock Resources Plc, ("Red Rock" or "the Company"), a natural resource
development company with interests in gold and base-metals, principally in
Africa and Australia, announces an update in relation to the exploration
programme being carried out by joint-venture subsidiary New Ballarat Gold
Corporation plc ("NBGC") within the Victorian Goldfields of Australia.
Exploration is being carried out by Red Rock Australasia Pty Ltd ("RRAL"), the
100% owned Australian operating subsidiary of NBGC.

Laboratory results from the first hole drilled (MB22D001) at the Mt Bute
prospect, one of two targets addressed in recent drilling, have now been
received and are considered significant. Preliminary X-ray fluorescence (XRF)
analysis of selected Mt. Bute core intervals had returned highly anomalous
molybdenum (Mo) and bismuth (Bi) results, suggesting the possibility of
intrusive related gold ("IRG) mineralization within the Victorian goldfields.
A total of three holes were drilled at the Mt. Bute Prospect and the results
from the second and third holes are still awaited.

Further results, not considered of such significance, have been received from
the drilling at the other prospect, O'Loughlins.

Highlights

·    Drilling results from MB22D001 have confirmed the existence of IRG
mineralisation overprinting orogenic mineralisation at the Mt. Bute Prospect,
a significant development within the Victorian Goldfields generally.

·    Over 30% of assays between 23.1m to 117.7m returned results greater
than 0.1 g/t gold (Au).

·    Including intervals of 0.4m of 5.13 g/t, 0.5m of 2.5 g/t, 1.8m of
1.43 g/t, and 5.9m of 0.42 g/t Au.

·    Additional drilling at the Mt. Bute Prospect is recommended to step
out along strike and down dip.

Red Rock Chairman Andrew Bell comments: "This is only the first hole of our
small programme on the property so to have encountered such widespread
mineralization, including some good grades, was a very good outcome reflecting
great credit on the RRAL technical team and their understanding of the
regional geologies. Intrusion-related gold has been a theme of much discussion
in Victoria, and to have confirmed that it played a role in our licence area
is a validation of this new paradigm, with implications for exploration across
the region."

Discussion

RRAL has received assays from the first of three holes drilled at the Mt. Bute
Prospect.

Context

RRAL has been engaged in a multi-phase drill programme addressing two
principal targets, O'Loughlins and Mt Bute. This announcement relates to the
first drill hole on the second target, Mt Bute.

RRAL has to date completed a total of 860m of drilling during the Phase I
diamond drilling programme targeting the O'Loughlin's and Mt Bute Prospects,
located 30km and 20km from the town of Ballarat, Australia, respectively.
Initial results from the O'Loughlins Prospect were released on 12 April 2022
and can be found at the link below:

https://www.londonstockexchange.com/news-article/RRR/update-on-gold-exploration-in-victoria/15410040
(https://www.londonstockexchange.com/news-article/RRR/update-on-gold-exploration-in-victoria/15410040)

Some results of lesser significance returned from two further at O'Loughlins
are included in this announcement.

Mt Bute

The drilling was intended to resolve complexities in the structural geometry
and the first hole, reported on here, has intercepted several zones of
IRG-type gold mineralisation. Located in close proximity to the Mt. Bute
Granite (large I-type granitoid) the geology within the area is dominated by
steeply dipping, folded metasediments within a hornfels alteration aureole.
Results of the drilling and the discovery of IRG mineralization now suggest
that the target is geologically more complex than previous interpretations -
which originally suggested that the small historically mined gold reefs were
solely orogenic in origin.

Whilst minor historical workings exist on the Property, limited previous
modern-day exploration has been undertaken.  In the late 1990's, a 14-hole
shallow Reverse Circulation (RC) drill programme was carried out by a previous
operator which concluded that gold hosted quartz vein reefs were present and
possibly continuous, but insufficient in size to support production via an
open pit mining operation.  In contrast, RRAL is now exploring with a view to
exploit any narrow vein high-grade reefs via underground - as well are
investigating the significant development of overprinting IRG-type gold
mineralisation.

The reef structures within the area have generally been poorly understood,
including any possible relationship to the nearby Mt. Bute granite. In
addition, complexity within the regional fault structures as well as the
presence of Cambrian age sediments, which are of similar age and lithology to
the nearby Stawell Gold mine, precluded meaningful geological understanding of
the area. To help resolve this, RRAL completed a short 3-hole diamond drilling
programme within an area of limited outcrop.

RRAL is now encouraged by the likelihood that the Mt. Bute granite may have
had a greater influence on gold mineralisation than previously thought and
intersecting elevated gold across broad intervals as well as in several
mineralised lode structures within the first drill hole was a result above
expectation.

While additional gold and multi-element assay results are still pending, the
Company's technical team is confident that there is definite continuity to the
main mineralised structure and the drilling result has provided increased
geological understanding on the potential source of gold mineralising fluids.

Final assays are anticipated before the end of the month and a full and
detailed report will be forthcoming once all results have been received and
interpreted by the Company.

Mt. Bute Drill Programme Collar Table:

 HoleId    Easting  Northing  RL (m)  azimuth  dip    Length  Status
 MB22D001  723964   5821996   401.42  280°     -55°   119.2m  Assays received
 MB22D002  723964   5821996   401.42  300°     -55°   119.3m  Assays pending
 MB22D003  723964   5821996   401.42  250°     -55°   101.5m  Assays pending

Drilled as triple tube HQ core diameter. ½ sample core samples over select
intervals were chosen by on-site geological staff were prepared and sent to
Minanalytical's laboratory located in Perth, Western Australian. Here, the
samples underwent multielement analysis using 4-acid digest with a ICP-OES
finish. Gold assays were determined using fire-assay with AAS a finish.

The significant intercepts from the drilling of assays above 0.1g/t are tabled
below.  All widths are apparent.

Hole MB22D001 Assay Table:

 Depth (m) from  Interval (m)  Gold in g/t
 23.1            0.3           0.12
 27.6            1             0.52
 30.7            0.5           0.56
 32.7            0.5           0.29
 34.20           0.5           0.36
 35.2            0.5           0.23
 43.8            0.9           0.11
 45.7            1.5           0.18
 47.9            1             0.21
 49.4            5.9           0.42
 59              0.4           5.13
 67.1            0.3           0.27
 67.4            0.5           2.50
 69.6            1.8           1.43
 77.7            0.3           1.08
 79.4            1             0.14
 82.7            0.5           0.10
 88.5            1             0.16
 95.3            0.5           0.39
 97.7            0.5           0.14
 99.7            0.5           0.26
 103.2           0.4           1.44
 111.4           0.5           0.39
 117.45          0.25          0.14

 

Fig 1 location plan

http://www.rns-pdf.londonstockexchange.com/rns/6844O_1-2022-6-13.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/6844O_1-2022-6-13.pdf)

Fig 2 Cross section

http://www.rns-pdf.londonstockexchange.com/rns/6844O_2-2022-6-13.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/6844O_2-2022-6-13.pdf)

The company now awaits the return of assays from the remaining two holes and
is now looking to conduct further drilling at the Mt. Bute Prospect before the
end of the year.

O' Loughlin's - further results

A total of 5 holes were drilled within the O'Loughlins Prospect. The results
from the first two holes, which included highlight intercepts of 0.4m of
12.34g/t from 75.7m downhole, and 0.5m at 1.44g/t Au from 50.6m downhole were
presented in the 12 April 2022 RNS. Drilling results have now been received
for an additional 2 holes at the O'Loughlin's Prospect. Results from one final
hole, OL22D003, are still outstanding.

Results have now been received from two further holes (OL22D001 &
OL22D002). These holes have successfully intersected a mineralised lode
structure, and whilst the tenor of downhole gold grades differs from surface
samples collected at the historical workings, the results highlight the
continuity of the zone of interest.

The technical team is completing a detailed structural interpretation of the
geology derived from the core drilling and surface mapping, and it is
anticipated that the results of this work will lead to a future drilling
programme at the O' Loughlins Prospect.

O'Loughlins Drill Programme Collar Table:

 HoleID    Length  Azimuth  dip    Easting(m)  Northing(m)  RL (m)  Status
 OL21D001  80.2m   280°     -70°   755592      5819620      352.8   Assays received
 OL21D002  88.7m   278°     -85°   755593      5819620      352.8   Assays received
 OL22D001  122.1m  88°      -74°   755539      5819638      354     Assays received
 OL22D002  143.5m  71°      -60°   755539      5819638      354     Assays received
 OL22D003  91.5m   300°     -65°   755623      5819692      349     Assays pending

 
 

 HoleID    From (m)  To (m)  Interval (m)  Au (g/t)
 OL22D001  51.7      52.2    0.5           0.17
 OL22D002  16.1      17.2    1.1           0.76
 OL22D002  24        25      1             0.11
 OL22D002  113       114.6   1.8           0.16
 OL22D002  117.05    118     0.95          0.27
 OL22D002  130.5     131.2   0.7           0.72

O'Loughlins Drillhole Assay Table:

 

 

 

 

 

 

 

 

New Ballarat Gold Corporation

NBGC is a joint venture company, owned as to 50.1% by Red Rock and as to 49.9%
by Power Metals Resources PLC (AIM:POW), which wholly owns Red Rock
Australasia Pty Ltd , holder of the  Victorian Tenements.

 

NBGC holds through its wholly owned subsidiary RRAL a land position comprising
14 granted licenses of in total 1,832 sq km in the rich gold fields of
Victoria, Australia, principally around the mining centre of Ballarat.

 

Five licences covering 493 km2 await grant. The company has assembled its
portfolio of properties comprising a broad range from exploration targets to
near-term resource potential, all of which remain largely undeveloped by
modern explorers.

 

With the first tenements granted only in 2021, NBGC has already conducted
initial exploration of selected targets, including a diamond drill test of two
prospects starting in December 2021.

 

520m of drilling has been carried out at the O'Loughlin's target within EL
007271and 340m has been carried out at Mt Bute, with samples sent to
MinAnalytical Laboratory Services in Perth, WA, for laboratory assay testing.

 

Granted Licences

The fourteen granted licences cover high priority areas covering 1,832km(2) as
outlined below.

 Licence Number              Project Name      Area (km(2))
 EL007271                    Buninyong         133

                             (renamed)
 EL007281                    Blue Chip         74

 EL007282                    Blue Sky          489

 EL007285                    Blue Ribbon       8

 EL007327                    Dereel            60
 EL007385                    Sardinia                             4
 EL007329                    Kilmore           484
 EL007301                    Pitfield/Mt Bute  85
 EL007328                    Blue Yonder       164
 State land within EL007271

                             -                  9 

 EL007505
 State land within EL007271

                             -                  9 

 EL007506
 State land within EL007271

                             -                  8 

 EL007507
 EL007330                    Daylesford        202

                             (renamed)

 EL 007294                   Talbot            129

                             (renamed)

 Total                                         1,832

 

Licence Applications

RRAL has applications in process for five other new gold exploration licence
areas covering 493 km(2) in the Victoria Goldfields of Australia including:

 

 License Application Number   Project Name    Area (km(2))

 EL007540*                    Outer Ballarat  142

 (3 competing applications)

 EL007756                     Monmouth        22
 State land within EL007327   Dereel (2)       3 

 EL007799
 EL007826                     Ballarat East   4
 EL007460                     Kilmore West    325

 TOTAL                                        493

 

* Balmaine Gold Pty Ltd, Mercator Gold Australia Pty Ltd, and Loddon Gold Pty
Ltd have put in competing applications the same day as RRAL for the ground
covered by EL007540. The application considered to have greatest merit will
eventually be given priority.

The following applications have been made in Western Australia, covering
largely areas previously held by the Company at the time of its original
listing.

 EL45/5859  Paterson          227

 EL45/5885  Pilbara/Paterson  70

 

The technical information relating to exploration in this report is compiled
by David Holden, BSc, MBA, MEM, who is a member of the Australian Institute of
Geoscientists and a director of NBGC, and the Exploration Director of RRAL. He
is a member of a recognized professional organization and has sufficient
relevant experience to qualify as a qualified person as defined in the
Guidance Note for Mining, Oil and Gas Companies published by AIM.

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

For further information, please contact:

Andrew Bell 0207 747 9990
                          Chairman Red Rock Resources Plc

Roland Cornish/ Rosalind Hill Abrahams 0207 628 3396
NOMAD Beaumont Cornish Limited

Jason Robertson 0207 374 2212
                       Broker First Equity
Limited
 

 

 

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