REG - Red Rock Resources - Kenya Exploration Update

Red Rock ResourcesAnnouncement

08/12/2021 07:00

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RNS Number : 8977U  Red Rock Resources plc  08 December 2021

Red Rock Resources PLC

("Red Rock" or the "Company")

Kenya Exploration Update

Progress of Drilling and Other Fieldwork

 

8 December 2021

Red Rock Resources Plc ("Red Rock" or "the Company"), the natural resource
development company with interests in gold, manganese and copper, announces,
further to its announcements of 30 June 2021 and 16 September 2021, an update
on its exploration programmes at the Mikei Gold Project ("MGP") in Kenya.

HIGHLIGHTS:

·    1744m of Reverse Circulation drilling so far completed at the KKM
Central prospect in the Western Licence PL/0202/2018 where a 2000m infill and
extension drilling programme is in progress.

 

·    17 holes drilled at depths of up to 133m

 

·    First batch of 950 samples sent for testing at the SGS laboratory in
Mwanza, Tanzania

 

·    In the Eastern Licence PL/0203/2018, and following up the 115.2 line
Km of Gradient Array Induced Polarisation (IP) ground geophysics, three
prospective targets at Francis-3, Lake Bush and Lake Bush BIF were further
tested by 13.3 line Km of Pole-Dipole IP

 

·    Gradient Array IP programme was begun at the Homestead prospect, of
which 32.6 line Km has been completed and at JuaKali-Kehancha 5 prospect,
where 10.5 line Km has been completed.

 

·    53 line Km of magnetic survey work at the Kurutiange prospect was
completed before noise on 2 of the 3 receiver sets necessitated sending the
equipment for recalibration

 

·    Environmental Impact Assessments have begun on the next set of infill
drill targets including a new target at Konguru in the Western Licence, with
the fieldwork expected to be completed by Christmas

 

·    Applications are being prepared for a Mining Licence and a Mineral
Processing Licence

 

·    The Company continued active engagement with stakeholders

 

Red Rock Chairman Andrew Bell comments: "Progress continues and we look
forward to starting to get laboratory results from our current drilling.

The Chairman of the Mineral Rights Board and his team, and the Governor of
Migori, accepted our invitations to visit the camp and the project. We were
honoured to welcome them last week.

We are identifying and progressing a number of new or underexplored targets as
well as working to expand the existing resource envelope and identify areas of
higher grade within it or nearby. Previous diamond drilling at Konguru has
been too widely spaced to allow a resource calculation, and our planned
drilling there is a priority.

Our work this year has enabled us to identify some key priority drill targets
in the Eastern Licence.

The progress made since we were able to come back to the project a year ago
has been significant, and the professionalism of the team we are building in
Kenya is one of our best assets. We have great confidence in the potential and
prospects of the Mikei Gold Project, and will look for ways to accelerate its
progress in 2022."

Discussion - Geophysics

Data sets from ground magnetics work earlier this year and data from previous
exploration were further reviewed and several targets in the Eastern License,
were selected for follow-up using ground geophysics, the goal being to
generate targets for drilling.

The follow-up targets were separated into smaller prospects and on each
prospect a grid was prepared for Ground IP. The prospects include:

·    Masurura Prospect

·    Homestead Prospect

·    Kehancha-JuaKali Prospect

·    Carlos Prospect

·    Kurutyange prospect

·    Allenby Prospect

·    Masaba Prospect.

 

FIGURE ONE

 

Map 1: PL/0203/2018 Details of Follow-Up IP Grids

http://www.rns-pdf.londonstockexchange.com/rns/8977U_1-2021-12-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8977U_1-2021-12-7.pdf)

 

FIGURE TWO

 

Map 1A: PL/0203/2018 Details of Follow-Up IP Grids

http://www.rns-pdf.londonstockexchange.com/rns/8977U_2-2021-12-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8977U_2-2021-12-7.pdf)

 

These works have been planned to run throughout the next reporting year of
2022, with drilling targets being generated and drilled in parallel as the
work proceeds.

 

Pole Dipole IP/R Masurura

A follow-up Pole Dipole IP-Resistivity survey was planned and completed over
the Masurura chargeability anomalies. The survey was conducted with a Dipole
spacing of 25 meters. A total of 13.3 line-Kilometres was covered. Inversions
and Interpretations are being prepared.

FIGURE THREE

Map 2: Masurura Pole-Dipole IP Survey

http://www.rns-pdf.londonstockexchange.com/rns/8977U_3-2021-12-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8977U_3-2021-12-7.pdf)

Gradient IP/R Homestead and Kehancha-Juakali Prospects

Gradient IP survey programme began at Homestead prospect and 32.6 and 10.5
line-Kilometres have been completed respectively.

FIGURE FOUR

Map 3: Homestead Gradient IP Grid

http://www.rns-pdf.londonstockexchange.com/rns/8977U_4-2021-12-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8977U_4-2021-12-7.pdf)

FIGURE FIVE

Map 3A: Homestead Resistivity and Chargeability - Surveyed Sections

http://www.rns-pdf.londonstockexchange.com/rns/8977U_5-2021-12-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8977U_5-2021-12-7.pdf)

Table 1: Induced polarization survey summary

 PROSPECT          SURVEY TYPE   COVERAGE
 Masurura          Gradient      115 Km - earlier in 2021
 Masurura          Pole- Dipole  13.3 Km - completed
 Homestead         Gradient      32.6 Km done - in progress
 Kehancha-Juakali  Gradient      10.5 Km done - in progress

 

Magnetic Survey in Kurtyange

A grid was prepared covering the geochemical anomalies previously identified
in the JuaKali, Kihancha 5, Carlos, Homestead, Kurutiange, Masaba and Allenby
prospects.

The magnetic survey began in Kurutiange and 53 km was covered before the
survey was discontinued due to breakdown of two pieces of magnetometer
equipment. The equipment has been sent back to the manufacturer and the
programme will resume on their return.

Background

The MGP (100% beneficially owned by Red Rock) comprises two prospecting
licences which cover approximately 245 km2, namely PL/2018/0202 and
PL/2018/0203, over the Migori Greenstone Belt, and are located along the
northern margin of the Tanzanian Craton. The licences extend 63 km along the
strike of the belt, which also hosts the Kilimapesa Gold treatment plant
several km to the east of the Company's licenses. The North Mara Gold Mine,
which is operated by Barrick Gold, is located 30 km to the south of the MGP in
Tanzania.

Regional exploration in the project area began in the early 1930s and
culminated in the identification and subsequent mining of the Macalder
volcanogenic massive sulphide (VMS) base metal mine.

In 2010, Red Rock began the extensive task of file organisation, data
digitisation and compilation of available historical data, following which CSA
Global (UK) Ltd performed cross-checks and validation steps prior to loading
it into a Structured Query Language (SQL) database using Datashed. During 2011
and 2012, Red Rock undertook an infill drilling programme at all five of the
lode gold prospects; MK, Kakula-Kalange-Munyu (KKM), Kakula-Kalange-Munyu West
(KW), Nyanza (NZ), and Gori Maria (GM) within PL/2018/0202.The Report
published earlier this year documented the results of Mineral Resource
estimation work initially conducted in 2011 and 2012 and revised in 2021 in
order to report the Mineral Resources according to JORC (2012)
guidelines.

JORC (2012) differs from earlier editions of the JORC Code in that for a
Mineral Resource to be estimated it requires the application of "reasonable
prospects of eventual economic extraction" ("RPEEE") principles. This has
resulted in the case of the Mikei MRE in the calculation of pit shells
supported by conceptual cost and gold price forecast parameters. Any material
outside or below the reporting pit shell was updated as "Not Classified" since
it did not meet the criteria to be reported as a Mineral Resource.

The total Mineral Resource Estimate, at both Inferred and Indicated levels,
was estimated at:

15.13 Mt @ 1.49 g/t Au with contained metal content of 723 KOz Au

All prospects, except GM, were classified as Indicated and Inferred Mineral
Resources. GM was classified as Inferred only, mainly due to the relatively
low average RC drill recovery of 62%.

Due to the uncertain lateral extent and depth of artisanal mining at the Mikei
prospects, and the lack of topographic data to accurately deplete the Mineral
Resource, all oxidised material was classified as Inferred Mineral Resources.

The Mineral Resource was reported as that material within the RPEEE pit
shells, and above a cut-off grade of 0.5 g/t Au. The Mineral Resource was
reported as of 18 January 2021.

 

The technical information in this release has been reviewed by Mr Joseph Komu,
a member of AusIMM and the Project Manager of the Project. He is a member of a
recognised professional organisation 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 020 7374
2212
  Broker First Equity
Limited

 

Glossary

 

Gradient array                         An IP technique
used for reconnaissance of large areas.

 

Induced Polarisation (IP)        A geophysical imaging technique used to
identify the electrical chargeability of subsurface materials. An electric
current is transmitted into the subsurface through two electrodes, and voltage
is monitored through two other electrodes.

 

Pole-Dipole IP                         A more detailed
IP technique also giving better depth information

 

 

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