REG - Xtract Resources plc - Bushranger Project Assay Results

Xtract ResourcesAnnouncement

27/05/2022 15:15

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RNS Number : 1316N  Xtract Resources plc  27 May 2022

 

For immediate release

27 May 2022

 

Xtract Resources Plc

("Xtract" or the "Company")

Bushranger Project Assay Results

 

The Board of Xtract Resources Plc ("Xtract" or the "Company") is pleased to
advise that independent laboratory assays have been received for drill hole
BRDD-22-039 from the Phase 2 diamond drilling programme at the Bushranger
copper-gold exploration project.

 

Highlights

 

·    Significant intervals of porphyry-related gold mineralisation have
been interested in drill hole BRDD-22-039, situated 200m to the south of the
Ascot discovery hole BRDD-21-035 (refer to RNS dated 19 January 2022)

·    Full results now received for BRDD-22-039 are available in Table 1,
with best results including;

·    32m at 0.92 g/t Au from 510m

§ including 14m at 1.96 g/t Au from 510m

·    2m at 1.86 g/t Au from 432m

·    Hole BRDD-22-039, along with previously reported hole BRDD-21-038,
shows a good structural continuity with near vertical mineralised structures
extending between both holes, and early indications that gold grade may
increase with depth

·    The company intends to follow-up with further drilling to see if
these gold intercepts increase in width or grade laterally and at depth in
this location at Ascot

 

Colin Bird, Executive Chairman said: "I am very pleased with the results of
this hole and intrigued by the dominance of gold. The obvious significance is
that the Ascot prospect is a different prospect to Racecourse and our
modelling is designed to pursue the indication that the gold and copper
mineralisation could be separate. These results display similar
characteristics to the gold-rich Ridgeway discovery in Newcrest's nearby
Cadia-Ridgeway Mine, 25km to the SW from Orange, and less than 100km from the
Bushranger project, in the prospective Lachlan Fold Belt.

 

Modelling is advancing at a pace, and to this end, we are modelling with a
specific intent to identify copper and gold mineralisation trends and their
spatial significance, designed to maximise opportunities and identify areas
which could have material effect on the model.

We intend to issue a release shortly that gives an interim summary of the
Racecourse and Ascot prospects."

 

 

 

 

 

Phase Two Bushranger Prospect Assay Results

Table 1

Assay Results from Drill Hole BRDD-22-039

 

 Hole ID      From (m)  To (m)  Interval (m)  Cu (%)    Au (g/t)  Ag (g/t)  CuEq (%)
 BRDD-22-039  182       188     6             0.20      0.02      1.3       0.22
              200       214     14            0.07      0.09      0.7       0.13
              432       434     2             0.01      1.86      0.4       N/A
              510       542     32            0.02      0.92      1.0       N/A
 Including    510       524     14            0.02      1.96      1.6       N/A
 And          510       512     2             0.02      3.24      2.4       N/A
              595       601     6             0.01      0.46      0.4       N/A

 

*Assays undertaken by Bureau Veritas Minerals Pty. Ltd. Laboratory, Adelaide,
Australia

**CuEq Formula: CuEq = Cu% + 0.5884xAu (g/t) + 0.0078xAg (g/t)

 

 

Drill hole BRDD-22-039 was drilled from the same drill pad and beneath drill
hole BRDD-21-038 (refer to announcement dated 17 May 2022), situated 200m to
the south of the discovery hole (BRDD-21-035) at the Ascot prospect. Both
holes were drilled towards the west, with drill hole 38 drilled at -50 degrees
and completing at a final depth of 659.6m, and drill hole 39 drilled at a
steeper angle of -65 degrees and completing at a final depth of 664.1m.

 

In reference to the attached cross-section for drill holes BRDD-21-038 &
BRDD-22-039, it is evident that two quite distinct mineralisation styles have
been intersected, including one which displays consistent elevated gold
values. Drill hole BRDD-22-039 in particular has intersected strong intervals
of porphyry related gold mineralisation, including an interval of 32m which
returned 0.92 g/t Au from a depth of 510m, this zone was consistently elevated
in gold throughout showing a good propensity for disseminated porphyry related
gold mineralisation, with the best assay result in the zone returning 2m at
3.24 g/t Au. The intercepts in hole BRDD-22-039 display a good correlation
with similar intervals in drill hole BRDD-21-038, highlighting a series of
near vertical veins and structures which are all elevated in gold, with hole
BRDD-21-038 returning a best result of 2m @ 2.3 g/t Au from a depth of 591m
(refer to RNS dated 17 May 2022).

These initial results at Ascot display similar characteristics to the
discovery of the deeper, gold-rich Ridgeway deposit, which is a part of the
Cadia-Ridgeway group of porphyry deposits discovered by Newcrest Mining.
Cadia-Ridgeway is situated 25km to the south of Orange in New South Wales,
less than 100km from the Bushranger project, in the prospective Lachlan Fold
Belt. Ridgeway is a near vertical intrusive complex with an indicated resource
of 110Mt at 0.57 g/t Au and 0.3% Cu and is currently under development by
Newcrest as an underground mining operation.

 

Bushranger Prospect Drill Hole Location Plan

http://www.rns-pdf.londonstockexchange.com/rns/1316N_1-2022-5-27.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1316N_1-2022-5-27.pdf)

 

 

Bushranger Cross-Section Drill Holes BRDD-21-038 & BRDD-21-039

(http://www.rns-pdf.londonstockexchange.com/rns/1316N_2-2022-5-27.pdf)

http://www.rns-pdf.londonstockexchange.com/rns/1316N_2-2022-5-27.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1316N_2-2022-5-27.pdf)

 

Bushranger Prospect Assay Summary

http://www.rns-pdf.londonstockexchange.com/rns/1316N_3-2022-5-27.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/1316N_3-2022-5-27.pdf)

 

 

 

 

Further information is available from the Company's website which details the
company's project portfolio as well as a copy of this
announcement: www.xtractresources.com

 

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").

 

The person who arranged for the release of this announcement on behalf of the
Company was Colin Bird, Director.

 

 

Enquiries:

 

 Xtract Resources Plc                               Colin Bird,          +44 (0)20 3416 6471

                                                    Executive Chairman   www.xtractresources.com (http://www.xtractresources.com)

 Beaumont Cornish Limited                           Roland Cornish       +44 (0)207628 3369

 Nominated Adviser and Joint Broker                 Michael Cornish      www.beaumontcornish.co.uk (http://www.beaumontcornish.co.uk)

                                                    Felicity Geidt

 Novum Securities Limited                           Jon Belliss          +44 (0)207 399 9427

 Joint Broker                                       Colin Rowbury        www.novumsecurities.com

 

 

Qualified Person:

Information in this announcement relating to the exploration works has been
reviewed by Edward (Ed) Slowey, BSc, PGeo, a consultant to Xtract. Mr Slowey
is a graduate 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 the geological content of this announcement.

 

Qualified Person:

In accordance with AIM Note for Mining and Oil & Gas Companies, June 2009
("Guidance Note"), Colin Bird, CC.ENG, FIMMM, South African and UK Certified
Mine Manager and Director of Xtract Resources plc, with more than 40 years'
experience mainly in hard rock mining, is the qualified person as defined in
the Guidance Note of the London Stock Exchange, who has reviewed the technical
information contained in this press release.

 

 

 

 

 

 

 

 

TECHNICAL GLOSSARY

The following is a summary of technical terms:

 

 "Ag"              Silver
 "Au"              Gold
 "Cu"              Copper
 "CuEq"            Copper equivalent grade, calculated using assumed metal prices for copper,
                   gold and other metals

 "Mineralisation"  Process of formation and concentration of elements and their chemical
                   compounds within a mass or body of rock

 "Porphyry"        A deposit of disseminated copper minerals in or around a large body of
                   intrusive rock

ENDS

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