Bushranger Phase 2 Drilling Programme Update

RNS Number : 3472O

Xtract Resources plc

07 October 2021

 

For immediate release

7 October 2021

Xtract Resources Plc

("Xtract" or the "Company")

Completion of Drill Holes BRDD-21-018 and BRDD-21-019

Bushranger Copper-Gold Project Phase 2 Drilling Programme

The Board of Xtract Resources Plc ("Xtract" or the "Company") is pleased to provide the geological results from drill holes BRDD-21-018 and BRDD-21-0189 from the Phase 2 diamond drilling programme at the Racecourse Copper-Gold Deposit on the Bushranger Project, located in the Lachlan Fold Belt ("LFB") of New South Wales, Australia.  

Highlights

· Drill holes BRDD-21-018 and BRDD-21-019 have both completed to final depths of 732.6m and 693.6m respectively.

· Drill hole BRDD-21-018 was drilled to test for extensions of the known mineralisation along-strike to the northwest associated with a resistivity low anomaly

· BRDD-21-018 intersected a 709.6m interval of trace to moderate visible copper porphyry-associated copper (chalcopyrite) mineralisation from a downhole depth of 23m until the end of hole. Moderate strength copper mineralisation occurred from a downhole depth of 253m until 450m, a downhole interval of 197m, with the strongest mineralisation occurring between 415m and 484m downhole depth, a downhole interval of 69m.

· Drill hole BRDD-21-019 was drilled to extend the copper mineralisation intersected in Xtract hole BRDD-21-008 (184m @ 0.51% CuEq - refer to RNS 28 September 2021) and historical BRD009 which intersected 169m @ 0.39% Cu from 317m down hole depth (refer to RNS 1 June 2020).

· BRDD-21-019 intersected a thick interval of visible trace to moderate copper porphyry-associated copper (chalcopyrite) mineralisation from a downhole depth of 201m until of 670m, a downhole interval of 469m. Moderate strength copper mineralisation occurred from a downhole depth of 270m until 356m, a downhole interval of 86m.

Colin Bird, Executive Chairman said: "It is very pleasing to see that drill holes BRDD-21-018 and BRDD-21-019, which were designed to follow up our recent best ever intersection of high-grade copper mineralisation in hole BRDD-21-008 (184m @ 0.51% CuEq - refer to RNS 28 September 2021), have both intersected significant thicknesses of moderate intensity copper mineralisation. As we grow our knowledge of the Racecourse mineral system, we are better able to predict the orientation and location of the more intense copper mineralisation, allowing us to have a good sequence of promising intersections. We await with interest the assay results for holes BRDD-21-018 and BRDD-21-019."

Please see the following web links for the Racecourse Inferred Mineral Resource drill hole location plan and the drill holes relative to the IP anomalies:

Bushranger Prospect Drill Hole Location Plan

http://www.rns-pdf.londonstockexchange.com/rns/3472O_1-2021-10-7.pdf

Racecourse Prospect Cross Section for Drill Hole BRDD-21-019

http://www.rns-pdf.londonstockexchange.com/rns/3472O_2-2021-10-7.pdf

Geological Results of Drill Holes BRDD-21-018 and BRDD-21-019

Drill hole BRDD-21-0018   was drilled with the objective of extending the known Racecourse Prospect copper mineralisation to the northwest and test the source of a resistivity low anomaly, identified from an IP survey completed in May 2021, which was postulated to be due to an increase in the intensity of chalcopyrite and pyrrhotite mineralisation, in the "crown" position at the top of the porphyry intrusive system.

The drill hole is the most northwesterly drill hole completed on the project to date and is beyond the current limit of the Racecourse Inferred Mineral Resource.  Drill hole BRDD-21-018 was drilled at an inclination of -50 degrees towards the ENE and was completed at a depth of 732.6m.  The hole intersected a thick interval of trace to moderate visible porphyry-associated copper (chalcopyrite) mineralisation from a downhole depth of 23m until the end of hole at a depth of 732.6m, a downhole interval of 709.6m. Moderate strength copper mineralisation occurred from a downhole depth of 253m until 450m, a downhole interval of 197m, with the strongest mineralisation between 415m and 484m downhole depth, a downhole interval of 69m.  The result from drill hole BRDD-21-018 confirms that the Racecourse copper mineralisation extends to the northwest beyond the limit of the Inferred Mineral Resource and is open to the northwest. 

Drill hole BRDD-21-018 occurs 425m to the northwest of drill hole BRDD-21-008, which has delivered the best intersection at the Racecourse Prospect to date (184m @ 0.51% CuEq - refer to RNS 28 September 2021).  Drill hole BRDD-21-020 is currently being drilled to follow up on the intersection in drill hole BRDD-21-018. 

Drill hole BRDD-21-019 was drilled to extend the copper mineralisation intersected in BRDD-21-008 about 100m towards the northwest.  The hole was drilled above historical drill hole BRD009 which intersected 169m @ 0.39% Cu from 317m down hole depth (refer to RNS 1 June 2020).  Drill hole BRDD-21-019 was drilled at an inclination of -58 degrees towards the NE and was completed at a depth of 693.60m.  The drill hole intersected a thick interval of trace to moderate porphyry-associated visible copper mineralisation from a downhole depth of 201m until a downhole depth of 670m, a downhole interval of 469m. Moderate strength copper mineralisation occurred from a downhole depth of 270m until 356m, a downhole interval of 86m.

The results from both drill holes BRDD-21-018 and BRDD-21-019 suggest that the low resistivity anomalies detected by the May 2021 IP geophysical survey do correlate well with areas of increased sulphide mineralisation.

Phase Two Drilling Programme at the Racecourse Mineral Resource - Background

The Bushranger porphyry copper-gold project is located in the highly prospective Lachlan Fold Belt ("LFB") of New South Wales, Australia. The current JORC (2012)-compliant Inferred Mineral Resource on the Racecourse deposit is estimated as 71Mt @ 0.44% Cu and 0.064g/t Au, at a 0.3% Cu cut-off, without inclusion of data from the Phase One drilling programme which was recently concluded and reported.

The Phase 2 drilling program at the Racecourse Mineral Resource is designed to follow up on the very encouraging results obtained from the Phase 1 Racecourse drilling program which was concluded in April 2021 and historical drill results recorded by Anglo American Exploration Australia Pty Ltd ("Anglo") in 2014 and 2015.  A total of approximately 8,000m of drilling is planned in the first block of 13 holes using two drill rigs.

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

This announcement contains inside information for the purposes of Article 7 of EU Regulation No. 596/2014 on market abuse. 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, Executive Chairman	[phone] www.xtractresources.com
Beaumont Cornish Limited Nominated Adviser and Joint Broker	Roland Cornish Michael Cornish Felicity Geidt	[phone] www.beaumontcornish.co.uk
Novum Securities Limited Joint Broker	Colin Rowbury	[phone] 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:

"Au"	Gold
"chalcopyrite"	A copper-iron sulphide mineral, CuFeS2, often found in copper ores
"Cu"	Copper
"Inferred Mineral Resource"	That part of a Mineral Resource for which quantity and grade (or quality) are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade (or quality) continuity. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes
"JORC Code"	Australasian Institute of Mining and Metallurgy Joint Ore Reserves Committee code on mineral resources and ore reserves
"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
"porphyritic"	A rock texture containing distinct crystals or crystalline particles embedded in a compact groundmass
"pyrite"	Iron sulphide mineral, FeS2
"pyrrhotite"	An iron sulphide mineral, Fe1-XS, often magnetic

ENDS

 

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