SEPTEMBER QUARTERLY REPORT

Transcription

1 SEPTEMBER QUARTERLY REPORT Resource Mining Corporation Limited ( RMC ) For the period ended 30 th September 2011 HIGHLIGHTS: Resource Mining Corporation Limited ABN: Murray Street West Perth WA 6005 Phone: Fax: rmc@resmin.com.au ASX Code: RMI Contacts: Warwick Davies Managing Director Projects: Wowo Gap: Nickel-Cobalt Tomkinson Range: Nickel-Copper St Patricks: Copper-Zinc-Silver-Gold Capricorn JV: Copper-Gold Kumarina: Copper-Gold Cue: Gold Assay results show seven out of ten drill holes at Wowo Gap have nickel grades at greater than one per cent confirming the significance of the deposit St Patrick s Project Sampling Confirms Felsic Volcanic, Mafic and Ultramafic Rocks Associated with Volcanic Hosted Massive Sulphide Deposits Kumarina Project Surface Sampling Confirms Copper Gold Anomaly Capricorn Joint Venture Sampling Locates Significant Geochemical Anomaly

2 COMPANY OVERVIEW CORPORATE Resource Mining Corporation Limited (ASX: RMI) is a Perth-based specialist mineral exploration company creating wealth from mineral commodities using innovative technical, marketing and financial skills as it explores for economic metal deposits in Australia and Papua New Guinea. This quarterly report highlights a number of important milestones for the company relating to nickel ore grades at Wowo Gap in PNG and promising geochemistry results from soil and vegetation sampling at St Patrick s, Kumarina and Capricorn Projects in Western Australia. WOWO GAP PROJECT The major focus of Resource Mining Corporation is on the development of its wholly owned Wowo Gap Nickel Project located 200 kilometres from the PNG capital of Port Moresby. A key strategic objective of the company is to update and expand our mineral resource estimates, continue to engage with local stakeholders and demonstrate research leadership through our scoping study with the new leaching technology. ASSAY RESULTS POSITIVE Further assay results from exploration drill holes were received during the quarter and confirmed the occurrence of ore grade nickel and cobalt mineralisation in areas drilled. The results reinforce the significance of the resource in terms of both the size of the resource and the grade. Drill operations have now been completed, with 295 holes being completed since the drill program commenced in August 2010 (Figure 1). The drill program was designed to infill holes on a 200 metre hole spacing within areas of known mineralisation towards the north of the project and to test for extensions of mineralisation to the south-west. The results are extremely positive because the high grade mineralisation remains open to the north and south. More than 70 per cent of the drill holes intersected mineralisation containing over 1 per cent nickel which provides confidence that the mineral resource is of higher grade than current estimates. The drill hole database was finalised in the quarter and provided to the Independent Geologist for resource estimation and reporting. The updated resource estimation should be completed by late December

3 8,948,000 mn 8,947,000 mn 8,946,000 mn 8,945,000 mn LEGEND Previous Wacker Drill Holes Previous Diamond Drill Holes 2010 Core Holes 2011 Core Holes 8,944,000 mn 8,943,000 mn 8,942,000 mn 8,941,000 mn 8,940,000 mn Figure 1: Core hole locations. WESTERN AUSTRALIAN PROJECTS St Patrick s Project Sampling Confirms Felsic Volcanic, Mafic and Ultramafic Rocks Associated with Volcanic Hosted Massive Sulphide Deposits Recent project sampling at this site has identified rock types associated with volcanic hosted massive sulphide deposits (VMS), especially felsic volcanic, mafic and ultramafic rocks. The project is located approximately 50 kilometres north of Leonora and 10 kilometres east of the Teutonic Bore and Jaguar polymetallic copper-zinc-silver (Cu-Zn-Ag) Projects. It is situated along a strike to the south east of numerous gold mines with more than 300,000 ounces of gold in resources. The project is almost entirely buried under surficial alluvial cover material over barren granitic rocks. It overlies a sequence of buried felsic volcanic, mafic and ultramafic bedrock 3

4 lithologies along the 50 kilometre strike length of the project (Figure 2). The bedrock lithologies and structures in this area are prospective for volcanogenic copper-zinc-silvergold (Cu-Zn-Ag-Au) and lode gold mineralisation. Figure 2: Location of the St Patricks Project Showing the Extent of Buried Greenstones. Field reconnaissance during the year has located greenstone rocks at the base of a number of old wells across the project area. The estimated depth of the granite greenstone contact from the wells was 20 to 25 metres. A rock specimen found at the main target on E37/1078 has been identified as serpentinite, with relic textures of a komatiitic olivine cumulate. This is considered the preferred rock type found in nickel sulphide deposits in the Yilgarn. CSIRO conducted hydrogeochemical sampling of the wells and bores within the area as part of the MERIWA project M402 Hydrogeochemical Mapping of the Northeast Yilgarn Craton, with the results released to the public in This data indicates that water in a number of the wells within the project area exhibits anomalously elevated mineral 4

5 chemistry.. This chemistry supports the potential of the buried greenstone rocks within the project area to host gold and polymetallic mineralisation. Elevated gold and polymetallic results returned from subsequent reconnaissance vegetation sampling may indicate the presence of buried gold and polymetallic mineralisation within the greenstone rocks beneath a blanket of unmineralised granitic rocks at a number of localities across the project area. These warrant follow up sampling to define drill targets. Soil sampling conducted across the primary target area within E37/1078 (Figure 2) in August 2011 has identified a felsic volcanic - mafic contact along a strike length of in excess of 30 kilometres. This is a significant finding considering the nearby Jaguar and Bentley VMS deposits are located proximal to felsic volcanic - mafic contacts. Kumarina Project Surface Sampling Confirms Copper Gold Anomaly Geochemistry results from soil and vegetation samples have confirmed a copper and gold anomaly in this under explored region of Western Australia. The tenement lies approximately 200 kilometres North East of Meekatharra along the Great Northern Highway, approximately 10 kilometres east of the historical Kumarina copper mine within the Proterozoic Collier Basin. Historical exploration has located elevated copper and gold values in surface soils that have not been followed up by further exploration. More than 100 surface soil and vegetation samples were collected across the tenement area during a site field program in June. The samples were collected along access tracks as a first pass reconnaissance test to assess the initial prospective nature of the tenement. The geochemistry results confirm an area of anomalous copper and gold with associated silver, molybdenum, arsenic, niobium, tin and potassium in close proximity to the Geological Survey of WA (GSWA) regional copper and gold geochemistry anomaly. This geochemical association suite suggests that the geochemistry maybe associated with hydrothermal alteration derived from an intermediate granitiod. An outcropping altered diorite, (an intermediate granitiod rock) was mapped immediately north of the geochemical anomaly and maybe directly associated with the mineralisation. Proterozoic copper gold deposits usually occur within the alteration aureole of a granitoid rather than within the granitiod. A follow up infill surface geochemical sampling program was conducted over several areas of interest during September. Results are expected late October. Capricorn Joint Venture Sampling Locates Significant Geochemical Anomaly Encouraging geochemistry results have also been achieved from soil and vegetation sampling have found an anomaly that is nearly two kilometres in width. The Project is held by a 50:50 joint venture between Resource Mining Corporation (ASX:RMI) and Ashburton Minerals Ltd (ASX:ATN) with RMI manager. The Ashburton Fold Belt, Edmund (and Collier) Basin and the Gascoyne Complex are typical of Proterozoic sedimentary and metamorphic terrane throughout the world where they host large zinc-leadsilver (Zn-Pb-Ag) and copper-gold (Cu-Au) deposits. The tenements cover a number of historical stream sediment anomalies with elevated gold, copper and zinc geochemistry that have yet to be systematically followed up. More than 100 surface soil and vegetation samples were collected across the tenements using a helicopter to assist with access as a first pass reconnaissance test to assess the initial prospective nature of the tenements (Figure 3). Initial results from the soil and vegetation sampling program are very encouraging because results from both datasets show a co-incident molybdenum-silver-gold-copper geochemical anomaly across a traverse length of more than two kilometres at Target 1. Elevated rare earth element (REE) values associated with this multi-element anomaly support the 5

6 possibility that the molybdenum-silver-copper-gold anomaly maybe associated with a granitoid intrusive. A follow up surface geochemical program was conducted late September 2011 to increase the sample density around this primary target as well as to complete the regional assessment of the tenement areas. Figure 3: Location of the Capricorn Project and Primary Exploration Targets. The strategic goals for the next quarter are: 1. To update the resource estimate for the Wowo Gap Nickel Project in PNG. 2. Analyse infill surface geochemical sampling results from the Kumarina Copper-Gold Project in the north eastern goldfields region in Western Australia. 3. Analyse follow up surface geochemical results from the Capricorn Project in the Pilbara region in Western Australia. W J Davies Managing Director Dated this 31 st day of October 2011 Information in this report relating to ore reserves, mineral resources or mineralisation conforms with the reporting requirements of the Australian Institute of Geoscientists Code for reporting of Identified Mineral Resources and Ore Reserves and is based on and accurately reflects information compiled by Mark Hill who is a Competent Person as defined by the CODE and is a Member of the AIG. Mark Hill has consented to the release of the information dealing with these matters in the form in which it is reported. 6