Wrap Text
Field Work Commences on Regional Exploration in the Areachap Belt, Northern Cape, South Africa
Orion Minerals NL
Incorporated in the Commonwealth of Australia
Australian Company Number 098 939 274
ASX share code: ORN
JSE share code: ORN
ISIN: AU000000ORN1
Field Work Commences on Regional Exploration in the Areachap Belt, Northern Cape, South Africa
- 19 SkyTEMTM anomalies selected for initial follow-up.
- 17 anomalies coinciding with a paleo-seafloor setting selected to be tested as volcanogenic massive sulphide targets.
- 2 anomalies are associated with known Ni-Cu sulphide mineralisation. Regional target generation is ongoing,
evaluating the remaining SkyTEMTM data over the Jacomynspan Complex.
- Geological mapping and ground EM surveys to refine drill targets on the SkyTEM TM anomalies commenced mid-May
2018.
Orion Minerals Limited (ASX/JSE: ORN) (Orion or the Company) is pleased to provide an update on its regional
exploration activities in the Areachap Belt, South Africa, where Orion holds prospecting rights over 196,760Ha (Figure 1).
Ground Electro Magnetic (EM) surveys and geological mapping over anomalies resulting from helicopter-borne Electro
Magnetic (AEM or SkyTEMTM) surveys on the Masiqhame and Disawell prospecting rights commenced in May 2018 (refer
ASX release 1 February 2018). Orion is targeting both volcanogenic massive sulphide (VMS) Zn-Cu and magmatic sulphide
Ni-Cu-Co-PGE style mineralisation.
“Figures" referred to throughout this announcement can be viewed on the pdf version of the announcement, available on
the Company's website, www.orionminerals.com.au.
Seventeen SkyTEMTM anomalies are prioritised as VMS targets. The anomalies are spatially associated with a paleo-
seafloor setting as determined from field work and the newly acquired airborne magnetic data (Figure 2) (refer ASX release
8 March 2018). VMS-style Zn-Cu deposits occur on the Masiqhame Prospecting Right at Kantienpan and Boksputs in the
Areachap Group, which hosts Orion’s Prieska Zinc-Copper Deposit.
Ground EM surveying began on 15 May 2018 on the Disawell prospecting rights with the first survey, over the 2.6km-long
SkyTEMTM anomaly at HP3, currently underway. Two conductive plates, 1.2 and 1.6km long respectively, were modelled
from SkyTEMTM data at this anomaly (Figure 3). The follow-up work at HP3 is targeting VMS-style mineralisation, with
mapping over the area confirming favourable volcanic-related lithologies, including metamorphosed felsic tuffs which form
the bulk of outcrops over the anomaly. In addition, dark, poorly-magnetic chert with traces of pyrite found on the target, are
interpreted as a distal exhalative phase of the VMS deposit. Ground EM anomalies will be ranked on geology and
conductivity before drilling starts.
Two anomalies (Rok Optel and Area 4) have been selected for priority ground EM follow-up as Ni-Cu-Co-PGE sulphide
targets. Both are associated with known nickel-copper sulphide mineralisation discovered by previous explorers.
Preliminary conductors modelled from the SkyTEMTM data suggest that the targets were not adequately tested by previous
diamond drilling. Figure 4 shows the modelled SkyTEM TM conductor plates at the Rok Optel prospect (not intersected by
previous drilling), which illustrate the advantages of using the modern technology applied by Orion. Further target generation
for magmatic sulphide Ni-Cu-Co-PGE mineralisation is in progress, Figures 4 and 5, focus on new intrusions and extensions
to the Jacomynspan Intrusive Complex, where a Mineral Resource of 6.8Mt at 0.57% Ni, 0.33% Cu and 0.03% Co at a
0.4% Ni cut-off grade (refer ASX release 8 March 2018) was reported and classified in accordance with the JORC Code
(2012)(*1).
The recognition of EM anomalies, which may be indicative of massive sulphide Ni – Cu mineralisation in a setting where
reinterpretation of historic exploration data has highlighted the high potential for this style of mineralisation is very
encouraging.
*1 Mineral Resource reported in ASX release of 8 March 2018: “Geological Modelling Confirms Compelling Targets Surrounding the Jacomynspan Ni-Cu-
Co-PGE Intrusive” available to the public on www.orionminerals.com.au/investors/market-news. Competent Person Orion’s exploration: Mr. Errol Smart.
Competent Person: Orion’s Mineral Resource: Mr. Jeremy Witley. Orion is not aware of any new information or data that materially affects the information
included above. For the Mineral Resource, the Company confirms that all material assumptions and technical parameters underpinning the estimates in
the ASX release of 8 March 2018 continue to apply and have not materially changed. Orion confirms that the form and context in which the Competent
Person’s findings are presented here have not materially changed.
This intrusion has not been definitively tested for localised bodies of massive sulphide mineralisation and no new exploration
has been undertaken since 1985.
Previous Nickel Sulphide Exploration
Previous Exploration was undertaken at Area 4 by Anglo American during the latter phase of exploration that spanned from
1970 to 1985. Initial work in the area was undertaken at Anglo American’s Jacomynspan, as Hartebeestpan was then held
by the Anglovaal Group. During the 1980s, Anglo-American secured an option over Hartebeestpan, and undertook
geological mapping, soil sampling, wagon-drilling, and ground geophysics. The targets identified were tested by a short
campaign of seven diamond drill holes (JAC001 – 007) of which JAC005 and 007 were drilled at Area 4. Both holes
intersected ultramafic rocks, although sulphide mineralisation was only intersected in JAC007. While the original drill hole
logs are not available, the summary, with composite intersection data, has been recovered. The summary data for the
holes, previously not publicly reported, are tabulated in Tables 1 and 2 below. The data indicate that Ni-Cu mineralisation
of similar characteristics, grade and tenor to that intersected at Jacomynspan is present at Area 4. Drill hole collars have
been located and verified in the field with the use of GPS.
At Rok Optel, exploration was undertaken during the early 1970s by Hochmetals SWA, who drilled six drill holes. The only
available information from this period is recorded in summary logs that have lithology depths and composite analytical data.
From 1975 to 1978, Newmont carried out mapping, geochemical sampling, IP geophysical surveys and drilling at Rok Optel.
The data from this campaign have been digitally captured by Orion from copies of the original drill sections, including
lithology and sample information. The summary data for the holes, previously not publicly reported, are tabulated in Tables
1 and 2 below. The data again indicate that an intrusion of similar characteristics to Jacomynspan is present, within which
the mineralisation plunges at a shallow angle to the south. The Ni-Cu grades are similar to those intersected at
Jacomynspan. During 2013, African Nickel undertook an AMT geophysical survey over the Rok Optel anomaly and
confirmed that it strikes north-south. No follow-up drilling was undertaken to test the anomaly further.
Mineralisation intersections from all the historic drill holes at Hartebeestpan (Area 4) and Rok Optel are presented in Table
2. The grade averages are calculated at between 0.2% and 0.5% Ni cut-off (as individually specified in Table 2) and do not
allow for any external dilution intervals below this cut-off grade. No grade capping has been applied to calculate the
averages.
Original Initial
Drill Hole Drill Hole Depth Final Depth
ID ID X UTM34S Y UTM34S Elevation Dip Azimuth (prior to
(where (mamsl) (degrees) (degrees) deepening (metres)
renamed) of the drill
hole)
(metres)
JAC005 --- 581552.37 6754771.61 1,078.11 -60 82 --- 377.60
JAC007 --- 582084.15 6754733.63 1,080.00 -51 354 --- 382.44
PUD001 DDH001 580533.77 6745751.22 1,067.90 -50 -50 318.59 387.64
PUD002 DDH002 580630.74 6746045.10 1,069.01 -49 -49 --- 451.77
PUD003 DDH003 580607.74 6745954.14 1,068.68 -52 -52 --- 436.40
PUD004 DDH004 580524.78 6745672.25 1,067.88 -52 -52 --- 386.79
PUD005 DDH005 580318.86 6745809.20 1,063.48 -50 -50 --- 205.43
PUD006 DDH006 580268.88 6745820.19 1,062.56 -45 -45 --- 318.30
PUD007 --- 579990.94 6745573.69 1,059.06 -60 -60 --- 522.90
Table 1: Historic drill hole Information for Hartebeestpan (Area 4) and Rok Optel.
Cut Off Depth From Depth To Intersection
Company Drill Hole Grade Width Au (ppm) Ag (ppm) Co (ppm) Cu (%) Ni (%) Comments
(% Nickel) (metres) (metres) (metres)
Not Not
Anglo- JAC005 --- --- --- --- Not analysed Not analysed Not analysed No mineralisation intersected. No analyses undertaken.
analysed analysed
American
JAC007 0.2% 304.16 366.66 62.50 Not analysed Not analysed Not analysed 0.17 0.26 Composite data captured from the summary log.
DDH004 0.2% 270.30 278.67 8.37 Not analysed Not analysed Not analysed 0.12 0.27 The composite data are captured from the summary log.
Hochmetals Not
DDH005 0.2% --- --- --- Not analysed Not analysed Not analysed --- No assay values above 0.2% Ni.
SWA analysed
Not
DDH006 0.2% --- --- --- Not analysed Not analysed Not analysed --- No assay values above 0.2% Ni.
analysed
0.2% 254.60 258.00 3.40 Not analysed Not analysed Not analysed Data are captured from the Gresse (1977) report drill sections.
0.10 0.36 The original sample depths, numbers, and assay results are
PUD001 0.2% 284.10 289.55 5.45 Not analysed Not analysed Not analysed included. The composites are calculated in an MS Excel
0.12 0.28
spreadsheet using width-weighting and are constrained to the
286.60 289.55 2.95 Not analysed Not analysed Not analysed last sample above cut-off grade. Internal lower grade zones are
0.3% 0.11 0.34
included in the composite.
0.2% 271.71 276.08 4.37 Not analysed 1.00 Not analysed 0.08 0.28
0.2% 346.50 353.55 7.05 Not analysed 6.55 Not analysed 0.32 0.30
0.2% 424.90 432.00 7.10 Not analysed 5.00 Not analysed 0.17 0.37
0.3% 235.90 239.40 3.50 Not analysed 5.00 Not analysed 0.18 0.31
0.3% 350.10 353.55 3.45 Not analysed 8.17 Not analysed 0.33 0.38
PUD002
0.3% 424.90 427.50 2.60 Not analysed 5.00 Not analysed 0.24 0.56
0.5% 244.20 244.80 0.60 Not analysed 10.00 Not analysed 0.22 0.67
Newmont
SA 0.5% 263.50 265.05 1.55 Not analysed 10.00 Not analysed 0.11 0.54
0.5% 380.00 384.10 4.10 Not analysed 10.00 Not analysed 0.30 0.56
0.5% 426.30 427.50 1.20 Not analysed 5.00 Not analysed 0.16 0.71
0.2% 294.00 317.12 23.12 Not analysed Not analysed Not analysed 0.28 0.32
0.2% 321.75 328.57 6.82 Not analysed Not analysed Not analysed 0.19 0.31
0.2% 418.60 425.00 6.40 Not analysed Not analysed Not analysed 0.15 0.28
PUD003
0.3% 294.00 317.12 23.12 Not analysed Not analysed Not analysed 0.28 0.32
0.3% 321.75 328.57 6.82 Not analysed Not analysed Not analysed 0.19 0.31
0.5% 306.00 307.80 1.80 Not analysed Not analysed Not analysed 0.60 0.58
0.2% 446.40 452.31 5.91 0.05 0.30 Not analysed 0.15 0.23
PUD007
0.2% 483.17 485.17 2.00 0.19 0.10 Not analysed 0.08 0.26
Table 2: Mineralisation Intersections from all historic drilling at Hartebeestpan (Area 4) and Rok Optel. The grade averages are calculated at 0.2%, 0.3% or 0.5%Ni cut-off; not allowing any
external dilution intervals below this cut-off grade. No grade capping has been applied to calculate the averages. True widths not known.
About the Areachap Belt
The Areachap Belt was the focus of two short-lived exploration booms in the 1970s and early 1980s following the discovery
of the Prieska VMS deposit by Anglovaal in 1968; during this period several VMS and Ni-Cu-sulphide occurrences were
discovered.
In recent decades, the geological understanding of volcanogenic zinc-copper mineralisation has led to numerous
discoveries worldwide of clusters of massive sulphides in “camps” surrounding known major deposits, yet the Areachap
Belt has not had the benefit of modern exploration. Orion now has the advantage of applying the improved geological
understanding of VMS deposits combined with modern geophysical exploration tools to target similar discoveries.
The Areachap Belt formed in a complex, long-lived multi-phase orogenic assembly zone, related to the amalgamation of
the Rodinia Supercontinent. Worldwide, super-continent amalgamation episodes are associated with the emplacement of
potentially Ni-Cu sulphide-bearing intrusions and are therefore of high exploration importance. The event that resulted in
the emplacement of the (Ni-Co-Co-PGE sulphide mineralised) Jacomynspan Complex is part of a global event that hosts
several world-class nickel-sulphide deposits such as Voisey’s Bay, Kabanga and Nova-Bollinger. The geophysical
exploration tools being used by Orion in the Areachap Belt are applicable to both VMS Zn-Cu massive sulphide and Ni-
Cu massive sulphide exploration.
Details of TEM system in use
The AEM survey targets are followed up with a best-in-class EM receiver manufactured in Perth, Western Australia, by
Electromagnetic Technologies. The current source is a custom-built Time Domain Electromagnetic (TDEM) transmitter,
capable of transmitting 140 Amps into a 1km-by-1km aluminium wire loop. This current source is coupled with military-
grade fluxgate sensors for shallow exploration and super sensitive, high-temperature Super Conducting Quantum
Interference Devices (SQUIDs) sourced from Germany, which are state-of-the-art sensors for deep exploration. The system
being employed is the best technology available. The SQUID system, together with the high-powered TDEM transmitter,
can detect moderate to super-conductors to depths of approximately 1,000m. Readings are taken every 50m on grid-lines
spaced 200m apart.
Orion’s Managing Director and CEO, Errol Smart, commented:
"Given the significant number of new anomalies generated by Orion’s initial helicopter-borne Electro Magnetic (SkyTEMTM)
survey over our regional landholdings in the highly-prospective yet underexplored Areachap Belt, in our view, the use of
modern exploration tools has significantly enhanced the probability of exploration success. We look forward to drill testing
multiple targets in coming months with the first drill holes scheduled to commence during June 2018.”
Errol Smart
Managing Director and CEO
29 May 2018
ENQUIRIES
Investors JSE Sponsor
Errol Smart – Managing Director & CEO Rick Irving
Denis Waddell – Chairman Merchantec Capital
T: +61 (0) 3 8080 7170 T: +27 (0) 11 325 6363
E: info@orionminerals.com.au E: rick@merchantec.co.za
Media
Michael Vaughan Barnaby Hayward
Fivemark Partners, Australia Tavistock, UK
T: +61 (0) 422 602 720 T: +44 (0) 787 955 1355
E: michael.vaughan@fivemark.com.au E: orion@tavistock.co.uk
Suite 617, 530 Little Collins Street
Melbourne, VIC, 3000
Competent Person Statement
The information in this report that relates to Exploration Results is based on information compiled by Mr Richard Hornsey
(Pr.Sci.Nat.) Registration No: 400071/96, a Competent Person who is a member of the South African Council for Natural
Scientific Professionals, a Recognised Overseas Professional Organisation (ROPO). Mr Hornsey is a Consultant to Orion.
Mr Hornsey has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration
and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the JORC Code.
Mr Hornsey consents to the inclusion in this announcement of the matters based on his information in the form and
context in which it appears.
Disclaimer
This release may include forward-looking statements. Such forward-looking statements may include, among other things,
statements regarding targets, estimates and assumptions in respect of metal production and prices, operating costs and
results, capital expenditures, mineral reserves and mineral resources and anticipated grades and recovery rates, and are
or may be based on assumptions and estimates related to future technical, economic, market, political, social and other
conditions. These forward-looking statements are based on management’s expectations and beliefs concerning future
events. Forward-looking statements inherently involve subjective judgement and analysis and are necessarily subject to
risks, uncertainties and other factors, many of which are outside the control of Orion. Actual results and developments may
vary materially from those expressed in this release. Given these uncertainties, readers are cautioned not to place undue
reliance on such forward-looking statements. Orion makes no undertaking to subsequently update or revise the forward-
looking statements made in this release to reflect events or circumstances after the date of this release. All information in
respect of Exploration Results and other technical information should be read in conjunction with Competent Person
Statements in this release (where applicable). To the maximum extent permitted by law, Orion and any of its related bodies
corporate and affiliates and their officers, employees, agents, associates and advisers:
- disclaim any obligations or undertaking to release any updates or revisions to the information to reflect any change
in expectations or assumptions;
- do not make any representation or warranty, express or implied, as to the accuracy, reliability or completeness of
the information in this release, or likelihood of fulfilment of any forward-looking statement or any event or results
expressed or implied in any forward-looking statement; and
- disclaim all responsibility and liability for these forward-looking statements (including, without limitation, liability for
negligence).
Appendix 1: The following tables are provided as a requirement under the JORC Code (2012) requirements for the reporting of Exploration Results for the Namaqua-Disawell
Project: Hartebeestpan (Area 4) and Rok Optel Prospects.
Introductory Remarks
HARTEBEESTPAN (AREA 4)
- This information is derived from information supplied to African Nickel Ltd. under an Alliance Agreement with Anglo-American that concluded during 2011. The information
included data pertaining to Anglo-American’s exploration program for Jacomynspan and Hartebeestpan that started during 1970 and concluded during 1985. The Area 4
Prospect was drilled during 1984, and the available information includes plans with geology mapping, geochemistry and shallow wagon drill traverses, summary logs with
lithology and composite assay data. The remaining original core was warehoused at the Anglo-American Kimberley core shed and was viewed and photographed during
2011. It has subsequently been relocated to Johannesburg.
- The data have been captured from the original documents.
- No details of the sampling or analytical methodologies are available. It is assumed that the work was undertaken according to the standards of the period.
- The drill holes were drilled during the final phase of work during 1984.
ROK OPTEL
- This information is mainly derived from a summary report (Gresse 1977/12; Report on the farm Rok Optel near Marydale, N. W. Cape; 16 pages, 5 Maps, 4 Figures, 4 drill hole
log sections with assay data, 6 IP pseudo sections employed by Newmont South Africa Limited, and the project was part of the Unimont Joint Venture with Phelps Dodge.
The drill holes were drilled during 1971 by Hochmetals SWA. Newmont subsequently entered into a JV with Phelps Dodge.
- The data have been captured from the original documents.
- No details are supplied of the sampling or analytical methodologies. It is assumed that the work was undertaken according to the standards of the period.
- The drill holes were drilled in two phases. The first was undertaken by Hochmetals SWA (6 holes). In 1977, Drill hole PUD001 was subsequently deepened and PUD007 drilled by
Newmont/Phelps Dodge.
Section 1 Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections.)
Criteria JORC Code explanation Commentary
Sampling techniques - Nature and quality of sampling (e.g. cut channels, random chips, or HARTEBEESTPAN (AREA 4)
specific specialised industry standard measurement tools appropriate - Diamond core was continuously sampled in approximately 1 – 1.5m
to the minerals under investigation, such as down hole gamma sondes, intervals
or handheld XRF instruments, etc.). These examples should not be - No additional details are supplied of the sampling techniques of the
taken as limiting the broad meaning of sampling. historical drilling presented in the figures and tables in this report and
- Include reference to measures taken to ensure sample representivity publicly reported here for the first time. It is assumed that the work was
and the appropriate calibration of any measurement tools or systems undertaken according to the ‘industry standards’ of the period.
used.
- Aspects of the determination of mineralisation that are Material to the ROK OPTEL
Public Report. - The core was sampled in lengths varying from 0.60 to 5.57m, with a mean
- In cases where ‘industry standard’ work has been done this would be of 2.60m. This is appropriate for a reconnaissance-level assessment of
relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 disseminated magmatic sulphide mineralisation.
m samples from which 3 kg was pulverised to produce a 30 g charge - No additional details are supplied of the sampling techniques of the
for fire assay’). In other cases, more explanation may be required, such historical drilling presented in the figures and tables in this report and
as where there is coarse gold that has inherent sampling problems. publicly reported here for this first time. It is assumed that the work was
Unusual commodities or mineralisation types (e.g. submarine nodules) undertaken according to the ‘industry standards’ of the period.
may warrant disclosure of detailed information.
Drilling techniques - Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air HARTEBEESTPAN (AREA 4)
blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple - The historical drilling is presented in the figures and tables in this report and
or standard tube, depth of diamond tails, face-sampling bit or other publicly reported here for this first time.
type, whether core is oriented and if so, by what method, etc.).
- Diamond core drilling was undertaken.
- No details of the drilling companies used are available.
- B-size core was drilled.
- Drill holes JAC005 and JAC007 were drilled at -60° to 082 and -51° to 354
respectively.
- Drill core was not oriented.
ROK OPTEL
- The historical drilling is presented in the figures in this report and publicly
reported here for this first time.
- Diamond core drilling was undertaken.
- No details of the drilling companies used, or the core diameter are
available. The core has been lost or discarded.
- Drill holes were drilled at -45° to -52° (PUD001to 006) and -60° (PUD007)
- Drill core was not oriented.
Drill sample recovery - Method of recording and assessing core and chip sample recoveries HARTEBEESTPAN (AREA 4) & ROK OPTEL
and results assessed. - No details are available of the core recovery or possible sample bias.
- Measures taken to maximise sample recovery and ensure
representative nature of the samples.
- Whether a relationship exists between sample recovery and grade
and whether sample bias may have occurred due to preferential
loss/gain of fine/coarse material.
Logging - Whether core and chip samples have been geologically and geo- HARTEBEESTPAN (AREA 4)
technically logged to a level of detail to support appropriate Mineral - The drill hole core has been geologically logged to a high standard
Resource estimation, mining studies and metallurgical studies. consistent with the terminology developed for the project by Anglo-
- Whether logging is qualitative or quantitative in nature. Core (or American.
costean, channel, etc.) photography. - The remaining drill hole core was photographed and appended to the
- The total length and percentage of the relevant intersections logged. drill hole database.
ROK OPTEL
- The drill hole core has been geologically logged to a high standard, the
rock terminology is consistent with all other datasets.
- Mineralogical studies were undertaken to confirm the rock
characterisation and sulphide speciation.
- No geotechnical information is available.
- No core photography is available.
Sub-sampling - If core, whether cut or sawn and whether quarter, half or all core HARTEBEESTPAN (AREA 4)
techniques and taken. - The diamond core was split longitudinally in half using a diamond saw. The
sample preparation - If non-core, whether riffled, tube sampled, rotary split, etc. and original detailed sub-sample information is not available. The summarised
whether sampled wet or dry. data have been captured from the drill logs submitted to the Government
- For all sample types, the nature, quality and appropriateness of the Council for Geoscience.
sample preparation technique.
- Quality control procedures adopted for all sub-sampling stages to ROK OPTEL
maximise representivity of samples. - No details are available with respect to sub-sampling techniques and
- Measures taken to ensure that the sampling is representative of the in- sample preparation.
situ material collected, including for instance results for field
duplicate/second-half sampling.
- Whether sample sizes are appropriate to the grain size of the material
being sampled.
Quality of assay data - The nature, quality and appropriateness of the assaying and HARTEBEESTPAN (AREA 4)
and laboratory tests laboratory procedures used and whether the technique is considered - The samples were analysed at the Anglo-American Research
partial or total. Laboratories, Booysens, Johannesburg.
- For geophysical tools, spectrometers, handheld XRF instruments, etc., - No details of the quality control procedures are available.
the parameters used in determining the analysis including instrument
make and model, reading times, calibrations factors applied and their ROK OPTEL
derivation, etc. - No details are available with respect to laboratory, or quality control.
- Nature of quality control procedures adopted (e.g. standards, blanks,
duplicates, external laboratory checks) and whether acceptable
levels of accuracy (i.e. lack of bias) and precision have been
established.
Verification of - The verification of significant intersections by either independent or HARTEBEESTPAN (AREA 4) & ROK OPTEL
sampling and alternative company personnel. - No data are available.
assaying - The use of twinned holes.
- Documentation of primary data, data entry procedures, data
verification, data storage (physical and electronic) protocols.
- Discuss any adjustment to assay data.
Location of data points - Accuracy and quality of surveys used to locate drill holes (collar and HARTEBEESTPAN (AREA 4)
down-hole surveys), trenches, mine workings and other locations used - The drill holes are indicated on the geological maps in the historic report.
in Mineral Resource estimation. - The collars have been located in the field and surveyed using a handheld
- Specification of the grid system used. Garmin GPS.
- Quality and adequacy of topographic control. - The data are recorded using the WGS84 datum, UTM Zone 36S.
ROK OPTEL
- The drill holes are indicated on the geological maps in the historic report.
- The collars have been located in the field and surveyed using a handheld
Garmin GPS.
- The data are recorded using the WGS84 datum, UTM Zone 36S.
Data spacing and - Data- spacing for reporting of Exploration Results. HARTEBEESTPAN (AREA 4)
distribution - Whether the data-spacing and distribution is sufficient to establish the - The drill holes are scout holes that were sited to test an IP anomaly
degree of geological and grade continuity appropriate for the Mineral supported by geological mapping and surface geochemistry. The
Resource and Ore Reserve estimation procedure(s) and classifications spacing is not sufficient to establish a degree of grade and geological
applied. continuity appropriate for Mineral Resource estimation.
- Whether sample compositing has been applied.
ROK OPTEL
- The drill holes are oriented to drill a NNE-striking zone at spacing of 75-300m
over a strike extent of 670m. The spacing is not sufficient to establish a
degree of grade and geological continuity appropriate for Mineral
Resource estimation.
Orientation of data in - Whether the orientation of sampling achieves unbiased sampling of HARTEBEESTPAN (AREA 4)
relation to geological possible structures and the extent to which this is known, considering - The stratigraphy dips steeply to the west. Drilling was undertaken from the
structure the deposit type. south to intersect at a reasonable angle to dip.
- If the relationship between the drilling orientation and the orientation
of key mineralised structures is considered to have introduced a ROK OPTEL
sampling bias, this should be assessed and reported if material. - The stratigraphy dips steeply to the WNW. Drilling was undertaken from the
ESE and WNW to intersect at a reasonable angle to dip.
Sample security - The measures taken to ensure sample security. HARTEBEESTPAN (AREA 4) & ROK OPTEL
- No information is available.
Audits or reviews - The results of any audits or reviews of sampling techniques and data. HARTEBEESTPAN (AREA 4) & ROK OPTEL
- No information is available.
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
Criteria JORC Code explanation Commentary
Mineral tenement and - Type, reference name/number, location and ownership including HARTEBEESTPAN (AREA 4) & ROK OPTEL
land tenure status agreements or material issues with third parties such as joint ventures, - The farms Hartebeestpan 175 and Optel 261 have overlapping rights (in
partnerships, overriding royalties, native title interests, historical sites, respect of differing minerals) held by two companies.
wilderness or national park and environmental settings. - Namaqua Nickel Mining (Pty) Ltd (Namaqua) holds mining right NC
- The security of the tenure held at the time of reporting along with any 30/5/1/2/2/10032MR over Farm No. 387, the farm Hartebeest Pan 175
known impediments to obtaining a licence to operate in the area. (Portion RE5), Jacomyns Pan 176 (Portion RE1), Rok Optel 261 (Portion RE1,
Portion RE2, Portion RE3) for the mining of Nickel, Copper, Cobalt, PGM
and Gold. This right was granted on 19 September 2016 subject to certain
conditions, which include local community participation and
environmental financial guarantees, but is not yet executed.
- Disawell (Pty) Ltd (Disawell) holds two prospecting rights namely NC
30/5/1/1/2/11010 PR over Jacomyns Pan 176 (Portion RE, Portion 1, Portion
2); Rok Optel 261 (RE, Portion 1, Portion 2, Portion 3); Rooi Puts 172 (Portion
2, Portion 3, Portion 4) and NC 30/5/1/1/2/10938 PR over Hartebeest Pan
175 (RE, Portion 3, Portion 4, Portion 5) and Farm 387, each for the
prospecting of Zinc, Lead and Sulphur.
- Disawell and Namaqua entered into an earn-in agreement with Orion
Minerals, in terms of which Orion (through its subsidiary, Area Metals
Holdings No. 3 (Pty) Ltd) is granted the right to invest in these companies.
- No historical or environmental impediments to obtaining an operating
licence are known.
Exploration done by - Acknowledgment and appraisal of exploration by other parties. HARTEBEESTPAN (AREA 4)
other parties - On Hartebeest Pan 175, exploration has been undertaken by several
parties, although only limited data are available. Mercury Mining (Pty) Ltd,
an Anglovaal subsidiary, undertook exploration during the early 1970s,
including mapping, soil sampling, and geophysics, before drilling several
drill holes adjacent to this area. Limited information is available from this
campaign.
ROK OPTEL
- On Rok Optel 261, exploration has been undertaken by several parties,
although only limited data are available. Hochmetals SWA explored
during the early 1970s and drilled 6 drill holes. Poor quality standardised
and summarised geological drill logs, submitted to the government
Council for Geoscience, are the only information remaining from this
period. The Newmont/Phelps Dodge JV exploration program is reported
by Gresse (1977) which includes geological maps, drill sections and plans
of the geophysical grids for IP survey. Drill hole DDH001 was deepened,
and a new hole PUD007 drilled. The previous drill holes were all renamed
from “DDH” to “PUD” by Newmont.
Geology - Deposit type, geological setting and style of mineralisation. HARTEBEESTPAN (AREA 4)
- The Hartebeestpan mineralisation is contained within portions of a steeply
dipping metamorphosed mafic to ultramafic intrusion several tens of
metres thick containing nickel-copper sulphides. The intrusion is
predominantly harzburgite and pyroxenite, with surrounding norite and
gabbro. The intrusion is enclosed within quartz-feldspar-biotite-garnet
gneiss country rocks and is locally interfingered with late-orogenic granite.
ROK OPTEL
- The Rok Optel mineralisation is contained within portions of a steeply
dipping metamorphosed mafic to ultramafic intrusion. several tens of
metres thick. containing nickel-copper sulphides. The intrusion is
predominantly norite, with lenticular bodies of pyroxenite to harzburgite.
The intrusion is enclosed within quartz-feldspar-biotite-garnet gneiss
country rocks.
Drill hole Information - A summary of all information material to the understanding of the HARTEBEESTPAN (AREA 4) & ROK OPTEL
exploration results including a tabulation of the following information - See Tables 1 and 2 for historic drill hole information.
for all Material drill holes:
- easting and northing of the drill hole collar
- elevation or RL (Reduced Level – elevation above sea level in
metres) of the drill hole collar
- dip and azimuth of the hole
- down hole length and interception depth
- hole length.
- If the exclusion of this information is justified on the basis that the
information is not Material and this exclusion does not detract from the
understanding of the report, the Competent Person should clearly
explain why this is the case.
Data aggregation - In reporting Exploration Results, weighting averaging techniques, HARTEBEESTPAN (AREA 4) & ROK OPTEL
methods maximum and/or minimum grade truncations (e.g. cutting of high - The historic drill data have been captured into a standard MS Excel
grades) and cut-off grades are usually Material and should be stated. spreadsheet within which assays are colour coded according to grade.
- Where aggregate intercepts incorporate short lengths of high grade The cut-off grade is defined based upon the Ni analyses only, and no
results and longer lengths of low grade results, the procedure used for metal equivalents are applied. No top-cutting is applied. Samples below
such aggregation should be stated and some typical examples of detection limit are assigned a dummy value of 50% of detection limit, but
such aggregations should be shown in detail. these are generally not included in the composites. The composite
- The assumptions used for any reporting of metal equivalent values intervals are then calculated by selecting the samples within a zone
should be clearly stated. defined by the cut-off grade being applied. No external marginal grade
samples are included within the composite, but internal low-grade zones
may be included if they do not dilute the entire interval to below the cut-
off grade being applied. If density data are available, the assay grades
are weighted by width and density. If no density data are available, width
weighting is applied.
Relationship between - These relationships are particularly important in the reporting of HARTEBEESTPAN (AREA 4) & ROK OPTEL
mineralisation widths Exploration Results. - Drilling was undertaken from the south to intersect at a reasonable angle
and intercept lengths - If the geometry of the mineralisation with respect to the drill hole angle to dip; however, the geometry of the mineralisation with respect to the drill
is known, its nature should be reported. hole angles are not known in enough detail to state the true widths of the
- If it is not known and only the down hole lengths are reported, there interceptions. All mineralised intervals reported here are down-hole
should be a clear statement to this effect (e.g. ‘down hole length, true lengths.
width not known’).
Diagrams - Appropriate maps and sections (with scales) and tabulations of HARTEBEESTPAN (AREA 4) & ROK OPTEL
intercepts should be included for any significant discovery being - The drill holes are indicated by Figures 4 and 5, which are 3-dimensional
reported. These should include, but not be limited to a plan view of drill views with the coordinates and elevation (amsl) included. The drill holes
hole collar locations and appropriate sectional views. include lithology and graphed Ni and Cu analyses.
Balanced reporting - Where comprehensive reporting of all Exploration Results is not HARTEBEESTPAN (AREA 4) & ROK OPTEL
practicable, representative reporting of both low and high grades - In the Competent Person’s view, the historic drill results and the
and/or widths should be practiced to avoid misleading reporting of geophysical targets are presented in a balanced manner in this Public
Exploration Results. Report.
Other substantive - Other exploration data, if meaningful and material, should be reported HARTEBEESTPAN (AREA 4) & ROK OPTEL
exploration data including (but not limited to): geological observations; geophysical - Extensive geology mapping, geochemical sampling, and airborne and
survey results; geochemical survey results; bulk samples – size and ground geophysical programmes were undertaken by previous explorers,
method of treatment; metallurgical test results; bulk density, using the equipment and methods available at that time. These
groundwater, geotechnical and rock characteristics; potential geophysical data are not all available, and mainly comprises plans
deleterious or contaminating substances. without the back-up information to verify the data validity. The new
geophysical exploration, using modern technology, supersedes all
previous geophysics. The geology mapping remains valid and has been
digitally captured. The geochemical data have been captured from the
original plans and used where appropriate.
- In 2017 and 2018 Orion undertook a regional SkyTEMTM geophysical survey.
The results are reported in ASX releases 1 February 2018 and 8 March 2018.
Interpretation of the results is ongoing.
- Ground EM surveys are underway.
Further work - The nature and scale of planned further work (e.g. tests for lateral HARTEBEESTPAN (AREA 4) & ROK OPTEL
extensions or depth extensions or large-scale step-out drilling). - Ground-based Fixed Loop Electromagnetic surveys will be undertaken to
- Diagrams clearly highlighting the areas of possible extensions, cover the extent of airborne conductors identified from the recent
including the main geological interpretations and future drilling areas, SkyTEMTM airborne survey. The detailed location and extent of this work is
provided this information is not commercially sensitive. yet to be finalised.
Date: 29/05/2018 09:10:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
