Wrap Text
Prieska Zinc-Copper Project Resource Drill-Out Progressing Well
Orion Minerals Limited
Incorporated in the Commonwealth of Australia
Australian Company Number 098 939 274
ASX share code: ORN
JSE share code: ORN
ISIN: AU000000ORN1
PRIESKA ZINC-COPPER PROJECT RESOURCE DRILL-OUT PROGRESSING WELL
- Positive assay results received for another 13 intersections drilled by Orion.
- 68 intersections, including 12 intersections drilled for metallurgical test work, have been completed in the Deep
Sulphide Target since May 2017.
- 79 additional historic drill holes have been captured and added to 251 historic intersections already included in the
Prieska Zinc-Copper Project database.
- Drilling continues with 18 active diamond drill holes in the hinge zone of the North-West Target area and the south-
east continuation of the Deep Massive Sulphide on the Vardocube Prospecting Right.
“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.
Orion’s Managing Director and CEO, Errol Smart, commented on the results:
“We continue to be pleased with the progress on the Prieska Project resource drill out. Feasibility work, including provisional
mine development layouts are reaching advanced stages and await the final block model which will be finalised when drilling
is completed. The block plans and mine layouts will then be fed into mine scheduling software to optimise the extraction
plan and mine financial model. We are on track to complete the BFS in late 2018 or early in the new year.”
Orion Minerals Limited (ASX/JSE: ORN) (Orion or the Company) is pleased to announce that the Mineral Resource drill-
out at the Prieska Zinc-Copper Project (Prieska Project) is progressing well. Eighteen diamond drill rigs are currently
deployed for infill drilling to increase sample density in the Deep Sulphide Mineral Resource, with the objective of achieving
an updated Mineral Resource estimate, including upgrade in resource categories in Q4 2018.
Since drilling commenced in May 2017, Orion has completed 31 mother holes and 37 deflections into the Deep Sulphide
Target (Figure 1). Analytical results for one mother intersection and one deflected intersection are awaited. Drilling is
continuing with 12 mother holes and two deflected holes currently in progress on the Vardocube Prospecting Right, while
one mother and three deflected holes continue to test the steep dipping area on the Repli Prospecting Right.
Thirteen newly reported intersections (Table 1) are consistent with previously reported intersections in the area of these
intersections.
To date, 9,462m of percussion pre-collar and 57,696m of diamond drilling have been completed on the Deep Sulphide
Target. Infill drilling is anticipated to be completed in Q4 2018.
In addition to the on-going infill drilling (Figures 1 and 4), Orion has also completed the digital capture and validation of
drilling from historic mine records and has now included a further 79 drill intersections (Appendix 1) to add to the 251 historic
intersections in the drill database. The newly captured intersections are concentrated in the up-dip extension of the area
where Orion has targeted its deep drilling campaign since May 2017 and brings the total number of drill intersections now
available within the area of the Mineral Resource to 380. This is a significant increase to the 288 intersections available at
the time the April 2018 Mineral Resource estimate (refer ASX release 9 April 2018).
Figure 1: Longitudinal projection of the Prieska Project showing the Repli and Vardocube areas. The area blocked
in red shows the intersection points of the drill holes reported in this release and is enlarged in Figure 2. The
Vardocube drill holes in progress are shown in red traces.
Figure 2: Longitudinal projection of the NW Target area of the Prieska Project, showing the additional drill hole
information included in the Prieska Project database and the Orion drill holes reported in this release.
All significant intersections from surface drilling at the Deep Sulphide Target have been released in ASX releases of 19
February 2018, 1 February 2018, 12 December 2017, 8 November 2017, 9 October 2017, 5 October 2017, 17 September
2017, 6 September 2017, 27 July 2017 and 17 July 2017, with historical drilling detailed in ASX release of 18 November
2015. Newly drilled significant intersections are included in Table 1. All intersections quoted for the Deep Sulphide Target
are length and relative density weighted, following the procedure detailed in Appendix 2.
New drill intersections (Table 1) are consistent with historic drilling close to these intersections:
East North From To Length Cu Zn Au Ag
Drill hole (WGS84 (WGS84
(m) (m) (m) (%) (%) (g/t) (g/t)
LO23) LO23)
OCOD064_D1 -68,270 -3,314,574 988.91 1003.45 14.54 0.56 1.06 0.12 4
-68,094 -3,314,615 978.62 983.00 4.38 0.80 4.84 0.21 11
-68,089 -3,314,614 994.00 1007.72 13.72 1.65 2.31 0.41 17
OCOD068_D4
997.00 1000.00 3.00 2.59 2.56 0.70 32
including
1005.00 1007.72 2.72 3.35 4.08 0.83 24
OCOD080_D3 -68,405 -3,314,524 1056.70 1060.20 3.50 0.38 4.95 0.08 4
OCOD087_D3 -68,644 -3,314,422 1154.00 1154.75 0.75 0.26 4.33 0.05 4
OCOD096 -68,175 -3,314,354 968.69 974.09 5.40 0.66 2.01 0.09 6
-68,178 -3,314,339 950.00 958.00 8.00 1.18 3.57 0.24 15
OCOD096_D1 Including 951.49 958.00 5.51 1.05 4.55 0.23 14
-68,178 -3,314,343 944.20 948.00 3.80 0.81 1.89 0.11 8
-68,555 -3,314,377 1088.62 1111.68 23.06 1.35 2.70 0.31 12
1093.00 1097.39 4.39 0.68 4.45 0.09 21
OCOD105_D2
including 1097.39 1103.83 6.44 2.17 4.79 0.35 21
1108.00 1111.68 3.68 2.00 1.74 0.43 15
-68,311 -3,314,241 890.50 893.00 2.50 3.08 2.97 0.27 26
OCOD115 -68,307 -3,314,235 905.50 912.75 7.25 0.98 3.27 0.09 9
-68,298 -3,314,224 936.00 937.60 1.60 0.43 1.79 0.05 3
-68,321 -3,314,338 1014.00 1017.30 3.30 0.85 1.67 0.18 6
OCOD116
-68,319 -3,314,337 1024.00 1027.00 3.00 1.34 1.71 0.26 13
-68,252 -3,314,429 1000.00 1001.00 1.00 0.28 3.43 0.15 8
OCOD117 -68,250 -3,314,429 1005.00 1006.67 1.67 1.45 2.81 0.97 9
-68,250 -3,314,428 1012.00 1015.00 3.00 1.79 2.96 0.22 10
-68,469 -3,314,309 1040.60 1058.00 16.40 1.08 2.27 0.23 10
OCOD118 1040.60 1051.50 9.90 1.08 2.79 0.27 9
Including
1052.17 1058.50 5.83 1.18 1.53 0.16 11
-68,444 -3,314,273 1031.70 1040.15 8.45 0.97 2.02 0.21 7
OCOD118_D1 Including 1034.70 1038.95 4.25 1.23 2.74 0.22 7
-68,441 -3,314,271 1045.15 1046.40 1.25 1.09 1.37 0.25 15
OCOD119 -68,270 -3,314,675 1000.50 1002.71 2.21 0.55 4.48 0.11 8
Table 1: New intersections from Deep Sulphide Target drilling at the Prieska Project in this release.
Notes:
1. All drilling is with long holes (>1000m) and deflected long holes with both azimuth and dip changing materially from the
collar to intersection. Therefore, coordinates of mid-point of sample intervals are presented in this table, instead of collar
locations/dip-azi information.
2. All intersections quoted are based on a minimum width of 0.7m and lower cut-off grades of 0.3% copper or 0.5% zinc.
(allowing for an 1m maximum internal intersection below the lower cut-off grades in each of OCOD064_D1, OCOD096,
OCOD118_D1 and an 1m and 0,78m maximum internal intersection below the lower cut-off grades in OCOD105_D2).
No top-cut has been applied to achieve the averages.
3. Quoted average grades are length and density weighted.
4. All intercept lengths are down-the-hole lengths and true widths are unknown.
Figure 3: Plan showing drill hole collar positions in the NW Target area, with drill holes that have new intersections
reported in this release and drill holes in progress shown as black stars and black drill traces. See Table 1 for
details on intersections.
Figure 4: Drill rigs active on Vardocube Prospecting Right with historic Prieska Copper Mine shaft and waste
dumps in the background.
Errol Smart
Managing Director and CEO
16 July 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
Suite 617, 530 Little Collins Street
Melbourne, VIC, 3000
Media
Michael Vaughan Barnaby Hayward
Fivemark Partners, Australia Tavistock, UK
T: +61 (0) 422 602 720 T: +44 (0) 207 920 3150
E: michael.vaughan@fivemark.com.au E: orion@tavistock.co.uk
Competent Person’s Statement
The information in this report that relates to Exploration Results is based on information compiled by Mr JE Potgieter (Pr.Sci.Nat.), a
Competent Person who is a member of the South African Council for Natural Scientific Professionals, a Recognised Overseas
Professional Organisation (ROPO). Mr Potgieter is a full-time employee of Orion. Mr Potgieter 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 Potgieter 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. 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: Table of historical drill intersections from the NW Target area, added to the Prieska Project geological
database and first reported in this announcement.
East North From To Length Cu Zn Au Ag
Drill hole (WGS84 (WGS84
(m) (m) (m) (%) (%) (g/t) (g/t)
LO23) LO23)
D279 -68 282 -3 314 222 29.44 31.16 1.72 0.11 4.72 N/A N/A
D286 -67 961 -3 314 580 21.39 22.96 1.57 0.48 2.08 N/A N/A
D311 -68 139 -3 314 342 93.71 100.17 6.46 0.02 0.06 N/A N/A
D312 -68 144 -3 314 301 48.06 57.97 9.91 1.67 4.97 N/A N/A
D339 -67 995 -3 314 538 45.69 55.85 10.16 1.01 1.90 N/A N/A
D340 -67 964 -3 314 504 31.80 38.30 6.50 0.87 4.24 N/A N/A
F1092 -67 919 -3 314 577 12.76 14.37 1.61 4.01 1.46 N/A N/A
F1413 -67 811 -3 314 684 47.40 54.03 6.63 1.85 1.38 N/A N/A
F1414 -67 800 -3 314 693 71.46 94.82 23.36 2.12 1.50 N/A N/A
F1442 -67 922 -3 314 595 59.31 62.35 3.04 0.56 5.00 N/A N/A
F1488 -67 922 -3 314 506 79.59 90.79 11.20 2.20 3.75 N/A N/A
F1517 -68 181 -3 314 282 55.25 74.52 19.27 0.89 5.33 N/A N/A
F1527 -67 753 -3 314 716 72.29 80.60 8.31 0.11 0.10 N/A N/A
F1534 -68 238 -3 314 251 53.61 65.91 12.30 0.81 1.30 N/A N/A
F1542 -67 821 -3 314 658 69.15 72.90 3.75 0.17 0.98 N/A N/A
F1555 -67 884 -3 314 584 97.49 129.47 31.98 0.96 4.02 N/A N/A
F1571 -67 861 -3 314 620 17.04 70.23 53.19 1.11 3.24 N/A N/A
F1579 -67 935 -3 314 566 44.62 52.08 7.46 0.95 3.39 N/A N/A
F1580 -67 916 -3 314 556 55.61 67.30 11.69 2.46 3.17 N/A N/A
F1584 -67 923 -3 314 569 34.11 58.88 24.77 1.34 3.35 N/A N/A
F1587 -67 957 -3 314 459 38.32 46.10 7.78 0.97 1.76 N/A N/A
F1588 -67 964 -3 314 456 28.87 34.00 5.13 2.16 3.82 N/A N/A
F1590 -67 941 -3 314 489 29.04 34.65 5.61 0.14 1.71 N/A N/A
F1606 -68 172 -3 314 263 39.76 52.92 13.16 2.44 3.54 N/A N/A
F1610 -67 970 -3 314 471 54.42 55.57 1.15 0.25 3.19 N/A N/A
F1611 -67 962 -3 314 457 40.60 43.27 2.67 0.04 0.66 N/A N/A
F1616 -67 979 -3 314 447 42.10 50.66 8.56 0.75 3.61 N/A N/A
F1617 -68 004 -3 314 446 53.23 58.17 4.94 0.95 2.54 N/A N/A
F1619 -67 943 -3 314 504 46.53 48.55 2.02 0.39 1.88 N/A N/A
F1654 -68 101 -3 314 342 60.17 62.36 2.19 0.65 0.74 N/A N/A
F1658 -68 116 -3 314 299 18.47 22.99 4.52 0.61 3.83 N/A N/A
F1668 -68 159 -3 314 298 40.60 46.46 5.86 0.76 3.72 N/A N/A
F1669 -68 159 -3 314 321 70.55 78.04 7.49 1.20 5.51 N/A N/A
East North From To Length Cu Zn Au Ag
Drill hole (WGS84 (WGS84
(m) (m) (m) (%) (%) (g/t) (g/t)
LO23) LO23)
F1672 -68 180 -3 314 310 61.06 66.57 5.51 1.45 1.01 N/A N/A
F1673 -68 163 -3 314 297 35.39 40.35 4.96 0.63 3.79 N/A N/A
F1675 -68 171 -3 314 282 72.29 74.94 2.65 1.67 3.67 N/A N/A
F1687 -68 215 -3 314 246 36.02 39.76 3.74 1.14 2.77 N/A N/A
F1689 -68 217 -3 314 253 29.72 36.29 6.57 1.69 2.89 N/A N/A
F1690 -68 226 -3 314 258 28.70 30.75 2.05 0.57 2.78 N/A N/A
F1695 -67 935 -3 314 504 11.11 22.18 11.07 2.02 3.70 N/A N/A
F1709 -68 181 -3 314 278 27.31 29.40 2.09 1.10 5.44 N/A N/A
F1711 -68 229 -3 314 302 34.80 36.95 2.15 0.27 2.32 N/A N/A
F1718 -68 188 -3 314 272 39.74 42.12 2.38 1.33 5.53 N/A N/A
F1727 -68 022 -3 314 392 38.98 55.64 16.66 1.28 1.96 N/A N/A
F1730 -68 083 -3 314 392 90.94 93.86 2.92 0.83 1.98 N/A N/A
F1749 -68 007 -3 314 444 34.22 38.97 4.75 2.72 3.42 N/A N/A
F1753 -68 025 -3 314 377 28.85 47.59 18.74 1.84 2.60 N/A N/A
F1755 -68 049 -3 314 372 47.88 56.84 8.96 0.99 4.94 N/A N/A
F1756 -68 082 -3 314 336 35.51 44.34 8.83 1.28 4.47 N/A N/A
F1775 -67 778 -3 314 702 15.01 26.35 11.34 1.91 2.42 N/A N/A
F1778 -68 102 -3 314 314 29.76 31.89 2.13 0.89 1.52 N/A N/A
F1779 -68 130 -3 314 331 95.66 99.04 3.38 2.22 2.55 N/A N/A
F1780 -68 192 -3 314 259 37.76 39.69 1.93 0.60 3.08 N/A N/A
F1781 -68 178 -3 314 266 42.89 45.54 2.65 1.15 1.58 N/A N/A
F1782 -68 199 -3 314 264 27.58 30.43 2.85 1.11 2.90 N/A N/A
F1783 -68 207 -3 314 269 41.90 43.53 1.63 0.18 7.92 N/A N/A
F1787 -68 267 -3 314 233 60.62 63.12 2.5 0.52 3.82 N/A N/A
F1790 -68 181 -3 314 287 33.73 35.33 1.6 0.34 3.38 N/A N/A
F1804 -67 848 -3 314 667 34.99 37.49 2.5 2.48 1.79 N/A N/A
F1805 -67 826 -3 314 665 32.34 34.83 2.49 4.59 3.00 N/A N/A
F1819 -67 876 -3 314 589 21.41 48.02 26.61 2.13 4.19 N/A N/A
F1828 -67 995 -3 314 480 22.83 25.89 3.06 1.17 2.77 N/A N/A
F1883 -68 140 -3 314 299 16.85 22.33 5.48 0.99 3.28 N/A N/A
F1884 -68 141 -3 314 297 14.57 22.15 7.58 1.08 1.32 N/A N/A
F1886 -68 147 -3 314 336 42.71 52.94 10.23 1.20 2.19 N/A N/A
F1887 -68 131 -3 314 306 41.11 45.82 4.71 0.63 3.07 N/A N/A
F1890 -68 069 -3 314 391 45.77 48.75 2.98 1.62 3.08 N/A N/A
F1892 -68 020 -3 314 402 37.12 47.76 10.64 1.61 3.21 N/A N/A
F1893 -68 050 -3 314 418 32.33 34.16 1.83 0.64 0.74 N/A N/A
F1894 -68 028 -3 314 422 42.63 47.01 4.38 1.55 2.08 N/A N/A
F1895 -68 031 -3 314 474 30.08 31.70 1.62 0.39 1.29 N/A N/A
F1897 -68 004 -3 314 502 39.38 42.80 3.42 0.01 0.02 N/A N/A
F1899 -67 967 -3 314 488 31.07 72.77 41.7 1.40 3.03 N/A N/A
F1947 -68 044 -3 314 450 48.42 51.36 2.94 0.02 0.02 N/A N/A
F1980 -67 895 -3 314 575 26.41 33.56 7.15 0.70 4.14 N/A N/A
F1983 -67 978 -3 314 451 61.51 66.61 5.1 0.47 3.25 N/A N/A
F2024 -68 022 -3 314 411 71.71 73.57 1.86 0.41 0.82 N/A N/A
F2029 -67 992 -3 314 457 26.45 29.66 3.21 0.32 3.54 N/A N/A
F2054 -68 303 -3 314 236 29.12 43.67 14.55 1.22 3.29 N/A N/A
Notes:
1. Mineralised intersections were recorded in paper records and have now been digitised for these historic holes.
Coordinates presented given are mid-points of intersections.
2. All intersections irrespective of a lower cut-off grade are included in the database are presented.
3. Quoted average grades are length and density weighted.
4. All intercept lengths are down-the-hole lengths and true widths are unknown.
5. N/A = Not analysed.
Appendix 2: Checklist and reference summary of criteria considered by the Competent Person in preparing the Public Report.
Section 1 Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections.)
Criteria JORC Code explanation Commentary
Sampling - Nature and quality of sampling (e.g. cut channels, random chips, - Drilling and sampling has been undertaken during three distinct periods
techniques or specific specialised industry standard measurement tools since the discovery of mineralisation. These are pre-mine exploration
appropriate to the minerals under investigation, such as down (1968-1971) and during mine operations (1972-1984) holes ("V", "D"
hole gamma sondes, or handheld XRF instruments, etc.). These and "F" prefixed holes) by Anglovaal Ltd (also known as the Anglovaal
examples should not be taken as limiting the broad meaning of Group, (Anglovaal)), and current drilling (2017 to present) by Orion
sampling. Minerals Ltd (Orion).
- Include reference to measures taken to ensure sample
Anglovaal:
representivity and the appropriate calibration of any
- For diamond drilling carried out by Anglovaal between 1968 and 1984,
measurement tools or systems used.
there is limited information available on sampling techniques for core.
- Aspects of the determination of mineralisation that are Material to
However, with exploration and resource management being carried out
the Public Report.
under the supervision of Anglovaal, it is considered by the Competent
- In cases where ‘industry standard’ work has been done this Person that there would be procedures in place to industry best practice
would be relatively simple (e.g. ‘reverse circulation drilling was standard at that time. This is based on the Competent Persons
used to obtain 1 m samples from which 3 kg was pulverised to knowledge of exploration carried out by Anglovaal and discussions with
produce a 30 g charge for fire assay’). In other cases more personnel employed by Anglovaal.
explanation may be required, such as where there is coarse gold
- The exploration and resource management were under the professional
that has inherent sampling problems. Unusual commodities or
supervision of Dr Danie Krige an internationally recognised expert of the
mineralisation types (e.g. submarine nodules) may warrant
time who published peer reviewed papers based on the sampling data.
disclosure of detailed information.
The sampling was successful in defining a resource estimate which was
used as the basis of successful mine development and operation over a
20-year period.
- Drilling of the original surface exploration holes was carried out 200m –
250m line spacing. Underground exploration holes were not drilled on a
regular spacing.
- Surface drill exploration samples were all sent to Anglovaal Research
Laboratory at Rand Leases Mine and underground drill samples to the
mine laboratory for analyses.
- No records on the sampling methodology.
Orion:
- Diamond core cut at core yard and half core taken as sample.
- Diamond core sampled on 1m intervals where possible, sample lengths
adjusted to ensure samples do not cross geological boundaries or other
features.
- Drilling at the Deep Sulphide Target was carried out, aiming to define an
approximate 100m x 100m pattern by use of “mother” holes and
deflections from these holes.
- Percussion / reverse circulation pre-collars (where used) sampled on a
composite basis.
- Mineralised zones are drilled using core drilling.
- Sampling carried out under supervision of a qualified geologist using
procedures outlined below including industry standard QA/QC.
- Samples submitted for analysis to ALS Chemex PTY Ltd (ALS) are
pulverised in its entirety at ALS and split to obtain a 0.2g sample for
digestion and analysis.
Drilling - Drill type (e.g. core, reverse circulation, open-hole hammer, Anglovaal:
techniques rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core - Records for core size are not available.
diameter, triple or standard tube, depth of diamond tails, face- - No record on core orientation.
sampling bit or other type, whether core is oriented and if so, by
what method, etc.). Orion:
- Diamond core drilling using NQ and BQ sized core. BQ core was only
drilled where problems were encountered in the original NQ drilled drill
hole and the drilling could not continue with NQ size.
- In the near-surface weathered zone HQ core was drilled.
- Pre-collar drilled using percussion drilling on certain holes (above
mineralisation).
- Core was orientated in holes selected for geotechnical studies.
Drill sample - Method of recording and assessing core and chip sample Anglovaal:
recovery recoveries and results assessed. - All mineralised intersections were done with core drilling.
- Measures taken to maximise sample recovery and ensure - Core recoveries are documented on the assay sheets. Core recoveries
representative nature of the samples. were measured for each "run".
- Whether a relationship exists between sample recovery and - In most V holes and all D and F holes, intersections were in hard rock
grade and whether sample bias may have occurred due to and recoveries were generally good through the mineralisation.
preferential loss/gain of fine/coarse material.
Orion:
- All mineralised intersections are done with core drilling.
- Core stick-ups reflecting the depth of the drill hole are recorded at the
rig at the end of each core run.
- A block with the depth of the hole written on it is placed in the core box
at the end of each run.
- At the core yard, the length of core in the core box is measured for each
run. The measured length of core is subtracted from the length of the
run as recorded from the stick-up measured at the rig to determine the
core lost.
- Core recovery in all the mineralised intersections are good.
- No grade variation with recovery noted.
Logging - Whether core and chip samples have been geologically and Anglovaal:
geotechnically logged to a level of detail to support appropriate - All relevant intersections for V surface holes have been geologically
Mineral Resource estimation, mining studies and metallurgical logged by qualified geologists and all of this information is available. It is
studies. understood from historical reports and discussions with Anglovaal
- Whether logging is qualitative or quantitative in nature. Core (or geologists involved with the Prieska Mine that all intersections for D and
costean, channel, etc.) photography. F holes were logged by qualified geologists. The detail logs are
- The total length and percentage of the relevant intersections currently not available.
logged. - Downhole geotechnical information is available for some of the D and F
holes only. Downhole mineralogical logs are available for some D and F
holes.
Orion:
- Pre-collar percussion holes are logged by qualified geologists on 1m
intervals using visual inspection of washed drill chips. A hand held XRF
instrument is used to determine the presence of any metals.
- Core of the entire hole length was geologically logged band recorded on
standardised log sheets by qualified geologists.
- Qualitative logging of colour, grain size, weathering, structural fabric,
lithology, alteration type and sulphide mineralogy carried out.
- Quantitative estimate of sulphide mineralogy.
- Logs are recorded at the core yard and entered into digital templates at
the project office.
Sub-sampling - If core, whether cut or sawn and whether quarter, half or all core Anglovaal:
techniques and taken. - Details of sub-sampling techniques not available.
sample - If non-core, whether riffled, tube sampled, rotary split, etc. and
preparation whether sampled wet or dry. - Although no formal QC samples were inserted by the geologists at the
- For all sample types, the nature, quality and appropriateness of time of drilling. The Anglovaal Research Laboratory produced their own
the sample preparation technique. standards, certified by other commercial laboratories which were
- Quality control procedures adopted for all sub-sampling stages to routinely inserted in batches at the laboratory. Duplicate samples were
maximise representivity of samples. also inserted to check for repeatability.
- Measures taken to ensure that the sampling is representative of Orion:
the in situ material collected, including for instance results for - Samples from percussion pre-collars are collected by spear sampling.
field duplicate/second-half sampling.
- Sampling on site aims to generate a < 2kg sub sample to enable the
- Whether sample sizes are appropriate to the grain size of the entire sample to be pulverised without further splitting.
material being sampled.
- Water is used in the dust depression process during percussion drilling,
resulting in wet chip samples.
- BQ and NQ core cut at core yard and half core taken as sample.
- With core samples, the entire sample length is cut and sampled.
- Sample preparation is undertaken at ALS an ISO accredited laboratory.
ALS utilises industry best practise for sample preparation for analysis,
involving drying of samples, crushing to <5mm if required and then
pulverising so that +85% of the sample passes 75 microns.
- CRMs, blanks and duplicates are inserted and analysed with each
batch. Insertion rates for the current reporting is: CRMs = 10%, blanks =
5% and field duplicates = 2%.
Quality of assay - The nature, quality and appropriateness of the assaying and Anglovaal:
data and laboratory procedures used and whether the technique is - Surface drill exploration samples were all sent to Anglovaal Research
laboratory tests considered partial or total. Laboratory at Rand Leases Mine.
- For geophysical tools, spectrometers, handheld XRF - Underground drill hole samples were sent to the mine laboratory, where
instruments, etc., the parameters used in determining the the same analytical method was used.
analysis including instrument make and model, reading times, - Atomic Adsorption method was used with a Nitric-bromide digest.
calibrations factors applied and their derivation, etc. Underground drill hole samples were sent to the mine laboratory, where
- Nature of quality control procedures adopted (e.g. standards, the same analytical method was used.
blanks, duplicates, external laboratory checks) and whether - Although no formal QC samples were inserted with the drill samples of
acceptable levels of accuracy (i.e. lack of bias) and precision the exploration holes the Anglovaal Research Laboratory developed
have been established. their own standards, certified by other commercial laboratories and
those were used internally in the laboratory. Duplicate samples were
also inserted to check for repeatability.
Orion:
- Samples submitted to ALS were analysed for base metals, Au and Ag.
Analysis was by the Inductively Coupled Plasma and Optical Emission
Spectroscopy ("ICP-OES") methodology, using a four-acid digest.
- External quality control of the laboratory assays is monitored by the
insertion of blanks and CRMs.
- CRM samples show high accuracy and tight precision with no
consistent bias.
- Blank samples indicate no contamination, within the pre-determined
thresholds, during the sample preparation process.
- Laboratory samples show excellent accuracy and precision.
- ALS has their own internal QC protocols which include CRMs (5%),
blanks (2.5%) and duplicates (2.5%).
- External laboratory checks have been carried out.
Verification of - The verification of significant intersections by either independent Anglovaal:
sampling and or alternative company personnel. - No records available.
assaying - The use of twinned holes.
Orion:
- Documentation of primary data, data entry procedures, data
- The Competent Person is personally supervising the drilling and
verification, data storage (physical and electronic) protocols.
sampling along with a team of experienced geologists.
- Discuss any adjustment to assay data.
- The Competent Person reviewed the calculation of the significant
intersections.
- Twin holes are drilled to verify historical drill intersections (Anglovaal).
- For the EM survey, data are collected on site and validated by a
geophysical technician daily. Data (raw and processed) is sent to a
consultant geophysicist for review and quality control.
- No adjustments have been made to the assay data.
Location of data - Accuracy and quality of surveys used to locate drill holes (collar Anglovaal:
points and down-hole surveys), trenches, mine workings and other - All surface and underground hole collars were surveyed by qualified
locations used in Mineral Resource estimation. surveyors using a theodolite.
- Specification of the grid system used. - The historic mine survey data is in the old national Lo 23 Clarke 1880
- Quality and adequacy of topographic control. coordinate system.
- Downhole surveys were carried out for most of the V holes and all of
the D and F holes. Methodology of the downhole surveys is not
recorded on the available hardcopy information but plans and sections
are meticulously plotted and signed off by a certified surveyor.
- Both Eastman and Sperry Sun instruments were used in the downhole
surveys.
- Significant deflections in the dips of the holes have been noted,
especially for the deeper holes. V holes with no downhole surveys are
shallower holes drilled earlier on in the initial exploration phase. These
holes intersected areas where the mineralisation is now largely mined
out.
- All hole positions have been converted to Lo23 WGS84 coordinates.
- Underground D and F holes are recorded in local "V" line and "O"
distance coordinates with local mine datum elevations. Level plans
have both the local V/O grid and Lo23 Clark 1880 grids plotted and this
has been used to define transformation parameters from local grid to
geographical coordinates. All hole positions have been converted to
Lo23 WGS84 coordinates.
Orion:
- Drill hole collar positions are laid out using a handheld GPS.
- After completion of the Orion drilling all collars were surveyed by a
qualified surveyor using a Trimble R8 differential GPS.
- Downhole surveys are completed using a North-Seeking Gyro
instrument.
- All survey data is in the WGS84 ellipsoid in the WG23 Zone with the
Hartebeeshoek 1994 Datum. The coordinates are also supplied in
Clarke 1880 and in UTM WGS84 Zone 34 (Southern Hemisphere).
Data spacing and - Data spacing for reporting of Exploration Results. Anglovaal:
distribution - Whether the data spacing and distribution is sufficient to - Original exploration holes (V) were drilled on 200 - 250 m spacing.
establish the degree of geological and grade continuity - Underground drilled holes (D, F and R) were not drilled on a regular
appropriate for the Mineral Resource and Ore Reserve spaced grid.
estimation procedure(s) and classifications applied.
Orion:
- Whether sample compositing has been applied. - At the Deep Sulphide Target drill holes aim to intersect mineralisation
on spacings sufficient to establish geological and grade continuity
appropriate for Mineral Resource and Ore Reserve estimations.
- Variography studies were carried out on both the historic and Orion data
set to determine the drill spacing for Mineral Resource estimates.
- No sample compositing was applied.
Orientation of - Whether the orientation of sampling achieves unbiased sampling - Historical and current drilling is oriented perpendicular, or at a maximum
data in relation to of possible structures and the extent to which this is known, achievable angle to, the attitude of the mineralisation.
geological considering the deposit type. - As a result, most holes intersect the mineralisation at an acceptable
structure - If the relationship between the drilling orientation and the angle.
orientation of key mineralised structures is considered to have - No sampling bias is anticipated as a result of hole orientations.
introduced a sampling bias, this should be assessed and - Electromagnetic (EM) surveys by Orion were completed in an
reported if material. orientation perpendicular to the interpreted or intersected
mineralisation.
Sample security - The measures taken to ensure sample security. Anglovaal:
- No details of sample security available. However, during the mining
operations the site was fenced and gated with security personnel
employed as part of the staff.
Orion:
- Chain of custody is managed throughout, and the policy managed
through an appropriate SOP. Samples are stored on site in a secure
locked building and then freighted directly to the laboratory.
Audits or reviews - The results of any audits or reviews of sampling techniques and Anglovaal:
data. - No records available.
Orion:
- SRK has carried out a review on the sampling techniques and data.
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
Mineral - Type, reference name/number, location and ownership including - The Prospecting Rights are held by Repli Trading (Pty) Ltd and
tenement agreements or material issues with third parties such as joint Vardocube (Pty) Ltd, which are subsidiaries of Orion.
and land ventures, partnerships, overriding royalties, native title interests, - The Prospecting Right areas covers a strike of 2460m for the Deep
tenure status historical sites, wilderness or national park and environmental Sulphide mineralisation.
settings. - All of the required shaft infrastructure and lateral access underground
- The security of the tenure held at the time of reporting along with any development is available within the two Prospecting Rights.
known impediments to obtaining a licence to operate in the area.
Exploration - Acknowledgment and appraisal of exploration by other parties. - All exploration and life of mine drilling (V, D and F holes) was done by
done by Anglovaal, resulting in a substantial amount of hard copy data from
other parties which Orion has been able to assess the prospectivity of the remaining
mineralisation.
- The Anglovaal exploration resulted in the delineation and development
of a large mine.
Geology - Deposit type, geological setting and style of mineralisation. - The Copperton deposit is a Volcanogenic Massive Sulphide (VMS)
deposit which is situated in the southernmost exposures of the north-
northwest trending Kakamas Terrain, which forms part of the Mid-
Proterozoic Namaqualand Metamorphic Complex.
- The deposit is hosted by the Copperton Formation of the Areachap
Group. The Areachap Group, also hosts several other but smaller VMS
deposits such as the Areachap, Boks Puts, Kantien Pan, Kielder, and
Annex Vogelstruisbult deposits.
- The structural sequence at the mine consists of a footwall Smouspan
Gneiss Member, Prieska Copper Mines Assemblage (PCMA), which
hosts the sulphide mineralisation, and the hangingwall Vogelstruisbult
Gneiss Member.
- The historically mined section of the deposit is confined to a tabular,
stratabound horizon in the northern limb of a refolded recumbent
synform, the axis of which plunges at approximately 5° to the south-
east.
- The mineralised zone outcrop has a strike of 2400m, is oxidised and /
or affected by leached and supergene enrichment to a depth of
approximately 100m and crops out as a well-developed gossan. It has a
dip of between 55° and 80° to the northeast at surface and a strike of
130° to the north. Current drilling indicates that the Deep Sulphides has
a strike length of at least 2860m in depth.
- The thickness of the mineralised zone exceeds 30m in places but
averages between 7m and 9m. The mineralised zone persists to a
depth of 1100m (as deep as 1228m in one section) after which it is
upturned due to the folding.
- The Deep Sulphide Target area located below the historical mined area,
comprises the steep down dip continuity ("steep limb and hinge zone”)
and from where it upturns to its subsequent synformal structure ("trough
zone").
- The morphology of the mineralised horizon in the eastern limb is well
mapped out by drilling and historic mining while the western limb up dip
extent is poorly tested and mapped.
Drill hole - A summary of all information material to the understanding of the - Drill hole collar coordinates, elevation, inclination and azimuth, down
Information exploration results including a tabulation of the following information hole length, interception depth and hole length are available in Orion’s
for all Material drill holes: geological database and are not all included in this announcement.
o easting and northing of the drill hole collar - Only the significant mineralised intersections and the easting and
o elevation or RL (Reduced Level – elevation above sea level in northing of these mineralised intercepts are presented in this
metres) of the drill hole collar announcement.
o dip and azimuth of the hole
o down hole length and interception depth
o 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 - In reporting Exploration Results, weighting averaging techniques, - Significant Intersections for the Deep Sulphide Target are calculated by
aggregation maximum and/or minimum grade truncations (e.g. cutting of high average of assays result > 0.3% copper or 0.5% zinc and weighted by
methods grades) and cut-off grades are usually Material and should be stated. the sample width and specific gravity of each sample.
- Where aggregate intercepts incorporate short lengths of high grade - Significant Intersections for the +105 Level Target are calculated by
results and longer lengths of low grade results, the procedure used average of assays result > 0.3% copper or 0.5% zinc and weighted by
for such aggregation should be stated and some typical examples of the sample width of each sample only.
such aggregations should be shown in detail. - In general, the significant intersections correspond strongly to
- The assumptions used for any reporting of metal equivalent values geological boundaries (massive sulphides) and are clearly
should be clearly stated. distinguishable from country rock / surrounding samples.
- No truncations have been applied at this stage for either Target.
Relationship - These relationships are particularly important in the reporting of - All intersection widths quoted are down hole widths.
between Exploration Results. - Most holes intersected the mineralisation perpendicular or at high angle
C
mineralisatio - If the geometry of the mineralisation with respect to the drill hole to the attitude of the mineralisation.
n widths and angle is known, its nature should be reported. - The geometry of the Deep Sulphide mineralisation is complex and true
intercept - If it is not known and only the down hole lengths are reported, there widths can be obtained from the three-dimensional wireframe created
lengths should be a clear statement to this effect (e.g. ‘down hole length, true of the mineralisation.
width not known’).
Diagrams - Appropriate maps and sections (with scales) and tabulations of - Appropriate diagrams (plan, cross section and long section) are shown
intercepts should be included for any significant discovery being in the announcement text.
reported. These should include, but not be limited to a plan view of
drill hole collar locations and appropriate sectional views.
Balanced - Where comprehensive reporting of all Exploration Results is not - All drill hole results referred to in the announcement, are listed in Table
reporting practicable, representative reporting of both low and high grades 1 and Appendix 1. All other drill holes have been detailed in previous
and/or widths should be practiced to avoid misleading reporting of announcements as referred to in the text.
Exploration Results.
Other - Other exploration data, if meaningful and material, should be reported - Hardcopy maps are available for a range of other exploration data. This
substantive including (but not limited to): geological observations; geophysical includes mine survey plans, geological maps, airborne magnetics,
exploration survey results; geochemical survey results; bulk samples – size and ground magnetics, electromagnetics, gravity and induced polarisation.
data method of treatment; metallurgical test results; bulk density, All available exploration data has been viewed by the Competent
groundwater, geotechnical and rock characteristics; potential Person.
deleterious or contaminating substances. - The mine operated from 1972 to 1991 and is reported to have milled a
total of 45.68 Mt of ore at a grade of 1.11% copper and 2.62% zinc,
recovering 0.43 Mt of copper and 1.01 Mt of zinc. Detailed production
and metallurgical results are available for the life of the mine.
- In addition, 1.76 Mt of pyrite concentrates and 8403 t of lead
concentrates as well as amounts of silver and gold were recovered.
- Copper and zinc recoveries averaged 84.9% and 84.3% respectively
during the life of the mine.
Further work - The nature and scale of planned further work (e.g. tests for lateral - Drilling is on-going to test the Deep Sulphide Target.
extensions or depth extensions or large-scale step-out drilling).
- Diagrams clearly highlighting the areas of possible extensions,
including the main geological interpretations and future drilling areas,
provided this information is not commercially sensitive.
Date: 16/07/2018 08:16:00 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,
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