High Tenor Ni-Cu-Co-PGE Sulphides Intersected at Rok Optel, Northern Cape, South Africa
Orion Minerals Limited
Incorporated in the Commonwealth of Australia
Australian Company Number 098 939 274
ASX share code: ORN
JSE share code: ORN
(“Orion” or “the Company”)
HIGH TENOR NI-CU-CO-PGE SULPHIDES INTERSECTED AT ROK OPTEL, NORTHERN CAPE, SOUTH AFRICA
“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.
- Initial drilling confirms presence of high tenor polymetallic sulphide mineralisation within two zones of a
complex multiphase mafic conduit-style intrusion.
- Massive sulphide veinlets occurring in swarms attain a maximum of 1-2% by volume in the wide swarm
intersections drilled in the first hole.
- Base metals within the better mineralised sulphide zones attain maximum tenors of 15% Ni and 4% Cu
indicating that the target massive sulphide may be of premium quality.
- Follow up down-hole electro-magnetic surveys detect conductors typical of bulk massive sulphide bodies,
presenting high priority drill targets for immediate follow-up.
Orion’s Managing Director and CEO, Errol Smart, commented:
"Having confirmed that narrow injected massive sulphides veins intersected in recent drilling have high base
and precious metal tenors and also having detected very strong down-hole EM conductors which may indicate
wide lenses of sulphide with similar quality to the narrow veins already intersected, we are looking forward to
the results of follow up drilling already underway.”
Orion Minerals Limited (ASX/JSE: ORN) (Orion or the Company) is pleased to provide an update on ongoing
exploration at the Rok Optel Ni-Cu-Co-PGE target on the Namaqua and Disawell mineral rights (Disawell) in
the Areachap Belt, South Africa (Figure1). Assay and whole rock geochemical results have been received for
OROD001 and interpreted together with detailed core logging and follow up down-hole geophysics. The
integrated results confirm the conduit setting of mineralisation and have identified better targets for massive
At the Rok Optel Prospect (Figure 2), drill hole OROD001 (refer ASX release 30 July 2018) intersected
sulphide bearing mafic to ultramafic intrusive rocks over a down-hole width of 186.86m. The hole was
completed at 412.06m. The drill hole intersected multiple thin massive sulphide veinlets varying from 1-50mm
in width displaying injection features and occurring in swarms or concentrated within sulphide mineralised
zones. While the sulphide content within the individual veins attains volumetric content of >90%, the bulk
concentration of veins over the swarm width is generally <5%. The total sulphide content over assay intervals
is generally less than 5% with maximum sulphur grade of 7.15% over 0.62m from 201.05m.
The assay data indicates that the sulphide mineralisation varies in metal tenor, from low base metal tenors
(2.5 - 5% Ni, 1.5 – 3% Cu) in the upper parts of the intrusion and within veinlets hosted by country rocks, to
high tenors (10 – 15% Ni and 3-4% Cu) within veinlets and blebs in the more primitive parts of the intrusion,
which occur deeper in the intersection. The composite analytical data are illustrated by Table 1 and discussed
in detail in Appendix 1.
From 2PGE + Au Ni Tenor Cu Tenor
Drill Hole Cut Off Width m Ni wt% Cu wt% Co wt%
m g/t wt% wt%
OROD001 201.05 8.99 0.24 0.163 0.016 0.22 3.80 2.58
OROD001 292.09 7.29 0.28 0.115 0.013 0.66 9.29 3.65
OROD001 297.44 1.94 0.38 0.149 0.015 1.45 10.22 3.86
OROD001 201.05 1.22 0.45 0.569 0.047 0.16 2.90 3.66
Table 1: Drill intersections from OROD001 calculated using SG-weighting at various cut-off grades. The Ni
and Cu tenors are calculated using the methodology of Kerr (2003) (see Appendix 2). The widths are
intersection widths and have not been corrected to true width.
While precious metal tenors are not calculated for the intersections, the assay grades including high gangue dilution,
indicate potential for extremely high precious metal tenor within the sulphides.
A second hole, OROD002 was completed on 1 September 2018 testing a cluster of Fixed-Loop Time Domain Electro
Magnetic (FLTDEM) plate models with conductance of up to 9,400S. The hole intersected a complex sequence of
interfingering mafic to ultramafic sills from 25.73m to the end of hole at 491.95m. Four conduit-style cross cutting
intrusions are present, the upper three, intersected from 25.73m – 233.66m depth are interpreted from logging to be
equivalent to the OROD001 sequence. A fourth, lower intrusion was intersected over 61.8m from 330.15m -
491.95m. This intrusion has the same rock suite and very similar poly-mineralic mineralisation to the upper intrusions.
Sulphide mineralisation was intersected at several horizons in OROD002, including massive, injected stringers,
coarse blebs and patchy network styles, all of which are typical of conduit-style mineralisation. The most continuous
mineralised zone intersected is 6.14m (intersection width) from 215.62m, which included a 13cm massive sulphide
vein (>95% sulphide by volume) at 215.62m. A single high priority assay has been received for this vein, returning
0.90% Ni, 0.17% Cu, 0.03g/t 2PGE + Au over a 65cm sample from 357.37m. This assay is typical of the lower tenor
zone of sulphide mineralisation intersected in the upper part of OROD001. Assay data from the remainder of the
intersections are awaited.
Downhole electromagnetic (EM) surveys have been completed for OROD001 and OROD002 which has provided
important 3D data collection and enabled more detailed resolution of the conductive bodies. While early interpretation
focused on a simplified single conductor plate, the downhole EM surveys clearly indicate multiple stacked conductors,
the strongest of which are off-hole. These conductors now become high priority targets to intersect larger volumes
of the high tenor sulphides intersected in the narrow veins. The conductance of the plates infers a sulphide source.
Drilling has commenced on a third hole to test a 10,500S conductor with plate centre located 146m from drill hole
OROD001. A >16,000S conductor located below and offset from OROD002 remains to be tested.
10 September 2018
Managing Director and CEO
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
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Michael Vaughan Barnaby Hayward
Fivemark Partners, Australia Tavistock, UK
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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.
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
Drill Hole X UTM34S Y UTM34S Elevatio Initial Depth Final Depth Dip Azimuth
n (m) (m) (m) (degrees) (degrees)
OROD001 580,215 6,746,005 1,059 0 412.06 -60 120
OROD002 580,360 6,746,760 1,559 0 491.95 -65 090
OROD003 580,142 6,745,874 1,057 0 450.00(1) -70 102
Table 2: Orion drill hole Information.
Appendix 1: Technical Update on the Exploration Completed at Rok Optel
This brief overview summarises and contextualises the recent and ongoing multi-disciplinary geological,
geochemical and geophysical work that has been undertaken at the Rok Optel Prospect.
The focus of recent exploration has been the drilling of two new drill holes into the Rok Optel Prospect to:
- Verify the setting of the intrusion in terms of time and space relative to the Namaqua-Natal orogeny,
especially important given that the neighbouring Jacomynspan intrusion is now interpreted to have been
emplaced at a late stage during the orogeny.
- Verify the historic work undertaken and interpretation of the intrusion to be a steeply-dipping body emplaced
parallel to the regional gneiss fabric (NNE-strike, with steep dips to the west). This previous interpretation
was not supported by the FLTDEM plates that inferred shallower dips.
- Identify the causative geological features for the airborne electromagnetic (AEM) and FLTDEM anomalies
that could include sulphide mineralisation, graphite, or a conductive formational feature.
- Capture the maximum amount of quality new data from the drill hole core to enable construction of an
interpretative and fully-inclusive predictive geological model to understand the sequences and
mineralisation intersected and assess whether the EM anomalies have been fully explained or quantified.
This data includes geological logging, detailed structural logging, completed before core cutting for analysis;
and detailed sampling, description and quantification of mineralisation, followed by analysis.
- Interpret the assay results within the context of the intrusive rocks intersected and described to assess the
nature, style, and distribution of the base and precious metals. Variation of sulphide tenor and relationships
to lithological packages may be of importance to vector to the discovery of bulk massive sulphide lodes.
- Provide a platform to undertake DHTDEM surveys that provide “within mineralisation” detail to enable better
resolution of the conductive stratigraphy and identify deeper-seated conductors that may be related to
massive sulphide. Magma conduits are characterised by the presence of several stacked conductors related
to mineralised stratigraphy. This introduces complexity to target plate modelling that can only be resolved
by down-hole surveying. The FLTDEM plate models present an average derived from a surface of the earth
2D survey platform, whereas the DHTDEM plate models are derived from 3D survey data.
This work has been supported by:
- Georeferencing and characterisation of the 1977 Newmont mapping followed by field mapping of the Rok
Optel prospect, comprising a 10-day focused program by three geologists. This work has significantly
advanced detailed understanding of the prospect,
- Mineralogy has been undertaken on field grab samples from Rok Optel and Area 4 for comparison to
Jacomynspan. The final reporting on this work is awaited.
- Lithogeochemical interpretation of the Rok Optel and Area 4 grab sample analytical data has been
undertaken to assess whether the intrusions trace element characteristics show that the intrusions are part
of the same magma suite. This database will become more valuable going forward as it provides Orion with
a tool for rapid assessment of newly identified, potentially mineralised intrusions.
Figure A-1 is a Rok Optel prospect drill plan including the current plate models from the FLTDEM and DHTDEM
surveys. The data are overlain on the SkyTEM™ first vertical derivative, reduced to the pole magnetic image that
corrects the data to plot anomalies into their correct spatial locality. The image shows that the magnetic stratigraphy
changes characteristics and becomes more banded to the east of Rok Optel. This has now been characterised by
surface mapping to represent a lithological boundary between biotite-garnet-sillimanite gneiss to the west, and
plagioclase-hornblende gneiss to the east. The FLTDEM plates are shown in dark red, and the DHTDEM plates in
dark green. Drill hole OROD003 is testing the new 10,500S plate derived from the DHTDEM survey.
Drill Hole OROD001
Certified results from the 96 analytical samples have been received from ALS Chemex. The drill hole intersected
192.63m of intrusive rocks, 104.41m of which host magmatic sulphide mineralisation, including massive sulphide
(201.23m – 201.55m, 203.54m – 203.61m, 287.05m – 287.08m), and stringer mineralisation (240.05m - 242.14m,
248.08m – 248.69m). Figure A-2 presented previously (refer ASX release 30 July 2018) has been updated to
indicate the tenors of the illustrated sulphide mineralisation. Figures A-3 to A-7 are various drill hole plots of assay
data and calculated parameters. The drill hole logs are simplified to show intrusive rocks, gneiss, granite, migmatite,
veins and major structures.
- Figure A-3 shows Ni and Cu (ppm). Mineralisation is hosted over three main intervals. The uppermost
sample, from 201.05m - 201.67m, returned the highest Ni and Cu grades (6940ppm and 4870ppm
respectively). The sample (Figure A-2) contains injected semi-massive to massive sulphide.
- Figure A-4 shows Pt+Pd+Au (2PGE + Au)(g/t) and S (%). This plot is more revealing as it very clearly
indicates the zones of better quality mineralisation in terms of metal content within sulphide, referred to as
tenor. Apart from two samples with semi-massive sulphide at 201.05m and 287.04m, the S content is
generally below 5% of the sample. This indicates that the base metal tenors of the better grade zones will
be elevated. The PGE are rapidly diluted within high sulphide zones of mineralisation. The 2PGE + Au plot
indicates that there is no direct correlation between Sulphur and PGE, but that the PGE are concentrated
within two well-defined zones within the sequence coincident with peak Ni and Cu tenor. As the PGE
strongly partition into the sulphide phase, the PGE tenor of the sulphide mineralisation may be extremely
- Figure A-5 shows the calculated Ni and Cu tenors using the methodology of Kerr (2003) (Reference
provided in the JORC table, Appendix 2). It is acknowledged that the S contents are relatively low, therefore
the calculation may provide indicative values only, however the PGE data provide an independent
confirmation of the elevated sulphide tenors. Sulphide tenor is the calculated metal content of 100%
sulphide, using the base metal and sulphur grades within the rocks, corrected based upon the observed
quantity of olivine within the rock. Olivine hosts some Ni, therefore this is deducted from the Ni assay value.
Cu is less incorporated into the silicates but may be hosted by clinopyroxene or amphibole. Correction
factors of 100ppm have been applied. The plot provides a clear indication of the high base metal tenor of
the upper and lower zones of mineralisation. The best quality sulphides are located towards the base of the
lower zone, coincident with the highest PGE + Au grades (maximum Ni tenor of 14.52% from 299.38m to
300.08m). This indicates that, should a bulk massive sulphide body be associated with this magma influx,
it would be of premium base and precious metal grade.
- Figure A-6 shows MgO and CaO (%), derived from the raw assay data by application of standard correction
factors to convert from element to oxide. This diagram further indicates the lithological variation, and
relationships between rock type and mineralisation. MgO content provides a proxy for the mafic to ultramafic
characteristics, particularly for fine grained, very dark, or slightly altered rocks. MgO of < 6.5% indicates
mafic rocks (norite and gabbro), 6.5 – 13% pyroxenites, and >13% olivine dominant ultramafic rocks. It is
clear from this plot that the upper mineralised zone is hosted by mafic rocks, and the lower mineralised zone
by ultramafics. The CaO plot enables discrimination between orthopyroxene and clinopyroxene-bearing
rocks. CaO of >7.25% indicates that the rocks are clinopyroxene bearing (gabbronorite to gabbro), whereas
<7.25% indicates orthopyroxene-dominant norite. The upper and lower mineralised zones are hosted by
orthopyroxene-dominant rocks. The lower mineralised zone is particularly anomalous within this dataset.
These parameters will be utilised to derive a stratigraphy for the intrusion that will lead to more robust
correlation as more data becomes available.
Figure A-7 shows drill hole OROD001 relative to the DHTDEM plates. The uppermost plate correlates to the centre
of the mineralised zones intersected. The lowermost (10,500S) plate centre is located approximately 146m south
west of OROD001.
Drill Hole OROD002
Drill hole OROD002 has been completed with 87 analytical samples submitted to ALS Chemex for assay. The drill
hole intersected a complex sequence of interfingering mafic to ultramafic sills from 25.73m to the end of hole at
491.95m. Four conduit-style cross cutting intrusions are present, the upper three, intersected from 25.73m –
233.66m depth are interpreted from logging to be equivalent to the OROD001 sequence. A fourth, lower intrusion
was intersected over 61.8m from 330.15m - 491.95m and also has the same rock suite and very similar poly-
mineralic mineralisation to the upper intrusions. A suite of lithogeochemical samples have been selected to
characterise the intrusions and facilitate between hole correlation.
Figure A-8 shows an oblique section looking north section of OROD002 illustrating the summarised lithology,
mineralised zones (expressed as sulphide percentage estimated during core logging), and photographs of the
sulphide mineralisation styles intersected.
The drill holes have been surveyed by Terratec Geophysical Consultants from Windhoek, Namibia using the
DigiAtlantis DHTEM probe. This has assisted in resolving the complex geology and better-defined the locations of
the numerous conductive features within the intrusive conduit complex. This complexity is a typical feature of
mineralised conduit intrusions within which the responses from several conductors interact.
The OROD001 results indicate a 10,500S off-hole conductor is located approximately 70m to the southwest of the
drill hole with plate centre at approximately 146m. A follow-up hole, OROD003 has been collared to test the plate
centre (Figure A-7).
The DHTEM survey of OROD002 also indicates a complex series of conductive features, the uppermost of which
was intersected by the drill hole (Figure A-8). A very strong off-hole conductor (16,000S) has been identified within
the latest-time EM channels located below and to the west of the drill hole. Plate modelling is in progress, and this
anomaly will be drill tested during the coming campaign.
The EM plate models are summarised by Table 3.
Target Method Loop Conductor Model Plate Plate Approximate
Dimensions Conductance Plate Depth (m)
Jacomynspa FLTDEM HP2A HP2_2022 1000 x 1000 250 150
HP2_2527 1100 x 1100 325 200
HP2_3032 1000 x 1000 490 310
HP2_3335 1000 x 1000 575 400
Area 4 FLTDEM A4A A4A_1820 150 x 90 350 75
A4A_2023 125 x 80 400 75
A4A_2325 150 x 75 450-500 100
A4B A4B_1820 400 x 50 650 50
A4B_2023 300 x 50 900 50
A4B_2224 325 x 50 1100 50
A4B_2527 325 x 40 1750-2000 50
Rok Optel FLTDEM ROK ROK1_2730 475 x 90 2050 230
ROK1_2932 475 x 90 2500 250
ROK1_3133 475 x 85 3600 280
ROK ROK2_2528 475 x 100 1250 200
ROK2_2729 500 x 95 1700 225
ROK2_2932 475 x 85 2900 275
ROK ROK3_2325 130 x 300 850 275
ROK3_2527 135 x 250 950 300
ROK3_2729 120 x 275 1250 300
ROK ROK4_3335 100 x 330 5250 295
ROK4_3537 90 x 300 7200 310
ROK4_3639 80 x 300 9400 320
Target Method Loop Conductor Model Plate Plate Approximate
Dimensions Conductance Plate Depth (m)
OROD00 ROK OROD001_1_283 70 x 250+ 1250-1500 ~240 DH
1 2 0
OROD001_2_333 75 x 200 7200 ~335 DH
OROD001_2_353 75 x 125 10500+ ~335 DH
OROD00 ROK OROD002_1_373 70 x 325 7500 ~355 DH
2 4 9
OROD002_2_373 60 x 250 16000+ ~390-400 DH
Table 3: Summary of the plate model dimensions and conductance for the Rok Optel prospect.
Field mapping over a 10-day period was undertaken at Rok Optel by two MSc students from the University of the
Witwatersrand supervised by expert consultant Richard Hornsey. This work has added control and context to the
ongoing exploration. Field observations indicate that the Jacomynspan Formation comprises two major units within
the area studied. This has been further refined using the airborne datasets into eastern mafic gneiss (hornblende-
plagioclase) and western biotite-garnet-sillimanite gneiss terranes. Target intrusions are located within both
terranes, but display different outcrop characteristics, weathering negatively in the biotite-garnet-sillimanite terrane
(Rok Optel intrusion) and positively in the mafic gneiss terrane. A large body of structural data have been captured
that is currently being interpreted and used for 3d modelling.
The initial data have been compiled into a project geological map (Figure A-9).
Subsequent reconnaissance field mapping has identified two new norite intrusions located on Jacomynspan portion
1 that are visually very similar to Rok Optel. Grab samples have been submitted for lithogeochemistry. This further
confirms the prospectivity of this terrane, and the opportunity to detect new intrusions by undertaking basic fieldwork.
Lithogeochemical and preliminary mineralogical data have been received from grab samples that confirm that the
Jacomynspan, Rok Optel, and Area 4 intrusions are all geochemically related. Figure A-10 shows a spider diagram
of selected major and trace elements showing samples from Jacomynspan compared to the new data from Rok
Optel and Area 4. The samples from Rok Optel and Area 4 have been characterised mineralogically as hornblende-
bearing olivine norite (Draft report by Solly Theron, SJT Metmin Services (Pty) Ltd). These rocks are plagioclase
and titanomagnetite-bearing, whereas the Jacomynspan samples do not host either of these elements, therefore
these mineralogical differences are reflected within this plot for Ti (titanomagnetite), Sr and Eu (plagioclase). The
remainder of the plot shows excellent correlation between the samples from the three intrusions. This strongly infers
that the three intrusions form part of a potentially extensive suite of related intrusions.
Summary of the Project Status and Ongoing Work
The exploration undertaken at Rok Optel and surrounding areas has significantly advanced the exploration model.
The following working hypotheses are being advanced and tested:
- The Jacomynspan Suite of intrusions are part of a suite of high magnesian tholeiitic komatiite to basalt
conduit-style intrusions emplaced at a late stage of the Namaqua-Natal orogeny. As such they share
characteristics with several other similar intrusive complexes, including the Fraser Range.
- The Rok Optel intrusion has now been confirmed to be PGE-endowed. Previous assays did not include the
- The Rok Optel working model indicates that the intrusion is a series of sill-like stacked intrusions forming a
magma conduit. Several horizons within the intrusion host sulphide mineralisation of variable metal content,
base metal and PGE characteristics, and tenor, indicating repeated influxes of magma.
- Nine drill holes have been drilled into the intrusion of which six have intersected significant mineralisation.
The westerly directed holes drilled by previous explorers may have drilled at a shallow angle to the zones
intersected in OROD001 and OROD002, resulting in false wide intersections. The mineralised intrusions
extend over an extent of approximately 1.3km from north to south, and there is no indication that the
intrusions, or their mineralisation, are terminating in either direction.
- The above observation needs to be related to the AEM geophysical anomaly and the initial FLEM datasets.
The drilling is indicating offset, deeper-seated conductors at both OROD001 and OROD002. Within a
complex conduit setting, the potential for deeper zones of mineralisation must always be considered and
- Drill hole OROD003, the follow-up hole to OROD001 will provide important information for the ongoing
exploration of Rok Optel and assist to plan the forthcoming Area 4 program.
Appendix 2: The following tables are provided in accordance with the JORC Code (2012) for the reporting of Exploration Results for the Jacomynspan Project.
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 • The drill hole is geologically logged, and zones of mineralisation are
chips, or specific specialised industry standard measurement identified and marked on the core. The core is marked for cutting
tools appropriate to the minerals under investigation, such as using the “low point” of the stratigraphy, marking the downhole
down hole gamma sondes, or handheld XRF instruments, etc.). direction on each core piece to ensure that the cut core is returned to
These examples should not be taken as limiting the broad the tray correctly. Half core is sampled. Following cutting, the core
meaning of sampling. returned to the tray. The sampling process is undertaken by a
• Include reference to measures taken to ensure sample geologist, who checks that all core is returned in the correct order by
representivity and the appropriate calibration of any turning the core to face upward, fitting the core together and marking
measurement tools or systems used. the metre intervals on the cut face. The core is reviewed, and zones
• Aspects of the determination of mineralisation that are Material of mineralisation identified. The core sample intervals are marked
to the Public Report. with due consideration of the percentage of sulphide mineralisation,
• In cases where ‘industry standard’ work has been done this lithological contacts, and minimum and maximum sample intervals
would be relatively simple (e.g. ‘reverse circulation drilling was (nominally 30cm to 1.5m). The sampling details are captured onto a
used to obtain 1 m samples from which 3 kg was pulverised to paper log sheet that records sample depths, sample number (derived
produce a 30 g charge for fire assay’). In other cases more from a standardised sample register) recoveries, mineralisation
explanation may be required, such as where there is coarse percentage, sulphide minerals and mineralisation style. A comments
gold that has inherent sampling problems. Unusual commodities field is used to capture ancillary observations or associations.
or mineralisation types (e.g. submarine nodules) may warrant • Duplicate samples derived from previous drill hole core (quarter core)
disclosure of detailed information. are added to the sample list at the end.
• Following sampling data capture, the core is placed into pre-numbered
plastic bags by the responsible geologist. QC samples are assigned
empty bags at this point. The sample ticket book is then completed
and handed over to the technician.
• SG determinations are then taken by the technician using an
Archimedes Bath. The data are captured and verified by the geologist
prior to sample bag sealing.
• QC samples (standards and blanks) are inserted into the defined
sample bags by the technician.
• The samples are sealed and are placed into polyweave bags for
shipping to the analytical laboratory. The bagging schedule is
recorded, and all bags are weighed.
• All hard-copy information pertaining to the above process is filed in the
original drill hole log file, and the appropriate data is digitally captured
into the MS Excel drill hole log file.
• Samples are despatched by courier to the analytical laboratory.
Drilling techniques • Drill type (e.g. core, reverse circulation, open-hole hammer, • Diamond core drilling was undertaken using HQ core size to drill
rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core through the weathered zone (approximately 75m) reducing to NQ core
diameter, triple or standard tube, depth of diamond tails, face- in hard rock.
sampling bit or other type, whether core is oriented and if so, by • The OROD001core was partially oriented. OROD002 was drilled with
what method, etc.). oriented core.
Drill sample recovery • Method of recording and assessing core and chip sample • Core recoveries are assessed on a routine basis using drill rig and
recoveries and results assessed. core yard standard procedures.
• Measures taken to maximise sample recovery and ensure • At the drill rig, core stick-ups are measured at the end of each run.
representative nature of the samples. The core is fitted together and placed into the core trays with a plastic
• Whether a relationship exists between sample recovery and block at the end of each run recording the hole depth and advance.
grade and whether sample bias may have occurred due to • At the core yard, the length of core is measured for each run. The
preferential loss/gain of fine/coarse material. measured length of core is subtracted from the run length recorded
from the driller’s stick-up measurements and recorded as a core gain
• During the logging and sampling process, core recoveries are
considered, and the cause of loss is quantified and described. The
locations of ‘bottom breaks’ relative to the core run markers are
• There is no relationship between grade and recovery. This is a hard-
rock style of mineralisation that is being evaluated using diamond
drilling, generally with 100% core recovery through the mineralised
Logging • Whether core and chip samples have been geologically and • The drill hole core is geologically logged utilising a standard-format
geotechnically logged to a level of detail to support appropriate logging template designed specifically for this style of mineralisation.
Mineral Resource estimation, mining studies and metallurgical • Both quantitative and qualitative logging is undertaken dependent
studies. upon the features being described. Qualitative parameters include
Whether logging is qualitative or quantitative in nature. Core (or lithology, colour, grain size, weathering, structural features, alteration,
costean, channel, etc.) photography. sulphide and oxide mineralisation, secondary mineralisation, and
• The total length and percentage of the relevant intersections general contextual comments. Quantitative parameters include
logged. intensity of the qualitative parameters, mineralisation percentages,
and magnetic properties.
• The logs are recorded onto pre-designed templates and captured into
digital format at the project office.
• The drill hole core is photographed according to standard core yard
procedure and the photographs are digitally archived.
Sub-sampling • If core, whether cut or sawn and whether quarter, half or all core • No specific sub-sampling has been undertaken to date.
techniques and taken. • The NQ core is saw-cut at the Copperton core yard, and half-core is
sample preparation • If non-core, whether riffled, tube sampled, rotary split, etc. and sampled.
whether sampled wet or dry. • Within the mineralised zones, the entire zone is cut and sampled.
• For all sample types, the nature, quality and appropriateness of Internal waste or non-mineralised zones may not be sampled
the sample preparation technique. dependent upon their width.
• Quality control procedures adopted for all sub-sampling stages • The duplicate samples are derived from quarter core from previously
to maximise representivity of samples. sampled drill holes.
• Measures taken to ensure that the sampling is representative of • The sampling methodology is suitable for the style of mineralisation
the in-situ material collected, including for instance results for being sampled. The base metals are associated with the sulphide
field duplicate/second-half sampling. minerals, which are generally reasonably evenly distributed. Although
• Whether sample sizes are appropriate to the grain size of the nugget effects are higher for the Precious Metals, they are fine
material being sampled. grained and intimately associated with the base metal sulphides,
therefore nugget effect is reduced.
• Sample preparation is undertaken at the ISO-accredited ALS Chemex
analytical laboratory. The samples are processed according to
industry best-practice. This involves a sample check-in procedure
during which samples are assigned unique bar codes and entered into
the LIMS system. The samples are then dried, crushed to <5mm, and
pulverised to >85% <75 microns.
• ALS Chemex also inserts QC samples into each batch, including 5%
CRM’s, 2.5% blanks, and 2.5% duplicates.
Quality of assay data • The nature, quality and appropriateness of the assaying and • The analyses are undertaken by ALS Chemex. The samples are
and laboratory tests laboratory procedures used and whether the technique is analysed for base metals, precious metals and sulphur using the
considered partial or total. following methods:
• For geophysical tools, spectrometers, handheld XRF • ME-ICP41 – 35-element analysis specifically designed to analyse the
instruments, etc., the parameters used in determining the acid-soluble portion of the analyte. The sample is digested using
analysis including instrument make and model, reading times, aqua regia, with ICP-AES analysis. For the metals of specific interest,
calibrations factors applied and their derivation, etc. Ni, Cu, and Co, the detection limits are 1 – 10,000ppm. For S, the
• Nature of quality control procedures adopted (e.g. standards, detection limits are 0.01 – 10%.
blanks, duplicates, external laboratory checks) and whether • PGM-ICP23 – standard Pb-collection fire assay with ICP-MS finish
acceptable levels of accuracy (i.e. lack of bias) and precision using a nominal 30g sample weight (detection limits of 0.005 (Pt) and
have been established 0.001 (Au, Pd) to 10.0g/t).
• NI, CU-OG46 – is applied to samples that assay > detection limit for
Ni and Cu using method ME-ICP41. The method uses aqua regia
digestion with ICP-AES or AAS analysis.
• Selected samples are submitted for lithogeochemical analysis to
enable comparison of the major and trace element distributions
between and within intrusions. This uses the package:
• CCP-PKG01 – this provides a complete lithogeochemical
characterisation of non-poorly mineralised samples to provide major,
trace, and the full suite of REE.
• The methods utilised are appropriate to the style and grade of
mineralisation being explored for. The aqua regia digest provides the
most precise analysis of the acid-soluble sulphide hosted
mineralisation, without digesting the non-recoverable silicate hosted
• Following receipt of assay data, QC assessment is undertaken using a
standard-format spreadsheet that includes all historic assay data. The
external standard, blank and duplicate data are processed as well as
the internal ALS Chemex standards, duplicates and blanks.
Verification of • The verification of significant intersections by either independent • No significant intersections have yet been achieved.
sampling and or alternative company personnel. • The drill hole data is captured onto paper logs that are kept in specific
assaying • The use of twinned holes. drill hole log files. The data is captured into a standard-format drill
• Documentation of primary data, data entry procedures, data hole MSExcel spreadsheet by the geologist. The drill hole log is
verification, data storage (physical and electronic) protocols. regularly appended to the project database as data is captured.
• Discuss any adjustment to assay data. • First-pass quality control is undertaken on a regular basis as the log
data are imported into Micromine for visualisation purposes. The
Micromine file import verification protocols identify any depth or survey
issues should they be present.
• No adjustments are made to assay data. The assay certificate is not
altered in any manner. The data are captured from the certificate into
the drill hole file, merged, QC samples removed, and the data are
appended to the Micromine project file. The data are compared to the
drill hole logs to assess whether any anomalies are present.
Location of data • Accuracy and quality of surveys used to locate drill holes (collar • The drill hole collars are field located using a handheld Garmin GPS.
points and down-hole surveys), trenches, mine workings and other The drill hole azimuth and dip are surveyed by the driller using an
locations used in Mineral Resource estimation. electronic level and verified using a Brunton compass.
• Specification of the grid system used. • Drill hole downhole surveys are undertaken using a North-seeking
• Quality and adequacy of topographic control. Gyro instrument.
• The data are recorded using the WGS84 datum, UTM Zone 34S.
• GPS elevation calibration is undertaken by recording points at a
standard datum point.
Data spacing and • Data spacing for reporting of Exploration Results. • The current drilling is part of the discovery phase targeting massive
distribution • Whether the data spacing and distribution is sufficient to sulphide mineralisation. Although sulphide mineralisation has been
establish the degree of geological and grade continuity intersected it is not intended at this stage to include this in a mineral
appropriate for the Mineral Resource and Ore Reserve resource. Seven drill holes were drilled by previous explorers.
estimation procedure(s) and classifications applied.
• Whether sample compositing has been applied.
Orientation of data in • Whether the orientation of sampling achieves unbiased • The mineralisation is primary magmatic sulphide and is not related to
relation to geological sampling of possible structures and the extent to which this is any imposed structural control.
structure known, considering the deposit type. • The drill holes have intersected the mineralisation at a low to
• If the relationship between the drilling orientation and the moderate angle to true dip, therefore sampling is representative of the
orientation of key mineralised structures is considered to have mineralisation.
introduced a sampling bias, this should be assessed and • The drilling orientation is appropriate to the intrusion orientation as
reported if material. currently understood.
Sample security • The measures taken to ensure sample security. • The samples are managed according to company chain of security
protocols, including storage in a locked core yard, and courier of the
sealed bags directly to the laboratory.
Audits or reviews • The results of any audits or reviews of sampling techniques and • No specific audit of this project has been undertaken. The sampling
data. process is governed by well-established industry and company
procedures and protocols.
Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
Mineral tenement and • Type, reference name/number, location and ownership including • The farm Rok Optel 261 has overlapping rights (in respect of differing
land tenure status agreements or material issues with third parties such as joint minerals) held by two companies.
ventures, partnerships, overriding royalties, native title interests,
historical sites, wilderness or national park and environmental • Namaqua Nickel Mining (Pty) Ltd holds a mining right NC 10032MR
settings. (over Die Plaas No. 387: Whole Farm Hartebeest Pan 175: RE,
Portion 5 Jacomyns Pan 176: RE, Portion 1, Rok Optel 261: RE,
• The security of the tenure held at the time of reporting along with Portion 1, Portion 2, Portion 3) for the mining of Nickel, Copper,
any known impediments to obtaining a licence to operate in the Cobalt, PGM, Gold. This right was granted on 19 September 2016
area. subject to certain conditions, which include local community
participation and financial guarantees, but is not yet executed.
• Disawell (Pty) Ltd holds two prospecting rights namely NC
30/5/1/1/2/11010 PR (over Jacomyns Pan 176: 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 Farm 387:
RE), each for the exploration of Zinc, Lead, 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
• No historical or environmental impediments to obtaining an operating
licence are known.
Exploration done by • Acknowledgment and appraisal of exploration by other parties. • On Rok Optel 261, exploration has been undertaken by several
other parties parties, although only limited data are available. Hochmetals SWA
undertook exploration during the early 1970’s and drilled the drill holes
previously reported upon by Orion Minerals. Poor quality
standardised and summarised geological logs submitted to
government are the only information remaining from this period.
• Newmont undertook exploration from 1975 to 1977. The Hochmetals
core was re-analysed. The existing drill hole PUD001 was deepened
by 70m and a new hole (PUD007) drilled to 522.90m. A report
(Gresse 1977) with drill plans and sections is available and has been
captured into the database.
Geology • Deposit type, geological setting and style of mineralisation. • The Rok Optel mineralisation is contained within portions of a
metamorphosed mafic to ultramafic intrusion at least 150m thick
containing magmatic nickel-copper sulphides. The intrusion is
predominantly norite and gabbro, with lenticular bodies of pyroxenite
to harzburgite. The intrusion is enclosed within quartz-feldspar-biotite-
garnet (sillimanite) gneiss country rocks.
Drill hole Information • A summary of all information material to the understanding of • See Table 2.
the exploration results including a tabulation of the following
information for all Material drill holes:
o easting and northing of the drill hole collar
o elevation or RL (Reduced Level – elevation above sea level
in metres) of the drill hole collar
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 aggregation • In reporting Exploration Results, weighting averaging • The assay data are captured into a standard-format MS-Excel
methods techniques, maximum and/or minimum grade truncations (e.g. spreadsheet within which various derived parameters are calculated,
cutting of high grades) and cut-off grades are usually Material including standard metal ratios (Pt/(Pt+Pd) and Cu/(Cu+Ni), major
and should be stated. element oxides (using standard conversions), combined Pt, Pd, and
Au (2PGE+Au), and base and precious metal tenors (using the
• Where aggregate intercepts incorporate short lengths of high methodology of Kerr, A. (2003): Spreadsheets for the calculation and
grade results and longer lengths of low grade results, the correction of sulphide metal contents. Newfoundland and Labrador
procedure used for such aggregation should be stated and Department of Mines and Energy, Geological Survey, Open File
some typical examples of such aggregations should be shown NFLD/2805).
• The assay data are weighted using the SG and interval width to derive
• The assumptions used for any reporting of metal equivalent a mass factor that is then applied to the metal grade. Composite
values should be clearly stated. intervals are calculated using the mass-weighted values, which are
then divided by the sum of the mass factors to derive the metal grade
in weight percent.
• The assay data are attributed and coloured according to the Ni grade
to highlight zones of mineralisation for composite calculation.
Composite intersection widths are manually calculated for various cut-
off grades on a common-sense basis including minor lower grade
intervals if present within a thicker zone of mineralisation.
Relationship between • These relationships are particularly important in the reporting of • The drill holes intersected the mineralisation at predominantly
mineralisation widths Exploration Results. moderate to low angles.
and intercept lengths
• If the geometry of the mineralisation with respect to the drill hole
angle is known, its nature should be reported.
• If it is not known and only the down hole lengths are reported,
there should be a clear statement to this effect (e.g. ‘down hole
length, true width not known’).
Diagrams • Appropriate maps and sections (with scales) and tabulations of • The prospect plan indicates the drilled and planned drill hole localities.
intercepts should be included for any significant discovery being
reported. These should include, but not be limited to a plan view • The intersection data derived from the abovementioned composite
of drill hole collar locations and appropriate sectional views. calculations are presented in the report.
Balanced reporting • Where comprehensive reporting of all Exploration Results is not • The analytical data have been reported in a responsible and balanced
practicable, representative reporting of both low and high manner.
grades and/or widths should be practiced to avoid misleading
reporting of Exploration Results.
Other substantive • Other exploration data, if meaningful and material, should be • The Time Domain Electromagnetic Surveys are undertaken using a
exploration data reported including (but not limited to): geological observations; best-in-class electromagnetic receiver manufactured by
geophysical survey results; geochemical survey results; bulk Electromagnetic Technologies. The source is a custom-built Time
samples – size and method of treatment; metallurgical test Domain Electromagnetic transmitter, capable of transmitting 140 Amps
results; bulk density, groundwater, geotechnical and rock into a 1 x 1km aluminium wire loop. The source is coupled with
characteristics; potential deleterious or contaminating military grade fluxgate sensors for shallow exploration and super-
substances. sensitive high-temperature Super Conducting Quantum Interference
Devices (SQUIDs) manufactured in Germany, which are state of the
art for deeper exploration. The SQUID system was employed at the
ROK4 grid and can detect moderate to super-conductors to
approximately 1,000m below surface. Readings are taken every 50-
100m on 200m-spaced grid lines.
• Down-Hole Time Domain Electromagnetic surveys are undertaken
using a Digi-Atlantis EM receiver. The source is a custom-built Time
Domain Electromagnetic transmitter, capable of transmitting 140 Amps
into a 1 x 1km aluminium wire loop. The drill holes are cased using
plastic pipe prior to survey. The survey is undertaken at station
intervals of between 2 and 15m dependent upon the location of the
mineralisation. Data are quality controlled then forward to the
Further work 1. The nature and scale of planned further work (e.g. tests for • Drill hole OROD001 intersected the base of the Rok Optel intrusion at
lateral extensions or depth extensions or large-scale step-out 387.82m and was completed at 412.06m. The DHTEM survey
drilling). indicated that although some of the plates were intersected, a
2. Diagrams clearly highlighting the areas of possible extensions, conductor is located off-hole. A follow-up hole, OROD003, is
including the main geological interpretations and future drilling underway to test this target.
areas, provided this information is not commercially sensitive. • Drill hole OROD002 intersected a sequence of interlayered intrusive
and gneiss rocks from 25.73m to the end of hole at 491.95m. The
DHTEM has also indicated the presence of a deeper-seated
conductor that will be tested by follow-up drilling.
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