Wrap Text
Third Diamond Hole Intersects Massive Sulphide Stringer Veins at Rok Optel Nickel-Copper Target
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
(“Orion” or “the Company”)
THIRD DIAMOND HOLE INTERSECTS MASSIVE SULPHIDE STRINGER VEINS AT ROK OPTEL NICKEL-COPPER TARGET, NORTHERN CAPE, SOUTH AFRICA
- 10m-thick zone of vein, stringer and massive sulphides hosted in magmatic breccia intersected from
397m to 407m down-hole in new diamond hole OROD003.
- Five stacked intrusive-hosted mineralised zones now identified in drilling at Rok Optel.
- New intercept can be correlated with recently drilled zones over a 1.25km strike extent of the
intrusion, which remains open both to the north and south.
- Rok Optel is a focus point for repeated ultramafic intrusions with massive sulphide vein injections and
therefore has excellent potential for the discovery of bulk massive sulphide mineralisation.
“Figures" referred to throughout this announcement can be viewed on the pdf version of the announcement,
available on the Company's website, www.orionminerals.com.au.
Orion’s Managing Director and CEO, Errol Smart, commented:
“The Rok Optel target – which forms part of our regional exploration program in the Areachap Belt outside
of our flagship Prieska development project – is continuing to emerge as a very promising Ni-sulphide
project.
The vein, stringer and massive sulphides intersected in recently-completed diamond hole OROD003 can be
correlated with the mineralisation intersected previously in drill holes OROD001 and OROD002, confirming
the potential scale and significance of the target, which we now recognise as having an extensive and
complex multi-phase intrusive history.
The identification of magmatic sulphide veins injected into the country rock is also particularly encouraging
as it highlights the potential to discover bulk massive sulphide mineralisation. We are eagerly awaiting the
assay results so that modelling can be refined and drilling can continue.”
Orion Minerals Limited (ASX/JSE: ORN) (Orion) is pleased to provide an update on its ongoing regional
exploration program at the Rok Optel Ni-Cu-Co-PGE target, located on the Namaqua and Disawell
prospecting rights (Disawell) in the Areachap Belt, South Africa (Figure 1). Rok Optel is located ~80km
north-west of the flagship Prieska Zinc-Copper Project.
Diamond drill hole OROD003, which was designed to target a 10,500S down-hole, electro-magnetic (DHEM)
conductor (also tested by hole OROD001), has been completed to a depth of 532.73m (Figure 2). The hole
intersected three significant zones of magmatic sulphide mineralisation, all of which are characterised by the
presence of sulphide veins injected into both the host country rock (Appendix 1, A1) and the intrusion.
Magmatic sulphide mineralisation is present within the lower two intrusions. The uppermost intrusion hosts
sulphide mineralisation from 361.98m to 415.78m, including a well-mineralised zone from 397.29m to
407.73m with injected stringers, veins and massive sulphide zones that locally brecciate and host autoliths
of the intrusion silicates. The massive sulphide veinlets account for approximately 12% of the intersection.
The lowermost intrusion is less mineralised, but importantly also hosts a zone with stringer and vein
mineralisation from 457.98m to 471.33m.
The upper mineralised zones visually correlate to those intersected in drill holes OROD001 and OROD002
(previously reported, refer ASX release 10 September 2018) while the lowest zone is a newly identified
additional zone.
Assay data have also been received from drill hole OROD002 (Table 1). The geochemical data correlate the
three mineralised zones with those intersected by OROD001. The metal tenors and individual ratios are
consistent between these holes.
The ubiquitous occurrence of transgressive vein and stringer-style mineralisation over the currently known
extent of the intrusion is considered to be genetically very significant. Most massive sulphide ore deposits
are characterised by magma chamber dynamics that cause repeated mineralising events within a
constrained locality.
At Rok Optel, there are five horizons with stringer-style sulphide mineralisation of moderate to high tenor
that have been injected into non- or poorly mineralised silicates. This indicates a magma conduit within which
the sulphide liquid was being actively injected into lithified or partially lithified host stratigraphy over a distance
of some 1.25km (between the current and the historical drill holes – see Figure 2).
The central zone of the prospect area is becoming increasingly of interest as new intrusive outcrops have
been identified by mapping, indicating that Jacomynspan Suite intrusions occur within a large area between
the Area 4 outcrop in the east and the Jacomynspan norite occurrence to the west (Figure 4). All Rok Optel
and Jacomynspan intrusions are shown to be genetically related using whole rock geochemistry (refer
Appendix 1- Figure A6).
Drill Hole Cut Off From Width m Ni wt% Cu wt% Co wt% 2PGE + Au g/t
m
OROD001 0.2% 201.05 8.99 0.24 0.16 0.016 0.22
Ni
292.09 7.29 0.28 0.11 0.013 0.66
0.3% 297.44 1.94 0.38 0.15 0.015 1.45
Ni
0.5% 201.05 1.22 0.45 0.57 0.047 0.16
Ni
OROD002 0.2% 149.16 1.27 0.39 0.10 0.032 0.03
Ni
159.95 0.94 0.22 0.11 0.031 0.05
174.08 0.66 0.24 0.24 0.035 0.02
215.49 0.37 0.90 0.18 0.139 0.03
222.36 1.68 0.22 0.07 0.010 0.33
338.09 2.37 0.15 0.13 0.014 0.87
356.08 2.46 0.33 0.20 0.046 0.08
363.47 2.86 0.17 0.04 0.012 0.21
0.3% 149.16 1.27 0.39 0.10 0.032 0.03
Ni
215.49 0.37 0.90 0.18 0.139 0.03
356.08 2.46 0.33 0.20 0.046 0.08
0.5% 149.16 0.57 0.61 0.14 0.048 0.04
Ni
215.49 0.37 0.90 0.18 0.139 0.03
Table 1: Drill intersections from OROD001 and OROD002 calculated using SG-weighting at various
cut-off grades. The widths are intersection widths and have not been corrected to true width.
Drill hole OROD003 has again confirmed the presence of magmatic sulphide mineralisation, accounting for
the electromagnetic (EM) conductors at Rok Optel. Drill hole OROD003 has been DHEM-surveyed and is
currently being modelled to test for better developed mineralisation in off-hole conductors located in close
proximity.
Once all outstanding analytical and geophysical results have been received and evaluated, drilling will
resume on the Rok Optel Prospect.
Errol Smart
Managing Director and CEO
24 October 2018
ENQUIRIES
Investors JSE Sponsor
Errol Smart – Managing Director & CEO Rick Irving
Denis Waddell – Chairman Merchantec Capital
T: +61 (0) 3 8080 7170 T: +27 (0) 11 325 6363
E: info@orionminerals.com.au E: rick@merchantec.co.za
Media
Michael Vaughan Barnaby Hayward
Fivemark Partners, Australia Tavistock, UK
T: +61 (0) 422 602 720 T: +44 (0) 207 920 3150
E: michael.vaughan@fivemark.com.au E: orion@tavistock.co.uk
Suite 617, 530 Little Collins Street
Melbourne, VIC, 3000
Competent Person’s 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 (RPO). Mr Hornsey is a Consultant to Orion. Mr Hornsey has sufficient experience that is
relevant to the style of mineralisation and type of deposit under consideration and to the activity being
undertaken to qualify as a Competent Person as defined in the 2012 Edition of the JORC Code. Mr Hornsey
consents to the inclusion in this announcement of the matters based on his information in the form and
context in which it appears.
Disclaimer
This release may include forward-looking statements. Such forward-looking statements may include, among
other things, statements regarding targets, estimates and assumptions in respect of metal production and
prices, operating costs and results, capital expenditures, mineral reserves and mineral resources and
anticipated grades and recovery rates, and are or may be based on assumptions and estimates related to
future technical, economic, market, political, social and other conditions. These forward-looking statements
are based on management’s expectations and beliefs concerning future events. Forward-looking statements
inherently involve subjective judgement and analysis and are necessarily subject to risks, uncertainties and
other factors, many of which are outside the control of Orion. Actual results and developments may vary
materially from those expressed in this release. Given these uncertainties, readers are cautioned not to place
undue reliance on such forward-looking statements. Orion makes no undertaking to subsequently update or
revise the forward-looking statements made in this release to reflect events or circumstances after the date
of this release. All information in respect of Exploration Results and other technical information should be
read in conjunction with Competent Person Statements in this release (where applicable). To the maximum
extent permitted by law, Orion and any of its related bodies corporate and affiliates and their officers,
employees, agents, associates and advisers:
- disclaim any obligations or undertaking to release any updates or revisions to the information to reflect
any change in expectations or assumptions;
- do not make any representation or warranty, express or implied, as to the accuracy, reliability or
completeness of the information in this release, or likelihood of fulfilment of any forward-looking
statement or any event or results expressed or implied in any forward-looking statement; and
- disclaim all responsibility and liability for these forward-looking statements (including, without limitation,
liability for negligence).
Appendix 1 – Technical Update on the Drill Program at Rok Optel
This technical report details the work undertaken and initial technical results of the phase 1 drill program
completed at Rok Optel. Analytical data from drill hole OROD003 and infill sampling of drill holes
OROD001 and OROD002 are awaited.
Diamond Drilling
The drill hole status is outlined by Table A1. The current drill campaign has now completed 1206.76m
of diamond drill core drilling. The majority of the drilling was completed with oriented core to enable
determination of the attitude of structural elements of interest.
Drill hole X UTM34S Y UTM34S Elevatio Initial Depth Final Depth Dip Azimut
n (m) (m) (m) (degrees) h
OROD001 580,215 6,746,005 1,059 0 412.06
-60 (degre
120
es)
OROD002 580,360 6,746,760 1,559 0 491.95 -65 090
OROD003 580,142 6,745,874 1,057 0 532.73 -70 102
Table A1: Orion Rok Optel Drill hole Information.
Mineralisation
All three of Orion’s drill holes at Rok Optel have intersected several intervals of magmatic sulphide
mineralisation. This has been examined, characterised and logged in detail as the style of mineralisation
provides an important parameter for assessment of intrusion fertility, generation of magmatic sulphide
liquid, mode of sulphide liquid transport, and trapping of massive mineralisation.
The styles of mineralisation intersected include disseminated and fine blebby to patchy mineralisation
present within several zones at Rok Optel. Of greater significance, there are several horizons that host
veins both within, and transgressive to the magmatic fabric, grading into zones of thicker sulphide veins
and massive sulphide lenses of up to 21cm (OROD003). Drill hole OROD003 intersected a combined
total of 1.23m of massive sulphide in ten discrete layers and vein networks. This compares to drill holes
OROD001 (0.32m in 4 layers) and OROD002 (0.32m in 7 layers).
The ubiquitous occurrence of transgressive vein and stringer-style mineralisation over the currently
known extent of the intrusion is genetically highly significant. Most significant massive sulphide ore
deposits are characterised by magma chamber dynamics that cause repeated mineralising events
within a constrained locality. At Rok Optel, there are five horizons with stringer-style moderate to high
tenor sulphide mineralisation injected into otherwise non-poorly mineralised silicates. This indicates a
magma conduit within which sulphide liquid was being actively injected into lithified or partially lithified
host stratigraphy over a distance of at least 925m between drill holes OROD002 and OROD003, and
1.25km including all historic drilling.
Metal tenors have been calculated for the elements of interest using the methodology of Kerr (2003).
This indicates significant variability in metal endowment within and between the mineralised horizons
and provides a parameter for between-hole comparison. The Rok Optel tenors range between 1.41%
to 10.22% Ni and 0.75% to 3.86% Cu for the mineralised intervals >0.2% Ni. Generally, the
disseminated mineralised zones have higher tenors (up to 15% Ni) than the better mineralised zones.
This is related to magma chamber dynamics and is consistent with the majority of intrusions globally.
Spot point analysis using a NITON portable XRF instrument has been used to assess the internal metal
grade variability of massive sulphide veinlets intersected in drill hole OROD003 to identify whether
processes typical of magmatic fractionation are evident. Figure A1 shows a graph of selected results
over an injected massive sulphide vein hosted by country rock gneiss at 362m. The Cu and Ni
distribution (Cu-dominant at the sidewalls) is typical of injected sulphide that has then fractionated
during cooling. This indicates that the sulphides have been injected into the country rock and that
primary magmatic processes were operating during emplacement. Note that NITON values are not
considered as quantitative assays and are only of qualitative geo-scientific interest.
Figure A1: NITON portable XRF analysis of a profile through a massive sulphide vein hosted
by country host rock gneiss. The relative metal profiles indicate fractionation between Ni and
Cu to form Cu enrichment at the vein margins. This indicates that this vein is derived from the
intrusion and has been injected into the gneiss.
Note: The results are derived from portable hand-held XRF instrument spot readings and
should not be construed to be absolute qualitative assays. These are purely qualitative
readings using an imprecise instrument but can be instructive when considering relative
values of elements measured.
Lithogeochemical Correlation of Drill Holes OROD001 and OROD002
The litho-stratigraphy and geochemistry of drill holes OROD001 and OROD002 have been compared
to assess whether the mineralised zones share chemical characteristics and assess the continuity
between the holes. The parameters used are the individual metals, Ni, Cu, Co, PGE and Au, and S.
Metal ratios Cu/(Cu+Ni) and Pt/(Pt+Pd), metal tenors, and the major element oxides MgO and CaO
have also been compared. The results, illustrated by Figures A1 to A7 indicate that four mineralised
zones are present, of which OROD001 intersected the upper three. A fifth mineralised zone was
intersected by drill hole OROD003. These zones are primarily distinguishable based upon their metal
ratio, and major element oxide characteristics. Importantly, the metal tenor information indicates that
the lower zones of mineralisation have the best metal endowment. This now provides a target zone for
ongoing exploration and a control parameter for drill hole management using the NITON portable XRF
to analyse sulphide veins and blebs as the drill hole progresses.
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
geologist, who checks that all core is returned in the correct order by
• Include reference to measures taken to ensure sample turning the core to face upward, fitting the core together and marking
representivity and the appropriate calibration of any the metre intervals on the cut face. The core is reviewed, and zones of
measurement tools or systems used. mineralisation identified. The core sample intervals are marked with
• Aspects of the determination of mineralisation that are Material due consideration of the percentage of sulphide mineralisation,
to the Public Report. lithological contacts, and minimum and maximum sample intervals
(nominally 30cm to 1.5m). The sampling details are captured onto a
• In cases where ‘industry standard’ work has been done this paper log sheet that records sample depths, sample number (derived
would be relatively simple (e.g. ‘reverse circulation drilling was from a standardised sample register) recoveries, mineralisation
used to obtain 1 m samples from which 3 kg was pulverised to percentage, sulphide minerals and mineralisation style. A comments
produce a 30 g charge for fire assay’). In other cases more field is used to capture ancillary observations or associations.
explanation may be required, such as where there is coarse
gold that has inherent sampling problems. Unusual commodities • Samples are despatched by courier to the analytical laboratory.
or mineralisation types (e.g. submarine nodules) may warrant • For point / spot analysis of mineral grains a handheld XRF (Thermo
disclosure of detailed information. Scientific Niton XL2 Analyser) is used. The instrument is used only for
point / spot analysis and not for bulk assays and/or resource
estimations.
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. All drilling is undertaken using double tube wireline
sampling bit or other type, whether core is oriented and if so, by drilling, using 3m or 6m core barrels.
what method, etc.).
• The OROD001core was partially oriented. OROD002 and OROD003
were drilled with oriented core. Core orientation is undertaken using a
Reflex gravity face tool that provides a reference point and relative
degree reading to the base of the drill hole.
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
block at the end of each run recording the hole depth and advance.
• Whether a relationship exists between sample recovery and
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
or loss.
• 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
observed.
• 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
zones.
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 The level of detail is sufficient to support Mineral Resource estimation,
studies. mining studies and metallurgical studies.
Whether logging is qualitative or quantitative in nature. Core (or • Both quantitative and qualitative logging is undertaken dependent
costean, channel, etc.) photography. upon the features being described. Qualitative parameters include
lithology, colour, grain size, weathering, structural features, alteration,
• The total length and percentage of the relevant intersections
sulphide and oxide mineralisation, secondary mineralisation, and
logged.
general contextual comments. Quantitative parameters include
intensity of the qualitative parameters, mineralisation percentages,
and magnetic properties.
• Oriented core has measurements taken relative to an orientation line
showing bottom of hole for planar surfaces and results are recorded
for structural orientation in 3D space.
• 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 • The NQ core is saw-cut at the Copperton core yard, and half-core is
techniques and taken. sampled.
sample preparation
• If non-core, whether riffled, tube sampled, rotary split, etc. and • Within the mineralised zones, the entire zone is cut and sampled.
whether sampled wet or dry. Internal waste or non-mineralised zones may not be sampled
dependent upon their width.
• For all sample types, the nature, quality and appropriateness of
the sample preparation technique. • The duplicate samples are derived from quarter core from previously
sampled drill holes.
• Quality control procedures adopted for all sub-sampling stages
to maximise representivity of samples. • The sampling methodology is suitable for the style of mineralisation
being sampled. The base metals are associated with the sulphide
• Measures taken to ensure that the sampling is representative of minerals, which are generally reasonably evenly distributed. Although
the in-situ material collected, including for instance results for nugget effects are higher for the precious metals, they are fine grained
field duplicate/second-half sampling. and intimately associated with the base metal sulphides, therefore
• Whether sample sizes are appropriate to the grain size of the nugget effect is reduced.
material being sampled. • 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.
• Density determinations are acquired by the technician using an
Archimedes Bath. The data are captured and verified by the geologist
prior to sample bag sealing.
• 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.
Quality of assay data • The nature, quality and appropriateness of the assaying and • Following sampling data capture, the core is placed into pre-
and laboratory tests laboratory procedures used and whether the technique is numbered plastic bags by the responsible geologist. QC samples are
considered partial or total. assigned empty bags at this point. The sample ticket book is then
completed and handed over to the technician.
• For geophysical tools, spectrometers, handheld XRF
instruments, etc., the parameters used in determining the • Duplicate samples derived from previous drill hole core (quarter core),
analysis including instrument make and model, reading times, or drill hole being sampled are added to the sample list at the end.
calibrations factors applied and their derivation, etc.
• QC samples (standards and blanks) are inserted into the defined
• Nature of quality control procedures adopted (e.g. standards, sample bags by the technician. Matrix and mineralisation-matched
blanks, duplicates, external laboratory checks) and whether standards are used.
acceptable levels of accuracy (i.e. lack of bias) and precision
have been established • ALS Chemex also inserts QC samples into each batch, including 5%
CRM’s, 2.5% blanks, and 2.5% duplicates.
• The analyses are undertaken by ALS Chemex. The samples are
analysed for base metals, precious metals and sulphur using the
following methods:
o ME-ICP41 – 35-element analysis specifically designed to
analyse the acid-soluble portion of the analyte. The sample is
digested using aqua regia, with ICP-AES analysis. For the
metals of specific interest, Ni, Cu, and Co, the detection limits
are 1 – 10,000ppm. For S, the detection limits are 0.01 – 10%.
o PGM-ICP23 – standard Pb-collection fire assay with ICP-MS
finish using a nominal 30g sample weight (detection limits of
0.005 (Pt) and 0.001 (Au, Pd) to 10.0g/t).
o 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.
o S-IR08 - total sulphur analysis using the Leco method has
been
implemented following identification of an issue with the ME-
ICP41 sulphur analysis for samples with >10% S. The
analytical data below this percentage are statistically
comparable between the two methods.
• 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:
o 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
base metals.
• 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.
• All Niton data is captured into the drill hole file.
• The Niton XL2 runs an internal calibration routine upon start-up.
Dependent upon the number of readings being acquired and the
purpose of analysis, analytical readings of a manufacturer provided
standard reference material may be used for ongoing QA-QC. This
requirement depends upon whether quantitative or qualitative
measurements are being acquired.
Portable XRF • Instrument used, methodology applied, QC protocols and • A NITON portable XRF (Thermo Scientific Niton XL2) is used on a
Analysis usage/applicability of the data. routine basis to provide a first-pass assessment of the sulphide
mineralisation intersected during drilling.
• Handheld XRF analysis are acquired using the mining setting, with
reading times of 30 or 60 seconds.
• The Niton XL2 has internal calibration on start-up and readings on a
regular basis of manufacturer provided standard reference material is
used for ongoing QA-QC.
• Calibration factors were not applied to the NITON data.
• The observations of metal tenor variation derived from the laboratory
analyses of drill holes OROD001 and OROD002 indicate that
systematic variation within and between the mineral zones is present.
The NITON is therefore used as the drill hole progresses to provide
analyses that are specifically used for characterisation of sulphide
mineralisation and to assess which zones are being intersected on a
daily “real-time basis”.
• The NITON readings are acquired by a geologist from drill hole core,
marking the sulphide bleb to be analysed prior to taking the
measurement. The ‘mining mode’ instrument setting is used. The
element readings are reported as percentages. The instrument is
calibrated upon start-up using the manufacturers internal standards.
Readings are acquired for intervals of 30 or 60 seconds. A single
measurement per sulphide bleb is acquired (this is applicable for the
objectives being investigated and has been found to be a robust
measurement of mineral zone characteristics). The elements recorded
are Ni, Cu, Fe, S, and Ca. All data including a comments field is
captured into the drill hole file.
• The NITON data are not used for mineral resource purposes, or for
derivation of intersection width calculations. The data are used for
qualitative assessment of specific attributes of the mineralisation that
are not achievable using a lab assay interval.
Verification of • The verification of significant intersections by either independent • No independent verification has been undertaken by independent
sampling and or alternative company personnel. persons.
assaying
• The use of twinned holes. • All intersections and their analytical data have been inspected and
verified by Orion Minerals Executive: Exploration.
• Documentation of primary data, data entry procedures, data
verification, data storage (physical and electronic) protocols. • The drill hole data are captured onto paper logs that are kept in
specific drill hole log files. The data is captured into a standard-format
• Discuss any adjustment to assay data. drill hole MS Excel spreadsheet by the geologist. The drill hole log is
regularly appended to the project database as data is captured.
• 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
Gyro instrument.
• Quality and adequacy of topographic control.
• 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 sulphide mineralisation. Although sulphide mineralisation has been
• Whether the data spacing and distribution is sufficient to intersected it is not intended at this stage to include this in a mineral
establish the degree of geological and grade continuity resource. Seven drill holes were drilled by previous explorers.
appropriate for the Mineral Resource and Ore Reserve
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
reported if material. • The drilling orientation is appropriate to the intrusion orientation as
currently understood.
• Most drilling is undertaken with oriented core in order to determine the
3D orientation of planar features.
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.)
Criteria JORC Code explanation Commentary
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
companies.
• 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 1.
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).
in detail.
• The assay data are weighted using the density and interval width to
• The assumptions used for any reporting of metal equivalent derive a mass factor that is then applied to the metal grade.
values should be clearly stated. Composite 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 • In the opinion of the Competent Person, the analytical data have been
practicable, representative reporting of both low and high reported in a responsible and balanced 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
geophysical consultant.
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.
• Drill hole OROD003 initially drilled down the margin of the upper part
of the intrusion before intersecting the lower part of the intrusive
complex. The drill hole is currently being DHTEM surveyed.
• Ongoing work includes systematic further ground and downhole
geophysics including fixed and moving loop EM, together with
mapping and geochemistry of both surface outcrop and drill holes to
map out the entire extent of the intrusive and identify likely bulk
massive sulphide accumulations.
Date: 24/10/2018 09:09:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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