29 Apr 2019 07:19
29 April 2019
MOD Resources Limited
("MOD" or the "Company")
Impressive T3 Resource Infill Drilling Results Continue
Significant recent infill results include:
· MO-G-199D with 21m at 1.5% Cu, 30g/t Ag from 118m,
o including 10m at 2.0% Cu, 44g/t Ag from 118m
· MO-G-200D with 26m at 1.8% Cu, 25g/t Ag from 119m
o including 6.4m at 4.6% Cu, 75g/t from 120.6m
· MO-G-201D with 16.5m at 1.8% Cu, 18g/t Ag from 83.5m
· MO-G-202D with 60m at 1.0% Cu, 13g/t Ag from 78m
· MO-G-203D with 11.4m at 2.1% Cu, 16g/t Ag from 74.6m
· MO-G-204D with 41.9m at 1.4% Cu, 25g/t Ag from 82m
o including 4.4m at 2.6% Cu, 141g/t Ag from 87m
· MO-G-212D with 16m at 1.9% Cu, 26g/t Ag from 117m
· MO-G-217D with 20.5m at 2.2%, 44g/t Ag Cu from 105.5m
MOD Resources Limited (the 'Company' or 'MOD') (ASX/LSE: MOD) is pleased to provide an update on encouraging results from the ongoing resource infill program within the planned T3 Copper Project open pit. These results follow the initial results announced 12 March 2019.
MOD's Managing Director, Julian Hanna, said
"This second batch of drill holes from the T3 infill drilling program continue to deliver impressive results. Again, as expected, the infill drill program has successfully intersected wide, high-grade vein-hosted mineralisation whilst providing more clarity around the up-dip extent of mineralisation within the planned Stage 1 and 2 pit shells. As the end of the infill drilling program approaches, our understanding and confidence in the orebody continues to strengthen and we expect that we will be in a position to upgrade part of the first few years of production into the higher confidence JORC compliant Measured Resource category."
In January 2019, the Company commenced a resource infill drill program. To date, the Company has completed a total of 49 drill holes (Figure 1), utilizing up to three diamond drill rigs, with assays from 36 holes received (Appendix 1 - Table 1).
The results have returned intersections of high-grade copper and silver mineralisation in most holes, validating and supporting the resource model. Holes MO-G-218D and MO-G-219D did not intersect significant mineralisation, because these holes are located on the southern limit of the deposit, further increasing our understanding of the boundaries of the orebody. The Company expects to complete the T3 infill drilling program during the second quarter.
Upon completion, results of the T3 infill program will be incorporated into an updated resource model during the third quarter of 2019, when the Company expects to upgrade a significant proportion of production within the first two stages of the open pit into the higher confidence JORC compliant Measured Resource category. This may result in upgrading part of the current Probable Ore Reserve to the Proved Ore Reserve category.
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Please see image in the full version of the announcement at www.modresources.com.au
Figure 1: Plan View of T3 Infill Drilling Program within the First Stages of the T3 Open Pit
-ENDS-
For and on behalf of the Board.
Julian Hanna Managing Director
| Mark Clements Executive Chairman and Company Secretary
|
Jeff Sansom Investor Relations E: IR@modresources.com.au P: +61 (8) 9322 8233 | Jos Simson / Emily Fenton (UK PR & IR) Tavistock P: +44 (0) 207 920 3150 P: +44 (0) 778 855 4035 E: MOD@tavistock.co.uk |
Subscribe at: www.modresources.com.au
About MOD Resources
MOD Resources Ltd (ASX/LSE: MOD) is a dual listed copper exploration and development company with a dominant land position within the Kalahari Copper Belt in Botswana. The Company is focussed on the 100% MOD owned T3 Copper Project, expected to be a high-margin, low-cost copper mine. In parallel with the development of the T3 Copper Project, MOD continues its exploration program across several priority drill targets and within untested areas of interesting and potentially significant Cu-Zn soil anomalies.
A substantial in-fill drilling program is in progress with the objective to upgrade a portion of T3 Indicated Mineral Resources to the higher confidence Measured Resource category.
The Company is continuing to advance discussions with interested parties in relation to T3 funding opportunities and is targeting to commence development of the T3 Copper Project in the second half of 2019, with a vision of first copper concentrate production in the first half of 2021. In the mid-term MOD will focus on generating value for shareholders.
MOD has a social licence to operate within Botswana as well as within the host community of Ghanzi. MOD will continue to work collaboratively with regulators and members of the Ghanzi District to ensure that any social investments and developments are targeted to create a positive and lasting legacy.
Competent Person's Statement
The information in this announcement that relates to Geological Data and the T3 Mineral Resource described in this release is reviewed and approved by Mr Bradley Ackroyd, BSc (Hons), Manager Mine Geology for MOD Resources Ltd. Mr Ackroyd is a registered member of the Australian Institute of Geoscientists and has reviewed the technical information in this report. Mr Ackroyd has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and the activity, which it is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Ackroyd consents to the inclusion in this announcement of the matters based on information in the form and context in which it appears.
No New Information
To the extent that this announcement contains references to Mineral Resource estimates, which have been included in previous market announcements made by the Company, unless explicitly stated, no new material information is contained relating to Mineral Resource estimates. The Company confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcements and, in the case of estimates of Mineral Resources that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed.
Forward Looking Statements and Disclaimers
This announcement includes forward-looking statements such as "we expect that we will be in a position to upgrade part of the first few years of production into the higher confidence JORC compliant Measured Resource category ", "The Company expects to complete the T3 infill drilling program during the second quarter." And "Upon completion, results of the T3 infill program will be incorporated into an updated resource model during the third quarter of 2019, when the Company expects to upgrade a significant proportion of production within the first two stages of the open pit into the higher confidence JORC compliant Measured Resource category. This may result in upgrading part of the current Probable Ore Reserve to the Proved Ore Reserve category." that are only predictions and are subject to risks, uncertainties and assumptions, which are outside the control of MOD. Actual values, results, interpretations or events may be materially different to those expressed or implied in this announcement. Given these uncertainties, recipients are cautioned not to place reliance on forward-looking statements in the announcement as they speak only at the date of issue of this announcement. Subject to any continuing obligations under applicable law and ASX Listing Rules, MOD does not undertake any obligation to update or revise any information or any of the forward-looking statements in this announcement or any changes in events, conditions or circumstances on which any such forward-looking statement is based. This announcement has been prepared by MOD. The document contains background information about MOD current at the date of this announcement. The announcement is in summary form and does not purport to be all-inclusive or complete. Recipients should conduct their own investigations and perform their own analysis in order to satisfy themselves as to the accuracy and completeness of the information, statements and opinions contained in this announcement.
The announcement is for information purposes only. Neither this announcement nor information contained in it constitutes an offer, invitation, solicitation or recommendation in relation to the purchase or sale of shares in any jurisdiction. The announcement may not be distributed in any jurisdiction except in accordance with legal requirements applicable in such jurisdiction. Recipients should inform themselves of the restrictions that apply to their own jurisdiction as a failure to do so may result in a violation of securities laws in such jurisdiction. This announcement does not constitute investment advice and has been prepared without taking into account the recipient's investment objectives, financial circumstances or particular needs and the opinions and recommendations in this announcement are not intended to represent recommendations of particular investments to particular persons. Recipients should seek professional advice when deciding if an investment is appropriate.
All securities transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments. To the fullest extent of the law, MOD, its officers, employees, agents and advisers do not make any representation or warranty, express or implied, as to the currency, accuracy, reliability or completeness of any information, statements, opinion, estimates, forecasts or other representations contained in this announcement. No responsibility for any errors or omissions from the announcement arising out of negligence or otherwise is accepted.
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APPENDIX 1
Table 1: T3 Infill Drilling Results
HOLE ID | SIGNIFICANT T3 RESOURCE INFILL INTERSECTIONS |
Announced 12 March 2019 | |
MO-G-187D | 14m @ 1% Cu & 7g/t Ag from 48m downhole |
and | 9.8m @ 0.8% Cu & 6g/t Ag from 83.2m downhole |
and | 20.2m @ 0.8% Cu & 4g/t Ag from 100.8m downhole |
Inc. | 8.2m @ 1.2% Cu & 5g/t Ag from 103m downhole |
MO-G-188D | 8.1m @ 0.9% Cu & 7g/t Ag from 50.9m downhole |
and | 31.5m @ 2% Cu & 36g/t Ag from 85.6m downhole |
Inc. | 10m @ 4.7% Cu & 98g/t Ag from 105m downhole |
MO-G-189D | 6m @ 0.8% Cu & 5g/t Ag from 90.1m downhole |
and | 5.4m @ 0.7% Cu & 2g/t Ag from 105.6m downhole |
MO-G-190D | 17m @ 0.9% Cu & 5g/t Ag from 52m downhole |
Inc. | 8m @ 1.3% Cu & 6g/t Ag from 58m downhole |
and | 3.8m @ 0.8% Cu & 6g/t Ag from 77.3m downhole |
and | 7.6m @ 0.7% Cu & 6g/t Ag from 89m downhole |
and | 16m @ 0.6% Cu & 3g/t Ag from 109m downhole |
MO-G-191D | 18.3m @ 1.1% Cu & 5g/t Ag from 65.6m downhole |
and | 47m @ 0.9% Cu & 7g/t Ag from 89m downhole |
Inc. | 15.3m @ 1.6% Cu & 15g/t Ag from 104m downhole |
MO-G-192D | 13.7m @ 1.6% Cu & 6g/t Ag from 52.8m downhole |
and | 33m @ 2% Cu & 14g/t Ag from 88m downhole |
Inc. | 16m @ 3.3% Cu & 20g/t Ag from 99m downhole |
MO-G-193D | 6m @ 0.7% Cu & 4g/t Ag from 75m downhole |
and | 17.7m @ 1.4% Cu & 21g/t Ag from 97.8m downhole |
Inc. | 6.5m @ 2.5% Cu & 36g/t Ag from 108.1m downhole |
and | 9m @ 0.6% Cu & 4g/t Ag from 119m downhole |
MO-G-194D | 7m @ 1.3% Cu & 5g/t Ag from 97m downhole |
and | 8m @ 0.8% Cu & 6g/t Ag from 108m downhole |
and | 9.8m @ 1.2% Cu & 6g/t Ag from 120m downhole |
MO-G-195D | 10.8m @ 0.7% Cu & 10g/t Ag from 82m downhole |
and | 4.8m @ 0.8% Cu & 5g/t Ag from 101.8m downhole |
MO-G-196D | 5m @ 1.3% Cu & 6g/t Ag from 80m downhole |
and | 7m @ 1.3% Cu & 3g/t Ag from 89m downhole |
and | 7m @ 0.9% Cu & 16g/t Ag from 106m downhole |
MO-G-197D | 3.3m @ 1.1% Cu & 6g/t Ag from 85.4m downhole |
and | 22m @ 1.1% Cu & 10g/t Ag from 95m downhole |
and | 2.7m @ 1% Cu & 14g/t Ag from 122.5m downhole |
Announced 29 April 2019 | |
MO-G-198D | 6.3m @ 0.6% Cu & 7g/t Ag from 67m downhole |
and | 4.3m @ 1.3% Cu & 11g/t Ag from 84m downhole |
and | 6m @ 0.9% Cu & 4g/t Ag from 92m downhole |
and | 4.4m @ 0.9% Cu & 2g/t Ag from 103.6m downhole |
MO-G-199D | 10m @ 1.4% Cu & 20g/t Ag from 72m downhole |
and | 2.1m @ 1.9% Cu & 7g/t Ag from 87.9m downhole |
and | 21m @ 1.5% Cu & 30g/t Ag from 118m downhole |
Inc. | 10m @ 2% Cu & 44g/t Ag from 118m downhole |
MO-G-200D | 23.8m @ 1.2% Cu & 23g/t Ag from 81.2m downhole |
Inc. | 9.8m @ 2% Cu & 48g/t Ag from 81.2m downhole |
and | 26m @ 1.8% Cu & 25g/t Ag from 119m downhole |
Inc. | 6.4m @ 4.6% Cu & 75g/t Ag from 120.6m downhole |
MO-G-201D | 16.5m @ 1.8% Cu & 18g/t Ag from 83.5m downhole |
and | 19m @ 2.1% Cu & 37g/t Ag from 111m downhole |
Inc. | 8m @ 4.1% Cu & 76g/t Ag from 121m downhole |
and | 8m @ 0.8% Cu & 4g/t Ag from 134m downhole |
and | 4.4m @ 1% Cu & 3g/t Ag from 145.6m downhole |
MO-G-202D | 60m @ 1% Cu & 13g/t Ag from 78m downhole |
MO-G-203D | 11.4m @ 2.1% Cu & 16g/t Ag from 74.6m downhole |
and | 32m @ 1.3% Cu & 16g/t Ag from 117m downhole |
MO-G-204D | 41.9m @ 1.4% Cu & 25g/t Ag from 82m downhole |
Inc. | 4.4m @ 2.6% Cu & 141g/t Ag from 87m downhole |
and | 3.8m @ 1.1% Cu & 7g/t Ag from 133.2m downhole |
MO-G-205D | 11m @ 0.9% Cu & 8g/t Ag from 87m downhole |
MO-G-206D | 19.8m @ 0.6% Cu & 4g/t Ag from 74.2m downhole |
MO-G-207D | 15m @ 1.1% Cu & 7g/t Ag from 81m downhole |
and | 22.4m @ 1.2% Cu & 20g/t Ag from 118.6m downhole |
MO-G-208D | 10m @ 0.6% Cu & 2g/t Ag from 40m downhole |
and | 9m @ 0.9% Cu & 11g/t Ag from 73m downhole |
and | 26.4m @ 0.8% Cu & 5g/t Ag from 85.6m downhole |
MO-G-209D | 13m @ 0.6% Cu & 2g/t Ag from 27m downhole |
and | 7m @ 1.1% Cu & 3g/t Ag from 44m downhole |
MO-G-210D | 15m @ 1.2% Cu & 8g/t Ag from 86m downhole |
and | 13.6m @ 0.9% Cu & 3g/t Ag from 105m downhole |
MO-G-211D | 28.5m @ 1% Cu & 7g/t Ag from 85m downhole |
and | 7m @ 1.1% Cu & 16g/t Ag from 129m downhole |
MO-G-212D | 16m @ 1% Cu & 4g/t Ag from 65m downhole |
and | 7.5m @ 0.8% Cu & 10g/t Ag from 96.5m downhole |
and | 16m @ 1.9% Cu & 26g/t Ag from 117m downhole |
MO-G-213D | 22.4m @ 1.5% Cu & 6g/t Ag from 76.6m downhole |
and | 15.2m @ 0.7% Cu & 12g/t Ag from 117m downhole |
MO-G-214D | 14m @ 1% Cu & 4g/t Ag from 63m downhole |
MO-G-215D | 12.1m @ 0.9% Cu & 4g/t Ag from 65.5m downhole |
and | 17m @ 1.5% Cu & 17g/t Ag from 93m downhole |
MO-G-216D | 17m @ 0.7% Cu & 2g/t Ag from 52m downhole |
and | 11.5m @ 0.7% Cu & 5g/t Ag from 94m downhole |
MO-G-217D | 9.3m @ 1.2% Cu & 5g/t Ag from 77m downhole |
and | 20.5m @ 2.2% Cu & 44g/t Ag from 105.5m downhole |
MO-G-218D | No significant intersection: outside deposit |
MO-G-219D | No significant intersection: outside deposit |
MO-G-220D | 15.3m @ 1.6% Cu & 23g/t Ag from 72m downhole |
and | 15.5m @ 0.6% Cu & 6g/t Ag from 103m downhole |
MO-G-221D | 7.4m @ 1.2% Cu & 5g/t Ag from 82.6m downhole |
and | 19m @ 1.4% Cu & 26g/t Ag from 107m downhole |
MO-G-222D | 18.3m @ 1% Cu & 23g/t Ag from 72m downhole |
and | 4.4m @ 1.4% Cu & 7g/t Ag from 116m downhole |
Table 2: T3 Infill Drill Collar Parameters
Drill Hole ID | WGS84_34S_E | WGS84_34S_N | RL (m) | EOH (m) | Azi (UTM) | Dip | Collar Survey |
MO-G-187D | 636293.297 | 7641772.032 | 1116.229 | 130.40 | 160.00 | -60.00 | DGPS |
MO-G-188D | 636248.848 | 7641747.719 | 1116.260 | 124.47 | 160.00 | -60.00 | DGPS |
MO-G-189D | 636175.066 | 7641705.683 | 1116.830 | 121.62 | 160.00 | -60.00 | DGPS |
MO-G-190D | 636334.664 | 7641799.800 | 1116.042 | 136.35 | 160.00 | -60.00 | DGPS |
MO-G-191D | 636284.701 | 7641797.735 | 1116.153 | 139.52 | 160.00 | -60.00 | DGPS |
MO-G-192D | 636270.556 | 7641769.670 | 1116.228 | 130.52 | 160.00 | -60.00 | DGPS |
MO-G-193D | 636142.342 | 7641732.580 | 1116.307 | 136.50 | 160.00 | -60.00 | DGPS |
MO-G-194D | 636126.246 | 7641716.372 | 1116.420 | 136.52 | 160.00 | -60.00 | DGPS |
MO-G-195D | 636158.150 | 7641716.811 | 1116.616 | 130.62 | 160.00 | -60.00 | DGPS |
MO-G-196D | 636174.922 | 7641775.651 | 1116.084 | 160.65 | 160.00 | -60.00 | DGPS |
MO-G-197D | 636150.650 | 7641778.452 | 1116.161 | 166.52 | 160.00 | -60.00 | DGPS |
MO-G-198D | 636202.408 | 7641708.585 | 1116.823 | 127.62 | 160.00 | -60.00 | DGPS |
MO-G-199D | 636348.826 | 7641825.725 | 1116.169 | 148.55 | 160.00 | -60.00 | DGPS |
MO-G-200D | 636341.377 | 7641847.609 | 1116.143 | 151.52 | 160.00 | -60.00 | DGPS |
MO-G-201D | 636318.499 | 7641845.921 | 1116.065 | 157.62 | 160.00 | -60.00 | DGPS |
MO-G-202D | 636300.025 | 7641824.156 | 1116.096 | 151.45 | 160.00 | -60.00 | DGPS |
MO-G-203D | 636327.354 | 7641824.588 | 1116.141 | 154.72 | 160.00 | -60.00 | DGPS |
MO-G-204D | 636272.826 | 7641821.292 | 1116.061 | 154.50 | 160.00 | -60.00 | DGPS |
MO-G-205D | 636192.117 | 7641732.499 | 1116.423 | 127.62 | 160.00 | -60.00 | DGPS |
MO-G-206D | 636117.051 | 7641742.826 | 1116.122 | 151.52 | 160.00 | -60.00 | DGPS |
MO-G-207D | 636229.032 | 7641797.407 | 1116.138 | 151.72 | 160.00 | -60.00 | DGPS |
MO-G-208D | 636278.017 | 7641746.906 | 1116.558 | 130.62 | 160.00 | -60.00 | DGPS |
MO-G-209D | 636301.367 | 7641750.945 | 1116.603 | 121.62 | 160.00 | -60.00 | DGPS |
MO-G-210D | 636195.029 | 7641795.829 | 1116.100 | 163.67 | 160.00 | -60.00 | DGPS |
MO-G-211D | 636248.792 | 7641814.661 | 1116.025 | 154.72 | 160.00 | -60.00 | DGPS |
MO-G-212D | 636376.556 | 7641833.317 | 1116.368 | 154.67 | 160.00 | -60.00 | DGPS |
MO-G-213D | 636201.141 | 7641778.007 | 1116.181 | 148.62 | 160.00 | -60.00 | DGPS |
MO-G-214D | 636399.839 | 7641839.880 | 1116.320 | 145.67 | 160.00 | -60.00 | DGPS |
MO-G-215D | 636209.557 | 7641752.926 | 1116.294 | 139.62 | 160.00 | -60.00 | DGPS |
MO-G-216D | 636450.238 | 7641853.195 | 1116.245 | 121.62 | 160.00 | -60.00 | DGPS |
MO-G-217D | 636183.910 | 7641757.264 | 1116.225 | 139.62 | 160.00 | -60.00 | DGPS |
MO-G-218D | 636375.324 | 7641761.724 | 1116.730 | 112.62 | 160.00 | -60.00 | DGPS |
MO-G-219D | 636169.963 | 7641661.099 | 1117.033 | 94.62 | 160.00 | -60.00 | DGPS |
MO-G-220D | 636442.034 | 7641877.946 | 1116.186 | 136.62 | 160.00 | -60.00 | DGPS |
MO-G-221D | 636160.579 | 7641753.997 | 1116.130 | 145.62 | 160.00 | -60.00 | DGPS |
MO-G-222D | 636460.668 | 7641888.892 | 1116.173 | 160.62 | 160.00 | -60.00 | DGPS |
JORC Code, 2012 Edition
Table 1 Reporting Exploration Results from Botswana Copper/Silver 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 chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling. · Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. · Aspects of the determination of mineralisation that are Material to the Public Report. · In cases where 'industry standard' work has been done this would be relatively simple (e.g. 'reverse circulation drilling was used to obtain 1m samples from which 3kg was pulverised to produce a 30g charge for fire assay'). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.
| · Drill core from diamond core holes described in this announcement has been sampled in 1m intervals or as appropriate to align with the geological contacts · All samples are geologically logged by a suitably qualified geologist on site · Samples will be submitted to ALS Laboratories in Johannesburg |
Drilling techniques | · Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.). | · The diamond drilling referred to in this release was either drilled by HQ diameter drill core or NQ diameter drill core
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Drill sample recovery | · Method of recording and assessing core and chip sample recoveries and results assessed. · Measures taken to maximise sample recovery and ensure representative nature of the samples. · Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material. | · Diamond drilling recorded recovery. Core recovery was good
|
Logging | · Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. · Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography. · The total length and percentage of the relevant intersections logged. | · During the core logging geologists follow MOD's standard operating procedure for RC and Diamond logging processes. The metre interval (from and to) is recorded and the data below is described within the drill logs: Ø Major rock unit (colour, grain size, texture) Ø Weathering Ø Alteration (style and intensity) Ø Mineralisation (type of mineralisation, origin of mineralisation, estimation of % sulphides/oxides) Ø Veining (type, style, origin, intensity) · Data is originally recorded on paper (hard copies) and then transferred to Excel logging sheets · Logging is semi quantitative based on visual estimation · For diamond drilling the geological logging process documents lithological and structural information as well as geotechnical data such as RQD, recovery and specific gravity measurements
|
Sub-sampling techniques and sample preparation | · If core, whether cut or sawn and whether quarter, half or all core taken. · If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry. · For all sample types, the nature, quality and appropriateness of the sample preparation technique. · Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples. · Measures taken to ensure that the sampling is representative of the in-situ material collected, including for instance results for field duplicate/second-half sampling. · Whether sample sizes are appropriate to the grain size of the material being sampled. | · All NQ diameter core samples for the drill hole intersections are taken as half core samples. HQ diameter drill core samples are taken as quarter core samples · MOD takes photos of all core samples on site · MOD has implemented an industry-standard QA/QC program. Drill core is logged, split by sawing and sampled at site. Samples are prepped at the ALS sample-prep lab onsite, bagged, labelled, sealed and shipped to ALS laboratories in Johannesburg, SA. · At the onsite prep-lab the split for analysis is milled to achieve a fineness of 90% less than 106 µm (or a fineness of 80 % passing 75 µm). Prep QC: At least one out of every 10 samples of every batch is screened at 75µm or 106µm, whichever is applicable, to check that 80% of the material passes. The % loss for samples screened should be · Field duplicates, blanks and standards are inserted at a ratio of 1:10. ALS also has its own internal QA/QC control to ensure assay quality
|
Quality of assay data and laboratory tests | · The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total. · For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc. · Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.
| · Field duplicates, blanks and standards are inserted at a ratio of 1:10 on site · Analysis for Cu and Ag by HF-HNO3-HClO4 acid digestion, HCl leach and ICP-AES. ME-ICP61 as well as Nonsulfide Cu by sulfuric acid leach and AAS: Cu-AA05 is standard. · Results are reported as down hole widths
|
Verification of sampling and assaying | · The verification of significant intersections by either independent or alternative company personnel. · The use of twinned holes. · Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic protocols). · Discuss any adjustment to assay data. | · 15-20% QA/QC checks are inserted in the sample stream, as lab standards, blanks and duplicates |
Location of data points | · Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. · Specification of the grid system used. · Quality and adequacy of topographic control. | · The collar coordinates of the drill hole were taken by handheld GPS and is reflected in Table 2 · Periodically, collar locations are surveyed by Afrogeodata Surveys Pty Ltd - a commercial contract land surveyor using Leica VIVA GNSS GPS System instrumentation, which provides sub decimetre accuracy · Down hole surveying is completed on all diamond drill holes via north-seeking gyroscopic survey |
Data spacing and distribution | · Data spacing for reporting of Exploration Results. · Whether the data spacing, and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. · Whether sample compositing has been applied. | · Samples of drill core for assaying are taken throughout at a maximum of 1m intervals or as appropriate to align with the geological contacts |
Orientation of data in relation to geological structure | · Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. · If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material. | · Drilling planned at right angles to known strike and at best practical angle to intersect the target mineralisation at approximately right angles |
Sample security | · The measures taken to ensure sample security. | · Pulps are tagged, logged and transported to ALS laboratory in Johannesburg. |
Audits or reviews | · The results of any audits or reviews of sampling techniques and data. | · MOD's sampling procedure is done according to standard industry practice
|
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 land tenure status | · Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. · The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area. | · PL190/2008 is a granted Prospecting Licence held by 100% by MOD Resources Ltd. · It has recently been extended by the Minister of Mineral, Water and Energy until 30 September 2020. |
Exploration done by other parties | · Acknowledgment and appraisal of exploration by other parties. | · Previous exploration in the T3 Dome area by other parties was confined to airborne magnetics and widely spaced soil sampling (Discovery Metals) |
Geology | · Deposit type, geological setting and style of mineralisation.
| · The visible copper mineralisation intersected in drill holes is interpreted to be a Proterozoic or early Palaeozoic age vein related sediment-hosted occurrence similar to other known deposits and mines in the central Kalahari Copper Belt |
Drill hole Information | · A summary of all information material to the understanding of 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. | · Information relating to the diamond drill holes described in this announcement are listed in Appendix 1 - Table 2 of the release · All diamond drill holes are surveyed · There is no material change to this drill hole information |
Data aggregation methods | · In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high-grades) and cut-off grades are usually Material and should be stated. · Where aggregate intercepts incorporate short lengths of high-grade results and longer lengths of low-grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. · The assumptions used for any reporting of metal equivalent values should be clearly stated. | · Significant copper and silver intersections are compiled and reported by MOD when assay results are received from the laboratory |
Relationship between mineralisation widths and intercept lengths | · These relationships are particularly important in the reporting of Exploration Results. · 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').
| · True widths are estimated and are subject to confirmation by further drilling · Down hole widths are used throughout
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Diagrams | · Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views. | · Figure 1: Plan View of T3 Infill Drilling Program within the First Stages of the T3 Open Pit
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Balanced reporting | · Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high-grades and/or widths should be practiced to avoid misleading reporting of Exploration Results. | · The accompanying document is considered to be a balanced report with a suitable cautionary note
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Other substantive exploration data | · Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples - size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. | · All substantive data is reported
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Further work | · The nature and scale of planned further work (tests for lateral, depth extensions or large-scale step-out drilling). · Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive. | · Any further work will be dependent on results from the remaining open pit infill drilling program and the planned T3 Underground drilling program. |