Argent commences deep
Diamond drilling at Kempfield
22 OCTOBER 2015
ARGENT COMMENCES DEEP Diamond DRILLING AT KEMPFIELD
Highlights:
-
Extended reach deep Diamond drilling program commenced at Kempfield
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7 holes for 3,200 metres to test the significant identified potential for high grade base and precious metals featuring zinc, lead, silver and gold
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Drilling program to test beneath known deposit defined by shallow historical drilling to only 120 metres, which left the majority of the deposit open at depth
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Program also to test for potential extensions to mineralisation along strike, and new mineralisation lenses
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Accelerated start to program - first two holes to be drilled concurrently
Argent at a glance
ASX-listed mineral resource company focused on the expansion, development, extraction and marketing of its existing base and precious metals discoveries in NSW.
Facts
Directors and Officers
Stephen Gemell
Non-Executive Chairman
David Busch
Managing Director
Peter Nightingale
Non-Executive Director
Peter Michael
Non-Executive Director
Sarah Shipway
Company Secretary
Contact details
PRINCIPAL OFFICE
Suite 6, Level 6, 50 Clarence Street
Sydney NSW 2000
T: +61 2 9262 2211
F: +61 2 9475 5346
REGISTERED OFFICE
Level 1, 115 Cambridge Street West Leederville WA 6007
T: +61 8 9322 6600
F: +61 2 9322 6610
E: [email protected]
Argent Minerals Limited (ASX: ARD, Argent, Argent Minerals or the Company) is pleased to advise that it has commenced the extended reach deep Diamond drilling program at the Company's Kempfield Polymetallic Project in New South Wales.
The first of two Diamond drilling rigs arrived at site on Wednesday 21 October 2015, to commence drilling the first hole of the planned seven hole 3,200 metre program.
An additional drill rig will mobilise to Kempfield within the next few days to commence drilling the second hole in parallel with the first hole for an accelerated start to the program.
The deep Diamond drilling program will test the high grade base and precious metals potential identified by Argent at Kempfield featuring zinc, lead, silver and potentially, gold, with the first two holes testing for extensions to known mineralisation at depth, and obtaining important stratigraphic information.
The program will test beneath the relatively shallow region of historical drilling, which left the majority of the deposit open below 120 metres depth.
Argent Minerals Limited ABN 89 124 780 276
Phone +61 2 9262 2211 Facsimile +61 2 9475 5346 www.argentminerals.com.au
Following a series of methodical investigations that uncovered a range of scientific evidence, including high grade lead and zinc intersections of up to 5 metres @17.9% Pb/Zn from 88 metres, and 5 metres @ 4 g/t of gold, both immediately to the west of the known deposit, the Company has developed a genesis model for the deposit with potentially significant implications for the Kempfield Polymetallic Project.
The model implies that the historical drilling, which resulted in a JORC 2012 Mineral Resource estimate of 21.8Mt containing 52 million ounces of silver equivalent in contained silver, gold as well as lead and zinc, may have only identified the upper 120 metres of a series of parallel mineralisation lenses that could extend to substantial depths.
The model also predicts the potential extension to existing lenses along strike, as well as the possibility of new lenses, both of which are also consistent with the characteristics of this type of deposit - Volcanic-Hosted Massive Sulphides (VHMS).
Most significantly, the model and other analysis performed by the Company, both imply the potential for the discovery of high grade lead/zinc lenses at Kempfield associated with higher temperature deposition processes.
This deep Diamond drilling program will test the deposit model within the immediate vicinity of the existing deposit, as the Company also begins preliminary field reconnaissance work to investigate the potential for repetition of mineralisation along a strike length of up to 4 kilometres.
About the deep Diamond drilling program
Figure 1 illustrates the Kempfield deposit genesis model and the significant potential at depth to be tested by the drilling program.
Figure 1 - Kempfield deposit genesis model showing the significant potential at depth to be tested by the drilling program.
Original volcanogenic massive sulphide (VMS) mound formation
'Black smoker' sulphide vent on ocean floor1
Basin
margin
Ordovician basement
volcanoclastics
1
2
3
4
VMS
feeder
zone
sediments
rhyolite
Subsequent
tilting
Hydrothermal fluid convection
VMS DEPOSIT ZONATION
Silver/barite
Increasing lead/zinc grades High grade lead/zinc
+/- copper/gold
Deposition Temperature
'SIZE OF THE PRIZE' EXPLORATION POTENTIAL
including high grade lead/zinc +/- copper/gold
Increasing lead/zinc grades 21
KNOWN KEMPFIELD MINERALISATION
-
Mt JORC 2012 Resource - 52 Moz AgEq @ 75 g/t Ag Eq2
120
4 3 metres
SHALLOW DRILLING HISTORY
1 Silver/barite
-
Current day VMS analogue. Photo reproduced with permission from Science Photo Library Ltd. London, UK
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See Mineral Resources and Ore Reserves Statement in 30 June 2015
Ordovician basement
Significant lens extension potential
2 3 Increasing lead/zinc grades
Annual Report
WEST EAST
Tilted and overturned structure
Figure 2 illustrates the targeted lead/zinc grades in the context of the known deposit and example high grade intersections.
Figure 2 - High grade lead/zinc target zonation to be tested by the drilling program.
AKDD178
5 m @ 4 g/t Au from 353 m
AKDD159
18 m @ 9.8% Pb/Zn, 113 g/t Ag & 0.26 g/t Au from 85 m including:
5 m @ 17.9% Pb/Zn, 259 g/t Ag & 0.34 g/t Au from 88 m
Known deposit
B A
West East
Lens 3
Lens 2
Lens 1
X High grade Pb/Zn target zone X
Au +/- Cu Pb/Zn/AgAg/Ba
VMS proof of concept drill target zone
Increasing deposition temperatures
About the first two holes
Figure 3 provides a plan view of the first two holes in the context of the 7 hole 3,200 metre program.
Hole AKDD181, referred to as 'Hole #3' in previous announcements, has been designed to test to target depth extensions of Lens 2 and Lens 1, and will provide important stratigraphic information at depth.
The rhyolite porphyry body to the north, intersected by AKDD177, has an intimate association with the distribution of lenses. AKDD181 will test the southern extent of the rhyolite porphyry, and the relative position of lenses. The stratigraphic information obtained will be employed to vary the design of remaining holes in the program.
Hole AKDD180, referred to as 'Hole #4' in previous announcements, will test for depth extensions to Lens 3, Lens 2, and potentially, Lens 1.
It should be noted that for all holes shown in Figure 3, the positioning, design, actual hole length, and drilling order are all subject to ongoing variations as the drilling program progresses.
The Kempfield deep Diamond drilling program is being conducted under the direct supervision of Argent Exploration Manager, Mr. Todd McGilvray, who joined Argent in September 2015.
Originally trained at CODES and graduating with an honours degree in economic geology, Mr. McGilvray's credentials include the leadership of the exploration effort that resulted in the discovery of new VHMS mineralisation lenses for an additional 22 million tonnes of high grade base and precious metals at MMG Limited's Rosebery deposit in Tasmania, extending the mine life to 88 years.
707,000 mE
N
707,500 mE 708,000 mE
708,500 mE 709,000 mE
LEGEND
MMC conductive
QUARRIES ZONE
1 zones & follow up
priorities
6,259,000 mN
AKDD178
5 m @ 4 g/t Au from 353 m
5
4
3
MMC Response (pT/A)
50
6,259,000 mN
20
10
0
-10
-20
-50
Interpreted lenses
6,258,500 mN
1
Hole 5 - 450 m
Hole 4 - 400 m
6,258,000 mN
* AKDD180 - 600 m
Hole 3 - 400 m
* AKDD181 - 550 m
2
Hole 7 - 400 m
A
ARGENT MINERALS LIMITED
6,258,500 mN
Ordovician & Silurian granite basement rock
Colossal Reef copper mine
Fault structures
ARGENT MINERALS LIMITED
Plan view - planned holes & interpreted lenses overlaid on Magnetometric Conductivity (MMC) Map
metres
0 100 200 300 400
RGENT MINERALS LIMITED
6,258,000 mN
Mineral Resource lenses - contained Pb/Zn grades (%)
Kempfield etometric conductivity
(MMC) map
0.0 to 0.1
-
NSW Government funding (Top 5 State project)
AKDD159
18 m @ 9.8% Pb/Zn, 113 g/t Ag & 0.26 g/t Au from 85 m
Including:
5 m @ 17.9% Pb/Zn, 259 g/t Ag &
0.34 g/t Au from 88 m
Hole 6 - 400 m
Plan view
10/10/2014
Date: 22/10/15
Author: Vladimir
Office:
1:5000
Drawing: Scale: NTS
Magn
Figure 3 - extended Diamond drilling program & interpreted lenses overlaid on magnetometric conductivity (MMC) map
Projection: MGA Zone 55 (GDA 94)
50 100 200
metres
metres
0.1 to 0.2
0.2 to 0.5
0.5 to 2.0
2.0 to 5.0 5.0 to 10.0
707,000 mE
707,500 mE 708,000 mE
0
0
708,500 mE 709,000 mE
100
200
300 400
≥ 10.0
Argent Minerals Limited ABN 89 124 780 276
Phone +61 2 9262 2211 Facsimile +61 2 9475 5346 www.argentminerals.com.au 4
Figure 4 - Photo of drill rig in place for drilling Hole AKDD181.
For further information please contact:
David Busch Managing Director
Argent Minerals Limited
M: 0415 613 800
E: [email protected]
COMPETENT PERSON STATEMENTS
Previously Released Information
This ASX announcement contains information extracted from the following reports which are available for viewing on the Company's website http://www.argentminerals.com.au :
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10 March 2014 Assays Confirm Third VMS Lens Group at Kempfield - Revised;
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25 February 2015 Hole 1 intersects significant gold grades at Kempfield;
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21 April 2015 Hole 2 increases potential size of the prize at Kempfield;
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29 April 2015 Extended reach for Kempfield deep Diamond drilling program; and
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4 September 2015 Annual report to shareholders.
The Company confirms it is not aware of any new information or data that materially affects the information included in the original market announcements, and, in the case of estimates of Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcement.
DISCLAIMER
This ASX announcement (Announcement) has been prepared by Argent Minerals Limited (ABN: 89 124 780 276) (Argent Minerals, Argent or the Company). It should not be considered as an offer or invitation to subscribe for or purchase any securities in the Company or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in the Company will be entered into on the basis of this Announcement.
This Announcement contains summary information about Argent Minerals, its subsidiaries and their activities which is current as at the date of this Announcement. The information in this Announcement is of a general nature and does not purport to be complete nor does it contain all the information which a prospective investor may require in evaluating a possible investment in Argent Minerals.
By its very nature exploration for minerals is a high risk business and is not suitable for certain investors. Argent Minerals securities are speculative. Potential investors should consult their stockbroker or financial advisor. There are a number of risks, both specific to Argent Minerals and of a general nature which may affect the future operating and financial performance of Argent Minerals and the value of an investment in Argent Minerals including but not limited to economic conditions, stock market fluctuations, silver, lead, zinc, copper and gold price movements, regional infrastructure constrains, securing drilling rigs, timing of approvals from relevant authorities, regulatory risks, operational risks and reliance on key personnel and foreign currency fluctuations.
Certain statements contained in this Announcement, including information as to the future financial or operating performance of Argent Minerals and its projects, are forward-looking statements that:
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may include, among other things, statements regarding targets, estimates and assumptions in respect of mineral resources and mineral reserves and anticipated grades and recovery rates, production and prices, recovery costs and results, capital expenditures, and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions;
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are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Argent Minerals, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies; and,
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involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward-looking statements.
Argent Minerals disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise. The words 'believe', 'expect', 'anticipate', 'indicate', 'contemplate', 'target', 'plan', 'intends', 'continue', 'budget', 'estimate', 'may', 'will', 'schedule' and similar expressions identify forward-looking statements.
All forward-looking statements made in this announcement are qualified by the foregoing cautionary statements. In particular, the corporate mission and strategy of the Company set forth in this Announcement represents aspirational long-term goals based on current expectations. Investors are cautioned that forward-looking statements are not guarantees of future performance and accordingly investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein.
No verification: Although all reasonable care has been undertaken to ensure that the facts and opinions given in this Announcement are accurate, the information provided in this Announcement has not been independently verified.