Matsa Resources Limited
LIMITED
ABN 48 106 732 487
ASX Announcement 13th April 2015
Significant New Conductor at Symons Hill, Fraser Range
Highlights
High power EM surveys have made good progress with a total of 4 new conductive targets discovered to date with 40% of the survey completed.
Two of the conductive targets are now confirmed bedrock conductors possibly representing Nova-Bollinger style Ni-Cu mineralisation. The other two targets require further surveying prior to classification.
Newly discovered conductor C56 is interpreted to be a 300m long bedrock conductor, the top of which is at a depth of 150m. Significantly, this conductor coincides with the previously defined high priority nickel and copper soil anomaly SHG01.
Further work on previously announced conductor C42 has confirmed the interpretation that this target is a 500m long bedrock conductor at a depth of 250m, situated in close proximity to soil copper geochemical anomaly SHG09.
Two additional newly discovered conductive targets CT47 and CT54 are both interpreted as possible bedrock conductors. Additional surveys are planned over each of these targets to confirm the interpretation and provide detail for modelling.
Matsa now has a total of 6 conductive targets at Symons Hill, including previously discovered conductors VA11 and VA15.
Diamond drilling is expected to commence as soon as possible when
POW's have been approved.
CORPORATE SUMMARY
Executive Chairman
Paul Poli Director Frank Sibbel
Director & Company Secretary
Andrew Chapman
Shares on Issue
144.15 million
Unlisted Options
14.85 million @ $0.25 - $0.43
Top 20 shareholders
Hold 51.12%
Share Price on 13 April 2015
18.5 cents
Market Capitalisation
$26.67 million
|
Head Office:
|
Suite 11, 139 Newcastle Street, Perth Western Australia 6000
|
Tel: +61 8 9230 3555 Fax: +61 8 9227 0370
|
|
Bangkok Office:
|
Unit 1808, Pacific Place 2, 142 Sukhumvit Road, Klongtoey, Bangkok 10110
|
Tel: +66 0 2653 0258 Fax: +66 0 2653 0258
|
[email protected]www.matsa.com.au
Matsa Resources Limited
Matsa Resources is pleased to announce further highly encouraging results from its ongoing high power fixed loop EM (HPFLEM) survey at Symons Hill situated 6km south of the Nova nickel mine. Survey design (Appendix 1), commencement and progress have been included in previous announcements to the ASX. (MAT reports submitted to the ASX on 7th October 2014,
22nd December 2014 and 30th January 2015. Initial results were announced in a recent announcement to the ASX on 3rd March 2015 with a subsequent update on 13th March 2015)
Four new conductive targets have been discovered since commencement of the high power EM survey at Symons Hill. This is in addition to two previously discovered conductors VA11 and VA15 (Figure 1).
Figure 1: Location of HPFLEM completed to date, high priority conductive targets and geochemical summary on aeromagnetic image.
Executive Chairman Mr Paul Poli stated "the discovery of conductors C42 and C56 and possible conductors CT47 and CT54 provides Matsa with a lot of confidence that we are homing in on Nickel/Copper sulphides, which may be the source of the soil geochemical anomalies, particularly at SHG01. It's exciting and has reinvigorated the entire team.
Page 2
Matsa Resources Limited
We plan to drill these targets with deep diamond drilling, as soon as possible. Not surprisingly, Symons Hill continues to generate a lot of interest in Matsa."
Mr Poli added, "A common question asked of me lately, 'has the recent successful granting of the copper licences in Thailand pushed Symons Hill at Fraser Range down the ladder?' My answer is simple, ABSOLUTELY NOT, DEFINITIVELY! We have the financial resources, the acumen and the energy to handle several high priority projects simultaneously. How fortunate are we to have so much depth to our company! We are working hard and loving it."
The key EM conductive targets at Symons Hill include the following:
Conductor 42 (C42)
Additional modeling since the discovery of this target was announced, has confirmed C42 to be a bedrock conductor, which possibly reflects Nova-Bollinger style Ni-Cu mineralisation (MAT report to ASX 13th March 2015). The additional modeling and interpretation was based on combined EM data from adjacent loops which has confirmed the earlier interpretation as a bedrock conductor at a depth of approximately 250m below surface with conductance levels in the range 1500-2000 Siemens. The interpretation shows the conductor to be oriented in a NE-SW direction over a distance of ~500m closely following local aeromagnetic trends and with a steep dip towards the NW.
Conductor 56 (C56)
The newly discovered C56 is interpreted to be a bedrock conductor, which was accurately modeled because of its favourable location close to the centre of the EM survey loop.
Matsa's consultant geophysicist described C56 as "a solid/robust response" which is localised on two lines and is indicative of a bedrock conductor at a depth of ~150m oriented in a NE direction over a distance of ~300m and dipping
55-65 degrees towards the NW. The target is interpreted to be a moderate conductor with conductance levels in the range 1000 -1500 Siemens.
Of particular interest is the location of this target within high priority geochemical target SHG01 and adjacent to strongly enriched nickel and copper values in weathered basement rocks.
Figure 2: Summary Plan and section of newly discovered C56 conductive target C56
Page 3
Matsa Resources Limited
Conductive Target CT47
Newly discovered conductive target CT47 is currently interpreted to be a possible bedrock conductor. Results to date are inconclusive because the target is located close to a loop edge. Modeling using combined data from adjacent loops did not fully resolve the nature of the target. A line of HP MLTEM will be completed over the central anomalism to confirm whether the target represents a bedrock conductor.
Conductive Target CT54
Newly discovered conductive target CT54 is also interpreted to be a possible bedrock conductor. Results to date have been inconclusive because it is also located close to a loop edge. As with CT47, joint modelling of adjacent loops was inconclusive. A line of HP MLTEM will be completed over the central anomalism to confirm whether the target represents a bedrock conductor.
Notes on previously announced conductors VA11 and VA15
Both these conductors were initially discovered by Matsa's helicopter borne VTEM survey completed in December
2012 (MAT Announcement to the ASX 18th December 2012).
VA15: Subsequent modelling based on further ground EM surveys carried out in 2014 defined two complex conductor plates at a depth of around 300m below surface. (MAT announcement to ASX 30th April 2014) The VA15 conductors are located adjacent to strong Ni enrichment up to 1.1% Ni in weathered olivine metagabbros at SHG02 (Figure 1). This conductor was resurveyed by the current high powered EM survey in order to resolve complications in the interpretation caused by the presence of highly conductive and chargeable responses at shallow depth. Results have confirmed the presence of steeply dipping conductors at depth with moderate conductivity in the range 250 to 500
Siemens. (MAT announcement to ASX 30th January 2015) A diamond drillhole has been proposed to test this anomaly.
VA11: Subsequent modeling based on ground EM surveys carried out in 2013 and 2014 defined two steeply dipping conductor plates extending from 125m to approximately 800m below surface. (MAT announcement to the ASX 20th May
2014) Diamond drill hole SHDD06 which tested this NNW trending conductor intersected a 3.8m (downhole) intercept
of disseminated pyrite and chalcopyrite in felsic gneisses south of bedrock nickel target SHG11. (MAT Announcement to ASX 29th July 2014) Significantly, this intercept between 454.4m and 458.2m coincides with the modeled depth of one of the two modeled conductor plates in Conductor VA11. Downhole EM will be undertaken once the current HPFLTEM survey has been completed to map any off-hole conductors.
Matsa is very encouraged by the discovery of the C42 and C56 bedrock conductors, and a further two which may be upgraded by additional MLTEM survey as potential Nova-Bollinger style Ni-Cu mineralisation.
This now means that Matsa has a total of 6 conductive targets at Symons Hill, including the two previously discovered conductors VA11 and VA15.
High Powered Fixed Loop EM (HPFLEM) Survey
Matsa commenced a regional, high powered (150-200A) EM survey in December 2014 which has been designed to cover the majority of the Symons Hill Project area. The survey is being carried out as part of a research and development project which is designed to develop and improve state of the art EM equipment to explore for massive sulphide deposits of Nova-Bollinger type, to a depth of >700m below surface.
The survey has been designed to test three successive, prioritised areas with the highest priority assigned to favourable structural/stratigraphic locations based on interpretation of gravity, aeromagnetic, geochemical and drilling data. Results have been received for 39 out of 97 planned survey loops (Figure 1).
Page 4
Matsa Resources Limited
Symons Hill Project Background
The Symons Hill Project is located within Matsa's 100% owned E69/3070 with an area of 96km2. The project is located within the Fraser Range Tectonic zone, 6kms SSW of Sirius Resources Ltd's (ASX: SIR) Nova nickel mine. Matsa has been actively exploring the project since 2012 with aircore, RC and diamond drilling confirming the presence of nickel anomalous (0.2 - 0.3% Ni) olivine bearing gabbro at targets SHG02, SHG03 and SHG11, which exhibit near surface enrichment in the weathered profile of up to 1.3% Ni.
For further Information please contact:
Paul Poli
Executive Chairman
Phone +61 8 9230 3555
Fax +61 8 9227 0370
Email [email protected]
Web www.matsa.com.au
Exploration results
The information in this report that relates to Exploration results, is based on information compiled by David Fielding, who is a Member of the Australasian Institute of Mining and Metallurgy. David Fielding is a full time employee of Matsa Resources Limited. David Fielding has sufficient experience which is relevant to the style of mineralisation and the type of ore deposit under consideration an d the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'A ustralasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. David Fielding consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Page 5
Matsa Resources Limited
Appendix 1: Matsa Resources Limited Symons Hill Project JORC 2012 Table 1
Section 1: Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections).
|
Criteria
|
JORC Code explanation
|
Commentary
|
|
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.
|
EM survey loops and receiver data points are laid out using handheld GPS units to an accuracy of 3-5m
Topographic control 2-5m accuracy using published maps or
Shuttle Radar data is considered to be sufficient for modelling
of EM survey results.
|
|
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.
|
Loops are laid out as rectangles measuring approximately
1200x800m in a NS and EW direction.
Receiver data is acquired at 50m intervals along lines spaced at 150m
Survey lines are typically run parallel to the short electrode direction
|
|
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.
|
The Transmitter loops and survey lines are carried out NS and
EW.
Geological strike is highly variable but dominated by a NNE "grain" which means that in most cases EM data is acquired at a high angle to geological strike.
|
Page 6
Matsa Resources Limited
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.
|
EL69/3070 which is owned 100% by Matsa Resources Ltd.
Located on Vacant Crown Land
The License intersects the buffer zones of the Fraser Range
and Southern Hills PEC's Exploration to be managed in
accordance with a Conservation Management Plan.
The project is located within Native Title Claim by the Ngadju people.
A heritage agreement has been signed and exploration is carried out within the terms of that agreement.
At the time of writing the licence is granted for a 5 year period expiring on 6th March 2018
|
|
Exploration
done by other parties
|
Acknowledgment and appraisal of exploration by other parties.
|
Prior work carried out by GSWA in the form of wide spaced helicopter based soil sampling and acquisition of 400m line
spacing magnetic and radiometric data.
In the late 90s, Gold Partners NL has carried out few wide- spaced aircore drilling on one line along the southeast portion
of the tenement. No anomalous assay results have been
reported.
|
|
Geology
|
Deposit type, geological setting and style of mineralisation.
|
The target is Nova style Ni Cu mineralization hosted in high grade mafic granulites of the Fraser Complex.
Recent results also support potential for magmatic copper only mineralisation in Felsic granulites
|
|
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.
|
Suitable summary plans have been included in the body of the report.
|
|
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.
|
Not required at this stage
|
Page 7
Matsa Resources Limited
|
Criteria
|
JORC Code explanation
|
Commentary
|
|
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.
|
Airborne VTEM (combined magnetic and electromagnetic) carried out in December 2012 by Geotech Airborne Pty Limited. A total of 6 priority targets and 15 second order targets
identified and reported on by Southern Geoscience Consultants
Ltd. VTEM survey carried out over entire tenement on 200m lines.
Prior to December 2012, Comprehensive geochemical survey carried out by Matsa Resources comprising 614 samples
mostly at 400m centres on a staggered grid identified targets
SH01 to SH05. Infill at 200m x 200m completed over targets
SH01 to SH05 in May 2013 for a total of 638 samples.
Ground EM 2013, (See Location Plan below) carried out by Bushgum Holdings Pty Ltd, under supervision by Newexco consultants, consisting of both moving-loop (MLEM) and fixed- loop (FLEM) surveys. Data acquisition was achieved using a SMARTem24 8-channel geophysical receiver manufactured by ElectroMagnetic Imaging Technology (EMIT), Bartington 3- component magnetic field sensor (up to 1Hz frequency response) and a Zonge ZT-30 Loop Driver transmitter to power the loop with up to 30A. The MLEM and FLEM surveys are
both 400m wide. In the MLEM, the survey lines are spaced
400m apart with receiving stations every 100m inside the loop along an E-W direction. In the FLEM, the receiving stations are
50m apart across 1 km traverse in an E-W direction.
Fixed Loop TEM Surveys carried out in February March 2014 by Outer Rim, (See Location Plan below) SURVEY
PARAMETERS Configuration : Fixed Loop, Station Spacing :
50 m; Receiver : SMARTem24, Frequency : 2.0833, Component Z,X,Y, Rx Coil : Fluxgate, Rx Area : 10000m2
turn-m; Transmitter : Crone-Ext, Tx Moment : Unknown turn-m,
Tx Current : 20 A Turn Off : 0.5 ms
Survey Location Plan Attached
FLTEM loop sizes ranged from 300x500m to 400x600m, single
loop turn. Multiple E-W survey lines were utilised (3) per line at
150m line spacing in order to adequately resolve potential bedrock conductors. All FLTEM surveying was completed with
|
Page 8
Matsa Resources Limited
|
Criteria
|
JORC Code explanation
|
Commentary
|
|
50m station spacing.
Induced polarization (IP) geophysical surveys over
geochemical targets SHG01, SHG02 and SHG03. Survey type: Pole/Dipole-dipole (2D) at 100-200m spacing; Receiver: GDD GRX-32 IP receiver; Transmitter: zonge GGT-30; Frequency
0.125 Hz; Data coverage: N=12-16 ~300 to 500m depth of investigation.
Current HPFLEM See location plan for current progress. - high powered fixed loop TEM 800x1200m loops, 100m stations,
150m line spacing, ORE HP transmitter producing ~120-150A, Base Frequency for initial surveys (will change) - 0.5Hz, ZXY components (Z+Up, X+East, Y+North), EMIT SMARTfluxgate
B-field sensor Each loop currently consists of 12 survey lines,
192stns and 18.0kms coverage.
|
Page 9
Matsa Resources Limited
Page 10