Suplejack Option Provides Additional High-Grade Gold Targets
Perth, Oct 21, 2014 AEST (ABN Newswire) - ABM Resources NL (
ASX:ABU) ("ABM" or "the Company") is pleased to announce that it has signed an agreement with Ord River Resources Limited ("ORD") to option the Suplejack Project in the Northern Tanami district of the Northern Territory. ABM has completed its initial review of previous work and sees considerable potential for high-grade gold targets.
The Suplejack Project includes:
10 kilometre long zone of anomalous gold in soils and drilling associated with the Suplejack shear-zone.
Tregony Prospect with:
- 3 kilometre by 300 metre zone of low-grade and high grade gold intercepts in drilling.
- JORC 2004 compliant Inferred Resource estimation presented by ORD of:
* 646,000 tonnes averaging 3.04g/t gold for 62,700 ounces(Note).
- High-grade gold potential including previous drill results of:
* 3 metres averaging 106.3g/t gold from 109 metres down-hole.
* 5 metres averaging 34.4g/t gold from 60 metres down-hole.
* 2 metres averaging 67.3g/t gold from 102 metres down-hole.
* 3 metre averaging 44.6g/t gold from 67 metres down-hole.
* 4 metre averaging 18.47g/t gold from 115 metres down-hole.
* 10 metres averaging 5.57g/t gold from 59 metres down-hole.
Located only 25 kilometres north of ABM's 100% owned Hyperion Gold Project with Inferred Resource Estimation of:
- 3Mt averaging 2.11g/t gold for 202,200 ounces**.
(Note) Announced by ORD on 26/11/2012 and compliant with JORC 2004. Inferred Resource has not been verified by ABM.
** Refer ABM's 2013/14 annual report released on 19/08/2014.
Rationale and Option Structure
The optioning of the Suplejack project fits well with ABM's Hyperion Gold Project and the wider Northern Tanami Project:
- Secures access to 60 kilometres of strike length of the highly prospective Suplejack Trend - the same geological corridor that also hosts the multi-million ounce Groundrush Gold Deposit to the south of Hyperion.
- Provides additional high-grade gold targets in this district.
ABM to pay a $100,000 option fee to ORD and undertake $200,000 exploration expenditure on the project over 18 months to assess the option to enter into a farm-in and joint venture arrangement with ORD.
Should the Company elect to exercise its option, ABM to spend a further $300,000 on exploration over the subsequent 2 years to earn a 70% interest.
Upon earning a 70% interest, a Joint Venture between ABM and ORD is formed whereby both parties contribute to exploration or dilute their position.
Access to established exploration camp as a Northern Tanami exploration base.
Darren Holden, Managing Director of ABM Resources said, "ABM's short-term priority is to develop the high-grade Old Pirate gold project at Twin Bonanza. However, our medium term to long term strategy remains to unlock the potential of new and existing gold discoveries throughout the whole region.
The Suplejack project has a large area of gold anomalism, some good historic drill results and excellent potential. The proximity to ABM's Hyperion project makes Suplejack a strategic acquisition for us. ABM's land position in this area now includes more than 60 kilometres of the highly prospective Suplejack shear zone - the same regional structure which also hosts the million-ounce Groundrush deposit. ABM looks forward to developing and testing additional targets in this area."
Exploration History and Future Program
Gold mineralisation was first identified in the Suplejack area by Acacia Resources in the 1990s. Previous explorers have focused on the Tregony project which has yielded wide intercepts of low-grade mineralisation and occasional higher grade intercepts. The structural control (quartz veins, shear zones and faults) on mineralisation and distribution of the high-grade zones is generally poorly understood.
ABM's approach on this project will not only review the Tregony prospect but look at the district as a whole and will include:
1. Analysis of previous results and modelling the distribution of high grade gold at Tregony.
2. Integration of regional geochemistry and geophysical data to assess potential focuses of mineralisation along the Suplejack shear-zone.
3. On-ground geochemistry and drilling on selected targets.
To view figures, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ABU-695673.pdf
About ABM Resources NL
ABM Resources (ASX:ABU) is developing several gold discoveries in the Central Desert region of the Northern Territory of Australia. The Company has a multi-tiered approach to exploration and development with a combination of high-grade production scenarios such as the Old Pirate High-Grade Gold Project, large scale discoveries such as Buccaneer, and regional exploration discoveries such as the Hyperion Gold Project. In addition, ABM is committed to regional exploration programs throughout its extensive holdings including the alliance with Independence Group NL at the regional Lake Mackay Project.
| ||
|
