Osino Resources Corp. (
TSXV:OSI)
(
NSX:OSN) (
FSE:RSR1)
(
OTCQX:OSIIF) ("
Osino” or
“
the Company”) is pleased to provide an update on
the recently completed infill drill program at the Twin Hills Gold
Project (“
Twin Hills” or “
the
Project”) including the best hole drilled at the Project
to date with an intercept of 61m at 3.21g/t. Osino remains focused
on the financing and pre-construction activities at Twin Hills, as
well as closely spaced infill drilling of the initial starter pits
to validate modelling and de-risk initial production.
Dave Underwood, Osino’s VP Exploration
commented: “The systematic, tightly spaced infill drilling
at Bulge is producing some very positive results with a best so far
of 61m @ 3.21g/t, including 1m @ 106g/t. This result indicates that
there are some small but very high-grade shoots within the Twin
Hills deposit, that could enhance the resource numbers and
production gold grade down the line. The drill program is being
carried out at grade control spacing thus significantly de-risking
the early production at the Bulge pit and further validates the
modelling methodology used to derive the Twin Hills mineral
resource numbers.
A similar exercise at the Twin Hills Central
(THC) portion of the pit was successfully completed in 2022 which
validated the wider spaced modelling and resulted in a significant
increase in grade over that mineral resource block without a loss
in contained metal. We are very pleased to see that this effect
seems to be playing out at the Bulge portion of the Twin Hills
deposit as well. Once we have received all the outstanding results,
we will quantify this data and incorporate it into an updated Twin
Hills mine plan.”
Twin Hills Infill Drill
Program
A total of 11,427m from 110 reverse circulation
(“RC”) holes were completed within a block of 160m
x 110m (Figure 1). These holes were drilled on a 12.5m x 12.5m grid
spacing and ranged in depth from 60m to 120m. Drilling to a datum,
the program conforms to the existing inclined drill pattern with
holes drilled at minus 60° dip towards the south-southeast. The
drill program covers the Bulge year one starter pit hosting
sub-cropping mineralisation, which plunges north-northeast to form
the main ore shoot.
The infill program results will drive an
internal review of geological and resource modelling techniques and
parameters utilised in the generation of the latest MRE comprising
2.94moz at 1.08 g/t (Indicated & Measured) and 0.25moz at
1.10g/t (Inferred) (as per Osino’s geological technical report
entitled, “Definitive Feasibility Study of the Twin Hills Gold
Project, Namibia, National Instrument 43-101 Technical Report”
dated effective June 12, 2023 which is available under Osino’s
profile on SEDAR+ at www.sedarplus.ca; see also press release dated
June 12, 2023).
Pending the remaining assay results, the program
is on track to achieve its ultimate objective of confirming and
upgrading the next MRE iteration.
An additional infill drill program has commenced
at the Clouds and Twin Hills Central (“THC”) pits
(as indicated in the plan below with blue dots) with the aim of
converting the first 2 years of mining from Indicated to Measured
category, thereby substantially de-risking the first 2 years of ore
mining, which represents the expected finance payback period plus a
healthy margin.
Figure 1: Selected assays from the infill program at
Bulge
This drilling has intentionally been focused on
the respective starter pits in the Bulge, THC, and Clouds areas and
thereby not only significantly reduces the grade risk in the vital
early years of production, but the results received so far
functions as early-stage advanced grade control drilling, providing
vital information on grade consistency to optimise mine scheduling
during the critical ramp-up phase of production and demonstrates
the potential for grade improvements across the deposit.
Once the remaining drill result have been
received (expected before the end of November), Osino will quantify
the effect of this drilling on the mineral resource definition and
grade estimation. It is expected that the increased drill density
will result in a better definition of ore and waste boundaries and
therefore has the potential to exclude areas of internal waste
which could result in an overall grade improvement.
Figure 2: Section across the Infill Drilling Block at
Bulge
All holes drilled so far produced very good
assay results as expected, with very consistent grades across the
Twin Hills gold deposit. (Figure 1 and 2).
Infill Drill Program at Twin Hills
Central
The first tight infill drill program was
completed in early 2022 as an orientation study at the THC portion
of the Twin Hills gold deposit. The program aimed to validate
Osino’s resource estimation techniques and parameters while firming
up on the geological model, ahead of the planned release of the MRE
that would ultimately inform the prefeasibility and definitive
feasibly studies late in 2022 and early in 2023 respectively.
The THC orientation program included 3,667m from
36 reverse circulation holes and covered a smaller surface area as
compared to the Bulge block. The THC block had a surface expression
of 100m x 50m drilled at a similar 12.5m X 12.5m grid spacing, with
hole depths varying between 50m to 150m (Figure ).
Some of the best assays from this block included
68m @ 1.24g/t (19-87m) incl. 31m @ 1.49g/t (OKRG040); 46m @ 1.57g/t
(41-87m) incl. 7m @ 2.59g/t (OKRG047); 53m @ 1.20g/t (18-71m) incl.
28m @ 1.72g/t (OKRG016); 42m @ 1.77g/t (50-92m) OKRG033; 90m @
1.07g/t (39-129m) incl. 9m @ 3.48g/t (OKRG037).
The THC program returned good results as
expected and provided better definition of the ore envelope
boundaries. From a total of 36 grade control holes drilled, results
of 20 holes contained more than 50 gram-meters (metre x g/t Au).
Detailed variability analysis of the block similarly informed on
the grade continuity of the mineralisation and therefore the drill
spacing needed to convert Indicated resources to the Measured
category.
Figure 3: Selected assays from the infill program at
Bulge and THC
The infill block at THC ultimately served to
compare different estimation methods. It was found that estimation
by Ordinary Kriging, as previously used by Osino to determine the
Twin Hills resource, produced smoothed estimates, smearing grades
and diluting mineralisation envelopes.
In comparison, the non-linear estimation method
of Uniform Conditioning (UC) estimates the tonnage and grade of
mineralisation that can be recovered using the Selective Mining
Unit (SMU) at selected cut-off values. The Localised Uniform
Conditioning (LUC) method then further enhances the UC approach by
ranking and arranging the SMUs within larger panels (blocks). LUC
produces results representative of grade and geology, but also in a
more practical format, particularly for use in mine planning.
The net result of the 2022 THC infill drill
program was a 9% improvement in average grade over the drilled
block with no loss in contained metal.
A link to the updated intercept table is
provided here.
Notes on Drill Assay Reporting:
- Total intercepts reported are
unconstrained - all combined intercepts above 0.4g/t reported. GM
values based on unconstrained intercepts. All reported intercepts
are apparent widths rounded to the nearest meter. Included (incl.)
intercepts are constrained at 0.4g/t cut-off, minimum 2m wide and
no more that 2m internal dilution. True widths are unknown at this
stage. Collar positions are in UTM WGS84 surveyed by digital
GPS.
- The GM number indicated by colour
coding in Figure 1 and 2 is a commonly used short-hand method of
representing gold grade (g/t) and unconstrained intercept width (m)
as a single metric by multiplying the average intercept grade with
the intercept width.
Planned Follow-up Work
The technical team is currently implementing the
next phase of the detailed infill program, which consists of:
- Approximately 3,500m for expansion
of the infill grid over THC.
- A further 2,000m to drill out a
representative grid on the higher-grade Clouds orebody. These holes
are shown in blue on Figures 1 and 3.
The infill results will provide detailed data to
confirm and refine modelling and estimation activities, while
unlocking additional value by de-risking the mine plan and
scheduling, particularly during the production ramp up stage.
Qualified Person’s
Statement
David Underwood, BSc. (Hons) is Vice President
Exploration of Osino Resources Corp. and has reviewed and approved
the scientific and technical information in this news release and
is a registered Professional Natural Scientist with the South
African Council for Natural Scientific Professions (Pr. Sci. Nat.
No.400323/11) and a Qualified Person for the purposes of National
Instrument 43-101.
About the Twin Hills Gold
Project
The Twin Hills Gold Project includes 11 of the
Company’s 20 Exclusive Prospecting Licenses (EPL) and comprises an
area of approximately 1,516km2. Exploration and mine development
activities are focused on the Twin Hills deposit and strike
extension targets which together make up the Project. The bulk of
the mineral resource is hosted in the Twin Hills West (“THW”),
Bulge, Twin Hills Central (“THC”) and Clouds orebodies, which are
approximately 6km in combined strike length and remain open
down-plunge.
These deposits lie within a larger zone of
mineralization, which is 11km long and stretches from exploration
targets at Terminal 1 in the west to Twin Hills East. Ground
magnetic and induced polarization (“IP”) geophysical surveys, in
conjunction with exploration drilling and calcrete sampling, have
highlighted several anomalies that are being systematically
followed up as part of the Osino brownfields exploration program.
The Twin Hills cluster of targets form part of the Karibib Gold
Trend, which has been defined over more than 50km in strike
length.
About Osino Resources
Osino is a Canadian gold exploration and
development company focused on the fast-tracked development of our
wholly owned, Twin Hills Gold Project in central Namibia. Since its
grassroots discovery by Osino in August 2019 the Company has
completed more than 225,000m of drilling and has completed a suite
of specialist technical studies culminating in the recently
published Twin Hills Definitive Feasibility Study ("DFS") dated
effective June 12, 2023. The DFS describes a technically simple and
economically robust open-pit gold operation with a 13-year mine
life and average annual gold production of over 169,000oz per
annum.
Osino has a commanding ground position of over
8,000km2 located within Namibia's prospective Damara sedimentary
mineral belt, mostly in proximity to and along strike of the
producing Navachab and Otjikoto Gold Mines. The Company is actively
exploring a range of gold prospects and targets along the belt by
utilizing a portfolio approach geared towards discovery, targeting
gold mineralization that fits the broad orogenic gold model.
Our core projects are favourably located north
and north-west of Namibia's capital city Windhoek. By virtue of
their location, the projects benefit significantly from Namibia's
well-established infrastructure with paved highways, railway, power
and water in close proximity. Namibia is mining-friendly and lauded
as one of the continent's most politically and socially stable
jurisdictions. Osino continues to evaluate new ground with a view
to expanding our Namibian portfolio.
Further details are available on the Company's
website at https://osinoresources.com and under the Company's
profile on SEDAR+ at www.sedarplus.ca.
On Behalf of The Board of DirectorsHeye Daun,
President & CEO
CONTACT INFORMATIONOsino Resources Corp.Yaron
ConfortiCorporate
Development+1-604-687-2038yconforti@osinoresources.com
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this press release.
Cautionary Statement Regarding
Forward-Looking Information
This press release contains "forward-looking
information" within the meaning of applicable Canadian securities
legislation. Forward-looking information includes, without
limitation, statements regarding the use of proceeds from the
Company's future plans or prospects of the Company, including
prospects for economic recoverability of mineral resources.
Generally, forward-looking information can be identified by the use
of forward-looking terminology such as "plans", "expects" or "does
not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would", "might"
or "will be taken", "occur" or "be achieved". Forward-looking
statements are necessarily based upon a number of assumptions that,
while considered reasonable by management, are inherently subject
to business, market and economic risks, uncertainties and
contingencies that may cause actual results, performance or
achievements to be materially different from those expressed or
implied by forward-looking statements. Although the Company has
attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking information, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking information. Other factors
which could materially affect such forward-looking information are
described in the risk factors in the Company's most recent annual
management's discussion and analysis which is available on the
Company's profile on SEDAR at www.sedar.com. The Company does not
undertake to update any forward- looking information, except in
accordance with applicable securities laws.
Photos accompanying this announcement are available
at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/4d138cda-6d83-4376-9c3a-957830d664f0
https://www.globenewswire.com/NewsRoom/AttachmentNg/9e768f8a-749f-4891-8e43-4bc3b1031fc4
https://www.globenewswire.com/NewsRoom/AttachmentNg/93ee6b55-763f-40c3-878a-244becabe989
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