Osino Resources Corp. (
TSXV:OSI)
(
NSX:OSN) (
FSE:RSR1)
(
OTCQX:OSIIF) ("
Osino” or
“
the Company”) is pleased to provide an update on
the infill drill program at the Twin Hills Gold Project
(“
Twin Hills” or “
the Project”).
The objective of the program is to convert the first 2 years of
mining from Indicated to Measured mineral resource category and to
confirm and upgrade the Twin Hills Mineral Resource Estimate
(“MRE”). Osino remains focused on the financing and
pre-construction activities at Twin Hills, including de-risking the
mineral resource estimate and the initial years of production.
Heye Daun, Osino’s President and CEO
commented: “We are highly encouraged by these excellent
assay results which continue to come out of the Bulge infill drill
program. The results confirm Twin Hills as a high-quality, low risk
open pit gold project with significant upside potential. What
stands out from the latest drill results are the significant length
of these intercepts with highly consistent mineralization including
some very pleasing, thick, high-grade intercepts of 1.5 g/t or
more. Considering that these intercepts are unconstrained with no
selective mining modelling applied yet, the upside potential of the
Twin Hills mineral resource should be self-apparent. When we last
completed such infill drilling at Twin Hill Central (THC) we were
able to demonstrate a noteworthy grade increase, and we are hopeful
that the same effect can be demonstrated for Bulge and the rest of
the Twin Hills MRE as well, once our current round of infill
drilling has been completed. Needless to say, a small change in
overall grade will have an outsized effect on project
economics.”
Twin Hills Infill Drill
Program
A total of 11,427m from 110 RC holes were
completed within a block of 160m x 110m at Bulge pit (Figure 1).
These holes were drilled on a 12.5m x 12.5m grid spacing and ranged
in depth from 60m to 123m. Drilling was generally done to a datum
with a maximum hole depth of 123m. 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.
Most assay results from the Bulge pit have been
received with only 13 holes outstanding from a total of 110. All
remaining drill results are expected to be reported before end of
November 2023.
An additional infill drill program was commenced
during November at the Clouds and THC pits, with the aim of
producing representative results for all of the main Twin Hills
satellite pits (see Figure 1).
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) (refer to press release dated June 12,
2023).
The program is on track to achieve its ultimate
objective of confirming and upgrading the next MRE iteration.
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 early
years of production, but it will also assist in fine-tuning the
geological modelling, wire-framing and grade estimation of the
remainder of the deposit.
All holes drilled so far produced very good
assay results which not only demonstrate the consistency and grade
continuity of the Twin Hills mineralization, but also indicate the
potential for grade improvements through constraining and utilizing
a selective mining approach to modelling to improve the recoverable
gold grade.
Figure 2: Section across the Infill Drilling Block at
Bulge
Once the remaining drill results have been
received, 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 and
result in an overall grade improvement.
Ongoing Infill Drill Program at Twin
Hills Central and Clouds
The additional infill program at Twin Hills
Central and Clouds pits is also aimed at converting the starter pit
from Indicated to Measured category, thereby substantially
de-risking the first 2 years of ore mining. A total of 3,517m in 43
reverse circulation holes have been planned on the Twin Hills
Central orebody, at a similar 12.5 x 12.5m grid spacing, with a
surface expression of about 75m x 75m.
This block is an extension of the 100m x 50m
block drilled in 2022 as an orientation study at the THC portion of
the Twin Hills gold deposit. This study validated the wider spaced
modelling and resulted in a 9% improvement in average grade over
the mineral resource without a loss in contained metal. 24 holes
for a total of 1,921m have been drilled to date with 1,596m (19
holes) still to be completed before year-end. All holes have been
drilled to a maximum depth of 84m.
A further 1,311m in 19 holes have been completed
at the Clouds deposit to drill out a representative area with a
similar grid spacing. The surface expression of the Clouds block is
75 x 50m in size. A total of 546m (8 holes) drilled to a maximum
depth of 77m are still to be completed with first results expected
at the beginning of December.
Figure 3: Selected assays from the infill program at
Bulge and THC
All new assay results from this tight spaced
drilling will be used to validate and confirm the Twin Hills
Mineral Resource Estimate (“MRE”) modelling techniques and
parameters utilized, and to upgrade the current MRE.
Implications of Infill Drill Programs at
Twin Hills
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 program returned good results as
expected and provided better definition of the ore envelope
boundaries. 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.
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.
As soon as all of the Bulge infill drill results
have been received, we plan to complete a similar analysis in order
to confirm or improve on the resource modelling and estimation
techniques with the aim of confirming or improving the grade
estimate for the Twin Hills MRE.
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.
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 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 INFORMATION
Osino Resources Corp.Yaron Conforti Corporate
Development +1-604-687-2038 yconforti@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/32be063b-8737-4206-a937-9c1867300595
https://www.globenewswire.com/NewsRoom/AttachmentNg/f5ec5ed9-75fe-4ce0-b0a2-70fff03e141f
https://www.globenewswire.com/NewsRoom/AttachmentNg/2f580900-dfd2-4d53-8800-af9a2d80a8ac
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