TIDMECR
ECR MINERALS plc
("ECR Minerals", "ECR" or the "Company")
RESOURCE ESTIMATE AND EXPLORATION TARGET FOR
DANGLAY GOLD PROJECT, PHILIPPINES
The directors of ECR Minerals plc (the "Directors") are pleased
to disclose a maiden Mineral Resource estimate for the Danglay gold
project in the Philippines (formerly known as the Itogon gold
project), along with a target for further exploration. ECR is the
operator of the Danglay project with the right to earn a 50%
interest therein.
* An Inferred Mineral Resource of 1,200,000t at a grade of 1.6
g/t gold for 60,500oz gold (the "Resource") has been estimated
using a cut-off grade of 0.75 g/t gold
* The Resource has been estimated in respect of the surficial
oxide deposit only; in addition, a target for further exploration
(the "Exploration Target") has been determined in respect of
primary intermediate sulphidation vein-hosted mineralisation, which
shows significant similarities to better known intermediate
sulphidation deposits in the Baguio District
* Exploration Target of between 600,000t at 5 g/t gold for
95,000oz gold and 700,000t at 7.5 g/t gold for 170,000oz gold
* The Resource and the Exploration Target have each been
determined by a Qualified Person and are disclosed in accordance
with Canadian National Instrument 43-101 ("NI43-101")
* Itogon is henceforth to be known as the Danglay project, to
better reflect local geography
As previously announced, the full NI43-101 technical report
supporting the disclosure of the Resource will be published within
45 days of this announcement.
Stephen Clayson, Chief Executive Officer of ECR, commented:
"The Directors are very pleased with the maiden Mineral Resource
estimate for the Danglay project, as well as the Exploration Target
which has been determined. These items are the fruit of ECR's
efforts to date on the project, which include two drilling
programmes, amongst much other work.
The Danglay project lies within the Baguio District, from which
tens of millions of ounces of gold are estimated to have been mined
to date, and which continues to produce today. This has positive
implications for Danglay, in that factors such as the availability
of skilled staff at competitive rates and the social acceptance of
mining contribute to a positive setting for development. Further
exploration is required to demonstrate that development of the
Danglay project to production is warranted, but today's
announcement is a significant milestone.
Plans for the next phase of exploration at Danglay are still
being refined, and will be announced in due course. In parallel,
ECR has commenced a process of reviewing potential opportunities
and alliances which could be of value in taking Danglay and ECR
forward. Any material developments in this regard will be
announced."
Mineral Resource
The Resource is disclosed in accordance with NI43-101 and has
been estimated in accordance with the requirements of the Canadian
Institute of Mining, Metallurgy and Petroleum (CIM) "Estimation of
Mineral Resource and Mineral Reserves Best Practice Guidelines" and
the JORC Code.
The Resource was estimated by Mr Neil Motton BSc (Hons), MAusIMM
(CP - Geology), MSEG, of the consultancy Snapper Resources Ltd
("Snapper"). Mr Motton is independent of ECR and a Qualified Person
under NI43-101 for the purposes of estimating the Resource.
The Danglay oxide deposit is a supergene gold enrichment zone
formed by weathering and oxidation of primary intermediate
sulphidation quartz vein and stockwork mineralisation. The oxide
gold resource at Danglay forms a generally flat lying tabular body
that extends from surface to depths of up to approximately 15m.
Areas of scree or talus comprise a separate Mineral Resource domain
in addition to in situ oxide mineralisation.
Table 1:
Inferred Mineral Resource Estimate
Oxide Mineralisation - Main Prospect Area
Danglay Gold Project (EP-006-2011-CAR), Benguet, Philippines
Effective date: 24 October 2015
Disclosed in accordance with Canadian NI43-101
Cut-off grade: 0.75 g/t gold
Domain Tonnes Grade ( g/t gold) Gold (oz)
Oxide in situ 919,000 1.65 48,500
Oxide scree 281,000 1.35 12,000
Total oxide 1,200,000 1.6 60,500
NB:
The Mineral Resource estimate in Table 1 above is disclosed at a
cut-off grade of 0.75 g/t gold, which is based on a gold price of
US$1,100/oz and an assumed metallurgical recovery of 85%. Figures
have been rounded to reflect the relative accuracy of the estimate.
Mineral Resources are not Mineral Reserves and do not have
demonstrated economic viability. There is no certainty that all or
any part of the Mineral Resource will be converted into a Mineral
Reserve.
Data used in estimation of the Resource
The Resource has been estimated using gold assay results from
more than 1,000m of predominantly surface channel sampling,
approximately 440m of trench sampling, and the upper, oxidised
parts of seven reverse circulation (RC) and four diamond drill
holes. ECR supplied Snapper with channel sampling, trench sampling,
and RC and diamond drilling data, in the form of Microsoft Excel
spreadsheet datasets. ECR sampling and logging data were compiled
into a Microsoft Access database by Snapper and verified for
inconsistencies, overlaps and missing data using MineMap
software.
Snapper is of the opinion that the ECR data was sufficiently
detailed and of an appropriate standard for an Inferred Mineral
Resource calculation. No historical assay data was used in the
estimation of the Resource. All ECR samples were analysed by
Intertek Testing Services Philippines, Inc. ("Intertek"), an
internationally accredited independent analytical laboratory in
Metro Manila. The method of analysis for gold was fire assay (50g
charge) with AAS finish. QA/QC measures including the use of field
blanks, certified standards and staged duplicates were implemented
by ECR and separately by Intertek in relation to the analysis of
the samples. The assay data is considered by Snapper to be
acceptable for estimation of the Resource in the context of these
measures.
In addition to the data review and data verification and
integrity checks conducted by Snapper, Snapper is satisfied that
the assay protocols used are appropriate and that field methodology
was of a high standard. Mr Motton has personally reviewed all drill
core and RC chips generated by ECR's drilling programmes, and
observed channel sampling taking place in the field.
Resource estimation methodology
In order to estimate the Resource, a constraining wireframe was
developed from a detailed differential GPS survey pickup of the
topographical surface by an independent surveying company, and from
sample logging and assay data. The base of oxidation, which was
derived from drilling information, was used as a bounding lower
surface for the development of the wireframe. The total oxide
wireframe was divided into two parts representing the in situ oxide
domain and the scree domain. The dividing line was developed from
mapping and trenching information. This dividing line was then used
to cut vertically through the whole oxide wireframe to make two
wireframes, which were used to constrain separate block models for
each domain.
Gold grade distribution within the two wireframes was calculated
using an inverse distance method comprising a 25m diameter
spherical search ellipse to the power of 2.5. An assay top-cut of
15 g/t gold was applied, based on statistical analysis of the
dataset. Block models were generated using MineMap software with
block sizes of 5m (X) by 5m (Y) by 5m (Z). This relatively small
block size was chosen to allow a reasonable sampling density and
definition of Mineral Resources given the available assay dataset,
and to ensure well constrained volume estimates. Blocks below the
cut-off grade of 0.75 g/t gold and blocks with insufficient data
were excluded from the Resource. A dry weight density of 2.4t per
m3 was used, based on laboratory analysis of 49 drill core samples
of oxide material.
Target for Further Exploration
Dr Chris Wilson PhD, FAusIMM (CP - Geology), FSEG, of the
consultancy Exploration Alliance SA, visited the Danglay project
during July and August 2015 and collected almost 100 rock chip
samples of oxidised and primary vein material.
ECR requested that Dr Wilson determine a target for further
exploration in respect of the primary intermediate sulphidation
vein-hosted mineralisation which continues below the oxide gold
Resource.
Table
2:
Target for Further
Exploration
Danglay Gold Project
(EP-006-2011-CAR),
Benguet, Philippines
Primary Intermediate Sulphidation
Vein-Hosted
Mineralisation -
Main Prospect Area
Disclosed in accordance
with Canadian NI43-101
(conceptual potential
quantity and grade
of mineralisation expressed
as ranges)
Range Tonnes Grade ( g/t gold) Gold (oz)
Lower 600,000 5 95,000
bound
Based on eight veins 1-3m wide,
150-225m long with a vertical
extent of 100-150m, grading
5 g/t on average
Upper 700,000 7.5 170,000
bound
Based on ten veins 1-3m wide,
150-225m long with
a vertical extent of 100-150m,
grading 7.5 g/t
on average (due to high grade
shoots increasing
the grade of five veins
to 10 g/t on average)
NB:
A target for further exploration is not a Mineral Resource
estimate, is conceptual in nature, and is used where there has been
insufficient exploration to define the target as a Mineral Resource
and where it is uncertain if further exploration will result in the
target being delineated as a Mineral Resource. Figures in Table 2
have been rounded to reflect the relative accuracy of the
Exploration Target.
Basis on which Exploration Target has been determined
The Exploration Target was determined based on the
following:
(MORE TO FOLLOW) Dow Jones Newswires
November 05, 2015 02:00 ET (07:00 GMT)
1) Exploration results to date indicate that there are three
main mineralised zones at Danglay: a northern zone with a surface
footprint of approximately 175m by 100m, a southwestern zone with a
surface footprint of approximately 250m by 100m, and a southeastern
zone with a surface footprint of approximately 200m by 100m.
2) The mineralisation comprises multiple steeply dipping to
vertical quartz veins that are typically up to 1m wide and locally
up to several metres wide. The distribution of veins in the target
area shows similarities with other intermediate sulphidation
vein-hosted deposits in the Baguio District, which are generally
steeply dipping, have strike lengths of hundreds of metres to
several kilometres, and have been mined over hundreds of metres
vertically.
3) A significant number of rock chip samples of unoxidised
quartz-base metal sulphide veins collected at Danglay by Dr Wilson
in August 2015 assayed above 15 g/t gold and a small number of
samples assayed above 100 g/t gold. Silver grades of 5-15 oz/t and
base metal grades of between 1-2% zinc and up to 1% lead were also
noted. The highest grade sample assayed 142 g/t gold, >16 oz/t
silver, >2% zinc, >1% lead and 0.31% copper.
This indicates that parts of some quartz veins are considerably
more mineralised than others, and that high grade shoots are likely
to exist. This is consistent with other intermediate sulphidation
vein-hosted deposits in the Baguio District. ECR has generally not
assayed for silver or base metals in previous work, however silver
and zinc may be of economic interest as by-products of any future
gold production which may occur with respect to primary
intermediate sulphidation veins at the Danglay project.
NB:
The structural geology of the target area is not well
understood, and a substantial drilling campaign will be required to
fully test the Exploration Target.
Next phase of exploration
In addition to the exploration potential represented by the
primary Exploration Target discussed above, there may be scope to
increase the surficial oxide Mineral Resource through further
exploration, which would focus on better defining the higher grade
zones within the oxide.
Shallow drilling on a grid based pattern would be likely to
fully address these requirements and to enable the estimation of an
Indicated or Measured Mineral Resource (corresponding to a higher
confidence level than the Inferred category) in respect of the
oxide mineralisation. There can be no certainty that additional
exploration will result in an increased oxide Mineral Resource or
the conversion of Inferred Mineral Resources to Indicated or
Measured Mineral Resources.
Deeper, angle drilling would be required to test the Exploration
Target, which has been determined in respect of primary
intermediate sulphidation vein-hosted mineralisation continuing
below the oxide zone.
Plans for the next phase of exploration at Danglay have not yet
been finalised, but will be announced in due course. An NI43-101
compliant preliminary economic assessment (PEA), which is similar
to a scoping study, may be considered in respect of the Resource,
although no decision to proceed with a PEA has yet been taken.
Review of announcement by Qualified Person
This announcement has been reviewed by William (Bill) Howell BSc
(Hons), FAusIMM, FSEG, ECR's Non-Executive Chairman. Mr Howell is a
geologist with 48 years of experience in the minerals industry, and
is a Qualified Person as that term is defined by the AIM Note for
Mining, Oil and Gas Companies.
ABOUT ECR
ECR is a mineral exploration and development company with the
right to earn a 50% interest in the Danglay epithermal gold project
in the Philippines. Danglay is an advanced exploration project
located in a prolific gold and copper mining district in the north
of the Philippines.
ECR has a 100% interest in the SLM gold project in La Rioja
Province, Argentina. Exploration at SLM has focused on identifying
small tonnage mesothermal gold deposits which may be suitable for
relatively near term production.
FOR FURTHER INFORMATION PLEASE CONTACT:
ECR Minerals plc Tel: +44 (0)20 7929 1010
William (Bill) Howell, Non-Executive Chairman
Stephen Clayson, Director & CEO
Richard (Dick) Watts, Technical Director
Email: info@ecrminerals.com
Website: www.ecrminerals.com
Cairn Financial Advisers LLP Tel: +44 (0)20 7148 7900
Nominated Adviser
Emma Earl/Jo Turner
Vicarage Capital Ltd Tel: +44 (0)20 3651 2910
Broker
Rupert Williams/Jeremy Woodgate
FORWARD LOOKING STATEMENTS
This announcement may include forward looking statements. Such
statements may be subject to a number of known and unknown risks,
uncertainties and other factors that could cause actual results or
events to differ materially from current expectations. There can be
no assurance that such statements will prove to be accurate and
therefore actual results and future events could differ materially
from those anticipated in such statements. Accordingly, readers
should not place undue reliance on forward looking statements. Any
forward looking statements contained herein speak only as of the
date hereof (unless stated otherwise) and, except as may be
required by applicable laws or regulations (including the AIM Rules
for Companies), the Company disclaims any obligation to update or
modify such forward looking statements as a result of new
information, future events or for any other reason.
GLOSSARY
AAS: atomic absorption spectroscopy
assay: a test performed on a sample of ore or minerals to determine the amount of valuable metals contained
channel sample a sample of pieces of vein or mineral deposit that have been cut out of a small trench or channel, usually about 10cm wide and 2cm deep
cm: centimetre
diamond drilling: a type of rotary drilling that utilises a fluid lubricated and cooled cylindrical diamond drill bit. As the drill bit cuts into the rock a cylindrical core of rock is recovered in the core barrel
drill core: rock samples recovered by diamond drilling
epithermal: mineralisation produced by near surface hydrothermal fluids related to igneous activity; originally defined as having formed in the range 50-300°C
Inferred Mineral Resource: that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes
intermediate sulphidation: Epithermal gold and silver deposits of both vein and bulk-tonnage styles may be broadly grouped into high-, intermediate-, and low-sulphidation types based on the sulphidation states of their primary sulphide assemblages. From an exploration perspective, intermediate sulphidation systems generally occur peripheral to porphyry copper-gold deposits but at deeper levels than low sulphidation systems. Mineralisation is typically hosted in steeply dipping veins and breccia zones which may contain high grade shoots. Stockwork zones between vein sets may represent lower grade bulk tonnage targets. Intermediate sulphidation systems generally have a vertical metal endowment of hundreds of metres
g: grams
g/t: grams per tonne
m: metre
Mineral Reserve: the economically mineable part of a Measured or Indicated Mineral Resource demonstrated by at least a preliminary feasibility study
Mineral Resource: a concentration or occurrence of diamonds, natural solid inorganic material, or natural solid fossilised organic material including base and precious metals, coal, and industrial minerals in or on the Earth's crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge
Mineral Resources are sub-divided, in order of increasing geological confidence, into Inferred, Indicated and Measured categories. An Inferred Mineral Resource has a lower level of confidence than that applied to an Indicated Mineral Resource. An Indicated Mineral Resource has a higher level of confidence than an Inferred Mineral Resource but has a lower level of confidence than a Measured Mineral Resource
oxidation: a chemical reaction caused by exposure to oxygen that results in a change in the chemical composition of a mineral
oxide gold: said of gold that has been liberated from sulphides during the process of oxidation to form a surficial, sub-horizontal to horizontal zone
preliminary economic assessment (PEA): a study, other than a prefeasibility or feasibility study, that includes an economic analysis of the potential viability of Mineral Resources
primary deposit: valuable minerals deposited during the original period or periods of mineralisation, as opposed to those deposited as a result of alteration or weathering
quartz: common rock-forming mineral consisting of silicon and oxygen
ppm: parts per million
Reverse Circulation (RC) drilling: percussive drilling method in which cuttings are raised to surface by a stream of compressed air inside the drill rods
(MORE TO FOLLOW) Dow Jones Newswires
November 05, 2015 02:00 ET (07:00 GMT)
Ecr Minerals (LSE:ECR)
Historical Stock Chart
From Apr 2024 to May 2024
Ecr Minerals (LSE:ECR)
Historical Stock Chart
From May 2023 to May 2024