Ms. Justine Magee reports
RTG ANNOUNCES MAIDEN MINERAL RESOURCE AT MABILO OF 5.87MT INDICATED RESOURCE AND 5.50MT INFERRED RESOURCE
RTG Mining Inc.
has released a maiden mineral resource, with an effective
date of Sept. 14, 2014, for the Mabilo project reported in
accordance with National Instrument 43-101 and the JORC code (2012). The indicated resource includes significant
high-grade oxide gold and copper at shallow levels, which contains
67,000 ounces of gold, 32,000 tonnes of copper and 312,000 t of iron. These
resources could be mined with limited capital requirements which could
allow for the majority of capital expenditure on the primary plant to
be financed from the oxide ore.
The magnetite skarn mineralization which makes up a significant portion
of the mineral resource is well defined, continues to remain open in
multiple directions and is the subject of further drilling. The copper-equivalent grade of the indicated mineral resource is 3.4 per cent after
diluting for full recovery assumptions.
Highlights of the resource include:
- Total indicated resource of 5.9 million t at 2.1 per cent copper, 2.2 grams per tonne gold, 8.4 g/t silver and
49 per cent iron, containing 121,000 t copper and contained gold of 414,000 ounces at a 0.3 g/t
Au cut-off grade;
- Total inferred resource of 5.5 million t at 1.5 per cent Cu, 1.7 g/t Au, 12.9 g/t Ag and
39 per cent Fe, containing 84,000 t copper and contained gold of 302,000 ounces at a 0.3 g/t
Au cut-off grade;
- Indicated oxide resource that includes a high-grade oxide gold cap
zone (340,000 t at 3.2 g/t Au) and a very high-grade supergene chalcocite zone (101,000 t at 24.0 per cent Cu) at shallow levels. Both represent significant value with the
mining of this product potentially able to assist in financing capital
development of the larger primary plant;
- Significant upside potential remains to upgrade the inferred resource
and to further extend the magnetite skarn mineralization along strike
and downdip beyond the current resource model.
TOTAL MABILO RESOURCE AT 0.3 G/T AU CUT-OFF GRADE
Classification Tonnes Cu Au Ag Fe Contained Cu Contained Au Contained Fe CuEq Contained CuEq
(M) (%) (g/t) (g/t) (%) (kt) (koz) (kt) (%) (kt)
Indicated 0.73 4.4 2.8 9.5 42.6 32.2 67.0 312.7 5.8 42.6
Inferred 0.13 3.1 2.2 10.4 34.9 3.9 9.0 43.6 4.3 5.4
Indicated 5.13 1.7 2.1 8.3 49.9 88.9 347.0 2,563.0 3.1 159.6
Inferred 5.37 1.5 1.7 12.9 39.1 80.4 293.0 2,101.9 2.6 140.5
Indicated (total) 5.87 2.1 2.2 8.4 49.0 121.1 414.0 2,875.7 3.4 202.2
Inferred (total) 5.50 1.5 1.7 12.9 39.0 84.3 302.0 2,145.6 2.7 145.9
The mineral resource was estimated within constraining wireframe solids based on the mineralized geological
units. This resource table is quoted from all classified blocks above a lower cut-off grade 0.3 g/t Au within
these wireframe solids. Differences may occur due to rounding.
Oxide mining strategy
The indicated oxide resource includes a high-grade oxide gold cap zone
(356,000 tonnes at 3.1 g/t Au) and a very high-grade supergene chalcocite zone
(101,000 t at 24.0 per cent Cu) at shallow levels. Given the high-grade nature of this shallow oxide mineralization, the focus will be to
prioritize this area for initial exploitation.
The zones are layered and should lend themselves to open-pit mining
processes.
OXIDE GOLD AND CHALCOCITE COPPER MABILO RESOURCE AT 0.3 G/T AU CUT-OFF GRADE
Indicated
Zone Tonnes Au Cu Fe Contained Au Contained Cu Contained Fe
(M) (g/t) (%) (%) (koz) (kt) (kt)
South mineralized zone
Oxide gold cap 0.34 3.2 0.2 43.4 34.7 0.8 145.3
Oxide copper/gold 0.26 2.7 2.5 45.7 22.6 6.7 120.3
Supergene chalcocite 0.10 2.3 24.0 38.6 7.6 24.2 39.0
Subtotal 0.70 2.9 4.5 43.6 64.8 31.7 304.6
North mineralized zone
Oxide gold cap 0.02 1.6 0.2 23.0 1.1 0.0 4.7
Oxide copper/gold 0.01 2.9 3.5 21.5 1.1 0.4 2.6
Subtotal 0.03 2.1 1.4 22.4 2.2 0.5 7.3
Total 0.73 2.8 4.4 42.6 67.0 32.2 311.9
Inferred
Zone Tonnes Au Cu Fe Contained Au Contained Cu Contained Fe
(M) (g/t) (%) (%) (koz) (kt) (kt)
North mineralized zone
Oxide gold cap 0.02 2.1 0.2 28.3 1.2 0.0 5.0
Oxide copper/gold 0.03 2.9 3.8 22.7 2.5 1.0 6.1
Subtotal 0.06 2.6 4.6 22.8 4.6 2.6 12.7
The mineral resource was estimated within constraining wireframe solids based on the
mineralized geological units. The resource is quoted from all classified blocks above a lower
cut-off grade 0.3 g/t Au within these wireframe solids. Differences may occur due to rounding.
RTG chief executive officer Justine Magee said the company was very pleased with the maiden mineral resource. "It validates our belief in the potential for a low-cost, high-grade
copper-gold project. The very high-grade near-surface oxide resource
has the potential to be quickly put into production and fund a
significant part of the capital development. The project remains open
in multiple directions with significant exploration upside," Ms. Magee said.
About Mabilo
The Mabilo project is located in Camarines Norte province, Eastern
Luzon, Philippines. It comprises one granted exploration permit
(EP-014-2013-V) of approximately 498 hectares and exploration permit
application EXPA-000188-V of 2,820 hectares. The project area is relatively
flat and is easily accessed by 15 kilometres of all-weather road from the
highway at the nearby town of Labo.
Summary of mineral resource estimate and reporting criteria
The mineral resource was prepared by independent resource consultancy
CSA Global Pty. Ltd.
Geology and geological interpretation
Two mineralized magnetite skarn bodies were initially targeted using
ground magnetic data and have been subsequently drilled. The magnetite
skarn mineralization is parallel to the host carbonate unit and passes
downdip into garnet skarn, contact metamorphosed marble or limestone.
Magnetite skarn represents the replacement bodies of the limestone
marble lithologies. Magnetite skarn bodies have been fault offset
laterally with magnetite continuing across offset zones as strongly
mineralized magnetite breccias.
Magnetite near surface has been subject to tropical weathering and the
development of an oxide zone dominated by significant a gold-rich,
copper-depleted cap. A high-grade
chalcocite zone dominates the northern end of the South zone with the
remainder of the oxide resource being oxidized magnetite skarn with
similar copper and gold grades to primary magnetite.
The North mineralized and South mineralized zones have both been
modelled for this mineral resource estimate (MRE). The larger South
mineralized zone skarn is approximately 450 metres in strike and dips to the
southwest at approximately 60 degrees. The North mineralized zone is
approximately 150 m in strike and dips 75 degrees in a northerly
direction. Magnetite skarn bodies are currently modelled as three main
offset fault blocks in the South mineralized zone and two fault blocks
in the North mineralized zone. Thickness of magnetite skarn is variable
due to lithological variation of the host marble limestone. At the
southern end of the South body, magnetite is approximately 30 m in
thickness at the southern end of the system thinning downdip to
approximately 15 m. At the northern end of the South mineralized zone,
the thickness is approximately 45 to 50 m where it has been subjected to
oxidation processes before being covered by volcanic lahars and tuffs.
Drilling and sampling techniques
The MRE is based on data obtained from 69 diamond core drill holes
(11,231.45 m) drilled across the two project areas. Drill holes are
located on a nominal 40 m by 40 m spacing across primary magnetite zones
with good geological continuity. Oxide and chalcocite zones were
subject to 25 m by 20 m nominal spacing with drilling oriented
approximately northwest to southeast across the strike of
mineralization. The dip of the drill holes was designed to intersect
the mineralization at the optimal angle to minimize sampling bias with
a number of early vertical holes followed up with angled holes. A
number of drill holes included in the MRE were infill in nature and
have not been previously reported.
Drill hole collars were surveyed using a differential global positioning
system (DGPS) to centimetre accuracy. All downhole surveying was
carried out using a combination of Reflex Ez-Trak multishot survey
tool at 30 m intervals downhole and the Reflex Gyro system was used
where magnetite skarn was intersected.
All diamond drill samples were geologically logged, recording relevant
data to a set template at or on geological contacts. Diamond core was
also geotechnically logged and the core photographed for future record.
Diamond core was half-core sampled on geology contacts. Core samples
were submitted for analyses using ISO-certified Intertek McPhar
Laboratory in Manila. Field quality assurance procedures were employed,
including the use of standards, blanks and duplicates. The drill hole
data are maintained in a secure relational database by company
personnel.
Sample analysis method
Half-core samples were cut and sent for analysis by an independent
ISO-certified laboratory (Intertek McPhar Laboratory) in Manila.
Samples were crushed and pulverized (95 per cent, 75 microns). Gold was analyzed by
50 g fire assay and the other elements, including copper and iron by
ICP-MS (inductively coupled plasma mass spectrometry) or ICP-OES
(inductively coupled plasma optical emission spectrometry) following a
four-acid digest.
The sample preparation and assay techniques used for the assay results
reported herein are of international industry standard and can be
considered total.
Resource estimation methodology
Datamine Studio 3 software was used for all geological modelling, block
modelling, grade interpolation, mineral resource classification and
reporting. Mineralization domains were modelled based on the geological
interpretation from the lithological logging of drill core and drill
sample assay results. For the magnetite skarn zones, which are by
definition reasonably well mineralized with magnetite iron, the
lithological logging has driven the interpretation. Other lithological
units in the system are not necessarily mineralized to potentially
economic levels throughout their full extents. These zones have been
modelled using a nominal lower cut-off grade combination of 0.3 g/t Au
and 0.3 per cent Cu in concert with the lithological logging to generate
mineralized lithological domains.
The mineral resource block model consists of 30 mineralization lenses
grouped into 15 mineralized lithological domain zones of Cu-Au-Fe
mineralization, based on lens lithology type. There are eight mineralized
lithological domain zones in the South mineralized zone and seven in the
North mineralized zone. The mineralized lithological domain zones were
used as hard boundaries to select sample populations for data analysis
and grade estimation, with soft boundaries between the lenses within
each domain zone.
Sample data were composited to one m downhole lengths based on sample length
frequency. Statistical analysis was undertaken on all mineralized zones
and high-grade cuts were applied based on a review of the histograms,
probability plots and basic statistics.
Grade estimation was undertaken using a combination of ordinary kriging
(OK) and inverse distance squared (IDS) depending on the available
number of samples within the individual mineralized wireframes. Search
ellipsoids were oriented to reflect mineralization continuity
directions identified from sample data analysis.
Block model definition parameters were reviewed with the primary block
size of 20 m east-west by 20 m north-south by four m vertical and subblocking to 2.5 m by
2.5 m by 0.5 m.
Cut-off grades
Cut-off grades for reporting the mineral resource are 0.3 g/t Au, in line
with recommendations from RTG based on preliminary optimization
studies.
Mining and metallurgical methods and parameters
It has been assumed that the Mabilo mineral resource, if mined, will be
developed using open-pit mining methods. No assumptions have been made
to date regarding minimum mining widths or dilution.
Extensive metallurgical testwork is continuing and the various styles of
mineralization which make up the Mabilo mineral resource have been
domained according to their mineralogical and geological
characteristics.
Classification criteria
Classification of the mineral resource estimate was carried out taking
into account the geological understanding of the deposit, quality of
the samples, density of data and drill hole spacing.
Qualified person and competent person statement
The information in this release that relates to exploration results at
the Mabilo project is based upon information prepared by or under the
supervision of Robert Ayres, BSc (honours), who is a qualified person and a
competent person. Mr. Ayres is a member of the Australian Institute of
Geoscientists and a full-time employee of Mt. Labo Exploration and
Development Company, a Philippine mining company, an associate company
of RTG Mining. Mr. Ayres has sufficient experience that is
relevant to the style of mineralization, type of deposit under
consideration and to the activity being undertaken to qualify as a
competent person as defined in the 2012 edition of the Australasian
code for reporting of exploration results, mineral resources and ore
reserves and to qualify as a qualified person under National
Instrument 43-101. Mr. Ayres has verified the data disclosed in this release,
including sampling, analytical and test data underlying the information
contained in the release. Mr. Ayres consents to the inclusion in the
release of the matters, based on his information, in the form and the
context in which they appear.
The information in this release that relates to mineral resources is
based on information prepared by or under the supervision of Aaron
Green, who is a qualified person and competent person. Mr. Green is a
member of the Australian Institute of Geoscientists and is employed by
CSA Global, an independent consulting company. Mr. Green has
sufficient experience that is relevant to the style of mineralization, type of deposit under consideration and to the activity which he is
undertaking to qualify as a competent person as defined in the 2012
edition of the Australasian code for reporting of exploration results,
mineral resources and ore reserves and to qualify as a qualified
person under National Instrument 43-101. Mr. Green has verified the data
disclosed in this release, including sampling, analytical and test data
underlying the information contained in the release. Mr. Green consents
to the inclusion in the release of the matters, based on his information,
in the form and context in which they appear.
We seek Safe Harbor.
© 2024 Canjex Publishing Ltd. All rights reserved.