North River Resources Plc Drilling update (6510S)

TIDMNRRP

RNS Number : 6510S

North River Resources Plc

21 March 2016

North River Resources plc / Ticker: NRRP / Index: AIM / Sector: Mining

North River Resources plc ("North River" or the "Company")

Project update and latest Namib resource drilling results: high grade hits including an intersection of 57.1 metres (true width 8.5 metres) at 28.6% zinc

North River Resources plc, the AIM quoted resource company, wishes to provide the early results from the ongoing underground diamond drilling at its flagship Namib Project in Namibia together with an update on project activities.

Highlights

- Initial drill results from the Northern Orebody show significant intersection of mineralisation

- An outstanding high grade intersection of 57 metres (true width 8.5 metres) at 28.6% zinc, extending mineralisation 80 metres below level 5 in the North

   -     3,800 metre drilling programme progressing well towards completion at end of June 2016 
   -     5 Level development tunnel over 95% complete 

- Other project workstreams remain on hold pending clarity on the timing and conditions attaching to both the Mining Licence and the proposed Namibian broad based empowerment legislation

   -     Working capital fundraising required shortly 

High grade intersections indicate continued mineralisation below the existing North orebody

Drilling is currently being undertaken from the 5 Level development drive below the current North resource to test the extensions at depth of these ore envelopes. The drilling campaign also envisages infill and extension drilling in the existing Southern resource.

Further to the drilling results announced on 12 February 2016, the Company wishes to provide initial results from its 3,800 metre drilling campaign. 14 holes totalling 1,472 metres have been drilled by the Company's own Kempe U3-9BQ together with a larger Diamec 262 rig under contract. Eight holes have been reported in Table 1 below. A further three holes are awaiting assay results and three holes are awaiting sampling. The Kempe is being used to search for shallower targets up to 80m below the modelled envelopes while the more powerful Diamec rig is used for drill holes up to 200m deep. The drilling campaign is targeted for completion by end of June 2016.

Significant mineralisation was intersected in four holes:

   -     NLDD067: 57.1m (true width of 8.5 metres) at 28.6% zinc and 33g/t silver(*) ; 

- NLDDK074: 3.0m (true width of 1.5 metres) at 35.0% zinc and 11.9m (true width of 6.0 metres) at 20.8% zinc;

- NLDDK075: 8.7m (true width of 4.0 metres) at 19.5% zinc and 3.0m (true width of 2.0 metres) at 12.2% zinc; and

- NLDDK076: 3.6m (true width of 1.3 metres) at 9.8% zinc, 2.6% lead and 42g/t silver, plus 8.1m (true width of 2.5 metres) at 6.7% zinc, 7.6% lead and 101g/t silver

(*) Silver results are provisional, awaiting QAQC checks

Assays are awaited for 3 additional holes (NLDD068, NLDD069 and NLDDK077). All these holes visually indicate mineralised intercepts with preliminary XRF Niton analysis supporting high grade massive sulphide mineralisation.

The early results from the drilling campaign indicate the continuation of mineralisation 80 metres below the existing Northern part of the orebody, providing support for the Company's confidence in delivering an increased resource estimate for the Namib project following completion of the drilling campaign. As would be standard practise, all grade intercepts will be critically evaluated as part of the update to the Mineral Resource Estimate in due course, to ensure that lower angle drill intercepts returned (those with very high intercept lengths relative to true widths) do not bias the resulting grade estimation.

The information in this release that relates to Exploration Results is based on information compiled by Mr. Galen White, Principal Geologist of CSA Global (UK) Ltd and a Competent Person who is a Fellow of the Australasian Institute of Mining and Metallurgy (FAusIMM). Mr White has sufficient experience which is relevant to the style of mineralisation and 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. Mr. White consents to the inclusion in this release, of matters based on his information, in the form and context which it appears.

North River CEO James Beams commented, "It is very pleasing to see our confidence in the further geological potential of the Namib project being borne out by these initial results from the drilling campaign carried out from the 5-level development drive. Whilst NLDD067 is only one drill hole, with a low angle to the trend of the intersection, the exceptional grade and consistency of mineralisation augurs well as we look to grow the resource base. I look forward to releasing further drilling results as we progress with the programme towards a larger resource base and longer mine life."

Figure 1: Long section of the Mine Looking North East

http://www.rns-pdf.londonstockexchange.com/rns/6510S_-2016-3-18.pdf

Figure 2: Core photos from part of the long intersections in hole NLDD067 (A) and hole NLDD069 (B).

http://www.rns-pdf.londonstockexchange.com/rns/6510S_1-2016-3-18.pdf

Figure 3: Core photos of the 61.9m intersection in hole NLDD067

http://www.rns-pdf.londonstockexchange.com/rns/6510S_2-2016-3-18.pdf

Table 1: Significant intercepts table

 
Location   Hole     Hole        NAT     NAT North    NAT    Max   Dip  Azimuth  From    To     Interval    True   Zinc  Lead  Silver  Iron 
            Type      ID        East                  RL   depth                 (m)    (m)      width     width   %      %    ppm     % 
                                                            (m)                                   (m)       (m) 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD     NLDD067   475143,41  7509859,95  170.8  168.0  -43    232    57.9   115.0     57.1       8.5   28.6  0.07  33(*)   24.0 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK074   475145,62  7509861,66  169.5  79.5   -35    230    43.4   46.4       3.0       1.5   35.3  0.13   (**)   22.8 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK074   475145,62  7509861,66  169.5  79.5   -35    230    49.60  61.5      11.9       6.0   20.8  0.04   (**)   18.4 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK075   475145,42  7509861,70  169.5  94.5   -35    244    79.5   88.2       8.7       4.0   19.5  0.87   (**)   18.9 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK075   475145,42  7509861,70  169.5  94.5   -35    244    89.5   92.5       3.0       2.0   12.2  0.10   (**)   39.1 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK076   475053,31  7509903,90  171.6  79.5   -21    243    28.9   32.5       3.6       1.3   9.8   2.60    42    14.7 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
  North     DD    NLDDK076   475053,31  7509903,90  171.6  79.5   -21    243    67.6   75.7       8.1       2.5   6.7   7.59   100    33.9 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----  ----  ------  ---- 
                                                                                                  No 
                                                                                              significant 
  North     DD     NLDD064   475186,16  7509826,94  169.5  82.8   -41    228                  intercepts 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----------  ------  ---- 
                                                                                                  No 
                                                                                              significant 
  North     DD     NLDD065   475185,94  7509827,65  169.5  110.8  -35    245                  intercepts 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----------  ------  ---- 
                                                                                                  No 
                                                                                              significant 
  North     DD     NLDD066   475143,31  7509860,24  170.9  173.8  -40    240                  intercepts 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----------  ------  ---- 
                                                                                                  No 
                                                                                              significant 
  North     DD    NLDDK073   475146,17  7509860,57  169.5  78.0   -31    226                  intercepts 
---------  -----  ---------  ---------  ----------  -----  -----  ---  -------  -----  -----  -----------  -----  ----------  ------  ---- 
 
 

(*) Provisional results for silver as being re-assayed due to laboratory CRMs under reporting by approximately 5%

(**) Ag results not available (pending)

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