Strategic Minerals PLC Replacement RNS: Air Core Drilling Results (5193V)

TIDMSML

RNS Number : 5193V

Strategic Minerals PLC

03 November 2017

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

03 November 2017

Strategic Minerals plc

("Strategic Minerals", "SML" or the "Company")

Replacement RNS

Air Core Drilling Results at Hanns Camp Cobalt - Nickel Project

The following amendments have been made to the announcement released on 02 November at 10:33am under RNS No 3974V.

The highlighted depth intervals of the intersections in the below two paragraphs were previously incorrectly stated. The Correct paragraphs are detailed below.

   --     Stronger intersections include: 

HCAC049: 24m @ 1.05% Ni eq. from 40m (including, 24m @ 0.75% Ni and 16m @ 0.07% Co)

HCAC048: 24m @ 0.96% Ni eq. from 28m (including, 24m @ 0.72% Ni and 4m @ 0.10% Co)

HCAC039: 12m @ 1.36% Ni eq. from 28m (including, 12m @ 0.77% Ni and 12m @ 0.14% Co)

HCAC028: 21m @ 1.24% Ni eq. from 28m (including, 21m @ 0.97% Ni and 17m @ 0.06% Co)

HCAC025: 16m @ 1.10% Ni eq. from 28m (including, 16m @ 0.78% Ni and 4m @ 0.06% Co)

The stronger intersections are included below:

   --     HCAC049: 24m @ 1.05% Ni eq.  from 40m (including, 24m @ 0.75% Ni and 16m @ 0.07% Co) 
   --     HCAC048: 24m @ 0.96% Ni eq. from 28m (including, 24m @ 0.72% Ni and 4m @ 0.10% Co) 
   --     HCAC039: 12m @ 1.36% Ni eq. from 28m (including, 12m @ 0.77% Ni and 12m @ 0.14% Co) 
   --     HCAC028: 21m @ 1.24% Ni eq. from 28m (including, 21m @ 0.97% Ni and 17m @ 0.06% Co) 
   --     HCAC025: 16m @ 1.10% Ni eq. from 28m (including, 16m @ 0.78% Ni and 4m @ 0.06% Co) 

All other details remain unchanged.

The full amended text is shown below.

Strategic Minerals plc

("Strategic Minerals", "SML" or the "Company")

Air Core Drilling Results at Hanns Camp Cobalt - Nickel Project

Strategic Minerals plc (AIM: SML; USOTC: SMCDY), a diversified mineral production and development company, announces the completion of the air core drilling for the nickel and cobalt targets at Central Australian Rare Earths' ("CARE") tenements at Hanns Camp, Western Australia, east of Laverton.

Key Highlights

   --     Successful cobalt and nickel intersections in 23 of the 49 holes completed 
   --     Extensive air core drilling of 1,915 metres completed 
   --     Stronger intersections include: 

HCAC049: 24m @ 1.05% Ni eq. from 40m (including, 24m @ 0.75% Ni and 16m @ 0.07% Co)

HCAC048: 24m @ 0.96% Ni eq. from 28m (including, 24m @ 0.72% Ni and 4m @ 0.10% Co)

HCAC039: 12m @ 1.36% Ni eq. from 28m (including, 12m @ 0.77% Ni and 12m @ 0.14% Co)

HCAC028: 21m @ 1.24% Ni eq. from 28m (including, 21m @ 0.97% Ni and 17m @ 0.06% Co)

HCAC025: 16m @ 1.10% Ni eq. from 28m (including, 16m @ 0.78% Ni and 4m @ 0.06% Co)

   --     Substantial zone of anomalous Co-Ni mineralisation extends approximately 1,000m x 500m 
   --     Potential easy access to minerals with top of mineralisation from 4m to 24m from surface 

-- Extensive review of the nickel sulphide potential commenced with engagement of Dr Martin Gole. Dr Gole is an internationally recognised ultramafic Ni expert

A slightly expanded version of this RNS can also be found on our website www.strategicminerals.net under the investors/presentations tab.

Chairman of Strategic Minerals, Mr Alan Broome AM, commented:

"SML acquired 100% ownership of CARE in May 2017 and we are pleased to announce that the completion of the first phase of exploration drilling at Hanns Camp has supported the identification of cobalt and nickel laterite mineralisation. These results are highly encouraging for the prospectivity of the mineralisation and provide a solid base for further exploration.

"As stated when we commenced this programme, this drilling is the first phase of exploration of the highly prospective Hanns Camp tenements The intersection of both cobalt and nickel laterite mineralisation, over an extensive area, is encouraging and lays the ground work to further examine the initial objective of identifying a substantial nickel sulphide deposit. The addition of Dr Gole brings a fantastic level of expertise to the team and will ensure we are well placed as we move forward with exploration."

[1] Ni equivalent (NiEq.) calculations based on a Nickel price of US$ 5.35 / lb and a cobalt price of US$ 27.1/ lb.

CARE Tenements

In 2016, the Company funded a drilling programme at the highly prospective Hanns Camp located within CARE's Laverton Project. In doing so, it acquired 50% of the ownership of CARE from Rarus Limited ("Rarus"). Subsequently, in May 2017, the Company acquired the balance of the ownership of CARE, which is now wholly owned by the Company.

CARE holds tenements and has access to mining rights for cobalt, nickel, rare earth elements and gold in these tenements in Western Australia.

The Laverton Project is located in the 'Eastern Yilgarn Craton Nickel Sulphide Province' in Western Australia that is most notable for hosting the Mount Windarra and South Windarra nickel sulphide deposits located 12km west of the Laverton Project which together produced 8.1 million metric tonnes (Mt) at 1.51% nickel (Ni) between 1974 and 1992. Other more recent discoveries located distally north and south along strike of the Laverton Project include;

-- Duketon Mining's Rosie Deposit that has a Mineral Resource estimate of 1.74Mt at 1.7% Ni including a best intercept of 5.2 metres at 9.13% Ni, 1.09% copper (Cu) and 2.22grams/ tonne platinum (Pt) from 599.71 metres down hole

   --     Rox Resources' Fisher East Project (Mineral Resource 3.6Mt at 2.0% Ni) 

-- Impact Minerals' Mulga Tank Project which returned a best intercept of 0.25 metres at 3.8% Ni and 0.7% Cu from 212.6 metres down hole

Hanns Camp Cobalt - Nickel Targets

In September 2017, a 49-hole air core drilling programme was completed across the extent of the known Hanns Camp ultramafic rocks. The drilling targeted a concentration of cobalt and nickel within the lateritic weathering profile. All holes were drilled vertically and drilled to the depth of weathering. A total of 1,915 metres were drilled with an average depth of 39m.

23 of the 49 holes drilled intersected mineralisation. Nickel equivalent grades were calculated on the following parameters: Ni equivalent (NiEq.) calculations based on a Nickel price of US$ 5.35 / lb and a cobalt price of US$ 27.1 / lb.

The stronger intersections are included below:

   --     HCAC049: 24m @ 1.05% Ni eq.  from 40m (including, 24m @ 0.75% Ni and 16m @ 0.07% Co) 
   --     HCAC048: 24m @ 0.96% Ni eq. from 28m (including, 24m @ 0.72% Ni and 4m @ 0.10% Co) 
   --     HCAC039: 12m @ 1.36% Ni eq. from 28m (including, 12m @ 0.77% Ni and 12m @ 0.14% Co) 
   --     HCAC028: 21m @ 1.24% Ni eq. from 28m (including, 21m @ 0.97% Ni and 17m @ 0.06% Co) 
   --     HCAC025: 16m @ 1.10% Ni eq. from 28m (including, 16m @ 0.78% Ni and 4m @ 0.06% Co) 

A full listing of the significant intersections is included in Table 1. Assaying was completed on 4m composite intervals. SML propose to complete a second phase of assaying utilising the 1m sample intervals in areas of higher grade. The 1m intervals assays will be completed before the end of 2017 and will be released when completed.

Significant Intersections

Table 1 summarises the significant drilling results from the recent air core drilling at Hanns Camp. Significant intersections being defined as a minimum of 4m at either 0.05% cobalt or 0.5% Nickel.

Table 1 Significant Intersections

 
 Hole_id    From   To   Easting   Northing   Interval    Significant      Significant     Ni Equivalent 
                                                         Intersections    Intersections    Intersections 
---------  -----  ---  --------  ---------  ---------                                    --------------- 
                                                            >0.05%           >0.5% 
                                                              Co               Ni 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             12m at           12m at 
 HCAC004     8     20   452200    6837400      12m       8m at 0.054%         0.54%            0.78% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC006     16    24   452100    6837600       8m       4m at 0.10%          0.44%            0.81% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             4m at            8m at 
 HCAC008     12    20   452000    6837800       8m       8m at 0.051%         0.60%            0.75% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             20m at           20m at 
 HCAC013     4     24   451600    6838900      20m           NSA              0.59%            0.72% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             12m at           12m at 
 HCAC014     12    24   451500    6839000      12m       4m at 0.066%         0.56%            0.74% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             16m at           16m at 
 HCAC015     16    32   451591    6839094      16m       4m at 0.048%         0.50%            0.65% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 

                                                                             4m at            4m at 
 HCAC024     28    32   451596    6839291       4m           NSA              0.56%            0.71% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             16m at           16m at 
 HCAC025     28    44   451511    6839181      16m       4m at 0.063%         0.78%            1.10% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             4m at            4m at 
 HCAC026     20    24   451402    6839099       4m       4m at 0.063%         0.52%            0.69% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                                              3m at 
 HCAC027     12    15   451907    6839801       3m       3m at 0.054%         NSA              0.69% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                            17m at           21m at           21m at 
 HCAC028     28    49   451799    6839699      21m          0.059%            0.97%            1.24% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC029     16    24   451699    6839598       8m       4m at 0.067%         0.85%            1.09% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC030     8     16   451602    6839504       8m       4m at 0.103%         0.55%            0.88% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             7m at            11m at 
 HCAC032     20    35   451403    6839300      15m       8m at 0.086%         0.54%            0.78% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             4m at            4m at 
 HCAC033     24    28   451302    6839199       4m       4m at 0.087%         0.54%            0.99% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC036     20    28   451598    6839709       8m       8m at 0.065%         0.60%            0.93% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC037     32    40   451504    6839601       8m       4m at 0.09%          0.61%            0.93% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                            12m at           16m at           12m at 
 HCAC039     28    44   451501    6839793      16m          0.142%            0.77%            1.36% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC040     16    24   451695    6839805       8m           NSA              0.64%            0.83% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC041     12    20   451600    6839902       8m           NSA              0.73%            0.94% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             8m at            8m at 
 HCAC042     20    28   451699    6839991       8m           NSA              0.58%            0.79% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             4m at            4m at 
 HCAC048     20    24   451291    6839991       4m       4m at 0.072%         0.57%            0.93% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                                             24m at           24m at 
             28    52   451291    6839991      24m       4m at 0.104%         0.72%            0.96% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
                                                            16m at           24m at           24m at 
 HCAC049     40    64   451398    6839901      24m          0.069%            0.75%            1.05% 
---------  -----  ---  --------  ---------  ---------  ---------------  ---------------  --------------- 
 

([1]) NSA: No significant Assays

Nickel Sulphide Exploration

SML has commenced the Phase 2 of its exploration programme with a review of the historical nickel sulphide potential. This is focused on EM generated targets, but will initially review the extensive database of geological information that was acquired from the previous owners.

Dr Martin Gole, an internationally recognised nickel sulphide expert has been engaged by SML and has begun a review of the prospectivity of the Hanns Camp tenements as well as the broader Laverton Project. The aim of this review will be to generate nickel sulphide targets both in the Hanns Camp area and for other known ultramafic host rocks within the CARE tenement holdings.

Competent Persons Statement

The Exploration results in this announcement are based on information compiled by Mr. Graeme Purcell, who is a Member of the Australasian Institute of Geoscientists (Member No. 4722). Mr Purcell is the Principal Geologist at Petrichor and is a consultant to the Company. He has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity 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 a qualified person as defined in the AIM Note for Mining and Oil & Gas Companies dated June 2009. Mr Purcell has over 20 years' Australia and international experience in exploration for precious and base metals.

For further information, please contact:

 
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Strategic Minerals plc                 727 965 
John Peters 
Managing Director 
www.strategicminerals.net 
 
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Notes to Editors

Strategic Minerals Plc is an AIM-quoted, diversified mineral development and production company with projects in the United States of America, the UK and Australia. The Company is focused on acquiring and developing cash generative, high quality projects which meet local market demand for commodities and utilising this cash flow to undertake value added exploration.

In September 2011, Strategic Minerals purchased its first cash-generating asset; the Cobre magnetite tailings dam project in New Mexico, USA which it brought into production in 2012 and which continues to provide a revenue stream for the Company. The portfolio was expanded in January 2016 with the acquisition of shares in Central Australian Rare Earths Pty Ltd, which holds tenements in Western Australia and the Northern Territory that are prospective for cobalt, gold, nickel sulphides and rare earth elements. The Company has since acquired all shares in Central Australian Rare Earths Pty Ltd. In May 2016, an additional exploration asset was acquired when the Company entered into an agreement with New Age Exploration Limited to acquire up to 50% of the Redmoor Tin/Tungsten project in Cornwall, UK. This 50% acquisition has now been completed and drilling at the project has commenced. The Company is also currently in due diligence in relation to the acquisition of the Leigh Creek Copper Mine situated in the copper rich belt of South Australia.

This information is provided by RNS

The company news service from the London Stock Exchange

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November 03, 2017 06:37 ET (10:37 GMT)