ASX Release 6th September 2012

Transcription

1 ASX Release 6th September 2012 EVELOPING A NEW RARE EARTH ISCOVERY Highest grade drill intersections to date, Ngualla Rare Earth Project Peak Resources Limited (Peak; ASX: PEK; OTCQX: PKRLY), the developer of a potentially low cost, long term rare earth project in Tanzania, the fifth largest in the world outside of China, is pleased to announce new high grade drill results from its 100-owned Ngualla Rare Earth Project. Assay results have been received from 25 new infill drill holes within the central bastnaesite core of the Southern Rare Earth Zone (SREZ). The results are the highest achieved to date and reconfirm the exceptional grades that exist at Ngualla. Highlights Results include the longest +5 REO* interval returned from the Project to date: NRC195: 160m at 5.25 REO to end of hole See Table 1 for drill intersection details and Table 2 for individual rare earth distribution. The new drilling has intersected several continuous high grade zones above 7 REO: NRC195: 24m at 7.15 REO from 76m and 20m at 7.27 REO from 108m NRC204: 12m at 7.13 REO from 4m NRC205: 18m at 7.21 REO from 8m NRC209: 30m at 7.14 REO from 48m Higher grade intervals using a 6 REO lower grade cut and maximum of 2m internal dilution. Intersection details and grades at 1 and 2 REO lower grade cut-offs are included in Table 1. The new results also identify the deepest developed weathered zone of high grade mineralisation to date, with mineralisation remaining open at a depth of 160m below surface: NRC214: 66m at 3.06 REO and 36m at 3.87 REO from 72m and 73m at 4.51 REO from 112m to end of hole See Table 1 for drill intersection details and Table 2 for individual rare earth distribution. *REO = Total Rare Earth Oxide. Results from the infill drilling program demonstrate the continuity and consistency of high grade rare earth mineralisation over substantial widths within deeply weathered carbonatite in this portion of the resource targeted for initial development. Peak Resources Limited Level 2, 46 Ord Street, West Perth, Western Australia PO Box 603, West Perth, Western Australia ASX: PEK OTCQX: PKRLY ACN Telephone: info@peakresources.com.au Non-Executive Chairman: Alastair Hunter Managing irector: Richard Beazley Technical irector: ave Hammond Non-Executive irector: Jonathan Murray Company Secretary: Farlee Walker

2 ASX Release 6th September 2012 Max H REO : A 1 to 2 A 2 to 3 A 3 to 5 A >5 ete o na arb fc o r tite Northern Zone 550m Per im Max H REO : < > 5 Mt Mapuma Southern Rare Earth Zone South West Alluvials Figure 1: Surface REO contours and drill holes coloured by maximum down hole REO on satellite image draped over topography, Ngualla Carbonatite. The current infill drilling program in progress at Ngualla will provide the detailed data required to support feasibility studies focusing on the highest grade, near surface portion of the SREZ mineralisation targeted for first production. This low carbonate, low phosphate bastnaesite mineralisation is amenable to a sulphuric acid leach processing route, as recently successfully demonstrated and detailed in the ASX announcement of 23rd August Assay results received from 25 new drill holes in the central bastnaesite core of the Southern Rare Earth Zone (SREZ, Figure 1) include several wide and high grade intersections : NRC189: 98m at 4.42 REO NRC195: 160m at 5.25 REO to end of hole NRC199: 119m at 3.35 REO to end of hole including 50m at 4.76 REO NRC205: 100m at 3.56 REO including 54m at 5.36 REO NRC206: 80m at 3.95 REO including 56m at 4.90 REO NRC209: 112m at 4.78 REO including 88m at 5.52 REO NRC214: 66m at 3.06 REO and 36m at 3.87 REO from 72m and 73m at 4.51 REO from 112m to end of hole See Table 1 for drill intersection details and Table 2 for individual rare earth distribution. These results from the infill drilling program in the SREZ demonstrate the continuity and consistency of high grade rare earth mineralisation over substantial widths within deeply weathered carbonatite. 2

3 97m 73m 106m SOUTHERN RARE EARTH ZONE SEPT 2012 rill holes max REO : 0 to 1 1 to 2 2 to 3 3 to 5 >5 Completed hole, results awaited Block Model REO: A 3 to 4 A > South West Alluvial Zone 750m Fig me Bastnaesite rare earth zone me Southern Rare Earth Zone NRC195 NRC189 NRC192 NRC207 NRC194/6 NRC197 NRC199 NRC202 NRC198 NRC204/3 NRC205 NRC208 NRC211 NRC210 NRC212 NRC206 NRC209 NRC213 NRC214 NRC200 NRC209 NRC191 NRC193 Fig m N N from 72m 4.51 from 112 to EOH 4.78 Figure 2: Plan of new rare earth intersection highlights (new results hole numbers labelled) and drilling completed to date coloured by maximum down hole REO, holes drilled and awaiting results and Ngualla Mineral Resource block model (+3 REO) mn mn WEST EAST H NRC H NRC H NRC213 H NRC214 H NRC215 H NRC217 H NRC219 Weathered H NRC221 H NRC222 35m H NRC223 NRC224 Colluvium 1600mRL 62m Fresh 3.87 from 72m 150m 4.36 from 54m to EOH 185m 4.51 from 112m to EOH Carbonatite 1500mRL m Ultramafic mE mE mE SECTION 9,147,750mN NGUALLA PROJECT SOUTHERN RARE EARTH ZONE SEPT 2012 rill Holes H New results H Intersection labels REO : A New results REO A 1 to 2 A >2 A No Sample Recovered Figure 3: Cross section 9,147,750mN on the Southern Rare Earth Zone showing new and previously reported rare earth mineralised intersections within colluvial sediments and the weathered portion of the carbonatite. 3

4 WEST EAST from 14m H NRC200 H NRC209 H NRC220 H NRC136 H NRC225 H NRC226 50m H NRC135 H NRC134 75m H NRC132 Colluvium H NRC mRL Fresh 82m Fresh 91m 96m 113m 128m Ultramafic Carbonatite Weathered 1500mRL mE mE mE m SECTION 9,147,700mN NGUALLA PROJECT SOUTHERN RARE EARTH ZONE SEPT 2012 rill Holes H New results H H Previously reported Intersection labels REO : A New results A Previously reported REO A 1 to 2 A >2 A No Sample Recovered Figure 4: Cross section 9,147,700mN on the Southern Rare Earth Zone showing new and previously reported rare earth mineralised intersections within colluvial sediments and the weathered portion of the carbonatite. The latest assay results continue to demonstrate the robustness of the deposit in terms of the continuity, grade and extent of the rare earth mineralisation within the central bastnaesite zone (Figure 2). rilling operations are continuing on site with one RC (reverse circulation) and one diamond drill rig. As of 3rd September, a total of 78 holes for 8,460m have been completed within the Southern Rare Earth Zone this season (Figure 2). Assay results are awaited for 27 of these completed new holes. The drilling program will take several more months to complete and the Company will provide regular updates regarding the progress of the drilling and assay results as they are received. An updated resource estimate will be completed according to the JORC Code and Guidelines once all results have been received. Background Above: rilling NRC229, on the southern extension of the SREZ. 17th August 2012 Peak is developing the Ngualla Project, a potentially low-cost, long term rare earth project located in south west Tanzania. In two years, the Company has advanced Ngualla from a grass roots exploration project to its current status as the fifth largest rare earth deposit in the world outside of China, and the highest grade of the top seven. The Company continues to rapidly advance the project using the natural geological advantages of Ngualla s mineralisation to position it as a low cost mine. 4

5 Ngualla has a number of attributes which place the project among the world s most notable rare earth discoveries of recent years. A maiden Mineral Resource estimate was completed in February 2012 and is 170 million tonnes grading 2.24 of rare earth oxides for 3.8 million tonnes of contained REO. Within this resource there is a highly weathered and near surface zone estimated at 40 million tonnes at 4.07 REO for 1.6 million tonnes of contained REO (see Table 3). Ngualla is a bulk deposit which is largely outcropping. Recently announced proof of concept metallurgical test work results build on Project s other positive aspects with 87 REO recovery achieved and a 50 REO concentrate produced using a potentially lower cost sulphuric acid process. Richard Beazley Managing irector The information in this report that relates to Exploration Results is based on information compiled and/or reviewed by ave Hammond who is a Member of The Australasian Institute of Mining and Metallurgy. ave Hammond is the Technical irector of the Company. He has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. ave Hammond consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. The information in this report that relates to Mineral Resources is based on information compiled by Rob Spiers, who is a member of The Australasian Institute of Geoscientists. Rob Spiers is an employee of geological consultants Hellman and Schofield Pty Ltd. Rob Spiers has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Rob Spiers consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. 5

6 Table 1: Southern Rare Earth Zone Rare earth RC drill intersections, +1 REO Selected intersections + 2 REO in italics and minimum 4m intersection width. Hole I East North Hole epth (m) From (m) To (m) Interval (m) REO NRC189# 482,259 9,147, NRC ,436 9,147, * 1.36 NRC ,274 9,147, (incl ) * 1.46 NRC ,479 9,147, * 1.40 NRC ,191 9,147, NRC195# 482,253 9,147, * 5.25 NRC ,195 9,147, NRC ,239 9,147, * 1.39 NRC ,367 9,147, * 1.30 NRC ,268 9,147, * 3.35 (incl and ) NRC ,037 9,147, NRC ,316 9,147, * 1.34 NRC ,360 9,147, NRC ,401 9,147, * 5.58 NRC ,403 9,147, NRC ,438 9,147, (incl ) NRC ,073 9,147, (incl ) NRC ,444 9,147, (incl ) NRC ,123 9,147, * 1.73 NRC ,078 9,147, (incl ) NRC ,199 9,147, * 3.31 NRC ,122 9,147, * 3.66 (incl ) NRC ,270 9,147, NRC ,156 9,147, * 4.36 NRC ,201 9,147, * 4.51 Note: REO = total rare earth oxides including yttrium. See Table 2 for relative distribution of individual rare earth oxides. Samples are 2m composites from angled -60 west RC drilling except for # - NRC189 and NRC195 which are drilled to north. Intersections calculated using 1 REO lower cut and a maximum of 2m internal dilution. Analysis by SGS laboratory, Perth, by 4 acid digest and ICP or XRF. Co-ordinate system is Arc 1960 UTM zone 36S. * = hole ended in mineralisation. 6

7 Table 2: Relative components of individual REO s (including yttrium) as a percentage of total REO for some large rare earth deposits and the Ngualla Southern Rare Earth Zone (> 1 REO). Light RE Ngualla SREZ * Rare Earths Content ( of total REO) Nolans BORE MOUNTAIN PASS Baiyunebo (CHINA) Mt Weld CL Lanthanum Cerium Praseodymium Neodymium Samarium Europium Gadolinium Terbium ysprosium Other Other Yttrium Total Heavy RE Source: Arafura Website and *= Peak Resources Ltd drilling database samples >1 REO Table 3: Classification of Mineral Resources for the Ngualla Rare Earth Project, 1.0 and 3.0 REO cut-off grades. Lower cut off grade Resource Category Tonnage (Mt) REO ()* Contained REO tonnes 1.0 REO 3.0 REO Measured ,000 Indicated ,700,000 Inferred ,400,000 Total ,800,000 Measured ,000 Indicated ,000 Inferred ,000 Total ,600,000 *REO () includes all the lanthanide elements plus yttrium oxides. Figures above may not sum precisely due to rounding. The number of significant figures does not imply an added level of precision. 7