- New license application for the Mulla gold copper porphyry
project, covering 616km2 to the south of ongoing
drilling at the Nyngan project and adjacent to the Nevertire
project
- The Mulla project covers a regionally significant, multiple
phase intrusive complex as indicated by an extensive gravity low
and some minimal past drilling. Past hydro-geochemical sampling of
water bores identified two relatively shallowly covered target
zones
- The 100%-owned Nyngan, Nevertire and Mulla gold copper projects
cover an area of approximately 1,761km2 in a highly
prospective geologic terrane with encouraging limited previous
explorer drilling and increasing neighboring ground pegging and
drilling activities
- Kincora's drilling programs continue at the Trundle and the
Nyngan projects, with preparations advanced to commence drilling
next month at the Fairholme project and as Sultan Resources'
continues drilling within 300 metres of our Cundumbul project
MELBOURNE, Australia,
June 9, 2021 /CNW/ - Kincora Copper
Ltd. (the "Company", "Kincora") (ASX: KCC) (TSXV: KCC) is
pleased to have applied directly to the NSW State Government for a
new exploration license (ELA6304), the Mulla gold copper porphyry
project ("Mulla"). The Mulla project covers 616km2 and
is located in the interpreted northern undercover and underexplored
section of the Junee-Narromine Belt of the Macquarie Arc of the
Lachlan Fold Belt in NSW, Australia, and south of the Company's ongoing
drilling at the Nyngan project.
John Holliday, Technical
Committee chair, and Peter Leaman,
Senior VP of Exploration, commented: "The Mulla project covers a
regionally significant gravity low feature which we consider, based
on prior limited drilling and regional geophysics, could
potentially host a porphyry complex within Macquarie Arc rocks
under relatively shallow cover.
Similar large-scale gravity lows in the Junee-Narromine Belt
of the Macquarie Arc are associated with the world-class Cowal and
Northparkes mineralised systems, and the Myall porphyry exploration
project".
Sam Spring, President & CEO,
stated: "The Mulla project hasn't been drill tested since pre
Bre-X, with two broad target zones already identified for follow up
activities.
Mulla adds to the Company's project pipeline in Australia's leading porphyry belt at a time of
increasing neighbouring ground pegging and drilling activities.
Only in the last few weeks we have seen significant land
grabs in the belt from majors and juniors alike, including adjacent
to ongoing drilling activities at our Trundle and Nyngan
projects".
Mulla project background
The last period of exploration undertaken within the license
area was by Burdekin Resources NL ("Burdekin") before the Bre-X
downturn. Burdekin followed up then new regional airborne
geophysical data and the "Discovery 2000" water bore
hydro-geochemical sampling program, both undertaken by the NSW
Department of Mineral Resources.
The Mulla project is situated on a large regionally significant
gravity low. A number of significant porphyry related systems and
world-class mining operations sit on similar regionally significant
gravity lows and major intrusive complexes within the
Junee-Narromine Belt of the Macquarie Arc – Figure 2.
Figure 1: Recent significant pegging activities,
key projects and Kincora's pipeline of near term drill
project
- Key Lachlan Fold Belt players/junior explorers, including
pegging since Mar'21 with shadow outlines
- Kincora is currently drilling at the Trundle and Nyngan
projects, preparing for drilling at the Fairholme project, and
Sultan Resources is currently drilling within 300 metres of the
license boundary testing a common target at the Cundumbul
project
- Central West, New South Wales,
Australia
The public access aeromagnetic and gravity data indicates the
existence of several large intrusive volcanic complexes, some of
which have been confirmed as multiple-phase
diorite-monzonite-quartz monzonite intrusions via Burdekin's
limited and shallow drilling of 8 holes for 917 metres – see Figure
3.
Little prior modern exploration has been undertaken on the
license area because prospective basement rocks are masked by
post-mineral cover. Limited drilling (depth of holes referenced in
Figure 3) has proven the cover to be shallow with Artificial
Intelligence using Self Organizing Maps ("SoM") adopting neural
networks of airborne geophysics coupled with prior end of hole
lithology assisting Kincora's direct application selection.
Figure 2: The Mulla project sits on a regionally
significant intrusive complex
A number of key porphyry deposits and world-class mining
operations sit on regionally significant gravity lows, potentially
indicative of major intrusive complexes, within the Junee-Narromine
Belt of the Macquarie Arc
Two broad hydro-geochemical target areas were identified by
Burdekin with anomalous gold and molybdenum values, and remain
untested on complementary gravity and magnetic anomalies. Of note,
these values at the Adavale-Mullengudgery zone are in-line or
exceed ground waters around the open pits at the Northparkes
mine1, and, at the other Mulla target, the Yamba-Mia Mia
zone, prior hydro-geochemical and down hole results indicate the
potential presence of a fractionated I-type pluton which may have
undergone potassic alteration1.
Kincora is pleased to have made direct applications to the NSW
government for the Nyngan, Nevertire and Mulla gold copper
projects, which cover an area of approximately 1,761km2
in a highly prospective geologic terrane with encouraging limited
previous explorer drilling and increasing neighbouring ground
pegging and drilling activities. Recent pegging activities in the
belt illustrated in Figure 1, including adjacent to Kincora's
Trundle and Nyngan projects.
The Company's drilling programs continue at the Trundle (Trundle
Park target) and the Nyngan (hole one of a two hole program)
projects. Kincora will provide exploration updates in due course
and it is noted Sultan Resources maiden diamond drilling campaign
at the Big Hill target "continues to progress well"
(reference Sultan Resources June
3rd, 2021 press release) within 300 metres of the
license boundary of Kincora's Cundumbul project (for further
details refer to Kincora's May
19th, 2021 press release).
Figure 3: Artificial Intelligence using Self
Organizing Maps of airborne geophysics coupled with prior end of
hole lithology assisted Kincora's direct application
selection
Two mineralised target zones remain untested having been
identified by prior explorer activities that ceased due to the
Bre-X downturn
Figure 4: The Mulla project is south of ongoing
Kincora, and Inflections' recent, drilling activities and is
adjacent to two FMG licenses and Kincora's Nevertire
project
The northern Junee-Narromine belt potentially covers the largest
intrusive centre of the Macquarie Arc and with a jog and structural
grain parallel to the Lachlan Transverse Zone, possibly indicating
a locus for porphyry formation
1 Sourced:
Public access file - 1997 annual report from Burdekin Resources NL
for EL4996 Nyngan
|
This announcement has been authorised for release by the
Board of Kincora Copper Limited (ARBN 645 457 763)
Forward-Looking Statements
Certain information
regarding Kincora contained herein may constitute forward-looking
statements within the meaning of applicable securities laws.
Forward-looking statements may include estimates, plans,
expectations, opinions, forecasts, projections, guidance or other
statements that are not statements of fact. Although Kincora
believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. Kincora cautions that
actual performance will be affected by a number of factors, most of
which are beyond its control, and that future events and results
may vary substantially from what Kincora currently foresees.
Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices,
exploitation and exploration results, continued availability of
capital and financing and general economic, market or business
conditions. The forward-looking statements are expressly qualified
in their entirety by this cautionary statement. The information
contained herein is stated as of the current date and is subject to
change after that date. Kincora does not assume the obligation to
revise or update these forward-looking statements, except as may be
required under applicable securities laws.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) or the Australian Securities
Exchange accepts responsibility for the adequacy or accuracy of
this release.
Qualified Person
The scientific and technical
information in this news release was prepared in accordance with
the standards of the Canadian Institute of Mining, Metallurgy and
Petroleum and National Instrument 43-101 – Standards of Disclosure
for Mineral Projects ("NI 43-101") and was reviewed, verified and
compiled by Kincora's geological staff under the supervision of
Paul Cromie (BSc Hons. M.Sc.
Economic Geology, PhD, member of the Australian Institute of Mining
and Metallurgy and Society of Economic Geologists), Exploration
Manager Australia, who is the Qualified Persons for the purpose of
NI 43-101.
JORC Competent Person Statement
Information in this
report that relates to Exploration Results, Mineral Resources or
Ore Reserves has been reviewed and approved by Paul Cromie, a Qualified Person under the
definition established by JORC and have sufficient experience which
is relevant to the style of mineralization and type of deposit
under consideration and to the activity being 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'.
Paul Cromie (BSc Hons. M.Sc.
Economic Geology, PhD, member of the Australian Institute of Mining
and Metallurgy and Society of Economic Geologists), is Exploration
Manager Australia for the Company. Paul
Cromie consents to the inclusion in this report of the
matters based on his information in the form and context in which
it appears.
The review and verification process for the information
disclosed herein for the Nyngan project has included the receipt of
all material exploration data, results and sampling procedures of
previous operators and review of such information by Kincora's
geological staff using standard verification procedures.
JORC TABLE 1
Section 1 Sampling Techniques and
Data
(Criteria in this section apply to all succeeding
sections).
Criteria
|
JORC Code
explanation
|
Commentary
|
Sampling
techniques
|
- Nature and quality
of sampling (e.g. cut channels, random chips, or specific
specialised industry standard measurement tools appropriate to the
minerals under investigation, such as down hole gamma sondes, or
handheld XRF instruments, etc.). These examples should not be taken
as limiting the broad meaning of sampling.
- Include reference
to measures taken to ensure sample representivity and the
appropriate calibration of any measurement tools or systems
used.
- Aspects of the
determination of mineralisation that are Material to the Public
Report.
- In cases where
'industry standard' work has been done this would be relatively
simple (e.g. 'reverse circulation drilling was used to obtain 1 m
samples from which 3 kg was pulverised to produce a 30 g charge for
fire assay'). In other cases more explanation may be required, such
as where there is coarse gold that has inherent sampling problems.
Unusual commodities or mineralisation types (e.g., submarine
nodules) may warrant disclosure of detailed information
|
- Kincora Copper
Limited is the operator of the Mulla Project, having applied
directly to the NSW State Government for a new exploration license
(ELA6304), and has reviewed previous public file historical
exploration activities and results.
- Previous air core
and mud-rotary drilling with diamond core tails was conducted in
Mulla project area by BHP and Burdekin Resources NL.
- Groundwater from
existing bores were sampled and analysed for a wide range of
elements with two programs of note, the "Discovery 2000" water bore
hydro-geochemical sampling program by the then NSW Department of
Mineral Resources which was followed up by Burdekin Resources
NL.
- One or two metre
composite samples were taken from the RAB and Diamond
drilling.
- Regional airborne
geophysical data is publically available over the project
area.
- Previous public
file data and results are available from MinView
(minview.geoscience.nsw.gov.au) and DIGS.
|
Drilling
techniques
|
- Drill type (e.g. core, reverse circulation, open-hole
hammer, rotary air blast, auger, Bangka, sonic, etc) and details
(e.g. core diameter, triple or standard tube, depth of diamond
tails, face-sampling bit or other type, whether core is oriented
and if so, by what method, etc.).
|
- Historic drilling
on Kincora projects used a variety of methods including air core,
mud-rotary, and diamond core.
- The last drilling
program at the Mulla project commenced in September 1996. The
drilling Contractor was Anderson Drilling of Orange, NSW. The rig
employed was a new UDR-650 multi-purpose rig, fitted with a Sullair
900cfm x 350 psi air compressor. Drilling method used was aircore,
using 4.5-inch rods and both clay and coring bits. Drilling was
done dry, or with water injection as and when required. Later holes
were drilled using an Edson 3000 aircore rig, with NQ diamond tails
drilled using an Investigator Mk V rig.
|
Drill sample
recovery
|
- Method of recording
and assessing core and chip sample recoveries and results
assessed.
- Measures taken to
maximise sample recovery and ensure representative nature of the
samples.
- Whether a
relationship exists between sample recovery and grade and whether
sample bias may have occurred due to preferential loss/gain of
fine/coarse material.
|
- Drill Core recovery
was logged in diamond drilling tails only in historical
drilling.
- Core recovery
ranged between 42-100%.
|
Logging
|
- Whether core and
chip samples have been geologically and geotechnically logged to a
level of detail to support appropriate Mineral Resource estimation,
mining studies and metallurgical studies.
- Whether logging is
qualitative or quantitative in nature. Core (or costean, channel,
etc.) photography.
- The total length
and percentage of the relevant intersections logged.
|
Drilling
program:
- All historical Aircore, RAB and diamond holes are
geologically logged for their entire length including lithology,
sample color, alteration and mineralisation.
|
Sub-sampling
techniques and sample preparation
|
- If core, whether
cut or sawn and whether quarter, half or all core
taken.
- If non-core,
whether riffled, tube sampled, rotary split, etc. and whether
sampled wet or dry.
- For all sample
types, the nature, quality and appropriateness of the sample
preparation technique.
- Quality control
procedures adopted for all sub-sampling stages to maximise
representivity of samples.
- Measures taken to
ensure that the sampling is representative of the in situ material
collected, including for instance results for field
duplicate/second-half sampling.
- Whether sample
sizes are appropriate to the grain size of the material being
sampled.
|
Ground water analysis
program:
- Water bore samples
were collected by two means: (1) where windmills, or electric pumps
were fitted to bores, freshly pumped samples were collected
directly from the outlet pipe, and (2) where open bores were to be
sampled, a special bailer was lowered down the bore by hand, and a
water sample collected 5 metres below the standing water
level.
- Waters were
collected in 2 x 1 litre polythene bottles, and 1x 0.5 litre
polythene bottle.
Drilling
program:
- For drill holes,
samples were airlifted to the surface by compressed air, whilst the
rod string was at the bottom of the hole. This gave rise to a very
muddy sample, but for most samples, settling of the clays took
place in 15 to 20 minutes, allowing a clear sample to be decanted
into sample bottles. Some changes in the chemical properties of the
waters may have occurred during this process. When samples could
not be collected immediately after completion of drilling, the
holes were sampled using the special bailer.
- No duplicate
samples were taken.
|
Quality of assay data
and laboratory tests
|
- The nature, quality
and appropriateness of the assaying and laboratory procedures used
and whether the technique is considered partial or
total.
- For geophysical
tools, spectrometers, handheld XRF instruments, etc, the parameters
used in determining the analysis including instrument make and
model, reading times, calibrations factors applied and their
derivation, etc.
- Nature of quality
control procedures adopted (e.g. standards, blanks, duplicates,
external laboratory checks) and whether acceptable levels of
accuracy (ie lack of bias) and precision have been
established.
|
Ground
water chemistry program:
- All drill holes
waters were sampled, and dispatched to the CSIRO Mineral
Development Laboratories in North Ryde for chemical
analysis.
- The carbon is
ultimately analysed by INNA methods, and the gold content of the
water sample can be very accurately determined.
- Sample were used
for analysis of about 52 elements by ICP-OES and/or ICP-MS at CSIRO
Mineral Development Laboratories in North Ryde for
analysis.
Bedrock chemistry
program:
- Drill holes that intersected basement rocks were
sampled for chemical analysis. In all cases, a short interval of
cover rocks sitting immediately above basement was also sampled.
Samples were dispatched to ALS laboratories in Orange for analysis.
Elements measured were Au, Cu, Pb, Zn, Ag, As, Fe, Bi, Ca, Mg, Mo,
Ni and Sb, using method PM-205 for Au and IC-205 for all other
elements.
|
Verification of
sampling and assaying
|
- The verification of
significant intersections by either independent or alternative
company personnel.
- The use of twinned
holes.
- Documentation of
primary data, data entry procedures, data verification, data
storage (physical and electronic) protocols.
- Discuss any
adjustment to assay data.
|
- All data are
verified during the exploration programs.
- No twinned holes
have been completed.
- The intercepts have
not been verified by independent personal.
- Logging data is
captured manually and stored in a hardcopy.
|
Location of data
points
|
- Accuracy and
quality of surveys used to locate drill holes (collar and down-hole
surveys), trenches, mine workings and other locations used in
Mineral Resource estimation.
- Specification of
the grid system used.
- Quality and
adequacy of topographic control.
|
- A handheld GPS was
used to locate each sample point. Accuracy of +/- 5m is considered
reasonable.
- Collar positions
are set up using a hand-held GPS.
- Grid system used is
the Australian Map Grid Zone 55, AGD 66 datum.
|
Data spacing and
distribution
|
- Data spacing for
reporting of Exploration Results.
- Whether the data
spacing and distribution is sufficient to establish the degree of
geological and grade continuity appropriate for the Mineral
Resource and Ore Reserve estimation procedure(s) and
classifications applied.
- Whether sample
compositing has been applied.
|
- Other historic drilling on Mulla project was
completed at various drill hole spacings and no other projects have
spacing sufficient to establish a mineral
resource.
|
Orientation of data
in relation to geological structure
|
- Whether the
orientation of sampling achieves unbiased sampling of possible
structures and the extent to which this is known, considering the
deposit type.
- If the relationship
between the drilling orientation and the orientation of key
mineralised structures is considered to have introduced a sampling
bias, this should be assessed and reported if material.
|
- No orientation data was collected during the
historical drilling programs.
|
Sample
security
|
- The measures taken to ensure sample
security.
|
- All samples were selected by geologists in the field
and then delivered directly to the laboratory.
|
Audits or
reviews
|
- The results of any audits or reviews of sampling
techniques and data.
|
No audits were
conducted on the historical datasets.
|
Section 2 Reporting of Exploration Results
(Criteria
listed in the preceding section also apply to this section.)
Criteria
|
JORC Code
explanation
|
Commentary
|
Mineral tenement and
land tenure status
|
- Type, reference
name/number, location and ownership including agreements or
material issues with third parties such as joint ventures,
partnerships, overriding royalties, native title interests,
historical sites, wilderness or national park and environmental
settings.
- The security of the
tenure held at the time of reporting along with any known
impediments to obtaining a licence to operate in the
area.
|
- Kincora holds two
granted exploration licenses and one exploration license
application in NSW, and rights to a further six exploration
licenses through an agreement with RareX Limited
(RareX).
- EL8222, EL6552,
EL6915, EL8960, EL6661 and EL7748 are in a JV with RareX where
Kincora has a 65% interest in the respective 6 licenses and is the
operator /sole funder of all further exploration until a positive
scoping study or preliminary economic assessment ("PEA") on a
project by project basis. Upon completion of PEA, a joint venture
will be formed with standard funding/dilution and right of first
refusal on transfers.
- EL8502 and EL8929
are granted exploration licenses wholly owned by
Kincora.
- ELA6304 is an
exploration license application wholly owned by
Kincora.
- All licenses are in
good standing and there are no known impediments to obtaining a
Licence to operate.
|
Exploration done by
other parties
|
- Acknowledgment and appraisal of exploration by other
parties.
|
- All Kincora
projects have had previous exploration work undertaken.
The review and verification process for
the information disclosed herein and of other parties for the Mulla
Project has included the receipt of all publically available open
file material exploration data, results and sampling procedures of
previous operators and review of such information by Kincora's
geological staff using standard verification procedures.
Further details of exploration efforts
and data of other parties for licenses EL8222, EL6552, EL6915,
EL8960, EL6661, EL7748, EL8502 and EL8929 are provided in the March
1st, 2021, Independent Technical Report included in the Company's
ASX listing prospectus, which is available at:
- https://www.kincoracopper.com/investors/asx-prospectus
|
Geology
|
- Deposit type, geological setting and style of
mineralisation.
|
- The Nyngan (and Walgett) 1:250,000 map sheet areas
cover the Mulla Project (ELA630) and are situated predominantly in
the Coonamble Embayment, which is the shallow, southern
continuation of the Surat Basin. Palaeozoic rocks of the Lachlan
fold belt form the basement to the Coonamble Embayment. These
Palaeozoic rocks comprise parts of five structural zones
(interpreted from geophysical data) which contain distinctive
geology and tectonic style (Schiebner & Basden 1996). The Mulla
project lies wholly within the Girilambone Zone of Schiebner &
Basden (1996) and comprises multiply deformed metasediments and
greenstones (ultramafic) of Cambro-Ordovician age. The Nyngan
Igneous complex has been intruded into this substrate in mid
Silurian times, and its orientation and emplacement may have been
controlled by the "Nyngan Transverse Zone" of Hilyard et al.
(1996). This zone parallels the Lachlan River Lineament of
Scheibner and Stevens (1974) some 120 kms to the south. This latter
lineament is considered to be a fundamental structure, and it is
possible that the Nyngan Transverse Zone has a similar
character.
|
Drill hole
Information
|
- A summary of all
information material to the understanding of the exploration
results including a tabulation of the following information for all
Material drill holes:
- easting and
northing of the drill hole collar
- elevation or RL
(Reduced Level – elevation above sea level in metres) of the drill
hole collar
- dip and azimuth of
the hole
- down hole length
and interception depth
- hole
length.
- If the exclusion of
this information is justified on the basis that the information is
not Material and this exclusion does not detract from the
understanding of the report, the Competent Person should clearly
explain why this is the case.
|
- Detailed information on historic drilling at the
Mulla project is given in the body of the
report.
|
Data aggregation
methods
|
- In reporting
Exploration Results, weighting averaging techniques, maximum and/or
minimum grade truncations (e.g. cutting of high grades) and cut-off
grades are usually Material and should be stated.
- Where aggregate
intercepts incorporate short lengths of high-grade results and
longer lengths of low-grade results, the procedure used for such
aggregation should be stated and some typical examples of such
aggregations should be shown in detail.
- The assumptions
used for any reporting of metal equivalent values should be clearly
stated.
|
|
Relationship between
mineralisation widths and intercept lengths
|
- These relationships
are particularly important in the reporting of Exploration
Results.
- If the geometry of
the mineralisation with respect to the drill hole angle is known,
its nature should be reported.
- If it is not known
and only the down hole lengths are reported, there should be a
clear statement to this effect (e.g., 'down hole length, true width
not known').
|
- Due to the
uncertainty of mineralisation orientation, the true width of
mineralisation is not known at the Mulla project.
- Intercepts from
historic drilling reported at other projects are also of unknown
true width.
|
Diagrams
|
- Appropriate maps and sections (with scales) and
tabulations of intercepts should be included for any significant
discovery being reported These should include, but not be limited
to a plan view of drill hole collar locations and appropriate
sectional views.
|
- Relevant diagrams are included in the body of the
report.
|
Balanced
reporting
|
- Where comprehensive reporting of all Exploration
Results is not practicable, representative reporting of both low
and high grades and/or widths should be practiced to avoid
misleading reporting of Exploration Results.
|
- Intercepts reported for historic drilling at the
Mulla project are zones of anomalous results as reported by
previous explorers within unmineralized or weakly anomalous
material.
|
Other substantive
exploration data
|
- Other exploration data, if meaningful and material,
should be reported including (but not limited to): geological
observations; geophysical survey results; geochemical survey
results; bulk samples – size and method of treatment; metallurgical
test results; bulk density, groundwater, geotechnical and rock
characteristics; potential deleterious or contaminating
substances.
|
- No other
exploration data is considered material to the reporting of results
at Mulla. Other data of interest to further exploration targeting
is included in the body of the report.
- Historic
exploration data coverage and results are included in the body of
the report for Kincora's other projects.
|
Further
work
|
- The nature and
scale of planned further work (e.g. tests for lateral extensions or
depth extensions or large-scale step-out drilling).
- Diagrams clearly
highlighting the areas of possible extensions, including the main
geological interpretations and future drilling areas, provided this
information is not commercially sensitive.
|
- Further exploration
and drilling is proposed to follow up previous results at the Mulla
project and the Company plans to drill other project areas that
have complementary but insufficiently tested geochemistry and
geophysical targets with the aim to find: (a) and expand near
surface copper-gold skarn mineralization overlying or adjacent to
(b) underlying copper-gold porphyry systems.
|
SOURCE Kincora Copper Limited