ASX Release 27 April 2022
ASX: OZM
Quarterly Report for the Quarter ended March 2022
OzAurum Resources Ltd (ASX: OZM or OzAurum or the Company) is pleased to provide a summary of activities for the March 2022 Quarter. The Company commenced 15,500 metres (m) of drilling to test several new and exciting targets at both the Mulgabbie North and Patricia Gold Projects. The drilling will be conducted over the first half of 2022 and consists of 3,000m of Diamond drilling, 7,500m of Reverse Circulation (RC) drilling and 5,000m of Aircore (AC) drilling. OzAurum announced excellent results from the Mulgabbie RC drilling program undertaken late in 2021 as well as visible gold intercepted in our initial Diamond hole at the high grade Patricia Gold Project (PTODH 001).
HIGHLIGHTS p 15,500 m of drilling currently underway at the Mulgabbie North and Patricia Gold Projects consisting of 3,000 m Diamond drilling, 7,500 m RC drilling and 5,000 m AC drilling – to be completed over six months
p Gold mineralisation at Mulgabbie North is open along strike and at depth p RC holes that intersected significant gold mineralisation at Mulgabbie North include:
p Maiden Diamond drilling program commenced at the Patricia Project targeting high grade gold mineralisation at depth, as well as further structural and lithological information to potentially resolve the structural complexity seen at the Project thus far
P 73 m @ 1.30 g/t Au – (from 17 m) vertical hole MNORC 171 incl 1 m @ 10.35 g/t Au, 12 m @ 2.04 g/t Au and 8 m @ 2.00 g/t Au
p At Patricia, visible gold was intersected in Diamond hole PTODH 001 at 165.6 m – a twin hole to previously reported PTORC 024 that intersected 5 m @ 37.11 g/t gold (Au) from 154 m including 1 m @ 90.4 g/t Au, 1 m @ 63.6 g/t Au, 1 m @ 16 g/t Au and 1 m @ 13.25 g/t Au
P 36 m @ 1.37 g/t Au – (from 95 m) incl 15 m @ 2.02 g/t Au MNORC 162
p RC drilling at Mulgabbie North intersected a significant wide zone of gold mineralisation, including 73 m @ 1.30 g/t Au
OzAurum Resources Limited
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ABN 63 643 244 544
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P 7 m @ 5.26 g/t Au – (from 41 m) incl 2 m @ 16.02 g/t Au – vertical hole MNORC 172
P 1 m @ 5.36 g/t Au – (from 31 m) MNORC 126 P 1 m @ 5.09 g/t Au – (from 103 m) MNORC 126
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Quarterly Report for the Quarter ended March 2022
OzAurum Resources commenced its 2022 drilling program of 15,500m at the Mulgabbie North and Patricia Gold Projects. Current drilling includes a maiden 1,000m Diamond drill program at the Patricia Gold Project, situated North-East of Kalgoorlie in the Eastern Goldfields of Western Australia which has so far intersected visible gold in the initial hole PTODH 001. RC drilling, which has also commenced at the Mulgabbie North Project, aims to test new high-grade supergene gold targets between the Alicia and Ben Prospects, coinciding with the magnetic destruction zone.
MULGABBIE NORTH OzAurum’s 2021 large-scale drilling programs, including the AC gold drill results, have clearly defined significant zones of gold mineralisation along and adjacent to the Relief Shear within the Keith Kilkenny fault zone. Of particular interest, is the area immediately along strike to the south of the Ben Prospect where several AC holes have intersected significant supergene gold mineralisation, including MNOAC 536 which intersected 17 m @ 0.80 g/t Au (from 56 m) including 4 m @ 1.68 g/t Au and 1 m @ 1.52 g/t Au from 72 m to EOH. A number of these exciting new targets that have been identified for 2022 RC drilling coincide with an extensive zone of magnetic destruction and the co-incident, strong and steep gravity gradient that extends the length of the Mulgabbie North Project. Interpretation of the detailed drone magnetic survey, and close spaced gravity survey at Mulgabbie North completed in late 2021, is still ongoing. Current RC drilling continues to advance the Company’s flagship Mulgabbie North Project, delivering extremely positive results which are summarised below. The RC results, combined with AC results, have now defined zones of significant mineralisation extending for 4.2 km in strike, further highlighting the potential of Mulgabbie North to be a major gold project.
Reverse Circulation Drilling Results During the Quarter, the Company reported the results from 48 drill holes that were drilled in late 2021 for 7,912 m at the Mulgabbie North Project. The drilling aimed to test extensions of the James Prospect, as well as, to test aircore gold anomalies. Significant gold mineralisation, over a wide zone, was intersected in RC drill holes situated north of the James Prospect within the Mulgabbie North Project. This wide zone of gold mineralisation is located on the Relief Shear and the lithological contact that hosts gold mineralisation is at both the James and Ben Prospects. In particular, the drilling extended the strike of gold mineralisation, confirmed by RC drilling, to 1.3 km. Vertical hole MNORC 171 intersected a significant interval of high-grade mineralisation of 73 m @ 1.30 g/t Au and includes 1 m @ 10.30 g/t Au, 12 m @ 2.04 g/t Au and 8 m @ 2.00 g/t Au. The vertical hole orientation has resulted in a higher grade intersection than seen in adjacent drill hole MNORC 059 – suggesting a potential preferred higher grade ore geometry. The 2022 Diamond drilling program will assist to further understand this potential ore geometry. Additional significant results include MNORC 162 that intercepted 36 m @ 1.37 g/t Au from 95m including 15 m @ 2.02 g/t Au which is situated on the section below MNORC 118 which intersected 14 m @ 1.58 g/t Au from 24 m. This is saprolite hosted gold mineralisation with associated quartz veining observed within the mineralised interval and will be targeted at depth with future RC drilling. This hole is also a northern extension of mineralisation at the James Prospect situated 200 m north along strike. High grade primary gold mineralisation has been intersected below the paleochannel mineralisation with MNORC 126 intersecting 1 m @ 5.09 g/t Au from 103 m. This will be followed up with further RC and Diamond drilling. Intrusive porphyries have been intersected in several RC drill holes at Mulgabbie North along the Relief shear. Future geological work will be undertaken to understand the potential links of intrusive porphyry to current gold mineralisation.
Reverse Circulation Drilling Geological Interpretation Numerous RC drill holes intersected high-grade mineralisation within wide, lower grade intervals, indicating that Mulgabbie North is situated within a large mineralised gold system. Gold Mineralisation at Mulgabbie North is currently open at depth and along strike at both the Ben and James Prospects.
OzAurum Resources Limited
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ABN 63 643 244 544
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info@ozaurumresources.com
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Quarterly Report for the Quarter ended March 2022
Wide zones of weak to moderate hematite alteration have also been discovered in some RC holes at Mulgabbie North. Specifically, the hematite alteration indicates oxidised fluids from an intrusive complex suggesting proximity to the mineralising centre – likely to be within OzAurum’s 100% owned Mulgabbie North tenure. A fault has been intersected in four RC holes at the Ben Prospect that have associated pyrite and arsenopyrite mineralisation. The 2022 drilling program will continue to further test strike and depth extensions of gold mineralisation at the James and Ben Prospects that are situated on the Relief Shear. The drilling aims to simultaneously test three regional prospects on newly granted tenements along the Relief Shear including the Golden Goose, Alicia and Libby prospects. Gold mineralisation at these prospects is hosted in the intermediate-felsic volcaniclastic units, and the additional RC drilling program at Mulgabbie North will scope out the extent of known mineralisation aimed at making a significant gold discovery. Utilising best practice RC drilling, sampling and assay protocols will allow for a potential future JORC 2012 compliant resource to be estimated with confidence at Mulgabbie North. Figure 1: Mulgabbie North Project
OzAurum Resources Limited
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ABN 63 643 244 544
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Quarterly Report for the Quarter ended March 2022
Figure 2: Mulgabbie North RC drill collar plan
OzAurum Resources Limited
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Quarterly Report for the Quarter ended March 2022
Figure 3: Mulgabbie North 9640N Cross Section
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Quarterly Report for the Quarter ended March 2022
Figure 4: James Prospect 9900N cross section
OzAurum Resources Limited
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Quarterly Report for the Quarter ended March 2022
Figure 5: Mulgabbie North AC drill collar plan with Max Au g/t AC 1m and composite intervals
OzAurum Resources Limited
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Quarterly Report for the Quarter ended March 2022
PATRICIA PROJECT Summary Drilling Results The Patricia Gold Project is situated Northeast of Kalgoorlie in the Eastern Goldfields of Western Australia. During the Quarter, the Company commenced a Maiden 1,000 m Diamond drilling program at the Patricia Project and the results will be announced to market as soon as they are received. Diamond hole PTODH 001 represents the first Diamond hole drilled by OzAurum at the Patricia Project. This hole was planned to twin RC hole PTORC 024 that previously intersected 5 m @ 37.11 g/t Au from 154 m including 1 m @ 90.4 g/t Au, 1 m @ 63.6 g/t Au, 1 m @ 16 g/t Au and 1 m @ 13.25 g/t Au. Results from PTODH 001, which has been planned to be drilled to a depth of 200 m, also aims to provide valuable structural information related to high grade gold mineralisation at the Patricia Gold Project. In addition to this initial twin hole, the Company has planned several step-out Diamond drill holes as part of this initial 1,000 m program. The visible gold intersected is associated pyrite, chalcopyrite and electrum mineralisation hosted in quartz veining within an ultramafic unit. Gold mineralisation at Patricia is also hosted in the alteration selvage either side of the mineralised quartz veins. This first hole is part of a 1,000 m diamond drilling program planned for Patricia, with diamond drilling seen as the potential key to unlocking the structural complexity seen at the project. Initial holes will twin previously reported RC drilling high grade gold intercepts, and information from these initial diamond holes will be used to plan deeper holes targeting high grade gold mineralisation at depth. Figure 6: PTODH 001 165.6 visible gold in diamond core
Previously reported high grade intercepts (please see OZM ASX release 23/09/21) from OzAurum’s Patricia RC drilling include: p 5 m @ 37.11 g/t Au – (from 154 m) PTORC 024 p 1 m @ 90.40 g/t Au – (from 156 m within 5 m @ 37.11 g/t Au) visible Au PTORC 024 p 1 m @ 63.60 g/t Au – (from 155 m within 5 m @ 37.11 g/t Au) PTORC 024 p 1 m @ 16.00 g/t Au – (from 154 m within 5 m @ 37.11 g/t Au) PTORC 024 p 1 m @ 13.25 g/t Au – (from 157 m within 5 m @ 37.11 g/t Au) PTORC 024 p 5 m @ 11.74 g/t Au – (from 151 m) PTORC 022 p 1 m @ 31.10 g/t Au – (from 154 m within 5 m @ 11.74 g/t Au) PTORC 022 p 1 m @ 10.8 g/t Au – (from 151 m within 5 m @ 11.74 g/t Au) PTORC 022 p 1 m @ 7.42 g/t Au – (from 191 m within 5 m @ 3.19 g/t Au) PTORC 035
OzAurum Resources Limited
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ABN 63 643 244 544
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Quarterly Report for the Quarter ended March 2022
Patricia Gold Project Geology and Background Information The Patricia Gold Project is situated within the Celia Tectonic Zone that hosts numerous large gold deposits and operating gold mines including Sunrise Dam, Deep South, Safari Bore, Linden and the Anglo Saxon Gold Mine. At the Patricia segment of the Celia Tectonic Zone the greenstone sequence consists of intermediate to felsic volcanics and volcaniclastics with interleaved ultramafic and banded iron formation. The Patricia Gold Project is situated on a significant flexure of the greenstone stratigraphy with the strike changing from 320° to 350° back to 320°. This change in strike direction represents a dilation jog which is a classic structural trap for gold fluids. Coincidently a large intermediate porphyry body intrudes the greenstone sequence at this point. The historic Patricia Gold Mine was discovered in 1930 and mined underground up until 1937. During this time the Patricia Gold Mine produced 5,384 oz Au from 4,115 tonnes of ore at an average grade of 41 g/t Au. Aztec Exploration Ltd commenced modern exploration in 1983 at Patricia. Aztec produced a very high quality dataset of geological information based on RC drilling, diamond drilling, costeaning and geological mapping. Subsequently Aztec established an open mining operation in 1986 with small CIP treatment plant located onsite. The current Patricia open pit is some 800 m long x 150 m wide and was mined to a depth of 25 metres. Photomicrograph 1: PTODH 001 165.6 free gold in diamond core in proximity to chalcopyrite
OzAurum Resources Limited
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ABN 63 643 244 544
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Quarterly Report for the Quarter ended March 2022
Figure 7: Patricia Gold Project Interpreted Geological Plan
OzAurum Resources Limited
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Quarterly Report for the Quarter ended March 2022
CORPORATE OzAurum’s Managing Director and CEO, Andrew Pumphrey, delivered a presentation at the RIU Explorers Conference held at Fremantle, WA from the 15th to the 17th February 2022. HLB Mann Jedd was appointed as the new auditor of the Company on 18 February 2022 following receipt of Ernst & Young’s resignation on the same day. The appointment was approved by shareholders at the Annual General Meeting held on 24 November 2021.
ADDITIONAL INFORMATION Information required by Listing Rule 5.3.1: During the Quarter, the Company spent $518k on exploration activities which were conducted at both the Mulgabbie and Patricia Projects. The primary costs were $88k for drilling and $102k for assay costs.
Information required by Listing Rule 5.3.5: During the Quarter, the Company made payments of $156k to related parties and their associates which consisted of: p Wages/Director fees
$151k
p Hire of equipment
$5k
p Other services on an arm’s length basis $9k
Information required by Listing Rule 5.3.4: OzAurum provides the following disclosures required by ASX Listing Rule 5.3.4 regarding a comparison of its actual expenditure to date since listing on 8 February 2021 against the ‘use of funds’ statement in its Prospectus dated 10 December 2020. Funds allocated under Prospectus1 $’000
Actual to 31 Mar 2022 $’000
Variance $’000
Exploration – Mulgabbie Project
6,294
4,613
1,681
Exploration – Patricia Project
2,024
950
1,074
Working capital
2,835
2,020
815
–
209
(209)
1,197
923
274
$12,350
8,715
3,635
Acquisition of tenements Expenses of the Offer Total Pre IPO funds used between date of prospectus and date of listing
289
Closing Cash Balance
3,346
Notes: 1. Total included the Company’s estimated existing cash reserves ($350k) as at the date of the Prospectus. The above table is a statement of current intentions as at the date of this Prospectus. As with any budget, intervening events (including exploration success or failure) and new circumstances have the potential to affect the manner in which the funds are ultimately applied. The Board reserves the right to alter the way funds are applied on this basis.
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ABN 63 643 244 544
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Quarterly Report for the Quarter ended March 2022
Table 1: Mulgabbie North RC Drill Holes Selected Results
Hole ID MNORC 126
Easting
Northing
mRL
Depth (m)
Dip
Azimuth
441465.02
6665261.746
371.266
120
-60
225
MNORC 128
441393.19
6665329.896
370.073
130
-60
MNORC 129
441567.88
6665501.426
373.774
120
-60
MNORC 139
442597.1
6664137.917
374.261
160
-60
225
From (m)
Length (m)
g/t Au
31
1
5.36
103
1
5.09
30
1
6.23
225
10
10
1.36
including
101
1
6.38
including
126
1
2.96
including
110
1
3.06
including
115
1
1.51 1.30
225
103
10
including
103
2
1.71
including
109
3
2.22
MNORC 142
443355.27
6663468.208
386.066
240
-60
225
186
9
1.24
MNORC 143
443328.24
6663380.661
384.022
200
-60
225
24
4
1.95
MNORC 144
443383.01
6663437.18
385.1
240
-60
MNORC 147
443276.69
6663442.569
384.454
120
-60
225
156
15
1.75
including
158
12
2.06
including
165
1
9.59
including
165
6
3.24
225
27
1
5.29
56
15
1.89
69
1
9.24
75
10
1.00 2.24
including including
79
2
MNORC 158
441989.29
6665069.627
374.83
220
-60
225
106
1
5.14
MNORC 162
441906.97
6665136.089
373.078
220
-60
225
67
1
8.24
MNORC 163
442561.28
6664130.261
374.166
120
-60
95
36
1.37
including
97
15
2.05
including
115
5
1.94
225
60
9
1.48
including
60
1
5.05
MNORC 167
442624.8
6664108.201
374.56
160
-60
225
124
6
1.49
MNORC 171
442020.21
6664886.657
375.999
100
-90
360
17
73
1.30
including
17
1
10.35
including
18
4
2.70
including
27
1
2.50
including
51
12
2.04
including
81
8
2.00
360
41
7
5.26
including
42
2
16.02
54
46
0.70
57
10
1.61
MNORC 172
443299.02
6663412.025
384.193
100
-90
including
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Quarterly Report for the Quarter ended March 2022
For Further Information please contact; Andrew Pumphrey Managing Director & CEO +61 419 965 976 This ASX Announcement was approved and authorised by OzAurum’s Managing Director, Andrew Pumphrey.
About OzAurum OzAurum Resources Ltd (ASX: OZM) is a Western Australian gold explorer with advanced gold projects located 130 km north east of Kalgoorlie. The Company’s objective to make a significant gold discovery that can be bought in production. For more information on OzAurum Resources Ltd and to subscribe to our regular updates, please visit our website at www.ozaurumresources.com or contact our Kalgoorlie office via email on info@ozaurumresources.com.
121˚ 00’
121˚ 30’
122˚ 00’
122˚ 30’
Edjudina
Leonora
OzAurum Applications
PATRICIA
OzAurum Tenements
-30˚ 00’
-30˚ 00’
Mine
Pinjin Carosue Dam
MULGABBIE NORTH
Black Swan Paddington
-30˚ 30’
-30˚ 30’
Kanowna Belle
KALGOORLIE
50 kilometres
Perth
0
121˚ 00’
121˚ 30’
122˚ 00’
10
20
30
40
50
122˚ 30’
Competent Persons Statement The information is this report that relates to exploration results is based on information compiled by Andrew Pumphrey who is a Member of the Australian Institute of Geoscientists and is a Member of the Australasian Institute of Mining and Metallurgy. Andrew Pumphrey is a full-time employee of OzAurum Resources Ltd and 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 2012 edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Pumphrey has given his consent to the inclusion in this report of the matters based on the information in the form and context in which it appears.
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ABN 63 643 244 544
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Quarterly Report for the Quarter ended March 2022
Table 3: OzAurum Announcement dates and OzAurum drill holes ASX Announcement Date
Drill Hole Reference
21 February 2022
MNORC125 – MNORC172
28 March 2022
Visible gold in PTDH001
Schedule of Tenements Change in Economic Entity’s Interest During Quarter
Project
Location
Tenement Number
Economic Entity’s Interest at Quarter End
Patricia
Kalgoorlie, WA
E31/1083
100%
No Change
Patricia
Kalgoorlie, WA
E31/1186
100%
No Change
Patricia
Kalgoorlie, WA
M31/487
100%
No Change
Patricia
Kalgoorlie, WA
P31/2063
100%
No Change
Patricia
Kalgoorlie, WA
L31/73
100%
No Change
Patricia
Kalgoorlie, WA
P31/2155
100%
No Change
Mulgabbie
Kalgoorlie, WA
E31/1084
100%
No Change
Mulgabbie
Kalgoorlie, WA
E31/1085
100%
No Change
Mulgabbie
Kalgoorlie, WA
M28/240
100%
No Change
Mulgabbie
Kalgoorlie, WA
E31/1137
100%
No Change
Mulgabbie
Kalgoorlie, WA
E28/2477
100%
No Change
Mulgabbie
Kalgoorlie, WA
L28/48
100%
No Change
Mulgabbie
Kalgoorlie, WA
L28/49
100%
No Change
Mulgabbie
Kalgoorlie, WA
L28/71
100%
No Change
Mulgabbie
Kalgoorlie, WA
E28/3003
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1356
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1357
100%
No Change
Mulgabbie
Kalgoorlie, WA
M28/364
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1301
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1302
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1303
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1304
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1388
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1389
100%
No Change
Mulgabbie
Kalgoorlie, WA
P28/1390
100%
No Change
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