PERTH, AUSTRALIA--(Marketwired - Nov 21, 2013) - Mawson West Limited (MWE.TO) ("Mawson West" or "the Company") issued a press release on 19 November 2013 that contained an error in Appendix B - Table 5 entitled "2013 Safari South drill results to end of October 2013" contained in the press release. This error was not material. A corrected press release in its entirety is included below.
- Kapulo resource definition drilling 85 per cent complete;
- Shaba results confirm high-grade copper to beyond current pit design limits, including 25 metres @ 6.79% Cu, 30 metres @ 6.37% Cu;
- Safari North results indicate potential for a high-grade open pit, including 19 metres @ 6.39% Cu, 22 metres @ 5.82% Cu;
- Drilling at Safari South confirms continuity of mineralization over 350 metres strike length.
Mawson West Chief Executive Bruce McFadzean said:
"Further de-risking and expanding the Kapulo resources have been a major priority for the Mawson West exploration team this year and we can now see the results of that work coming to fruition. An extended life at Kapulo will underwrite the future of Mawson West when the mine is commissioned in 2014."
Mawson West Limited (MWE.TO) ("Mawson West" or "the Company") is pleased to provide an update on the results of ongoing drilling at the Company's Kapulo copper project in the Democratic Republic of Congo ("DRC").
Kapulo comprises three outcropping copper deposits, Shaba, Safari North and Safari South (Figure 1). Together, the three deposits comprise total Indicated Resources of 5.95Mt @ 3.5% Cu and 9ppm Ag, and Inferred Resources of 2.42Mt @ 2.2% Cu and 6ppm Ag(1) (Table 1, Appendix A). Mineral Reserves have been estimated only for the Shaba deposit: 3.6Mt @ 3.6% Cu and 8.3ppm Ag (Table 2, Appendix A). The Shaba Mineral Reserve formed the basis for the decision to proceed with development of Kapulo copper project.
To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/Figure1-MWE.pdf.
Drilling programs have been carried out at Shaba, Safari North and Safari South deposits since February 2013, with the effort stepped up from one rig to three rigs in May 2013. The objectives of the drilling campaign have been to upgrade the confidence categories of all resources, enable estimates of Mineral Reserves for Safari North and South deposits and obtain core samples for additional metallurgical test work. To the end of October, the 2013 program totalled 9,735 metres in 149 RC holes and 6,500 metres in 45 diamond core holes (including 2.034 metres in RC pre-collars). A further 353 metres of RC and 110 metres of core has been drilled in eight sterilisation holes.
At the end of October remaining planned drilling totalled approximately 1,900 metres of RC and 1,100 metres of core. It is anticipated that drilling will be complete by the end of November 2013, with re-estimation of resources to follow immediately. The updated resource models will form the basis for new Mineral Reserve estimates, mining schedules and financial modelling to be undertaken in Q1 2014.
Drill results available at mid-September for Shaba and Safari North deposits, along with those available at end of October for Safari South deposit, are discussed below.
Figure 2 shows a long-projection of Shaba deposit, looking west. The figure represents horizontal width of mineralisation above 1% Cu cut-off multiplied by Cu grade, i.e. Cu grade x thickness metal accumulation. The figure is diagrammatic, based on the drill results available at mid-September 2013 and does not represent the model of Mineral Resources. The southerly plunge of the mineralisation is clearly represented. The open pit profile on the image represents the pit design within which the June 2011 Mineral Reserve was delineated.
Drill intercepts shown on Figure 2 represent holes for which assay results were available at mid-September 2013, with those returning greater than 10 metres estimated true width x Cu% labelled. Table 3 (Appendix B) presents the entire table of results along with drill hole location details.
The results to date confirm high-grade mineralisation proximal to the current pit design limits. The Company anticipates that re-evaluation of the optimum pit limits, in conjunction with upgrading of Inferred Resources to Measured and Indicated categories by virtue of closer drill spacing, may lead to an increase in the Shaba Mineral Reserve.
To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/Figure2-MWE.pdf.
Safari North Deposit
Figure 3 shows a long-projection of Safari North deposit, looking west. The colour scheme is the same as that for Figure 2. The open pit profile on the image represents the possible limits of an economic pit, based on pit optimisations of Safari North excluding 2013 drill results.
Drill intercepts shown on Figure 3 represent holes for which assay results were available at mid-September, with those returning greater than 10 metres estimated true width x Cu% labelled. Table 4 (Appendix B) presents the entire table of results along with drill hole location details.
Pre-2013 drilling of Safari North was sufficient to define only about fifty per cent of the deposit as Indicated Resources, precluding a realistic estimate of Mineral Reserves. The Company expects that 2013 infill drilling will result in delineation of the bulk of the deposit as Measured and Indicated Mineral Resources, permitting estimation of Mineral Reserves.
To view Figure 3, please visit the following link: http://media3.marketwire.com/docs/Figure3-MWE.pdf.
Safari South Deposit
At Safari South, limited drilling prior to 2013 was sufficient only to delineate an Inferred Mineral Resource.
Drilling during 2013 has confirmed that mineralisation extends over at least 350 metres strike length, with potentially economic copper grades extending to 40-50 metres below surface. The Company expects that data from the 2013 drill campaign will be sufficient to define Measured and Indicated Mineral Resources and potentially define Mineral Reserves.
Drill results available up to end of October are listed in Table 5 (Appendix B).
Qualified Persons' Statements
The technical information contained in this document that relates to exploration results has been compiled by Mr. Gary Brabham, MAusIMM, MAIG. Mr Brabham is a full-time employee of Mawson West Limited and is not independent of Mawson West. Mr. Brabham has sufficient experience relevant to the style of mineralization and type of deposit under consideration and to the activity 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" and as a Qualified Person as defined in National Instrument 43-101 "Standards of Disclosure for Mineral Projects". Mr. Brabham has reviewed and accepts responsibility for the technical information contained in this document that relates to exploration results and has consented to the inclusion of the matters based on his information in the form and context in which it appears in this document.
The technical information contained in this document that relates to the Mineral Resource estimates for the Kapulo project is based on information compiled by Mr. Steve Le Brun, a Member of the Australasian Institute of Mining and Metallurgy a Member of the Mineral Industry Consultants Association, and an Author of the NI43-101 Technical Report "Kapulo Copper Project, DRC" dated 30 June 2011. The Qualified Person responsible for preparing sections of the Technical Report as specified in that report (Mr Steve LeBrun; Technical Report as defined herein) is no longer employed by Coffey Mining, and, therefore, where Mr LeBrun was responsible for preparing the defined portions of the Technical Report, Coffey consents to being named in Mawson West Limited's announcement "Kapulo Project Drilling Update", dated on or near November 18, 2013. Coffey confirms that this document has been reviewed, including the written disclosure of the Technical Report summarized in the document, and Coffey has no reason to believe that there are any misrepresentations in the information contained therein that are derived from the Technical Report or within our knowledge as a result of the services performed by Coffey in connection with the preparation of the Technical Report.
The technical information contained in this document that relates to the Mineral Reserve estimates for Kapulo project is based on information compiled by Mr. Harry Warries, Fellow of the Australasian Institute of Mining and Metallurgy, Primary Author of the NI43-101 Technical Report "Kapulo Copper Project, DRC" dated 30 June 2011. Mr. Warries is a full time employee of Coffey Mining Pty Ltd and is independent of Mawson West. Mr. Warries has sufficient experience relevant to the type of deposit under consideration and to the activity 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". Mr. Warries is a Qualified Person under National Instrument 43-101 "Standards of Disclosure for Mineral Projects". Mr. Warries has reviewed and accepts responsibility for the Mineral Reserve estimates for Kapulo disclosed in the 30 June 2011 Technical Report and reproduced in this document and has consented to the inclusion of the matters based on his information in the form and context in which it appears in this document.
About Mawson West
Mawson West is a copper and silver-focused resource company listed on the Toronto Stock Exchange (TSX) and based in Perth, Australia.
The Company's two key projects are the Dikulushi copper-silver mine and the Kapulo copper mine located in the South Eastern province of the Democratic Republic of Congo (DRC). Mawson West also continues to focus on exploring multiple prospective targets located within its significant land holding of approximately 7,300km2 in the DRC's rich copper belt.
This news release contains certain "forward looking statements". These statements reflect management's current beliefs with respect to future events and are based on information currently available to management of the Company. Forward-looking statements involve significant risks, uncertainties and assumptions. Many factors could cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including (without limitation) the risks identified in the "Risk Factors" section of the Company's Annual Information Form and other public filings (copies of which may be obtained at www.sedar.com). The results or events depicted in these forward-looking statements may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this press release.
Appendix A - Kapulo Mineral Resource and Mineral Reserves
Appendix A - Table 1. Shaba, Safari North and Safari South June 2011 Mineral Resource estimates above 0.3% Cu cut-off grade. Ordinary kriged estimates using 2m cut Cu composites, parent cell dimensions of 10mE x 20mN x 5mRL, depleted for artisanal surface mining. Source: NI43-101 Technical Report "Kapulo Copper Project, DRC" dated 30 June 2011.
|Safari North Deposit|
|Safari South Deposit|
|Note: Figures have been rounded. "HW" refers to Hangingwall portion (domain) of each deposit, "FW" to the footwall portion (domain)|
Appendix A - Table 2: Shaba June 2011 Mineral Reserve estimate. Mineral Reserves above 0.3% Cu cut-off grade with 5% dilution applied at zero grade. Source: NI43-101 Technical Report "Kapulo Copper Project, DRC" dated 30 June 2011.
|Note: Figures have been rounded|
Appendix B - Kapulo Drill Hole Intercepts
Appendix B - Table 3: 2013 Shaba drill results to mid-September 2013.
|Cu%||Ag ppm||True Width
Table 3 notes: Intercepts calculated at 1% Cu cut-off. NSI = no significant intercept. Cu and Ag assays by SGS Dikulushi laboratory using three acid digest (method code A103) and AAS finish. Detection limit for Cu is 0.001%, for Ag 5ppm. Samples assaying less than detection limit are allocated a grade of half detection limit. Certified reference materials are inserted 1:20 in RC samples, 1:30 in diamond core samples. Duplicate split RC samples are inserted 1:20. Hole location coordinates are UTM WGS84 datum Zone 35S. Holes are normally sampled in uniform one metre intervals.
Appendix B - Table 4: 2013 Safari North drill results to mid-September 2013
|Cu%||Ag ppm||True Width
|13SNRC029||746439||9079082||1198||-60||073||49||26||47||21||20.3||5.33||17.0||108.1||RC||includes NSR 25-26m. 28-29m, 32-36m|
|13SNRC038||746390||9079042||1183||-60||073||101||60||72||12||10.0||4.69||11.6||46.8||RC||includes NSR 64-65m|
Table 4 notes: Intercepts calculated at 1% Cu cut-off. NSI = no significant intercept, NSR = no sample recovered. Cu and Ag assays by SGS Dikulushi laboratory using three acid digest (method code A103) and AAS finish. Detection limit for Cu is 0.001%, for Ag 5ppm. Samples assaying less than detection limit are allocated a grade of half detection limit. Certified reference materials are inserted 1:20 in RC samples, 1:30 in diamond core samples. Duplicate split RC samples are inserted 1:20. Hole location coordinates are UTM WGS84 datum Zone 35S. Holes are normally sampled in uniform one metre intervals.
Appendix B - Table 5: 2013 Safari South drill results to end of October 2013
|Cu%||Ag ppm||True Width
Table 5 notes: Intercepts calculated at 1% Cu cut-off. NSI = no significant intercept. Cu and Ag assays by SGS Dikulushi laboratory using three acid digest (method code A103) and AAS finish. Detection limit for Cu is 0.001%, for Ag 5ppm. Samples assaying less than detection limit are allocated a grade of half detection limit to calculate intercept Ag grades. Certified reference materials are inserted 1:20 in RC samples, 1:30 in diamond core samples. Duplicate split RC samples are inserted 1:20. Hole location coordinates are UTM WGS84 datum Zone 35S. Holes are normally sampled in uniform one metre intervals.
(1) Refer to NI43-101 Technical Report "Kapulo Copper Project, DRC" dated 30 June 2011.
- Commodity Markets
- Stocks & Offerings
Chief Executive Officer and Managing Director
+61 8 9485 9800
Mawson West Limited
Mark Di Silvio
Chief Financial Officer
+61 8 9485 9800
MAGNUS Investor Relations
+61 2 8999 1010
Roth Investor Relations Inc.
+1 732 792 2200