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resources limited
28 March 2013
Ms Shannon Hong
Adviser, Ustings Compliance
ASX Compliance Pty Ltd
20 Bridge Street
SYDNEY NSW 2000
Clarifying statement regarding commencement of Pre-Feasibility Study for Kestanelik Project
On 27 February 2013 Chesser Resources Limited (ASX:CHZ) announced the completion of a Scoping Study on its Kestanelik project.Selected information from the 27 February 2013 announcement relating to the Scoping Study was aIso included in a presentation made to the Hong Kong Mines & Money Conference released to the ASX on 20 March 2013.
The purpose of the Scoping Study was to assess the potential economie viability of the Kestanelik project and to previde justification for conducting further exploration work and geologica! modeling to improve resource confidence and the commencement of a pre-feasibility study in relation to the Kestanelik project. The Scoping Study was based on a JORC lnferred Resource of 462,000 ounces of gold at an average grade of 2.42 g/t as set
out below:
|
Zone
|
Tonnes > Cut-off
|
Grade > Cut-off
|
Contained Metal
|
|
1 (tonnes,000)
|
Au (B/t)
|
Ag (g/t)
|
Au (kozs)
|
Ag (kozs)
|
|
K-Zone
|
4,671
|
2.61
|
1.92
|
392
|
289
|
|
1 Karazone
|
1,258
|
1.73
|
1.53
|
70
|
62
|
|
Total
|
5,929
|
2.42
|
1.84
|
462
|
351
|
lnferred Minerai Resource Kestanellk Pro}ect- May lOU,based on0.5 g/t Au cut-off.
The Scoping Study was based on an inferred minerai resource. The current version of the JORC Code defines inferred minerai resources as having a low level of geologica! confidence and, as such, there is no certainty that further exploration work will result in sufficient indicated or measured resources identified within the project to meet the assumptions used in the Scoping Study.
The new reporting requirements for mining and oil and gas production and exploration entlties,and the new version of the JORC Code,which will come in to effect on l December 2013 ("the revised rules),prescribe that until such time as the Company has sufficient indicated or measured minerai resources or ore reserves, reliance should not be placed on the accuracy of statements in relation to production, mine life,NPV, cash costs and strong economics ("Scoping Study Statements") and the assumptions used to date do not represent that the results of the Scoping Study present an economically viable project as the assumptions used to date may not be considered sufficiently reliable.
96 Stephens Road,South Brisbane QLD 41011 GPO Box 8012,Woolloongabba QLD 41021 T +61 (0)7 3844 06131 F +61(0)7 3844 01541
ACN 118619042
eh esse r
resources llmlted
As the Company is not currently in a position to early adopt the revised rules,the ASX has requested that the
Company, and the Company has agreed to, withdraw ali Scoping Study Statements contained in the 27
February 2013 announcement and the presentation released to the ASX on 20 March 2013.
1!.7
Stephen Kelly
Company Secretary
Competent Persons Statement
The information in thls reporl that re/ates to in-situ Minerai Resources is based on information compi/ed by Mr Gary Giroux of Glroux Consultants Ltd. Mr Giroux
is the competent person for the Kestanelik end Sisorta resource estimates end takes overe/1 responsibi/Jty for them. He fs a Membar in good standing of the
Assoclation of Professione/ Engineers and Geoscientists of the Province of British Columbia (a ''Recognised Overseas Professione/ Organlsatlon" under the JORC code) and has sufffclent experience, which fs relevant to the style of minera/isation end type of deposi! under conslderatfon, and to the activity he is undertaking, to qualify as a "Competent Person" as defined in the 2004 Editian of the 'Australaslan Code for Reporting of Exp/oration Results, Minerei
Resaurces and Ore Reserves' (JORC Code) end has the appropriate relevant qualifications, experience and independence to qualify as a "Quallfied Person" under Natlonallnstrument 43-101 -"Standards af Dlsclosure for Minerai Projects" (N/ 43-101). Mr Giroux consents to the inclusfon of such informatlon in this Report in the form and context in which il appears.
96 Stephens Road,South Brisbane QLD 4101 lGPO Box 8012,Woolloongabba QLD 41021 T +61 (0)7 3844 06131 F +61(0)7 3844 01541
ACN 118619042