a320f83b-d077-4d76-8600-5b791ec21b6b.pdf
ASX Announcement & Media Release
Wednesday, 27 January 2016
Fast Facts
ASX Code: RNS
Shares on issue: 459.6 million Market Cap: A$14 million
Cash: A$1.3 million (31 Dec 2015)
Board & Management
Alan Campbell, Non-Exec Chairman Dave Kelly, Non-Exec Director Justin Tremain, Managing Director
Craig Johnson, Exploration Manager Brett Dunnachie, CFO & Co. Sec.
Vireak Nouch, Country Manager
Company Highlights
Targeting large gold systems in an emerging Intrusive Related Gold province in Cambodia
First mover in a new frontier
Okvau Deposit (100% owned): Indicated and Inferred Mineral Resource Estimate of 1.13Moz at 2.2g/t Au (refer Table One)
PFS completed and demonstrates high grade, low cost, compelling development economics:
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830,000ozs in single pit
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Production to 100,000ozs pa over 8yr mine life (average 91,500oz pa LOM)
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AISC US$611/oz first 5 years (average US$735/oz LOM)
NPV(5%) US$174M
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IRR 35% pa
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Payback ~2.6 years
Clear pathway to development
Significant resource growth potential. Okvau Deposit remains 'open' and multiple nearby high priority, untested targets
Registered Office
78 Churchill Avenue
SUBIACO WA 6008
T: +61 8 9286 6300
F: +61 8 9286 6333
W: www.renaissanceminerals.com.au E: [email protected]
Extensive Untested IP Anomaly Identified at Samnang Prospect Okvau Project, Cambodia
Recently completed 3D Induced Polarization ("IP") geophysical survey has highlighted significant scope for exploration and resource growth potential
An extensive IP chargeability anomaly identified at the Samnang Prospect (adjacent to the Okvau Deposit), indicating the presence of substantial sulphide mineralisation, similar but more extensive to that associated with the 1.13Moz Okvau Deposit
A coincidental strong resistivity anomaly also confirms the potential for altered diorite, a favorable host to gold mineralisation
Areas for possible incremental extensions of mineralisation at the Okvau Deposit also identified by the IP survey
Renaissance Minerals Limited (ASX: RNS) ('Renaissance') is pleased to announce that is has received results and a preliminary interpretation from an offset pole-dipole Induced Polarization (3D-IP) survey completed around the Okvau Deposit in Cambodia. The 3D-IP survey has highlighted considerable upside scope for additions to the currently defined 1.13Moz resource estimate at the Okvau Deposit (refer Table One).
The survey identified a high chargeable zone that is contiguous over at least 500 metres of strike and is still open to the north at the Samnang Prospect (refer Figure One). Samnang is located immediately to the north-west of the Okvau Deposit. The IP anomaly identified at Samnang is analogous with a chargeable anomaly associated with the mineralisation at the Okvau Deposit, although appears to be more extensive.
The IP survey clearly demonstrates the relationship between high chargeability in the IP and sulphide mineralisation at Okvau Deposit. The strong chargeable response at Samnang indicates the presence of greater proportions of sulphide. Lower electrical resistivity response (i.e. higher conductivity) also supports the presence of higher sulphide content.
A significant surface geochemical anomaly exists at Samnang (refer Figure Three) which Renaissance has previously tested with limited shallow drilling. As shown in Figure Two, the IP chargeable anomaly identified by this new survey sits immediately beneath this previous drilling which only tested the upper margins of the IP anomaly and returned highly encouraging results such as (refer ASX announcement dated 4 February 2013):
9 metres @ 6.6g/t gold from 0 metres 3 metres @ 4.0g/t gold from 21 metres 2 metres @ 4.7g/t gold from 33 metres
Furthermore, the IP appears to show the effect of north-east structures which are cross cut by north-west structures. This setting is known to be a major structural control of the Okvau Deposit.
Renaissance plans to drill test the IP target over the coming months to determine whether the sulphide body indicated by the IP survey hosts significant economic gold mineralisation.
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It was already known that the Okvau Deposit mineralisation was associated with a distinct chargeable high. What was not known previously was the extent and apparent depth continuity of the chargeability at the Samnang Prospect, located only 500m to the north-west of the Okvau Deposit.
Figure One | IP Chargeability Plan View
Figure Two | IP Chargeability Cross Section
See Figure Two
IP Survey Details
The IP survey was designed to measure to about 250 metres depth and the lower chargeability signature at depth is potentially due to the overlying strong shallow response rather than suggesting lower sulphide mineralisation at depth. Approximately 2km2 was covered by the survey over the immediate surrounds of the Okvau Deposit, including the Samnang Prospect. The survey was undertaken on 100 metre spaced east-west transmitter lines. The method identifies chargeable zones that store electric charge (chargeability) such as sulphides and resistive zones such as silica alteration which is associated with gold mineralisation at the Okvau Deposit. The area covered by the survey is shown in Figure Three.
Figure Three | IP Survey Area
About Cambodia
Cambodia is a constitutional monarchy with a constitution providing for a multi-party democracy. The population of Cambodia is approximately 14 million. The Royal Government of Cambodia, formed on the basis of elections internationally recognised as free and fair, was established in 1993. Elections are held every five (5) years with the last election held in July 2013.
Cambodia has a relatively open trading regime and joined the World Trade Organisation in 2004. The government's adherence to the global market, freedom from exchange controls and unrestricted capital movement makes Cambodia one of the most business friendly countries in the region.
The Cambodian Government has implemented a strategy to create an appropriate investment environment to attract foreign companies, particularly in the mining industry. Cambodia has a modern and transparent mining code and the government is supportive of foreign investment particularly in mining and exploration to help realise the value of its potential mineral value.
Figure Four | Project Location
Detailed information on all aspects of Renaissance Minerals projects can be found on the Company's website:
www.renaissanceminerals.com.au.
For further information please contact Renaissance Minerals Limited
Justin Tremain, Managing Director
Competent Persons Statements
The information in this report that relates to Exploration Results is based on information compiled by Mr Craig Johnson, who is a consultant to the Company and who is a Member of The Australasian Institute of Geoscientists. Mr Craig Johnson has sufficient experience which is relevant to the style of mineralisation and type of deposits 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 Craig Johnson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Reference is made to the Company's ASX release dated 27 July 2015 titled Okvau PFS Demonstrates Compelling Project Economics. All material assumptions underpinning the production target or the forecast financial information continue to apply and have not materially changed.