15 NOVEMBER 2016 MEDIA/ASX RELEASE
ACQUISTION OF NORTHERN TERRITORY GOLD EXPLORATION PROJECT KEY POINTS
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Spitfire Materials Limited ("Spitfire") has executed a conditional agreement to
acquire the granted Northern Territory exploration licence EL 30834 ("Yoda Prospect").
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The Yoda Prospect is located 150km northeast of Alice Springs within the Paleoproterozoic Aileron Province of the Arunta Region.
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Significant rock chip assays include 21.5 g/t, 15.4 g/t, 14.6 g/t and 4.8 g/t gold overlying several undrilled induced polarisation targets. (Refer to Table 1 of this announcement for full results).
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The consideration for the acquisition is 3,000,000 fully paid ordinary shares (voluntary escrowed for 12 months).
Background
Spitfire Materials Limited (ASX:SPI) is pleased to announce that it has executed a conditional Tenement Sale and Purchase agreement ("agreement") to acquire 100% of the granted Northern Territory exploration licence EL 30834 which is known as the Yoda Prospect.
Under the terms of the agreement, Spitfire has agreed to issue the vendors 3,000,000 fully paid ordinary shares in Spitfire, which will be voluntary escrowed for 12 months. The acquisition is subject to normal conditions precedent, including any necessary statutory, regulatory and third party consents.
The Yoda Prospect is located approximately 150 km northeast of Alice Springs (Figure 1). The tenement is located on the Illogwa (SF53-15) 1:250 000 and Quartz (5951) 1:100 000 geological map sheets. The project area is most easily accessed from the north via the Stuart and Plenty Highways and then south via station tracks.
The major historical gold mining districts in the region occur at the Winnecke and Arltunga Goldfields and the more recent White Dam Gold Mine. Winnecke is reported to have produced
1,500 ounces of alluvial gold, Arltunga 15,400 ounces from quartz reefs and White Dam an additional 74,000 ounces, also from quartz reefs.
The deposits are hosted both by the Palaeoproterozoic basement and by the Neoproterozoic Heavitree Quartzite and are inferred to have an age of ~325-290 Ma (late Alice Springs Orogeny).
Previous exploration history at the Yoda Prospect includes:
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During 2011-2012 exploration for mafic hosted Ni-Cu-PGE deposits was undertaken, during which 53 rock chip samples were collected and a VTEM and IP/Resistivity Survey completed. The exploration revealed a north-south trending, sporadically outcropping quartz vein over several hundred meters on the eastern margin of a dominant amphibolite outcrop. Assays of grab samples recorded gold values up to 21.5 g/t (See Table 1 for full results). A discrete IP anomaly is coincident with this zone. Several other IP targets were identified in proximity to the mineralised quartz vein.
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In 2012-2013 a further one rock chip and 12 stream sediment samples were collected.
No drilling has been undertaken at any of the gold exploration targets identified in historical exploration. Further exploration work is warranted to test the extent of gold mineralisation associated with the quartz vein and to test three coincident and semi-coincident IP anomalies spatially associated with mineralisation.
The next phase of exploration activity would include a heritage survey prior to drilling of several reverse circulation drill holes, to test the subsurface extent of mineralisation and source of the IP anomalies.
Figure 1. Yoda Prospect Location
Figure 2. Yoda Prospect
Note: Significant assay results shown only. Refer to Table 1 for full results.
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Table 1. Gold analyses from rock chip samples
SAMPLE NUMBER
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SAMPLE TYPE
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Au (g/t)
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67897
|
FLOAT
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0.041
|
|
67898
|
FLOAT
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0.001
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|
70188
|
ROCK
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0.14
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70189
|
ROCK
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0.02
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70190
|
FLOAT
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0.17
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70191
|
ROCK
|
0.04
|
|
70192
|
ROCK
|
0.01
|
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70663
|
ROCK
|
0.001
|
|
70664
|
ROCK
|
0.002
|
|
70665
|
ROCK
|
0.002
|
|
70666
|
ROCK
|
0.005
|
|
70667
|
ROCK
|
0.012
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70668
|
ROCK
|
0.016
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70669
|
ROCK
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0.001
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70670
|
ROCK
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0.001
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70671
|
ROCK
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0.002
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70672
|
ROCK
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0.001
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70673
|
ROCK
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0.001
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70679
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ROCK
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0.76
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70680
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ROCK
|
0.114
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70683
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ROCK
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14.55
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70684
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ROCK
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0.022
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70685
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ROCK
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0.008
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70686
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ROCK
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0.008
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70687
|
ROCK
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0.003
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70688
|
ROCK
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0.001
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70689
|
ROCK
|
0.009
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|
70690
|
ROCK
|
0.002
|
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70691
|
ROCK
|
0.002
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|
70692
|
ROCK
|
0.002
|
|
70693
|
ROCK
|
0.119
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70694
|
ROCK
|
0.004
|
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70695
|
ROCK
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0.002
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70696
|
ROCK
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0.001
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70697
|
ROCK
|
0.001
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70698
|
ROCK
|
0.001
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70699
|
ROCK
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0.002
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70700
|
ROCK
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-0.001
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70902
|
ROCK
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0.987
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70903
|
ROCK
|
0.068
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|
70904
|
ROCK
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21.5
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