Spain Project Update - Two New Gold Targets and Encouraging Results
12 December 2016
Metal Tiger Plc
("Metal Tiger" or the "Company")
Spain Project Update – Two New Gold Targets and Encouraging Results
Metal Tiger (LON: MTR), the natural resources investing company is pleased to provide an update on the drilling and exploration progress at the Logrosan Minerals joint venture in Extremadura, Spain. The Logrosan Minerals JV is targeting Gold and Antinomy at the Maria Project and Tungsten and Gold at the Logrosan Project.
Two new significant gold targets identified at Logrosan:
- Logrosan West consists a 2.5km long gold anomaly within a 4km long arsenic anomaly.
- El Seranillo East consists a 1km by 500m wide As anomaly, infill gold analysis is ongoing but initial results from 4 profiles show gold over a central 250m by 500m zone.
- Logrosan now has four prospective gold targets within the Logrosan Project licence group to supplement the gold and antinomy under investigation in the nearby Maria Project area.
Rotary Air Blast (RAB) drilling on schedule, work will resume in the
- 38 drill holes totalling 775m completed during autumn season, 18 holes (316m) at Maria Gold & Antinomy Target and 20 holes (459m) at Logrosán South Gold Target.
Available assay results from the summer/autumn drilling include:
- 8 RAB drill holes with intersections between 1g/t Au to 3.94g/t, including 4.0m @ 1.47 g/t
- 15 holes with intersections >1% Sb to 1.7% Sb, widest intersection 7m @ 1.0% Sb.
Michael McNeilly, Chief Executive Officer of Metal Tiger commented:
“The discovery of two new significant gold anomalies in the Logrosan licence group, brings the current number of qualified gold targets to four. Whilst exploration is still at an early stage and deeper drilling is clearly warranted to test mineralisation at depth, the RAB Drilling is proving to be an effective exploration tool with downhole intersections of upto 4.0m @ 1.47 g/t Au and 7.0m @ 1.0% Sb in the latest results from Maria.
We are excited by the possibility that through the application of systematic modern exploration techniques and a lot of hard work on the part of our JV field team, we may have identified a new gold camp in the centre of Spain. Whilst gold and antimony have historically been mined in the Maria project area the Logrosan licences have previously been known only for their phosphate, tin and tungsten.
The addition of deep-drill ready gold targets to the two tungsten deposits outlined during 2015, adds significantly to the potential of the Metal Tiger Spanish holdings. With the additional exploration potential provided by the existence of historical lead-zinc mines in the Maria licence area, and the historical phosphate mine and tin workings in the Logrosan licence group, it is clear that, with the application of modern exploration techniques, the project areas have potential for becoming a multi-commodity hub.”
Autumn Work Programme Update
Work has progressed well at the Logrosan and Maria licence groups in Extremadura, Spain, with RAB drilling continuing alongside a programme of gold focussed sample analysis, infill soil sampling and mapping.
Two New Gold Targets
Following on from the discovery of the El Seranillo North gold target (5th April) and the Logrosan South Gold Target (announced 18th August), further alteration mapping surrounding the San Cristobal intrusion, within the Logrosan licence group, infill soil sampling and reanalysis of previous soil samples for gold has delineated several new gold anomalies and delineated two significant new gold targets; El Seranillo East and Logrosan South.
El Seranillo East is located to the east of the San Cristobal intrusion and approximately 2km southeast of the El Seranillo North gold target, with El Seranillo the locality of historical tin mining. The new target area has been the focus of infill sampling and mapping, with initial results suggesting a structural affiliation with the El Seranillo North target. Once permissions are granted it is planned that both targets will be tested by trenching and drilling.
Logrosan West is the new gold target located to the west of the San Cristobal intrusion, it trends NE-SW, parallel to the Logrosan South gold trend, approximately 5km to the northwest. Work is ongoing with the field team currently infill sampling and mapping along strike, and samples undergoing analysis. The results to date show that Logrosan West is emerging as a major new gold trend, currently approaching 2.5km long, it is associated with a 4km long arsenic in soil anomaly.
As previously reported, from soil and outcrop sampling, the El Seranillo North Gold Target is currently 400m by 500m and open both to the north and south. The JV has applied for permission to undertake sub-surface investigations and will commence a programme of trenching and test drilling once the permits are in hand.
The second gold target to be delineated in the Logrosan licence group was the Logrosan South Gold Target. This structurally controlled gold anomaly is currently 6km long and up to 950m wide. Its discovery followed on from regional mapping and the application for the San Cristóbal Sur licence (reported 19th July). With the necessary permissions for drilling and trenching already in place for the San Cristóbal concession, the JV has thus far drilled 20 RAB holes across an initial four drill profiles (see drilling update below) and trenching over the northerly 1.25km stretch of the Logrosan South Target. Once the San Cristóbal Sur concession and permissions are granted, sub-surface investigations can continue south-eastwards along the remaining 4.75km of gold anomaly strike.
New Gold Camp
The discovery of four previously unknown gold anomalies is exciting and points to the discovery of a potential new gold camp in the centre of Spain. The results bear testament to the application of modern exploration techniques and the investment in systematic soil geochemistry, geophysics and alternation mapping.
The addition of deep-drill ready gold targets to the two tungsten deposits outlined during 2015, adds significantly to the potential of the licence holdings. Additional exploration potential is provided by the existence of historical lead-zinc mines in the Maria licence area, and the historical phosphate mine and tin workings in the Logrosan licence group.
A locality map showing the current Logrosan tungsten and gold exploration targets and anomalies mentioned in this release is available to view on the Spain Projects page of the Metal Tiger website (see http://www.metaltigerplc.com).
The planned autumn Rotary Air Blast (RAB) drilling season on the MTR JV Logrosan Project in Spain has completed, on schedule, prior to the Christmas break. Drill samples collected during the autumn season have been submitted to ALS Laboratories in Seville for analysis and results are awaited for interpretation. ALS analysis is by Fire Assay with Atomic Adsorption finish (Au-AA23 package), with reporting for gold in parts per million (ppm), with a lower detection limit of 0.005ppm Au. ALS conduct internal quality control.
Since recommencing drilling after the summer break the project team have completed 38 drill holes totalling 775m. With a further 18 holes (316m) drilled at the Maria Gold and Antinomy Project, bringing the Maria total to 100 holes (1,819m) and a total of 20 holes (459m) drilled on the Logrosán South Gold Target.
Maria Project progress:
A total of 100 RAB drill holes totalling 1,819m drilling has been completed for the Maria Project. With 38 drill holes totalling 775m completed during the autumn season. The drill holes are orientated as 7 drill profiles perpendicular to the strike of the soil anomalies, with 6 profiles covering a 420m strike in the south of the target area and 1 profile located 675m to the north of the other profiles.
A total of 1,741 samples have been analysed internally by XRF, the results have delimitated mineralised intervals which were sent to ALS Laboratories (ALS) in Seville for gold assay. 1,020 gold assays have been received back from ALS to date for 74 of the 100 holes drilled. The samples submitted to ALS for 18 holes are currently undergoing analysis. Internal XRF assays have been completed for all 100 RAB drill holes.
From the first batch of assays (as reported 5th April 2016), six of the RAB drill holes returned intersections between 1g/t Au and 3.94g/t Au (from 30 holes analysed for gold) and nine holes gave antimony intersections >1% Sb, with grades up to 2.6% and the largest Sb intersection 4m @ 1.2% Sb (from 38 holes analysed by XRF).
A further two RAB drill holes have returned intersections between 1g/t Au and 2.59g/t, from the 44 holes analysed for gold. Of the additional 62 RAB holes analysed by XRF for antimony, six holes gave intersections >1% Sb, with grades up to 1.7%Sb and the largest Sb intersection 7m @ 1.0% Sb.
- 0.6m @ 1.03 g/t Au & 1.27% Sb from 1.0m to 1.6m
- 4.0m @ 1.47 g/t Au from 3.6m to 7.6m, including 1m @ 2.59 g/t Au
- 1.0m @ 1.7% Sb from 15.6m to 16.6m
- 1.0m @ 1.2% Sb from 7.6m to 8.6m
- 7.0m @ 1.0% Sb from 1.5m to 8.5m, including 2m @ 1.5% Sb
- 1.0m @ 1.2% Sb from 1.5m to 2.5m
- 1.0m @ 1.4% Sb from 10.5m to 11.5m
- 3.0m @ 1.6% Sb from 9.7m to 12.7m
- 1.0m @ 1.4% Sb from 15.7m to 16.7m
Logrosan South progress:
A total of 20 RAB holes for 459m drilled have been completed across an initial four drill profiles intersecting a 1.25km stretch of the 6km Logrosán South Gold Target trend.
All 20 holes have been analysed by XRF (total 446 assays), with selected samples dispatched for gold analysis at ALS in Seville. Further updates will be provided once the gold results have been received and interpreted.
Location and Region
The Logrosán Project and Maria Project areas, are located in a geologically prospective, under-explored and mining friendly jurisdiction in west-central Spain within the province of Cáceres in the Extremadura autonomous region. The Projects are served by a well-developed and maintained road network, with good power, water and telecommunications infrastructure and enjoy the full support of the regional and local government and administration.
There are three public listed exploration and pre-production development companies located within the surrounding region. The W Resources Plc La Parrilla tungsten mine is 43km south-west of the Project area; the Emerita Resources Corporation Las Morras Gold Project is 6km to the south; and the Berkley Energia’s Gambuta uranium deposit is 40km north.
Background to the Logrosán Joint Venture:
Logrosán Minerals Limited is the joint venture operating company for the Logrosán Exploration Project and Maria Gold & Antimony Project. It is held 50%/50% by Metal Tiger and JV partners Mineral Exploration Network (Finland) Ltd (“MEN”). Logrosán Minerals Ltd (a Special Purpose Vehicle "SPV" company) was incorporated in the UK on 13 March 2015.
During the 18 months prior to the joint venture commencing, Metal Tiger's joint venture partner MEN Finland, had carried out more than 40,000 soil samples, hundreds of pan-concentrate samples, covered thousands of linear kilometres with ground magnetic survey and assessed electro-magnetic tomography. The presence of Tungsten mineralisation had been confirmed by soil sampling, outcrop sampling, trenching and historical drill holes. Gold mineralisation had been indicated by pan-concentrate sampling which delineated three areas with anomalous gold.
Metal Tiger funded €500,000 in exploration work over the balance of 2015 and Q1 2016 in line with an agreed exploration programme that included up to 5,000 metres of drilling, to earn 50% of Logrosan Minerals Limited. The balancing holding in the SPV is held by MEN.
The Maria Project consists of the Mari Hernández Research Permit (Permiso de Investigación) (the “Maria Licence”) which was originally awarded to Metal Tiger’s JV partners, Mineral Exploration Network (Finland) Ltd (“MEN”) on 13 November 2013. It is currently under application for its first 3 year renewal, to extend it to November 2019. The permit allows exploration for all mineral deposits and resources except radioactive minerals, coal and hydrocarbons and is assigned to Logrosan Minerals Ltd (“LML”) which is owned 50% by Metal Tiger. The licence area commences approximately 15 kilometres to the north of the Logrosán Project licences and covers an area of 40.09 km2. Prior work on the Maria licence including soil geochemistry and the assay results from MTR’s due diligence drilling indicate the area has high prospectivity for antimony-gold style mineralisation.
Metal Tiger has committed to provide up to €500,000 over the balance of 2016 and first quarter of 2017 in exploration expenditure.
The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MAusIMM, FGS), who is a qualified geologist who meets the criteria of a qualified person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly has visited the Logrosán and Maria Project Areas, and reviewed the technical information contained within this announcement. Mr O'Reilly is a consultant working for Mining Analyst Consulting Ltd which has been retained by Metal Tiger PLC to provide technical support.
For further information on the Company, visit: www.metaltigerplc.com:
Michael McNeilly (Chief Executive Officer)
|Tel: +44 (0)20 7099 0738|
Keith Springall (Finance Director & Company Secretary)
|Tel: +44 (0)20 7099 0738|
Spark Advisory Partners Limited
|Tel: +44 (0) 2033 683 555|
|Nick Emerson||SI Capital||Tel: +44 (0)1483 413 500|
|Andy Thacker||(Joint Broker)|
|Andrew Monk||VSA Capital Limited||Tel: +44 (0)20 3005 5000|
|Andrew Raca||(Joint Broker)|
|Gordon Poole||Camarco||Tel: +44 (0)203 757 4980|
|Sean Blundell||(Financial PR)|
Notes to Editors:
Metal Tiger plc is listed on the London Stock Exchange AIM Market (“AIM”) with the trading code MTR and invests in high potential mineral projects with a precious and strategic metals focus.
The Company’s target is to deliver a very high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector timed to coincide, where possible, with a cyclical recovery in the exploration and mining markets. The Company’s key strategic objective is to ensure the distribution to shareholders of major returns achieved from disposals.
Metal Tiger’s Metal Projects Division is focused on the development of its key project interests in Botswana, Spain and Thailand. In Botswana Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt. In Spain Metal Tiger the Company has tungsten and gold interests in the highly mineralised Extremadura region. In Thailand Metal Tiger has expanding interests over licences, applications and critical historical data covering antimony, copper, gold, silver, lead and zinc opportunities.
The Company has access to a diverse pipeline of new opportunities focused on the natural resource sector including physical resource projects, new natural resource centred technologies and resource sector related fintech opportunities. Pipeline projects deemed commercially viable may be undertaken by Metal Tiger or by an ISDX or AIM partner with whom the Company is engaged.
Metal Tiger also has an Asset Trading Division that holds various financial instruments for trading purposes including equities, warrants and royalty income. The aim of the division is to generate profits to reinvest into the Company’s project based activities.
Copyright Business Wire 2016