TIDMEST
RNS Number : 6816G
East Star Resources PLC
17 November 2022
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES
OF ARTICLE 7 OF REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK
LAW PURSUANT TO THE MARKET ABUSE (AMMENT) (EU EXIT) REGULATIONS (SI
2019/310) ("UK MAR"). UPON THE PUBLICATION OF THIS ANNOUNCEMENT,
THIS INSIDE INFORMATION (AS DEFINED IN UK MAR) IS NOW CONSIDERED TO
BE IN THE PUBLIC DOMAIN.
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN
PART, DIRECTLY OR INDIRECTLY IN OR INTO THE UNITED STATES,
AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER
JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE
RELEVANT LAWS OF SUCH JURISDICTION.
17 November 2022
East Star Resources Plc
("East Star" or the "Company")
EM Survey Preliminary Results, Rudny Altai Licences,
Kazakhstan
East Star Resources Plc (LSE:EST), the Kazakhstan-focused
minerals exploration company, is pleased to announce preliminary
results from the helicopter-borne electromagnetic ("HEM") survey
conducted between May and July 2022 over the Company's five
volcanic-hosted massive sulphide ("VHMS") licences in the
world-class Rudny Altai belt in Kazakhstan.
Highlights
-- Five 'Priority 1' targets generated - four of which are considered drill-ready
o Three of these targets are on licences owned 100% by East Star
and two are on the 80% East Star owned licences held in a joint
venture with state owned mining company, Tau-Ken Samruk
-- Three 'Priority 2' targets generated - minor field work required prior to being drill-ready
-- 40 additional targets generated - further desktop and field
work required to eliminate or include in future exploration
programmes
-- Globally renowned VHMS expert, Dr Bruce Gemmell stated: "East
Star's Rudny Altai licences are highly prospective for the
discovery of new VHMS deposits"
Alex Walker, East Star CEO, commented:
"We are extremely encouraged by these results. Our team has
spent numerous hours on the EM data, satellite imagery and in the
field to firm up these EM targets to drill-ready status. We have
also progressed much of the approvals process to ensure we are
ready to drill them in the new year as soon as practical.
VHMS deposits tend to form multiple mounds/lenses within
deposits, and so exploring near known deposits is a highly
recommended exploration strategy for new discoveries. Having such
quality targets next to mines like Pokrovskoye - which was an open
pit mine with grades close to 25% copper equivalent - is very
exciting.
Though these targets are by no means guaranteed discoveries,
given the quality and size of some of the targets, the drill
campaign has the potential to be a very high impact one."
Figure 1 : Location of Priority 1 and 2 EM targets on the Rudny
Altai licences
East Star has enlisted the help of Dr Bruce Gemmell, a globally
renowned VHMS expert. Dr Gemmell is assisting with planning future
exploration programmes and stated: "East Star's Rudny Altai
licences are highly prospective for the discovery of new VHMS
deposits. The adage is "look for elephants in elephant country" and
East Star is certainly in elephant country. A modern and vigorous
exploration programme is warranted."
EM Target Summary
In total, 50 targets were defined in the 2022 HEM survey with
two ruled out as 'cultural' (man-made). A review of the lower
priority targets will be undertaken with particular attention paid
to areas where a known geochemical signature coincides with an
Airborne Induced Polarisation (' AIP') anomaly and where magnetic
data coincides with an AIP or magnetic anomaly.
VHMS deposits within the belt are predominantly hosted by a
Devonian felsic to mafic rock sequence of basalt, andesite and
rhyolite and are recognised as "Kuroko" and "Besshi" types.
Rhyolite is most common as footwall indicator for the region, and
indeed other Paleozoic volcanic-hosted massive sulphide deposits
such as the Hellyer, Rosebery, Que River, Hercules, Mt Lyell and
Woodlawn deposits in Eastern Australia.
HeliTEM _A_11 and HeliTEM_A_12 targets
Figure 2 : Two EM conductors in relation to the historical mine
and historical drilling
HeliTEM _A_11 target is a strong, narrow, double peak, strike
extensive and very shallow anomaly (from about 25 m), clearly
related to the mineralisation at Pokrovskoye mine (200 m east of
the old pit) and coinciding with a very strong magnetic
anomaly.
HeliTEM_A_12 target is a strong single peak late time response,
coinciding with a strong magnetic anomaly, 500 m West from the
Pokrovskoye mine. It is an extremely conductive target of small
size (15 m x 15 m), which is about 100 m deep. In June 2022, East
Star geologists mapped at this target a phyllic alteration zone in
granite porphyries, rhyolitic lava and siltstones.
The Pokrovskoye Mine started in 1822 and was mined up to 1979.
The massive sulphide ore body was reported as 150 m long by 200 m
wide and up to 22 m thick with average ore grades of 11.5% Cu, 3.3%
Pb and 12% Zn. The ore body was mined in open pit to 70 m depth
.
After the mine closure in 1979, some regional exploration
drilling was conducted in 1983. The results East Star has uncovered
indicate potential stringer zones to the east of the Pokrovskoye
pit. The EM conductors in this area do not appear to have ever been
drilled. The stringer sulphide zone is generally located directly
underneath the massive sulphides within the footwall volcanic
sequence which reiterates the VHMS model and the EM signature as a
legitimate target.
Figure 3 : Open pit of historic Pokrovskoye mine
Figure 4 : Waste dump of Pokrovskoye deposit
HeliTEM_AA_9 and HeliTEM_A_9 targets
Figure 5 : Unexplored EM anomalies, shallow and highly
conductive
HeliTEM_AA_9 target is a large, shallow, highly conductive,
strike-extensive, strong north-east striking and moderately dipping
conductor, coinciding with a moderate magnetic anomaly and big
enough to represent a large ore zone , with no known prior
exploration history.
A site visit to the location in October 2022 found the location
of the target is in a relief depression with multiple streams. This
is highly likely the reason there is little surface signature
making a discovery by mapping difficult. There is also very little
evidence of 'man-made' infrastructure that might be influencing
this as a target.
Figure 6 : Photo of the location of HeliTEM_AA_9 target
HeliTEM_A_9 target is a large, shallow, strike-extensive, double
peak anomaly dipping towards the east.
Figure 7 : Photo of the location of HeliTEM_A_9 target
HeliTEM _A_15 target
The target represents a single peak, late time anomaly,
coinciding with a moderate magnetic anomaly and with significant IP
effects in the surrounding area. A site visit by East Star
geologists in June 2022 reported occurrences of pyrite and
chalcopyrite southwest of the EM conductor. Either side of the
conductor, East Star geologists mapped tuffaceous siltstones,
sandstones and rhyolite in the form of rhyodacitic lapilli tuff,
thereby providing a surface indicator of the mafic sequence of
rocks.
Figure 8 : EM conductor NE of rock chip results and Solonovskoye
deposit
The conductor is 610 m northeast of the Solonovskoye deposit.
Solonovskoye was found in 1966 and comprises 6 lenses up to 58 m
thick and up to 760 m long with grades up to 3.76% Cu, 3.3% Zn, and
1.14% Pb.
Rudny Altai Licence Summary
Licences 847-EL, 914-EL, 1794-EL, 1795-EL and 1799-EL (the
"Licences") are located in the Rudny Altai region of Eastern
Kazakhstan. Administratively, the Licences are within the
Shemonaikha district and are extraordinarily well connected to
infrastructure. The regional centre of Ust-Kamenogorsk is located
45 km, and its international airport is located 35 km, southeast of
the Licences. The railway connecting the KazZinc/Glencore Ridder
mine and smelter and Tomsk crosses the Licences from the south to
the northwest with two railway stations located on the Licences.
There is a network of dirt roads within the Licences that are
suitable for driving all year round. A hard-surfaced road from
Ust-Kamenogorsk to Shemonaikha crosses the western part of the
Licences.
The area is characterised by moderately hilly terrain with
elevations ranging between 270 m and 630 m.
The Rudny Altai region is one of the largest volcanic-hosted
massive sulphides provinces in the world. The Rudny Altay VHMS
belt's total metal endowment including historical production and
remaining resource is estimated at 1,000 million tons in 58
deposits comprising 14 large (25-50 Mt), very large (50-100 Mt) and
giant (>100 Mt) deposits.
HEM Survey
High electrical conductivity can indicate rock layers containing
mineralisation. It is the principal technology used in the Paterson
province of Western Australia, which was used to discover Rio
Tinto's 'Winu' deposit and Greatland Gold/Newcrest's 'Havieron'
deposit. VHMS deposits can produce significant electromagnetic,
gravimetric, and magnetic responses and thus provide great
potential for detecting of ore bodies using airborne and ground
geophysics (Ford et al., 2007). For VHMS, deposits contrasting in
magnetic, electromagnetic, and gravitational properties in
comparison with host rocks, become direct exploration vectors.
The targets for the HEM survey were VHMS ores, represented in
this region by occurrences of lead-zinc, copper-zinc, and
copper-iron ore. Geologically, the area is composed of volcanic,
volcanic-sedimentary, and sedimentary deposits of the Devonian.
Extrusive-subvolcanic formations are generally represented by rocks
of felsic, medium and mafic composition, with the predominance of
felsic rock (albitophyres, potassium feldspar porphyry,
rhyodacites, less often andesite and andesite-basalt porphyrites).
Intrusive formations include mainly granites.
For further information visit the Company's website at
www.eaststarplc.com , or contact:
East Star Resources Plc
Alex Walker, Chief Executive Officer
Tel: +44 (0)20 7390 0234 (via Vigo Consulting)
Peterhouse Capital Limited (Corporate Broker and Placing
Agent)
Duncan Vasey / Lucy Williams
Tel: +44 (0) 20 7469 0930
Vigo Consulting (Investor Relations)
Ben Simons / Peter Jacob
Tel: +44 (0)20 7390 0234
About East Star Resources Plc
East Star Resources is focused on the discovery and development
of gold, rare earth, and copper deposits in Kazakhstan. With an
initial nine licences covering 1,687 sq km in three mineral rich
districts, East Star is undertaking an intensive exploration
programme, applying modern geophysics to discover minerals under
cover and at depths that were not previously explored. The Company
also intends to further expand its licence portfolio in Kazakhstan.
East Star's management are based permanently on the ground,
supported by local expertise, and joint ventures with the state
mining company.
Follow us on social media:
LinkedIn:
https://www.linkedin.com/company/east-star-resources/
Twitter: https://twitter.com/EastStar_PLC
Subscribe to our email alert service to be notified whenever
East Star releases news:
www.eaststarplc.com/newsalerts
The person who arranged for the release of this announcement was
Alex Walker, CEO of the Company.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCFLFFDLDLRLIF
(END) Dow Jones Newswires
November 17, 2022 02:00 ET (07:00 GMT)
East Star Resources (LSE:EST)
Historical Stock Chart
From Mar 2024 to Apr 2024
East Star Resources (LSE:EST)
Historical Stock Chart
From Apr 2023 to Apr 2024
