Geology

Resources

The Salt River deposit contains 24 Mt (1% Zn cut-off) of Measured and Indicated resources at 1.8% Zn, 0.59 g/t Au, 0.58% Cu, 0.43% Pb and 20 g/t Ag. The declared Mineral Resource in terms of the guidelines of the JORC Code (2012) is presented in Table 1.

Cut-off Zn (%) Tonnes Zn (%) Cu (%) Pb (%) Ag (g/t) Au (g/t)
Measured Mineral Resource
1.0 9,968,000 1.83 0.46 0.55 21.35 0.45
Indicated Mineral Resource
1.0 14,130,000 1.78 0.66 0.35 18.86 0.69
Total Mineral Resource
1.0 24,098,000 1.80 0.58 0.43 19.89 0.59

Source: Pivot Mining Consultants (Pty) Ltd, Independent Geologist's Report
Figure 10. The Vaalkop Project Lacality andRegional Geological setting


At a 2% Zn cut-off the resources totals 10 million tonnes at 2.35% Zn, 0.61% Cu, 0.46 g/t Au, 0.59 % Pb and 27 g/t Ag.

The Resources remain open both down dip and with strike extensions at the Graafwater prospects.

Geological Setting and Mineralisation

The Vaalkop Project is located at the south-eastern outcrop limit of the Bushmanland Sub-province, within the Mesoproterozoic Namaqualand Metamorphic Province (NMP) (Figure 11). The Bushmanland Sub-province hosts several word-class base metal deposits including Black Mountain and Gamsberg.

The Vaalkop project includes the Salt River base metal deposit along a ~10 km mineralised trend that hosts numerous unexplored targets, including the Graafwater prospect (Figure 12).

The Vaalkop project includes the Salt River base metal deposit along a ~10 km mineralised trend that hosts numerous unexplored targets, including the Graafwater prospect.

Source: Pivot Mining Consultants (Pty) Ltd, Independent Geologist's Report
Figure 11. Map showing the Local Geology of the Vaalkop Project

The Salt River deposit is a volcanogenic massive sulphide (VMS) or Kuroko-type deposit. Mineralisation is confined to three roughly tabular horizons termed the Upper, Middle and Lower Sulphide Zones. The mineralised zones have an average composite thickness of 8.1 m and dip 25° - 30° to the northeast. The down dip extension extends to below 1,000 m below surface in the NE and remains open-ended.

The Upper Sulphide Zone (USZ) is the largest and most continuous zone and extends across the entire deposit. The USZ is characterized by a capping of semi-massive to massive sulphide with stringer mineralisation becoming less conspicuous downwards.