26 Sep 2013 13:28
MINCO REPORTS POSITIVE RESULTS FROM NORTHERN PENNINE EXPLORATION PROJECT
* SIGNIFICANT ZINC-LEAD MINERALIZATION INTERSECTED
* Phase 3 Programme planned adding a second drill
Dublin, September 26, 2013 Minco Plc (AIM - "MIO") (the "Company" or "Minco") is pleased to report that the ongoing exploration drilling at its Northern Pennines zinc-lead project in northern England has intersected significant zinc-lead mineralisation in three drill holes and at multiple elevations within each drill hole.
At its Annual Meeting held in Dublin today, it was reported to shareholders that eight exploration drill holes, with a total of 3,200 metres of drilling, have been completed in the Pennines programme over the past nine months, centered around the town of Nenthead adjacent to the county boundaries of Cumbria, Northumberland and Durham.
Hole CA008 intersected significant zinc-lead mineralisation grading 8.44% combined zinc and lead over 12.05 metres, which included an intersection grading 10.48% combined zinc and lead over 7.20 metres.
Hole CA006 hole intersected a 5.15 metres wide section of disseminated zinc-lead mineralization averaging 6.69% combined zinc and lead.
Hole CA003 (previously reported) intersected disseminated mineralization grading 4.32% zinc ("Zn") and 13 grams of silver per tonne ("gpt Ag") over2.35 metres, which includes an interval grading 12.2% Zn and 34 gpt Ag over 0.3 metres, and another interval grading 11.3% Zn and 45 gpt Ag over 0.34 metres.
Commenting on the results, John Kearney Minco's Chairman and Chief Executive, told shareholders, "We are very encouraged by the results of Minco's first eight holes in this large area which has a rich mining history. We believe these results confirm our initial opinion of the potential of the Northern Pennine Orefield for the discovery of new mineralization both extending laterally around and at depth below historic workings. A new third phase of drilling is planned for the next year, with the planned addition of a second drill machine to further explore this exciting project for Minco."
A total of 3,200 metres of drilling was completed in eight (8) exploration drill holes by Irish Drilling Limited under contract with Minco Mining Limited, a wholly-owned UK subsidiary of Minco plc. The current drilling by Minco is the first ever undertaken in this large area, either from surface or underground.
Drilling in this initial phase of work was very widely spaced on a reconnaissance grid measuring 15 by 15 kilometres in size. The first four reconnaissance holes were widely separated.
Hole CA008 was collared 50 metres to the southeast of Hole CA006. Hole CA007, collared 50 metres to the northwest of holeCA006, did not intersect significant mineralization.
Hole CA006 intersected a 5.15 metres of disseminated zinc-lead mineralsiation grading 5.57% zinc, 1.12% lead and 6 g/t silver within the primary historic mining level known as the Great Limestone.
Hole CA008 intersected 12.05 metres of disseminated to semi-massive sphalerite with minor galena grading 7.65% zinc, 0.79% lead and 9.7 g/t silver.
TABLE 1: Summary OF RESULTS FROM GREAT LIMESTONE
Hole | From | To | M | Zn% | Pb% | Ag g/t | Zn+Pb% |
CA006 | 159.25 | 160.55 | 1.30 | 8.70 | 1.38 | 11.6 | |
161.70 | 164.40 | 2.70 | 5.58 | 1.47 | 5.4 | ||
CA006 | 4.00 | 6.59 | 1.44 | 7.4 | 8.03 | ||
CA008 | 146.90 | 158.95 | 12.05 | 7.65 | 0.79 | 9.7 | 8.44 |
Includes | 150.15 | 157.35 | 7.20 | 9.67 | 0.81 | 12.7 | 10.48 |
The mineralisation in both holes CA006 and CA008 is interpreted as stratiform replacement, with the stoped sections representing selective mining of high lead sections (and thus also high zinc bearing), most likely in the nineteenth century.
Additional mineralization was also encountered in both holes CA006 and CA008 which cut lower grade disseminated mineralization in geological unit lying above the Great Limestone and historic mine workings known as the Little Limestone.
In hole CA006, additional low grade mineralization was also intersected within the deeper Tyne Bottom limestone. Assay results have been received for CA006 (See Tables 4 and 5). Additional results are pending for the hole CA008 which correspond to the Little Limestone and Tyne Bottom units.
TABLE 2: RESULTS FOR CA006 -Great LimestonE*
From | To | m | Zn% | Pb% | Ag g/t | |
In situ | 159.25 | 160.00 | 0.75 | 4.37 | 0.02 | 1 |
160.00 | 160.55 | 0.55 | 14.6 | 3.24 | 26 | |
Stope fill | 160.55 | 161.70 | 1.15 | 2.01 | 0.01 | 1 |
In situ | 161.70 | 162.20 | 0.50 | 4.70 | ˂0.01 | 2 |
162.20 | 163.00 | 0.80 | 8.77 | 4.96 | 13 | |
163.00 | 163.60 | 0.60 | 6.74 | 0.01 | 4 | |
163.60 | 164.25 | 0.65 | 0.73 | 0.01 | ˂1 | |
164.25 | 164.40 | 0.15 | 7.90 | 0.01 | 6 | |
5.15 | 5.57 | 1.12 | 6 |
TABLE 3: RESULTS FOR CA008 -Great LimestonE
From | To | m | Zn% | Pb% | Ag g/t |
146.90 | 148.50 | 1.60 | 5.59 | 2.24 | 12 |
148.50 | 150.15 | 1.65 | 3.59 | ˂0.01 | ˂0.1 |
150.15 | 151.30 | 1.15 | 9.59 | 0.01 | 7 |
151.30 | 152.65 | 1.35 | 3.93 | 1.7 | 10 |
152.65 | 154.00 | 1.35 | 13.4 | 0.01 | 17 |
154.00 | 154.70 | 0.70 | 8.25 | 0.16 | 5 |
154.70 | 155.75 | 1.05 | 17.7 | 0.4 | 31 |
155.75 | 156.30 | 0.55 | 2.96 | ˂0.01 | 3 |
156.30 | 156.55 | 0.25 | 11.55 | 0.66 | 6 |
156.55 | 157.35 | 0.80 | 7.89 | 3.56 | 10 |
157.35 | 157.80 | 0.45 | 2.16 | 0.01 | ˂0.1 |
157.80 | 158.95 | 1.15 | 5.87 | 0.0001 | 4 |
12.05 | 7.65 | 0.79 | 9.7 |
TABLE 4: RESULTS FOR CA006 -LITTLE LimestonE
From | To | m | Zn% | Pb% | Ag g/t |
125.50 | 125.85 | 0.35 | 0.96 | ˂0.01 | ˂1 |
125.85 | 126.65 | 0.80 | 2.77 | ˂0.01 | ˂1 |
126.65 | 127.00 | 0.35 | 1.05 | ˂0.01 | ˂1 |
1.50 | 1.95 | ˂0.01 | ˂1 |
TABLE 5: RESULTS FOR CA006 -TYNE BOTTOM
From | To | m | Zn% | Pb% | Ag g/t |
302.70 | 303.40 | 0.70 | 1.80 | ˂0.01 | 1 |
333.05 | 333.25 | 0.20 | 0.01 | 2.21 | 11 |
337.00 | 337.55 | 0.55 | 0.66 | 0.10 | 1 |
*Note: Table 1 includes the recovery of 70cm of 'deads' or stope fill, between 160.55 and 161.70m. The 4 metres in situ component of the intersection averaged 6.59% zinc and 1.44% lead.
Hole CA003, previously reported< intersected disseminated mineralisation grading 2.93% Zn, 0.59% Pb and 5 gpt Ag over 5.75 metres at the level of the historic workings 144 metres below surface. Hole CA003 also intersected 2.35 metres grading 4.32% Zn and 13.4 gpt Ag at a vertical depth of approximately 430 metres.
TABLE 6: RESULTS FOR CA003 (PREVIOUSLY REPORTED)
From (m) | To (m) | Length (m) | % Zn | % Pb | gpt Ag | |||||
143.30 | 144.20 | 0.90 | 3.67 | 0.17 | 3 | |||||
144.20 | 145.00 | 0.80 | 0.69 | 0.94 | 9 | |||||
145.00 | 145.15 | 0.15 | 7.14 | 0.01 | 1 | |||||
145.15 | 145.95 | 0.80 | 1.02 | 1.10 | 10 | |||||
145.95 | 146.20 | 0.25 | 1.40 | 0.15 | 2 | |||||
146.20 | 146.80 | 0.60 | 1.63 | 1.30 | 12 | |||||
146.80 | 147.45 | 0.65 | 1.98 | 0.13 | 2 | |||||
147.45 | 148.00 | 0.55 | 2.95 | 0.18 | 2 | |||||
148.00 | 148.30 | 0.30 | 10.55 | 0.45 | 4 | |||||
148.30 | 149.05 | 0.75 | 4.95 | 0.63 | 2 | |||||
5.75 | 2.93 | 0.59 | 5 | |||||||
429.70 | 430.00 | 0.3 | 12.2 | 34 | ||||||
430.00 | 430.40 | 0.4 | 4.02 | 8 | ||||||
430.40 | 430.90 | 0.5 | 0.1 | |||||||
430.90 | 431.25 | 0.35 | 11.3 | 45 | ||||||
431.25 | 432.05 | 0.8 | 1.1 | 3 | ||||||
2.35 | 4.32 | 13 | ||||||||
Minco believes that the intersections in CA006 and CA008, together with the previously reported intersection within the Great Limestone in CA003, 800m to the northwest (7.1m grading 2.6% zinc, 0.55% lead and 4.9 g/t silver), indicate significant potential for stratiform zinc-lead mineralization within the historically mined horizon over an area of approximately 3.5 by 1.5km.
This initial phase of drilling has also confirmed the potential at deeper stratigraphic horizons ranging from 150 to 320 metres below the historically mined level within the Great limestone.
Holes CA001, CA002, CA003 and CA004 intersected the Tyne Bottom and Jew Limestones, respectively above and below the Whin Sill, and holes CA005 and CA006 the Tyne Bottom Limestone above the Whin Sill. In all cases these horizons contained widespread, albeit generally low grade, zinc-lead-pyrite mineralization, with the previously reported intersection from the Jew Limestone, 2.75m grading 4.32% zinc, trace lead and 13.4g/t silver in holeCA003.
THE NORTHERN PENNINE OREFIELD - A RICH HISTORY OF MINING
The Northern Pennine Orefield covers an area of approximately 350 square miles and had a significant past production of lead, zinc, barite and fluorite. It is the second largest occurrence of zinc-lead mineralization in the British Isles after the Irish Midlands, and was the primary production area for zinc and lead mineralization in Europe during the early part of the twentieth century. Mining in this area ceased prior to the Second World War.
Mining in the area was via adits and was confined to the Great Limestone geological formation and the adjacent sandstone units, generally located at a depth of about 150 metres and about 450 metres above the base of the Lower Carboniferous succession, which in the midlands of Ireland hosts the extensive Irish lead-zinc ore field, and six successful lead-zinc mines and numerous other mineral deposits.
SAMPLING AND QUALITY CONTROL
All drill cores were logged and sampled by Minco geological and technical staff with cores descriptively logged on site, aligned, marked for sampling and split longitudinally using a diamond saw. Samples consist of halved NQ-size diamond core (47.6 mm diameter core). One half of the core is preserved in core boxes for future reference. As part of Minco's QA/QC protocols, samples comprising halved core were bagged, tagged, sealed and delivered to OMAC Laboratories, an ALS Group company, in Co. Galway, Ireland for analysis of lead, zinc and silver content. Samples were crushed to 70%-2mm, split using a riffle splitter and 500g pulverized to 85%-75ψm for analysis, using an oxidizing digestion and an ICP-AES instrument. Samples are nominally one meter in length, except where specific geologic parameters required a different interval be sampled. Sample preparation was completed by OMAC Laboratories. QA/QC for all elements, using duplicates, blanks and standards, were within acceptable ranges.
QUALIFIED PERSON
Terence McKillen, B.A. (MOD), M.A., M.Sc., P.Geo. a Director of Minco is Minco's Competent Person for the purposes of the AIM Guidance Note on Mining, Oil and Gas Companies dated March 2006. The technical information in this report has been reviewed and verified by Benjamin Batson, B.Sc., P.Geo. Minco's Qualified Person within the meaning of National Instrument 43‐101 of the Canadian Securities Administrators.
ABOUT MINCO
Minco Plc, incorporated in the Republic of Ireland and listed on the AIM Alternative Investment Market of the London Stock Exchange ("MIO"), is premier base metals exploration and development company with advanced projects in established mining jurisdictions in eastern Canada. The Company is also engaged in zinc-lead exploration in the United Kingdom and Ireland. Minco holds investments in zinc‐silver projects in Mexico through a holding of 30 million shares (approximately 29%) in Xtierra Inc. listed on the TSX Venture Exchange (TSX.V-"XAG").
In July 2013, Minco acquired Buchans Minerals Corp. ("Buchans Minerals") which consolidated Minco's ownership of Buchans Minerals advanced exploration assets, being the Lundberg Project in central Newfoundland and the Woodstock Manganese Project in New Brunswick. Minco owns 100% of the Lundberg base metal project and the Woodstock manganese project, in addition to Minco's existing exploration projects in the UK and Ireland.
Minco also holds a 2% NSR royalty on the Curraghinalt gold property in Northern Ireland, which is being explored by Dalradian Resources Inc. (TSX-"DNA").
At 30 June 2013, Minco currently held approximately US$12 million in cash.
For further information of Minco refer to Minco's website at www.minco.ie.
John Kearney: Chairman and Chief Executive +1 416 362 6686
Danesh Varma: CFO & Company Secretary +44 (0) 207 653 9881
Peter McParland: Director - Ireland +353 (0)46 907 3709
Warren MacLeod: Director - Canada +1 902 472 3520
John Frain/Fergal Meegan: Davy (NOMAD) +353 (0)1 6796363
Chris Rourke/ Guy Wheatley: Beaufort Securities,
London (Corporate Advisor| Broker) +44 (0)20 7382 8387