Results for Quarter Ended 31 December 2018
- 08 February 2019
CORPORATE
Cash and Cash Equivalents
As at 31 December 2018, the Company had cash of $28,253,941.
Restructure of Board of Directors and Appointment of Non-Executive Director
On 27 November 2018, the Company announced the restructure of the Board and the appointment of Mr Brett Smith as a nonindependent Non-Executive Director. As part of the Board restructure, Mr Gerard McMahon stepped down as Chairman but remains on the Board as an independent Non-Executive Director, with Non-Executive Director Mr Arthur Dew appointed as non-independent Non-Executive Chairman of the Board.
Northern Star Resources Limited Shares
As at 31 December 2018, the Company has 500,000 NST shares remaining.
Update on Central Tanami Project and Completion of Exercise of First Put Option
The Company previously announced that it had exercised the first put option available to it under the Joint Venture Agreement with NST which was settled on 14 September 2018, resulting in the sale of a further 15% undivided interest in the Central Tanami Project for $20 million in cash. The respective interests of the Company and NST are 60% and 40%.
EXPLORATION
Central Tanami Project (60% Tanami)
During the quarter as advised by NST – which is solely responsible for bringing the Central Tanami Project into production in terms of the JV Agreement, the following exploration, tenement management and environment activities were undertaken by NST:
- Ongoing rehabilitation of 2018 drill programs.
- Follow-up exploration program design for CTP South (Solaris/Jim’s Return), Freefall and Hurricane.
- As part of the ongoing evaluation of the CTP, a program of RC and diamond drilling was completed beneath the existing
- treatment plant infrastructure, testing for potential shallow extensions to the main Hurricane-Repulse mineralisation.
- RC drilling intersected significant gold mineralisation at varying depths in all 23 drill holes completed beneath all major
-
infrastructure at the CTP Plant. Significant intersections from the RC drilling program include:
NHRC00003 – 3m at 20.47 g/t Au from 140m and 12m at 4.58g/t Au from 147m;
NHRC00007 – 19m at 4.64g/t Au from 136m;
NHRC00009 – 14m at 3.19g/t Au from 150m; and
NHRC00015 – 15m at 2.89g/t Au from 92m.
- In addition, single diamond drill hole testing the down plunge continuity of the new mineralised zones, intersected a wide zone of significant gold mineralisation located approximately 130 metres below the base of the existing Hurricane pit to the north. Significant assays included:
Results for Quarter Ended 30 September 2018
- 08 February 2019
CORPORATE
Cash and Cash Equivalents
As at 30 September 2018, the Company had cash of $28,493,841.
Northern Star Resources Limited Shares
As at 30 September 2018, the Company has 500,000 NST shares remaining.
Update on Central Tanami Project and Exercise of First Put Option
The Company has previously announced that Northern Star Resources Limited (“NST”) had advised that commercial production (as defined under the joint venture agreement) would not be achieved by 31 July 2018. Furthermore, failure to achieve commercial production by that date would have rendered the first put option, granted under the JV, unexercisable until the date on which commercial production is achieved.
Accordingly, as announced on 31 July 2018, the Company exercised the first put option and on 14 September 2018 completed the
sale of a further 15% undivided interest in the Central Tanami Project for $20 million in cash.
The respective interests of the Company and NST are 60% and 40%.
EXPLORATION
Central Tanami Project (60% Tanami)
During the quarter as advised by NST, the following exploration, tenement management and environment activities were undertaken by NST:
-
Review and interpret recent drilling results from:
- Air Core Drilling (Free Fall, Jim’s Return, Terminus, Solaris, Channel 4); and
- RC Drilling (Jim’, Hurricane-Repulse, Carmen’s);
- Downhole geophysical logging of RC dill holes at Hurricane-Repulse, Jim’s and Carmen’s;
- Reprocess Airborne Magnetic and Radiometric data over Hurricane-Repulse area;
- Completed Cave Hill Ground Gravity survey;
- Hurricane RC rejects and Jim’s diamond rejects submitted for preliminary metallurgical leach tests;
-
Tenement management:
- Cave Hill combined Technical and Expenditure Reports lodged; and
- EL8797 renewal lodged, currently pending decision.
- Central Tanami Liaison Committee Meeting held with Central Land Council in July;
- Preparations to commence rehabilitation of CTP South Air Core drill sites from October; and
- A significant bush fire incident occurred at the Central Tanami Mine site causing the loss of a building and the main water bore and supply line, repairs undertaken on main water bore line.
Results for Quarter Ended 30 June 2018
- 30 June 2018
CORPORATE
Cash and Cash Equivalents
As at 30 June 2018, the Company had cash of $8,542,949.
Northern Star Resources Limited Shares
As at 30 June 2018, the Company has 500,000 NST shares remaining.
Completion of Share Transfer under Sale Agreement
On 23 May 2018, the Company’s shareholders voted to approve Allied Properties Investments (1) Company Limited, APAC Resources Limited and APAC Resources Mining Limited to acquire a relevant interest in 447,612,786 ordinary shares in the issued capital of the Company for $20,142,575 and, as a result, for APAC Resources and its associates to acquire voting power of 38.09%. Completion of the share transfer occurred on 6 June 2018.
Update on Central Tanami Project and exercise of first put option
On 27 June 2018, the Company announced that Northern Star Resources Limited (“NST”) had advised that commercial production (as defined under the joint venture agreement) will not be achieved by 31 July 2018. Furthermore, based on information available to the Company as at that date, it was not clear when or if commercial production would ultimately be achieved.
Failure to achieve commercial production by 31 July 2018 will render the first put option unexercisable until the date on which commercial production is actually achieved.
The Board is of the opinion that it is in the best interests of the Company’s shareholders to exercise the first put option and, accordingly, has resolved to exercise the first put option in accordance with the terms of the joint venture agreement.
EXPLORATION
Central Tanami Project (75% Tanami)
During the quarter as advised by NST, the following activities were undertaken by NST:
- CTP South Air Core Drilling (Jim’s Return, Terminus, Solaris, Channel 4);
- CTP South RC Drilling (Jim’s North, Jim’s West, Carmen’s);
- Jim’s Diamond Drilling;
- Freefall Air Core Drilling;
- Hurricane-Repulse Sterilisation RC drilling;
- Hurricane-Repulse Diamond Drilling;
- Suplejack Access Agreement negotiations;
- Suplejack (EL28282) Heritage Survey and SSCC Approval; and
- MMP variation approval granted for 2018 work programs at Suplejack and Tanami South.
Results for Quarter Ended 31 March 2018
- 31 March 2018
CORPORATE
Cash and Cash Equivalents
As at 31 March 2018, the Company had cash of $8,771,449.
Northern Star Resources Limited Shares
During the quarter, the Company sold 250,000 shares in NST at an average price of $6.94 per share receiving approximately $1.72 million (net of transaction costs).
As at 31 March 2018, the Company has 500,000 NST shares remaining.
EXPLORATION
Central Tanami Project (75% Tanami)
During the quarter as advised by NST, the following activities were undertaken by NST:
- Submitted the Mine Management Plan (“MMP”) variation for 2018 work programs at Suplejack and Tanami South;
- SSCC approval for 2018 work programs at Suplejack and Tanami South;
- Suplejack Access Agreement negotiations;
- Completed geochemical sampling program at Suplejack;
- Planning for drilling programs at Suplejack and Freefall projects completed;
- Site preparation for aircore drilling at Jims Return, Terminus, Solaris, Channel 4 and Freefall completed;
- Site preparation for RC sterilisation drilling at Hurricane‐Repulse;
- Water sampling at CTP; and
- Continued interpretation of new airborne data
Results for Quarter Ended 30 December 2017
- 30 January 2018
Cash and Cash Equivalents
As at 31 December 2017, the Company had cash of $7,250,052.
Joint Venture with Northern Star Resources Limited
As previously announced, the Company and Northern Star Resources Limited (“NST”) have formed an unincorporated joint venture (“JV”) to advance the Company’s Central Tanami Project (“CTP”).
Northern Star Resources Limited Shares
As at 31 December 2017, the Company has 750,000 NST shares remaining.