Savannah Resources Plc / Index: AIM / Epic: SAV / Sector: Mining
24 March 2015
Savannah Resources Plc
Airborne VTEM and Magnetic Survey Commenced over Block 4 Copper-Gold Project, Semail Ophiolite Belt, Oman
Savannah Resources plc (AIM: SAV) ('Savannah' or the 'Company') advises that a Versatile Time Domain Electromagnetics ('VTEM') and airborne magnetic survey has commenced over the Company's Block 4 copper-gold project in Oman (Savannah earning 65%). To view the press release with the illustrative maps and diagrams please use the following link:
http://www.rns-pdf.londonstockexchange.com/rns/2391I_-2015-3-23.pdf
OVERVIEW:
· A 3,667 line km VTEM and airborne magnetic survey has commenced over the majority of Block 4 - expected to take around 4-5 weeks to complete (Figure 1-2)
· Block 4 includes over 35km in strike of prospective ophiolite with multiple prospective copper-gold contactsidentified
· Significant opportunity - Block 4 is a prime target for the application of VTEM - first time VTEM has been applied to the Block
· All new copper discoveries in Oman over the past 10 years have largely come out of the application of VTEM
· Proven regional success with VTEM survey - in 2009 in neighbouring Blocks 1 and 2, VTEM survey discovered over 11Mt of new copper mineralisation, identifying massive sulphide orebodies with no surface outcrop
Savannah's CEO, David Archer said, "Block 4 provides Savannah with a rare opportunity to apply proven VTEM technology to a strongly mineralised, underexplored area in the heart of the most prolific copper production area in Oman and in one of the most mineralised ophiolite belts in the world. The commencement of the VTEM survey is an important step forward as we continue to unlock the value potential of our Oman copper-gold projects, which cover 1,270 km². Block 4 has not, as yet, been covered by VTEM which has been so successful in identifying new copper deposits in nearby blocks over the past 10 years, and we see this as a significant opportunity to quickly build on the existing 1.7Mt @ 2.2% copper Mineral Resource base we have in Oman.
"Importantly, the Block 4 area has been a prolific producer of copper from both open-cut and underground mines at Aarja, Bayda, Lasail and Lasail West with reported contained copper, both mined and unmined, of approximately 238,840 tonnes. This strong history of production in the immediate area supports the potential for the discovery of further VMS deposits within Block 4 as this style of deposit is known to occur in clusters or camps.
"As Savannah continues to build on its defined strategy with the application of systematic exploration and further commercial transactions to build a larger copper resource inventory, the potential opportunity exists for Savannah to develop as a significant mid-tier copper producer in Oman."
Block 4 Prospectivity
Block 4 covers a 35km strike length of the highly prospective Semail Ophiolite Belt within the northern part of Oman. The Block covers multiple prospective contacts. The immediate area encompasses some of the largest copper producing mines in Oman which are noted as the small exclusions from Block 4 in Figure 3. Significant past results include:
Rock Chipping
· Gaddamah: 5.7% copper and 3.7g/t gold
· Salahi 1: 0.3% copper, 37.4g/t gold, 88g/t silver
· Salahi 3: 1.17% copper 0.4g/t gold and 0.39% zinc
· Salahi 4: 8.19% copper and 1.8g/t gold
· Salahi 5: 4.5% copper and 11.3g/t gold
(Note: these results are maximum results and are not from the same rock sample)
Drilling
· Zuha (AZU009): 19.3m at 2.79% Copper from 2.5m
· Gaddamah (BEC23) 15.9m @1.91 g/t gold and 1.2% copper.
Planned VTEM Survey
The 3,667 line km survey is being conducted by Geotech Airborne Limited utilising their helicopter-borne geophysical system which has been successful in identifying targets which have later developed into mines in the northern part of the Semail Ophiolite Belt of Oman.
The survey will be conducted using the Geotech Versatile FULL WAVEFORM Time-Domain Electromagnetic (VTEM) geophysical system comprising the following main instrumentation:
· The B-field VTEM Plus Time Domain EM system for locating conductive anomalies and mapping earth resistivity
· A high-sensitivity cesium magnetometer for mapping geologic structure and lithology
Previous Savannah Exploration Work on Block 4
On 22 January 2015 Savannah announced completion of seven east-west ground EM data traverses over the Ghayth prospect only in Block 4 which identified anomalies that are being tested as part of the current diamond drilling programme, as announced on 2 February 2015.
Competent Person
The information in this document that relates to exploration results is based upon information compiled by Mr Dale Ferguson, Technical Director of Savannah Resources Limited. Mr Ferguson is a Member of the Australian Institute of Mining and Metallurgy (AusIMM) and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the December 2012 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (JORC Code). Mr Ferguson consents to the inclusion in the report of the matters based upon the information in the form and context in which it appears.
**ENDS**
For further information please visit www.savannahresources.com or contact:
David Archer |
Savannah Resources plc |
Tel: +44 20 7389 5019 |
Samantha Harrison (Nominated Adviser) Charlie Cryer (Corporate Broker) |
RFC Ambrian Limited |
Tel: +44 20 3440 6800 |
Felicity Winkles/ Charlotte Heap |
St Brides Partners Ltd |
Tel: +44 20 7236 1177 |
Notes
Savannah Resources Plc (AIM: SAV) is a growth oriented, multi-commodity, exploration and development company.
It has an 80% shareholding in Matilda Minerals Limitada which operates the Jangamo exploration project. On 31 December 2014 Savannah announced maiden, 65Mt Inferred Mineral Resource @4.2% total heavy minerals ("THM") at a 2.5% cut-off grade for Jangamo The project is located in a world class mineral sands province in Mozambique which borders Rio Tinto's Mutamba deposit, one of two major deposits Rio Tinto has defined in Mozambique, which collectively have an exploration target of 7-12Bn tonnes at 3-4.5% THM (published in 2008).
Savannah has interests in three copper blocks in the highly prospective Semail Ophiolite Belt in Oman. The projects, which have an Indicated and Inferred Mineral Resource of 1.7Mt @ 2.2% copper and high grade intercepts of up to 56.35m at 6.21% Cu, provide Savannah with an excellent opportunity to potentially evolve into a mid-tier copper producer in a relatively short time frame. Together with its Omani partners, Savannah aims to outline further mineral resources to provide the critical mass for a central operating plant to develop the deposits.
