NANY-VARAS COPPER-GOLD PROJECT, CHILE · 2012-01-22 · PROJECT UPDATE NANY-VARAS COPPER-GOLD...
Transcript of NANY-VARAS COPPER-GOLD PROJECT, CHILE · 2012-01-22 · PROJECT UPDATE NANY-VARAS COPPER-GOLD...
PROJECT UPDATE
NANY-VARAS COPPER-GOLD PROJECT,
CHILE
Nany Option Agreement exercised (WSR 100% equity),
Varas Option extended
Option over Nany property fully exercised, giving White Star a 100% equity interest
Six-month extension granted on option over neighbouring Varas Property
Ground position increased to 504ha through active tenure pegging
IP geophysical orientation survey at Nany-Varas commenced
Perth Western Australia – Monday 23 January 2012: South
American-focused copper-gold explorer White Star Resources
(ASX: WSR – “White Star”) is pleased to announce that the
option agreement on the Nany property has been exercised,
with White Star taking a 100% equity interest in the licence. In
addition, the Varas option agreement has been extended until
30 June 2012 (Figure 1).
The Nany-Varas project is located approximately 40km south of
the world-renowned Inca de Oro mining district in Northern
Chile’s Atacama Region. The Inca de Oro area has been mined
extensively for copper, gold and silver and is currently is the
focus of significant exploration activity targeting copper and vein
gold mineralisation.
White Star completed the acquisition of the Nany property by
the payment of USD 350,000, with White Star taking a 100%
equity interest with no additional encumbrances. In addition,
the option agreement over the adjacent Varas property to the
north (Figure 1), has been extended for a period of 6 months
until 30 June 2012. The Nany vein structure continues north
into the Varas property under shallow transported cover. This
extra time will allow the Company to carry out sufficient
evaluation work to make an informed decision relating to the
exercise of the Varas option agreement.
White Star has also extended its land holding in this historic
mining area to over 500ha, through the pegging of 8 additional
contiguous mining exploitation licences.
23 January 2012 (ASX Ticker: WSR)
Registered Office: White Star Resources Level 45, 108 St Georges Tce PERTH WA 6000
Web www.whitestarresources.com.au Email [email protected] Directors: Bill Turner Non-Executive Chairman Tony Greenaway Managing Director & CEO Nathan McMahon Non-Executive Director Felicity Repacholi - Muir Non-Executive Director Amy Musgrave Company Secretary
Issued Capital: 250 million shares 91.6 million options
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As more results come in, the Company continues to advance its understanding of the steeply
dipping, structurally controlled quartz-vein system hosted in Paleocene andesitic volcanics.
Currently work is focused on improving the understanding of the geology, structure, mineralogical
variations and alteration characteristics. The style of mineralization shows affinities with both low-
sulphide epithermal gold deposits and mesothermal Cu-Pb-Zn-Au and Ag vein deposits.
The principal vein system comprises at least 3 stages of veining that includes a phase of massive
and brecciated quartz veining, a phase of banded quartz veining and open-space-infill quartz
veining, and a phase of millimetric and sub-millimetric quartz-stockwork veining. Sulphides are
associated with all vein events. Pyrite, sphalerite, chalcopyrite and galena are the dominant base
metal suphides with minor bornite, gold and silver are associated in the vein structure. Gold also
occurs outside of the main vein zone within very fine quartz pyrite veins.
Chlorite alteration associated with the main vein structure extends from centimeters to tens of
meters into the host volcanics and a characteristic feature of this alteration is the destruction of
magnetite. Local silicification and argillic alteration are also present.
Better results received since December 2011 from diamond drilling samples include:
DDNN11 6.90m @ 1.47g/t Au, 7.38g/t Ag from 55.3m
DDNN12 22.03m @ 2.57g/t Au, 30.72g/t Ag from 80.6m
DDNN12 9.56m @ 2.02g/t Au, 16.14g/t Ag from 105.3m
DDNN14 5.24m @ 1.30g/t Au, 16.57g/t Ag from 84.04m
DDNN15 1.15m @ 1.27g/t Au, 4.80g/t Ag from 43.45m
A full list of the latest results can be found in Table 1, with only 12% of samples now pending.
White Star has commenced an IP geophysical orientation survey over the main Nany vein
structure to better define drill targets at depth. This survey will extend to the north along the
projected strike of the Nany vein into the Varas property, where it is covered by shallow
transported soils.
The Company has begun establishing field support at the Henry and Condor project sites in
anticipation of field work, comprising systematic surface geochemistry and geological mapping,
commencing in Q1 and Q2 of 2012.
- ENDS -
For more information, please contact:
Tony Greenaway
Managing Director & CEO
Cell: +61 (0) 407 981 057 (Perth)
+56 (9) 7 386 5542 (Chile)
Email: [email protected]
Website: www.whitestarresources.com.au
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About White Star Resources:
White Star Resources Limited (ASX: WSR - “White Star”) is an exploration company which has acquired a significant
portfolio of copper-gold and gold projects in the world-class Atacama mining region in Chile.
White Star has secured the backing of leading Western Australian copper company Sandfire Resources Ltd which holds
a cornerstone 17.3 per cent shareholding and provides strategic and technical support and advice under a Technical
Services Agreement.
White Star will be undertaking aggressive exploration programs across its five key projects during 2012: Nany (gold -
copper), Condor (copper), Henry (iron oxide copper-gold), Dundee (gold) and Amigo (iron oxide copper-gold); as well as
actively looking to build its presence in Chile through further acquisitions, joint ventures and active tenement
management.
The Company is well funded to pursue its objectives with approximately $8.0 million in available cash resources.
Whinnen Resources Ltd | Tel: +61 8 9322 6579 | Web:
Key Statistics
Shares on Issue: 250 million + 91.6 million options
Board and Management: Bill Turner – Non-Executive Chairman
Anthony Greenaway – Managing Director and CEO
Nathan McMahon – Non-Executive Director
Felicity Repacholi-Muir – Non-Executive Director
Amy Musgrave - Company Secretary
Jim Royal – Exploration Manager
Major Shareholders: Sandfire Resources Limited 17.3%
Zero Nominees Pty Ltd 10.6%
Ravenhill Investments Pty Ltd 7.27%
Qualifying Statement
This release may include forward‐looking statements. These forward‐looking statements are based on White Star
Resources Limited’s expectations and beliefs concerning future events. Forward‐looking statements are necessarily
subject to risks, uncertainties and other factors, many of which are outside the control of the Company, which could
cause actual results to differ materially from the views expressed in such statements. White Star Resources Limited
makes no undertaking to subsequently update or revise the forward‐looking statements made in this release to reflect
events or circumstances after the date of this release.
JORC Competent Persons Statement
The information that relates to the drilling data and geological interpretations is based on information compiled by
Anthony Greenaway who is a Member of The Australasian Institute of Mining and Metallurgy and a Director of the
Company. Mr Greenaway has sufficient experience that is relevant to the style of mineralisation and type of deposit
under consideration and to the activity being undertaking to qualify as a Competent Person as defined in the 2004
Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr
Greenaway consents to the inclusion of his name in the matters based on the information in the form and context in
which it appears.
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Figure 1: Nany-Varas Project Tenure
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Figure 2: Nany-Varas Project Drill Collar Plan
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Hole ID East North RL Dip Elevation EOH From (m)
To (m)
Interval (m)
Au (g/t)
Ag (g/t)
Cu (%)
Pb (%)
Zn (%)
DDNN-11 409538 7014203 1872 -45 270 100.40 33.4 34.2 0.84 0.54 1.20 0.01 0.04 0.06
43.0 43.4 0.42 1.56 2.40 0.01 0.04 0.03
45.0 45.8 0.77 1.05 0.90 0.01 0.02 0.03
48.7 48.9 0.25 2.29 1.80 <0.01 <0.01 <0.01
53.6 60.5 6.90 1.47 7.38 0.02 0.08 0.08
62.4 65.3 2.91 0.13 6.84 0.19 0.62 0.75
DDNN-12 409538 7014203 1872 -70 270 149.25 55.1 55.8 0.74 1.42 3.30 <0.01 0.10 0.04
56.1 56.9 0.77 0.86 1.00 <0.01 0.03 0.03
60.1 61.0 0.86 0.57 2.10 <0.01 0.04 0.03
63.1 64.7 1.69 1.40 1.45 <0.01 0.02 0.03
68.8 70.7 1.93 1.04 1.91 <0.01 0.02 0.04
72.5 73.4 0.91 1.77 3.10 0.01 0.04 0.07
76.2 77.9 1.69 2.52 2.58 0.01 0.02 0.04
80.6 102.6 22.03 2.57 30.72 0.03 0.13 0.12
105.4 114.9 9.56 2.02 16.14 0.02 0.08 0.11
DDNN-14 409532 7014154 1884 -70 270 136.48 71.9 72.8 0.91 0.91 0.70 <0.01 0.01 0.02
76.0 76.9 0.94 1.52 1.10 0.01 0.01 0.03
79.8 80.7 0.92 1.60 2.10 <0.01 0.02 0.03
84.0 89.3 5.24 1.30 16.57 0.03 0.15 0.11
92.0 93.0 0.92 1.03 8.00 0.01 0.07 0.10
98.2 99.2 1.00 1.51 1.30 0.01 0.06 0.17
100.4 101.4 1.00 1.67 2.70 0.01 0.05 0.09
DDNN-17 409404 7014042 1907 -40 90 105.85 61.2 62.2 1.00 0.01 6.80 0.25 0.33 0.68
92.1 93.1 1.00 1.35 <1 0.02 <0.1 0.01
DDNN-18 409404 7014042 1907 -60 90 232.70 36.1 41.9 5.75 0.86 7.41 0.09 0.48 1.14
51.5 52.5 1.00 0.78 0.40 0.01 0.07 0.22
67.4 68.4 1.00 0.60 <1 0.01 0.16 0.27
158.1 158.9 0.77 0.52 6.00 0.02 0.13 0.19
161.1 162.8 1.70 0.95 2.22 0.02 0.10 0.38
164.8 165.4 0.60 0.59 2.2 0.02 0.08 0.27
178.4 183.4 5.00 0.74 1.04 0.01 0.02 0.05
187.4 194.0 6.60 0.93 0.93 0.01 0.02 0.05
205.3 207.0 1.76 0.63 1.45 0.02 0.01 0.04
DDNN-19 409572 7014601 1870 -70 270 196.13 50.0 52.2 2.17 1.01 2.22 0.05 0.08 0.07
55.1 63.0 7.94 0.85 1.18 0.01 0.01 0.05
68.7 69.1 0.36 0.58 0.60 0.01 0.03 0.06
75.1 80.5 5.37 0.76 3.48 0.01 0.07 0.12
DDNN-20 409549 7014449 1872 -70 270 141.35 77.7 78.7 1.00 0.89 0.50 0.01 0.00 0.01
Table 1: Nany-Varas Project Assay Results received since December 2011
Note:
All results are based on ½ HQ drill core samples.
Analysis conducted by ALS Laboratories in Coquimbo Chile, using a 30g Fire Assay with AAS analysis for Gold; and Aqua Regia digestion with
ICP-AES analysis for multi element geochemistry.
Intervals are calculated using a minimum 0.5 g/t Au or 0.1% Cu cut off with a maximum of 2 meters internal dilution. No top cuts applied.
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