Further Positive Drilling Results from Blister Dam
Further Positive Drilling Results from Blister Dam
Perth, Dec 20, 2018 AEST (ABN Newswire) - Intermin Resources Limited (ASX:IRC) ("Intermin" or the "Company") is pleased to announce drilling results from Intermin's 100% owned Blister Dam Gold project, located on the Zuleika and Kunanalling shear zones 65km northwest of Kalgoorlie-Boulder in Western Australia (see Figures 1 and 2 in link below).


- Exploration drilling program completed at the 100% owned Blister Dam gold project, 65km northwest of Kalgoorlie-Boulder in the Western Australian goldfields

- Drilling comprised 56 holes for 6,954m to an average depth of 120m

- Positive results obtained at Argo, Atlantic and Loran (see Figure 1 in link below) with significant intercepts including(see Note 1 below):

o 6m @ 5.97g/t Au from 66m (BDRC18001 - Argo)

o 12m @ 4.03g/t Au from 16m (4m composite, BDRC18003 - Argo)

o 7m @ 1.54g/t Au from 59m (BDRC18008 - Atlantic)

o 9m @ 1.56g/t Au from 69m (BDRC18024 - Atlantic)

o 10m @ 1.26g/t Au from 58m (BDRC18026 - Atlantic)

o 5m @ 1.47g/t Au from 66m (BDRC18010 - Loran)

- Geological mapping and sampling of the Chadwin-Loran-Argo area has commenced with a view to improving the local stratigraphy and mineralisation model

- Seven deep RC holes were also drilled as part of the new discovery, EIS co-funding scheme

- Follow up drilling planned in the first half of 2019

Commenting on Blister Dam results, Intermin Managing Director Mr Jon Price said:

"These latest drilling results continue to demonstrate the prospectivity of the northern region of the Zuleika shear which remains relatively unexplored in comparison to the southern region which has delivered new open cut and underground discoveries and high margin producing mines. We look forward to building on these encouraging results with follow up drilling planned for 2019."


During 2017, 21 targets were identified at Blister Dam. These were based on interpreted structures, geological contacts, historic drilling and geochemical signature. Nine of these targets were drill tested with 46 Reverse Circulation ("RC") holes drilled for 4,120m in 2017 to an average depth of 90m(see Note 2 below). Subsequently in 2018, Intermin conducted follow up drilling at the more promising prospects including Atlantic, Argo and Seven Seas. First pass drilling was also conducted at three additional targets including the historical Chadwin workings, Loran and Atlantic South.

An Induced Polarisation ("IP") survey was also completed in 2017 to define several new targets. An Exploration Incentive Scheme (EIS) grant of $60,000 was approved in January 2018. The proposed drill holes targeted several low order conductor anomalies at the Atlantic and Seven Seas areas.

The bulk of the 2018 drilling was directed at the Atlantic prospect and followed up on the 2016 drilling. Significant 2016 results included (see Note 3 below):

- 17m @ 1.01g/t Au from 59m (BDRC1603)

- 4m @ 3.13g/t Au from 80m (BDRC1604)

- 4m @ 1.30g/t Au from 56m (BDRC1602)

In addition, historical drilling had identified broad sequences of low grade, shear hosted mineralisation (0.4-0.9 g/t Au) which was confirmed in the recent drilling including(see Note 1 below):

- 56m @ 0.60g/t Au from 54m (BOH 0.57 g/t Au from 109-110m, BDRC18029)

- 53m @ 0.69g/t Au from 60m (BDRC18028)

- 68m @ 0.82g/t Au from 56m (BDRC18008)

Within these low grade zones, there are a number of discrete higher grade shoots. The best of these was BDA153 (14m @ 2.90g/t Au from 62m)(see Note 1 below). Historic wide spaced drilling centred on BDA153 returned no significant results to date.

The drill grid was reduced to intercept the cross structure thought responsible for this mineralisation enabling improved modelling of the ore zone (see Figure 3 in link below). Better results included(see Note 1 below):

- 7m @ 1.54g/t Au from 59m & 14m @ 1.09g/t Au from 79m (BDRC18008 - Atlantic)

- 9m @ 1.56g/t Au from 69m (BDRC18024)

- 10m @ 1.26g/t Au from 58m (BDRC18026)

- 1m @ 4.08g/t Au from 54m, 8m @ 1.27g/t Au from 66m & 4m @ 1.16g/t Au from 93m (BDRC18029)

The strike length was also tested by three holes 40-240m along the south eastern strike. Two of the holes recorded anomalous mineralisation including 4m @ 0.62g/t Au from 108m (BDRC18009) and 4m @ 0.88g/t Au from 88m (BDRC18045)(see Note 1 below).

Following along the Atlantic/Zuleika trend, another drill hole was targeted into an area 1,100m southeast of the Atlantic prospect. BDRC18047 was drilled to 130m depth and sited behind BDRC17037 (8m @ 0.13g/t Au from 24m, see Figure 1 in link below). BDRC17037 appeared to intersect the down strike extension of some quartz veins exposed in a small costean 60m away, one 30cm wide vein assayed 4.75g/t Au. The shallow costeans are dug within the Kurrawang sediments and conglomerates. BDRC18047 recorded several low order, anomalous results, but the most significant was an encouraging 1m @ 9.20 g/t Au from 53m(see Note 1 below) within the fresh bedrock. A second proposed hole in this area designed to following up BDRC17035 (1m @ 0.91 g/t Au from 39m) was not able to be drilled due to weather delays. Further drilling in 2019 is planned.

Atlantic is relatively complex mineralisation, with several models being considered. Tertiary lake clays up to 20m depth obscure any outcrops and conceal the mineralisation. Diamond drilling to help delineate the structure and further test for high grade mineralisation is scheduled in 2019.

The second priority target at Blister Dam was Argo. Argo was discovered in 2017 whilst testing some nearby historic holes and soil anomalies. The best first pass results from 2017 included 4m @ 5.03g/t Au from 46m (BDRC17050) and 10m @ 1.02g/t Au from 20m (BDRC17009)(see Note 2 below).

Step back drilling on a 20m x 40m pattern discovered that strong mineralisation extends to 70m vertical depth as shown in Figures 5 and 6 (see link below). Significant results at Argo included(see Note 1 below):

- 6m @ 5.97g/t Au from 66m (BDRC18001, visible gold panned)

- 12m @ 4.03g/t Au from 16m (BDRC18003)*

- 8m @ 1.41g/t Au from 8m (BDRC18017)*

- 8m @ 1.05g/t Au from 80m (BDRC18013)*

The strike extent of mineralisation has now increased from 40m to 140m and, potentially, remains open to the northwest. Anomalous, untested soils are noted immediately southeast of Argo. Further drilling, including diamond, is scheduled for Argo in 2019.

Field reconnaissance around the Argo area confirmed the prospectivity of several proposed 2017 targets. These included the historic Chadwin workings and Drabbco/Argosy workings 450m west of Argo. The Drabbco/Argosy workings were briefly tested in 2017 by BDRC17029 (1m @ 2.15 g/t Au) (see Note 2 below). This result was followed up by three additional holes, however no significant mineralisation was intercepted.

Chadwin is also located 3km southeast and along strike of the small Magdala open cut mine (~4,300 oz, 1993). The old workings are sited on some thin, quartz veins dipping steeply to the south west. Four holes retested the Chadwin workings and depth extensions (see Figure 7 in link below) with mixed success. Significant results included(see Note 1 below):

- 4m @ 2.48g/t Au from 56m (BDRC18040)

- 1m @ 4.75g/t Au from 32m (BDRC18038)

The results confirm high grades exist at relatively shallow depths. However two deep holes designed to intersect the vein at 120m depth failed to intersect this lode, possibly due to pinch out. Unusual elevations of anomalous oxide mineralisation (1m @ 0.53g/t Au) were noted at 33m in BDRC18037 and appear to be unrelated to the presumed oxide/transitional gold adjacent to the workings and targeted mineralisation. The strike extents are poorly tested and will now be reviewed in detail. Follow up RC work is planned for 2019.

The fourth target tested in the Chadwin-Argo area is now known as the Loran prospect. Loran sits about 400m north east of the Chadwin workings. It is a new discovery, but more importantly Loran exhibits more definitive geological control on the gold mineralisation than other areas tested at Blister Dam. Two holes tested the soil anomaly with BDRC1801 returning 5m @ 1.47g/t Au from 66m1. The ore zone is visual and sits on a sheared basalt/ultramafic contact. A hilly outcrop of recently recognised, massive porphyritic basalt ("cat rock") separates Chadwin from Loran. Soil anomalies on adjacent flanks are noted.

Cat rock is found at a number of major mines along the Zuleika Shear, including Frog's Leg, Pegasus and Rubicon and its occurrence here flags the Chadwin-Loran-Argo areas for more detailed assessment. Follow up work in 2019 will include mapping and stratigraphy, ground magnetics and sampling prior to further drilling.

The third priority target is the Seven Seas prospect. This area was reasonably well tested in 2017 with highlights of 1m at 36g/t Au from 35m and 4m at 3.33g/t Au from 43m2. Mineralisation was restricted to narrow quartz veins within sedimentary rocks and its contacts over a strike length of 120m. Four shallow holes were drilled on the southern boundary to test the strike extent. Anomalous results were obtained from just the one hole located 40m south of Seven Seas suggesting that the mineralisation is patchy.

- 4m @ 0.72g/t Au from 24m and 4m @ 0.48g/t Au from 44m* (BDRC18012)

Three co-funded holes (854m) were drilled southwest and southeast of Seven Seas. The holes all tested low order, conductor anomalies within carbonate altered ultramafic rock, basalts and sediments. No significant mineralisation was observed in BDRC18050 (280m) and BDRC18048 (294m) with the best result being 4m @ 0.13 g/t Au from 48m in BDRC18048 (see Figure 8 in link below). The conductors were attributed to local concentrations of barren pyrite and pyrrhotite. BDRC18049 (280m) was drilled 330m southeast, along strike from Seven Seas, and aimed to intersect a relatively stronger conductor at around 130m vertical depth. The hole was successful in this regard as a strongly pyritic, but barren, black shale unit was logged at 185-187m. Better results from BDRC18049 included(see Note 1 below):

- 1m @ 4.87g/t Au from 161m

- 1m @ 2.51g/t Au from 241m

- 1m @ 0.74g/t Au from 276m

These intercepts plot up with down dip projections from the Seven Seas prospect and suggests limited potential for improved grades at depth. It also suggests that the Seven Seas mineralisation along strike is potentially much larger (>450m) than what has been tested to date. Further work is planned in 2019.

Four co-funded holes for 850m were also located in untested areas across strike from the Atlantic prospect. All four holes failed to intersect significant mineralisation associated with the IP conductors. Interestingly Atlantic itself did not have any attributable IP signature. The IP targets were all targeting new mineralisation along the Carnage Fault east of Atlantic (BD18046, 180m) where prospectors had reportedly discovered shear hosted gold within exposed bedrock.

Three holes were drilled west of Atlantic. BDRC18043 (160m) tested a shallow conductor thought to be due to graphitic shale. It returned 4m @ 0.16g/t Au from 68m. BDRC18042 (230m) had no significant mineralisation whilst BDRC18044 (280m) had a best result of 4m @ 0.25g/t Au from 260m. No further work is planned in the immediate area.

Scheduled follow up drilling for Tasman (11m @ 0.45g/t Au) and Syledis prospects (2m @ 1.31g/t Au) was delayed due to poor weather and will be completed in 2019.

Next steps

The prospectivity and understanding of the Argo-Loran-Chadwin area is improving as shown by the recent drill success. Initial work in 2019 will involve mapping, stratigraphy, sampling, geochemistry and ground magnetic surveys. Follow up RC work is planned at these and other prospects. Diamond drilling will be scheduled for Argo, Atlantic and Loran.


1 See Table 1 on Page 8, Competent Persons Statements on Page 10 and JORC Tables on Page 13

2 as announced to the ASX on 6 February 2018

3 as announced to the ASX on 1 March 2017

* denotes 4m composites

To view tables and figures, please visit:

About Horizon Minerals Limited

Horizon Minerals Ltd  Horizon Minerals Limited (ASX:HRZ) is a gold exploration and mining company focussed on the Kalgoorlie and Menzies areas of Western Australia which are host to some of Australia's richest gold deposits. The Company is developing a mining pipeline of projects to generate cash and self-fund aggressive exploration, mine developments and further acquisitions. The Teal gold mine has been recently completed.

Horizon is aiming to significantly grow its JORC-Compliant Mineral Resources, complete definitive feasibility studies on core high grade open cut and underground projects and build a sustainable development pipeline.

Horizon has a number of joint ventures in place across multiple commodities and regions of Australia providing exposure to Vanadium, Copper, PGE's, Gold and Nickel/Cobalt. Our quality joint venture partners are earning in to our project areas by spending over $20 million over 5 years enabling focus on the gold business while maintaining upside leverage.



Jon Price
Managing Director
Tel: +61-8-9386-9534
E: jon.price@horizonminerals.com.au

Michael Vaughan
Media Relations - Fivemark Partners
Tel: +61-422-602-720
E: michael.vaughan@fivemark.com.au

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