Austral Provides Exploration Update ON Properties IN Chile
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
MEDIA RELEASE
Austral Gold Limited
28 January 2022
AUSTRAL PROVIDES EXPLORATION UPDATE ON PROPERTIES IN
CHILE
Austral Gold Limited (the “Company” or “Austral”) (ASX: AGD; TSX-V: AGLD) is pleased to
provide an update on its on-going exploration activities in the Paleocene Belt in Chile.
Highlights:
• At Sierra Inesperada, w e intercepted silver mineralization and minor gold intercepts from our
phase III reverse circulation (RC) drilling campaign. The most significant results obtained were:
RDIN-001: 6.0 meters @ 1.05 g/t gold and 2.7 g/t silver
1.0 meter @ 1.99 g/t gold and 31.7 g/t silver
RIN-001A: 41.0 meters @ 18.6 g/t silver (including 8.0 meters @ 24.8 g/t silver)
30.0 meters @ 21.6 g/t silver
60.0 meters @ 14.1 g/t silver (including 6.0 meters @ 32.5 g/t silver)
Paleocene HS Districts Exploration
At Sierra Inesperada, RC drilling phase III campaign was completed with five drillholes. We
continued to intercept a zone with silver anomalies that suggests continuity at depth. No gold
intercepts of economic level were obtained, with the best results at [email protected] Au. All drill
holes crossed the phreatomagmatic complexes without reaching the feeder ducts.
At Cerro Buenos Aires, five holes were drilled to test the phreatomagmatic breccia boundaries
related to CSAMT anomalies in three targets defined in the delineation stage. Despite having
intercepted a large column of alteration, the results were not significant, and we dismissed the
potential for a High Sulfidation type system in these properties located in the southern sector of
Cerro Buenos Aires.
At Morros Blancos, the drilling program recently commenced, with the first drillhole targeting
the central conduit of Maar Central phreatomagmatic complex as announced on 11 January
2022.
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Table 1: Sierra Inesperada Drill results
Quality Assurance
Industry standard practices were used for sampling of diamond drilling. Drilling Samples were
sent to the Activation Geological Services (AGS) chemical laboratory, located in the city of
Coquimbo, Chile, where the samples were mechanically prepared (crushed and pulverized
according to standard protocol). Chemical gold analyzes were performed using Au50 FA -AAS
procedures (50 gram weight used for assays). Fusion with final determination performed by
Atomic Absorption; The results obtained equal to or greater than 5gr / ton., were analyzed by
Au30GRAV, fusion with final gravimetric determination. For the base metal assays, acid
digestion was performed with final determination by ICPMS (Ultra-trace multi-element package).
Silver results equal to or greater than 100gr / ton., were analyzed by Ag30GRAV, fusion with
final gravimetric determination. AGS has NCh 17025-2005 accreditation for the aforementioned
tests and its central laboratory is located at Avenida La Cantera 2270, Coquimbo, Chile.
Competent Person
Technical information in this press release that relates to Exploration Results including the
information listed in the table above is based on work supervised, or compiled on behalf of
Robert Trzebski, a Director of the Company. Mr. Trzebski, who is a member of the Australasian
Institute of Mining and Metallurgy (AusIMM) and qualifies as a Competent Person as defined in
the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves’ consents to the inclusion of the technical information that he has
reviewed and approved or has been compiled on his behalf.
About Austral Gold
Austral Gold Limited is a growing gold and silver mining, development and exploration company
whose strategy is to expand the life of its cash generating assets in Ch ile, restart its Casposo
mine in Argentina and build a portfolio of quality assets in Chile, the USA and Argentina
organically through a Tier 1 or 2 exploration strategy and via acquisitions and strategic
partnerships. Austral owns a 100% interest in the G uanaco/Amancaya mine in Chile and the
Casposo Mine (currently on care and maintenance) in Argentina, a non-controlling interest in
the Rawhide Mine in Nevada, USA and a non-controlling interest in Ensign Gold which holds
the Mercur project in Utah, USA.
In addition, Austral owns an attractive portfolio of exploration projects in the Paleocene Belt in
Chile (including those acquired in the 2021 acquisition of Revelo Resources Corp), a
noncontrolling interest in Pampa Metals and a 100% interest in the Pingüi no project in Santa
Cruz, Argentina. Austral Gold Limited is listed on the TSX Venture Exchange (TSX -V: AGLD)
and the Australian Securities Exchange. (ASX: AGD). For more information, please consult
Austral's website at www.australgold.com.
Hole East North RL Dip Azimuth EoH Sector Section Intercept Width (m) Depth (m) Au gpt Ag gpt
6.0 119.00 1.05 2.7
1.0 135.00 0.33 9.8
1.0 139.00 1.99 31.7
41.0 40.00 0.01 18.6
Include 8.0 66.00 0.01 24.8
30.0 132.00 0.01 21.6
60.0 204.00 0.01 14.1
Include 7.0 225.00 0.01 23.4
Include 6.0 234.00 0.02 32.5
RIN-002 439552.00 7219921.00 2612.00 -70 0 300.00 Purisima 439550
2617.007220075.00439550.00RIN-001A
No significant intercepts
439550.0Purisima264.000-70
INESPERADA RESULTS
Significant silver intercepts reported at 5 gpt Ag cutoff (longer than 30 meters); include at 15 gpt Ag cutoff (longer than 5 meters)
Significant intercepts reported at 0.2 gpt Au cutoff; include at 1.0 gpt Au cutoff, sub-include at 3.0 gpt Au cutoff
439400PurisimaRDIN-001 439400.00 7219950.00 2595.00 -70 0 281.60
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy
of this release.
Release approved by the Chief Executive Officer of Austral Gold, Stabro Kasaneva.
For additional information please contact:
Jose Bordogna Ben Jarvis
Chief Financial Officer Director
Austral Gold Limited Austral Gold Limited
[email protected] [email protected]
+61 466 892 307 +61 413 150 448
.
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
SIERRA INESPERADA and CERRO BUENOS AIRES
JORC Code, 2012 Edition – Table 1 Report
Section 1 Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections.)
Criteria JORC Code Explanation Commentary
Sampling
techniques
• Nature and quality of sampling
(e.g., cut channels, random
chips, or specific specialised
industry standard
measurement tools appropriate
to the minerals under
investigation, such as down
hole gamma sondes, or
handheld XRF instruments,
etc). These examples should
not be taken as limiting the
broad meaning of sampling.
• Include reference to measures
taken to ensure sample
representivity and the
appropriate calibration of any
measurement tools or
systems used.
• Aspects of the determination
of mineralisation that are
Material to the Public Report.
• In cases where ‘industry
standard’ work has been done
this would be relatively simple
(eg ‘reverse circulation drilling
was used to obtain 1m samples
from which 3kg was pulverised
to produce a 30g charge for fire
assay’). In other cases, more
explanation may be required,
such as where there is
coarse gold that has
inherent sampling
problems. Unusual
• Industry standard practices were used for
sampling of diamond drilling.
• The diamond drilling core was recovered
from drill tubes and stored in core wood
boxes, where it was geologically logged then
half core samples were taken using an
automatic core splitter, bagged, and sent to
the laboratory.
• The Reverse Circulation (RC) drilling
samples were recovered from rifle splitter
and stored in plastic bags, two twin samples
are generated (A and B), correlatively
numbered and levelled. First A was
geologically logged and cutting plastic bag
as backup performed, then sent to the
laboratory.
• Both types of drilling samples were sent to
the Activation Geological Services (AGS)
chemical laboratory, located in the city of
Coquimbo, Chile, wher e the samples were
mechanically prepared (crushed and
pulverized according to standard protocol).
Chemical gold analyses were performed
using Au50 FA -AAS procedures ( 50-gram
weight used for assays). Fusion with final
determination performed by Atomic
Absorption; The results obtained equal to or
greater than 5gr / ton., were analysed by
Au30GRAV, fusion with final gravimetric
determination. For the base metal assays,
acid digestion was performed with final
determination by ICPMS (Ultra-trace multi -
element package). Silver results equal to or
greater than 100gr / ton., were analysed by
Ag30GRAV, fusion with final gravimetric
determination.
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Criteria JORC Code Explanation Commentary
commodities or mineralisation
types (e.g., submarine nodules)
may warrant disclosure of
detailed
information.
Drilling
techniques
• Drill type (e.g., core, reverse
circulation, open-hole hammer,
rotary air blast, auger, Bangka,
sonic, etc) and details (e.g.,
core diameter, triple or standard
tube, depth of diamond tails,
face- sampling bit or other type,
whether core is oriented and if
so, by what method, etc).
• Drilling techniques used were surface core
drilling rig producing core at HQ size.
• For RC 5 3/4” – 5 5/8” diameter holes were
drilled, using 5” hammer with casing 6
meters long.
Drill sample
recovery
• Method of recording and
assessing core and chip sample
recoveries and results assessed.
• Measures taken to
maximise sample
recovery and ensure
representative nature of
the samples.
• Whether a relationship exists
between sample recovery and
grade and whether sample bias
may have occurred due to
preferential loss/gain of
fine/coarse
material.
• Sample recovery is generally >95%.
• The mineralised zone appeared to be quite
competent and core recoveries were
excellent.
• All core was carefully placed in HQ sized
core wooden boxes and transported a short
distance to a core processing-sampling area
where core recovery, depth markup and
photography could be completed.
• RC sample from one meter drilling was
taken, that weighed approximately 30 kg,
with recovery of approximately >95%.
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Criteria JORC Code Explanation Commentary
Logging • Whether core and chip samples
have been geologically and
geotechnically logged to a level of
detail to support appropriate
Mineral Resource estimation,
mining studies and metallurgical
studies.
• Whether logging is qualitative or
quantitative in nature. Core (or
costean, channel, etc)
photography.
• The total length and percentage
of the relevant intersections
logged.
• Diamond drill core and RC drillholes were
geologically logged using predefined
logging codes for litholog y, alteration and
mineralisation.
• Logging, structural, and geotechnical
measurements and the estimation of
recoveries was quantitative in nature.
• Drill core was photographed and digitally
stored for visual reference.
• All holes were logged from start to finish.
Sub-
sampling
techniques
and sample
preparation
• If core, whether cut or sawn
and whether quarter, half or all
cores taken.
• If non-core, whether riffled,
tube sampled, rotary split, etc
and whether sampled wet or
dry.
• For all sample types, the nature,
quality, and appropriateness of
the sample preparation
technique.
• Quality control procedures
adopted for all sub-sampling
stages to maximise representivity
of samples.
• Measures taken to ensure that the
• For the diamond drill holes, sample
intervals were marked, and the core was
sawn with an automatic splitter. One half
of the core was placed in plastic bags and
tagged with a unique sample number. The
other half of the core was returned to the
core box and securely stored.
• Second half core was used for internal
check assays and no physical backup was
left.
• For RC drilling, 30kg sample first riffled
generated two 15kg samples, a second
splitting provided two 7.5kg final samples
(A and B).
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Criteria JORC Code Explanation Commentary
sampling is representative of the in-
situ material collected, including for
instance results for field
duplicate/second-half sampling.
• Whether sample sizes are
appropriate to the grain size of the
material being sampled.
• RC sample B in the drillholes yard was
stored as backup.
Quality
of assay
data
and
laborato
ry tests
• The nature, quality and
appropriateness of the assaying
and laboratory procedures used
and whether the technique is
considered partial or total.
• For geophysical tools,
spectrometers, handheld XRF
instruments, etc, the parameters
used in determining the analysis
including instrument make and
model, reading times, calibrations
factors applied and their derivation,
etc.
• Nature of quality control procedures
adopted (eg standards, blanks,
duplicates, external laboratory
checks) and whether acceptable
levels of accuracy (ie lack of bias)
and precision have been
established.
• Drill samples were collected and bagged
and sent to AGS laboratories. There they
were crushed and prepared. Gold assays
were done using FA -AAS procedure on a
50g sample.
• ICP-Mass method with aqua regia
digestion, final determination of 58
elements (Accredited Method by
NCh17025-2017).
• The results obtained equal to or greater
than 5gr / ton., were analysed by
Au30GRAV, fusion with final gravimetric
determination.
• Silver results equal to or greater than
100gr / ton., were analysed by
Ag30GRAV, fusion with final gravimetric
determination.
• QA/QC procedures include the definition
of a “Geochemical Check List” where all
parameters are set to ensure adequate
control over the stages of preparation and
chemical analysis of all drilling samples.
Blanks, standard and field duplicate are
inserted with a frequency of 5%, coarse
duplicates 2.25% and pulp duplicates
1.25%.
• Levels of acceptancy for standard
samples are to 3sd.
Verificati
on of
sampling
and
assaying
• The verification of significant
intersections by either independent
or alternative company personnel.
• The use of twinned holes.
• Documentation of primary data,
data entry procedures, data
verification, data storage (physical
and electronic) protocols.
• Discuss any adjustment to assay
data.
• Not applicable.
• Not applicable.
• Samples data entered manually into
electronic spreadsheets. Data then
entered in GVMapper software using
Getac rugged tablets and stored in data
base formats.
Austral Gold Limited ABN 30 075 860 472 ASX: AGD TSXV: AGLD
Level 5 126 Phillip St, Sydney NSW 2000 | T +61 2 9380 7233 | [email protected] | www.australgold.com
Criteria JORC Code Explanation Commentary
Location
of data
points
• Accuracy and quality of surveys
used to locate drill holes (collar and
down-hole surveys), trenches,
mine workings and other locations
used in Mineral Resource
estimation.
• Specification of the grid
system used.
• Quality and adequacy
of topographic control.
• Drilling collar survey used Trimble
3601DR total station, +- 1mm precision.
• The datum used was PSAD56 and UTM
coordinate system.
• Downhole surveys are completed by
downhole methods (Champ Gyro) at
regular intervals (25m and total hole).
Data
spacing
and
distribution
• Data spacing for reporting
of Exploration Results.
• Whether the data spacing, and
distribution is sufficient to establish
the degree of geological and grade
continuity appropriate for the
Mineral Resource and Ore
Reserve estimation procedure(s)
and classifications applied.
• Whether sample compositing
has been applied.
• Exploration drilling per target is in sections
with 100 to 200 meters spacing and up to
three drillholes per section at least 100
meters apart.
Orientation
of data in
relation to
geological
structure
• Whether the orientation of
sampling achieves unbiased
sampling of possible structures
and the extent to which this is
known, considering the deposit
type.
• If the relationship between the
drilling orientation and the
orientation of key mineralised
structures is considered to have
introduced a sampling bias, this
should be assessed and reported if
material.
• Drilling direction is defined by the
mineralization controls identified during
delineation activities at local scale.