2023_CIO_Press_Release_Mermaid RC Drilling Programme
2023_CIO_Press_Release_Mermaid RC Drilling Programme
ABN: 32 072 871 133
Central Iron Ore Ltd.
Suite 1 Level 2, 49-51 York Street, Sydney 2000 Australia
Tel. 61 2 9397 7555
NEWS RELEASE Symbol: CIO-TSXV
31 January, 2023 For Immediate Dissemination
South Darlot Gold Project: Mermaid RC Drilling Programme
VANCOUVER, BRITISH COLUMBIA – (Marketwire – 31 January 2023), Central Iron Ore Ltd.
(CIO – TSX.V) (“CIO” or “the Company”) is pleased to announce results from the December 2022
RC drilling programme at its Mermaid prospect at the South Darlot Gold Project.
Mermaid Highlights
• 22MERC002: 6 meters @ 5.35g/t Au from 23 metres
• 22MERC005: 2 meters @ 6.82g/t Au from 54 metres
• 22MERC006: 5 meters @ 4.07g/t Au from 25 metres
• 22MERC008: 3 meters @ 8.58g/t Au from 10 metres
• 22MERC009: 2 meters @ 35.03g/t Au from 67metres
• 22MERC012: 2 meters @ 11.43g/t Au from 10 metres
Mermaid RC Drilling
CIO completed a 15 hole RC drilling program me for 632 metres at the Mermaid prospect on
mining licence M37/631. The program was designed around the historical Mermaid shaft with hole
depths ranging from 23 to 80 metres. The drilling established a degree of continuity of quartz vein-
hosted, high-grade mineralisation at shallow depths which previous drilling had failed to identify.
Gold mineralisation at Mermaid is associated with the Mermaid Vein (Figures 1 and 2) which is a
1 – 5 metres wide, often fractured bucky quartz vein with minor amounts of pyrite and reports of
chlorite and molybdenite. High grade mineralisation, where present, is typically confined to the
vein or contact zones although low grade mineralisation up to ~2 g/t Au can often be found several
2023_CIO_Press_Release_Mermaid RC Drilling Programme
meters into the wall rock , possibly a result of vein related halo alteration or regolith dispersion
(Figure 2).
Figure 1 Gold mineralisation associated with the narrow quartz vein in 22MERC012.
Figure 2 Low grade gold mineralisation in halo of the narrow quartz vein in 22MERC002.
The results of the drilling program at Mermaid have been largely positive. The drilling has
established a degree of continuity of high-grade mineralisation at shallow depths which previous
drilling failed to identify and in doing so, has delivered signific ant upside to the South Darlot
project. All 15 planned holes pierced the projected vein horizon with 12 intercepting the Mermaid
Vein and up to 9 holes containing potentially economic mineralisation (Table 1).
2023_CIO_Press_Release_Mermaid RC Drilling Programme
Figure 3 Long section of Mermaid prospect showing mineralised intercepts.
2023_CIO_Press_Release_Mermaid RC Drilling Programme
Figure 4 Cross section through the Mermaid deposit.
2023_CIO_Press_Release_Mermaid RC Drilling Programme
Table 1 Drill hole details and significant intersections from the Mermaid RC drill programme.
Endeavour RC Drilling
A total of 16 holes for 1,040 metres was drilled by CIO in December 2022 at the Endeavour
prospect. The holes were designed to test for extensions to the west and down dip of the existing
mineralisation at Endeavour. Results or this drilling remain outstanding and will be reported on
once results are received by CIO.
X Y Z From To Interval Avg. Grade
(Au g/t)
Metal
(g*m)
22MERC001 -60 324 327821.99 6906099.59 445.13 - - - - - NSI
22MERC002 -60 324 327834.89 6906096.86 445.17 23 29 6 5.35 32.07
22MERC003 -60 324 327840.10 6906089.28 445.23 39 42 3 1.25 3.75 Hole ended in 0.57g/t (no qtz assoc.)
22MERC004 -60 324 327838.18 6906110.91 445.17 - - - - - NSI
22MERC005 -60 324 327859.18 6906086.61 445.27 54 56 2 6.82 13.64
and 57 58 1 0.80 0.80
22MERC006 -60 324 327850.34 6906108.53 445.18 25 30 5 4.07 20.34
22MERC007 -60 324 327853.88 6906123.20 445.26 10 13 3 8.58 25.75
22MERC008 -60 324 327865.04 6906107.16 445.33 - - - - - NSI
22MERC009 -60 324 327877.38 6906090.46 445.30 67 69 2 35.03 70.05
and 72 73 1 1.62 1.62
22MERC010 -60 324 327868.40 6906121.79 445.26 26 28 2 2.88 5.76
22MERC011 -60 324 327878.93 6906106.00 445.34 46 49 3 1.49 4.48
22MERC012 -60 324 327869.54 6906134.76 445.24 10 12 2 11.43 22.86
22MERC013 -60 324 327881.18 6906118.82 445.32 39 40 1 1.91 1.91
22MERC014 -60 324 327883.48 6906132.62 445.27 26 27 1 0.92 0.92
22MERC015 -60 324 327885.58 6906147.18 445.32 - - - - - NSI
CommentsHole ID Dip Azi
Collar Position Significant Mineralised Intercepts
2023_CIO_Press_Release_Mermaid RC Drilling Programme
Figure 5 Long section of the Endeavour deposit showing pierce points of the planned holes of the November 2022 RC Drilling
Programme.
Phase 2 Soil Sampling
CIO completed the planned second phase of soil sampling on tenements M37/631 and M37/632.
The objective of this programme is to expand upon the successful Phase 1 programme
announced in June 2022; which identified five coincident gold- copper-lead in soil anomalies on
or about the Emperor Structure and along strike of the Endeavour Mineral Resource. In addition
to the gold anomalism, two lithium targets were identified characterised by the presence of
elevated Li and other elements associated with LCT pegmatites (Rb, Cs, Be, Ta).
The Phase 2 programme consists of 3,870 soil samples which were collected on the same tight
sample density of 20mN x 30mE as the Phase 1 programme (Figure 6) and targets potential
mineralised systems with a similar size footprint of the Endeavour and Mermaid prospects located
on M37/631.Samples have been submitted to Labwest Pty Ltd in Perth with results expected in
approximately 3 months.
2023_CIO_Press_Release_Mermaid RC Drilling Programme
Figure 6 The three Zones (A, B and C) of the Phase 2 Soil Sampling Programme with Au (ppb) anomalies from the Phase 1
programme.
Mining Studies
CIO have commissioned a suite of studies required to meet Western Australia Department of
Mining Industry Regulation and Safety (DMIRS) requirements to commence open pit mining at
Endeavour. These studies include waste rock characterisation, a hydrogeological and a
metallurgical programme. Two PQ diamond core holes have been designed and will be drilled to
enable collection of approximately 60 Kg of core for comminution test work. These holes will be
drilled in February 2023.
CENTRAL IRON ORE LIMITED
SOUTH DARLOT GOLD PROJECT (Western Australia)
The Company’s South Darlot Gold Project area is located approximately 320km northwest of
Kalgoorlie in Western Australia and includes:
• The British King Mine has now reverted to 100% beneficial ownership by the Company
and which is National Instrument 43- 101 – Standards of Disclosure for Mineral Projects
(“NI43-101”) compliant. The British King Mine is 5km southwest of Red 5 Limited’s Darlot
Mine. The British King Mine is currently in care and maintenance.CIO is registered on title
for 49% and has received signed transfer forms from BK Gold Mines Pty Limited to Central
Iron Ore Limited for the transfer of a further 51% interest as agreed.
2023_CIO_Press_Release_Mermaid RC Drilling Programme
The registration of unencumbered title of that 51% interest is being delayed by
Silverstream SE22, who provided funding to BK Gold Mines Pty Limited to fund their
acquisition under the Tenement Acquisition Agreement. Silverstream SE22 has refused
to remove the caveats which prevents registration of the transfers. CIO has commenced
action in the Supreme Court of Western Australia to have the caveats removed.
• A number of tenements which are subject to a joint venture with subsidiaries of Red 5
Limited (“Red 5”), details of which are set out below, in which CIO has earned a 70% interest.
Figure 7 Locality map of the South Darlot project.
RED 5 JV Project (Formerly Barrick Joint Venture Project)
The tenements set out in the table below (“Red 5 JV Tenements”) are the subject of a joint venture
between a fully owned subsidiary of the Company and subsidiaries of Red 5 Limited (“Red 5 JV”)
and are situated southwest of Red 5’s Darlot gold mine and are contiguous with CIO’s current
holdings in the area. The Red 5 JV Tenements are detailed below.