TORONTO, July 19,
2022 /CNW/ - Karora Resources Inc. (TSX: KRR) (OTCQX:
KRRGF) ("Karora" or the "Corporation") is pleased to announce
high-grade drill results1 from the Larkin Zone as part
of its ongoing underground diamond drill program at Beta Hunt,
which includes the following intersections:
- 29.8 g/t over 7.8 metres (BL1890-03AR)
- 8.7 g/t over 4.0 metres (BL1890-13AR)
- 4.2 g/t over 6.9 metres (BL1890-01AR)
1.Interval lengths are
estimated true widths
|
Results from the drilling program support and extend the
mineralization already defined by the current Larkin Mineral
Resource and provide strong encouragement for potential high-grade
mineralization to continue at depth, over 120 metes below the
ultramafic/basalt contact.
Paul Andre Huet, Chairman &
CEO, commented: "I am very pleased with the latest set of drill
results at Beta Hunt which continue to demonstrate the tremendous
high-grade potential of this underground mine. While our mined
grades are consistent with our 2.6 g/t Mineral Reserve, we often
encounter higher grade pockets such as those reported in today's
announcement, with one returning almost an ounce per tonne
intercept - an exciting result in any gold mine.
Success in our newest addition to Mineral Resources at Beta
Hunt's Larkin zone continues to reinforce both our robust near term
growth plan and the long term ambitions at Beta Hunt. The new
drilling was aimed at upgrading and extending the known Larkin
Mineral Resource and was successful on both counts. It is
particularly exciting that an intercept of 29.8 g/t over 7.8
metres, the best Larkin result to-date, was drilled 20 metres
beyond the existing Mineral Resource and 120 metres below the
ultramafic/basalt contact, indicating potential higher grade areas
at depth in the zone.
Over the past 24 months, we have reported results that not only
support the extension and upgrade potential of the Western Flanks
and A Zone existing Mineral Resources, but also the potential for
additional gold Mineral Resources associated with mineralization
intersected in drilling at Western Flanks North, A Zone North,
Fletcher, Gamma and the newly discovered Sorrenson Zone. Our
decision to significantly expand our drilling budget since 2020 has
been well rewarded and we look forward to continued success across
the very large areas remaining to be drilled. Coupled with our
renewed nickel exploration success at Beta Hunt, the low cost
mining potential of our flagship mine continues to develop."
Beta Hunt Larkin Drilling
Update
From February 1, 2022 to
June 30, 2022, a total of 17 gold
resource definition and exploration holes were drilled in the
Larkin Zone for 3,298 metres (see Figure 1). Drilling focused on
extending and infilling the recently released Larkin Mineral
Resource (see Karora news release April 7,
2022). The Larkin Zone was discovered in late 2020 as part
of a drill program targeting the 30C nickel trough which lies
directly above the gold mineralization. The Larkin Zone is Karora's
first gold Mineral Resource south of the Alpha Island Fault (AIF)
and is interpreted as the southern fault off-set extension of the
Western Flanks. The Larkin Zone remains open along strike to the
south and down-dip. The Mineral Resource comprises Measured and
Indicated, 1.44 million tonnes grading 2.6 g/t (119,000 ounces) and
Inferred 2.17 million tonnes grading 2.3 g/t (162,000 ounces).
The drilling at Larkin represents the first drilling completed
in this area since the release of the January 31, 2022 Mineral Resource and is part of
an overall program designed to support the Growth Plan which is
expected to increase gold production to between 185,000 and 205,000
ounces by 2024. Results received from 12 of the 17 holes to date
support and extend the existing Mineral Resource. Significant
results1 are listed below:
- BL1890-01AR:
4.2
g/t over 6.9 metres
-
BL1890-02AR:
3.6 g/t over 18.5 metres, including 22.9 g/t over 0.4 metres
-
BL1890-03AR:
29.8 g/t over 7.8 metres, including 101.8 g/t over 1.9 metres
-
BL1890-04AR:
3.9 g/t over 5.2 metres
-
BL1890-09AR:
2.7 g/t over 7.0 metres
-
BL1890-13AR:
8.7 g/t over 4.0 metres, including 82.9 g/t over 0.3 metres
1. Interval lengths
are estimated true widths
|
Drilling results are highlighted by an intersection of 7.8
metres grading 29.8 g/t in drill hole BL1890-03AR (see Figure 2)
which represents the highest grade drill intersection recorded to
date from Larkin, extending the mineralization by 20 metres beyond
the existing Mineral Resource. Significantly, the intersection
occurs 120 metres below the ultramafic/basalt contact providing
strong encouragement for high grade Larkin mineralization to
continue at depth, similar to the adjacent Western Flanks and A
Zone deposits.
Drill intersection
intervals reported as estimated true widths
|
The Larkin drill results above, along with results from all
holes drilled in first half of 2022 at Beta Hunt, will be
incorporated into an updated Beta Hunt Mineral Resource as part of
Karora's Annual Mineral Resource & Reserve update planned for
release in the fourth quarter of 2022.
Compliance Statement (JORC 2012
and NI 43-101)
The disclosure of scientific and technical information contained
in this news release has been reviewed and approved by Stephen
Devlin, FAusIMM, Group Geologist, Karora Resources Inc., a
Qualified Person for the purposes of NI 43-101.
At Beta Hunt all drill core sampling is conducted by Karora
personnel. Samples for gold analysis are shipped to SGS Mineral
Services of Kalgoorlie for preparation and assaying by 50 gram fire
assay analytical method. All gold diamond drilling samples
submitted for assay include at least one blank and one Certified
Reference Material ("CRM") per batch, plus one CRM or blank every
20 samples. In samples with observed visible gold mineralization, a
coarse blank is inserted after the visible gold mineralization to
serve as both a coarse flush to prevent contamination of subsequent
samples and a test for gold smearing from one sample to the next
which may have resulted from inadequate cleaning of the crusher and
pulveriser. The lab is also required to undertake a minimum of 1 in
20 wet screens on pulverised samples to ensure a minimum 90%
passing at -75µm. Samples for nickel analysis are shipped to SGS
Australia Mineral Services of Kalgoorlie for preparation. Pulps are
then shipped to Perth for
assaying. The analytical technique is ICP41Q, a four acid digest
ICP-AES package. Assays recorded above the upper detection limit
(25,000ppm Ni) are re-analyzed using the same technique with a
greater dilution (ICP43B). All samples submitted for nickel assay
include at least one Certified Reference Material (CRM) per batch,
with a minimum of one CRM per 20 samples. Where problems have been
identified in QAQC checks, Karora personnel and the SGS laboratory
staff have actively pursued and corrected the issues as standard
procedure.
About Karora Resources
Karora is focused on increasing gold production to a targeted
range of 185,000-205,000 ounces by 2024 at its integrated Beta Hunt
Gold Mine and Higginsville Gold Operations ("HGO") in Western Australia. The Higginsville treatment
facility is a low-cost 1.6 Mtpa processing plant, expanding to a
planned 2.5 Mtpa by 2024, which is fed at capacity from Karora's
underground Beta Hunt mine and Higginsville mines. At Beta Hunt, a
robust gold Mineral Resource and Reserve are hosted in multiple
gold shears, with gold intersections along a 4 km strike length
remaining open in multiple directions. HGO has a substantial
Mineral gold Resource and Reserve and prospective land package
totaling approximately 1,900 square kilometers. The Company also
owns the high grade Spargos Reward project, which came into
production in 2021. Karora has a strong Board and management team
focused on delivering shareholder value and responsible mining, as
demonstrated by Karora's commitment to reducing emissions across
its operations. Karora's common shares trade on the TSX under the
symbol KRR and also trade on the OTCQX market under the symbol
KRRGF.
Cautionary Statement Concerning
Forward-Looking Statements
This news release contains "forward-looking information"
including without limitation statements relating to production
guidance and the potential of the Beta Hunt Mine, Higginsville Gold
Operation, the Aquarius Project and the Spargos Gold Project, the
commencement of mining at the Spargos Gold Project and the
completion of the resource estimate.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Karora to be materially different
from any future results, performance or achievements expressed or
implied by the forward-looking statements. Factors that could
affect the outcome include, among others: future prices and the
supply of metals; the results of drilling; inability to raise the
money necessary to incur the expenditures required to retain and
advance the properties; environmental liabilities (known and
unknown); general business, economic, competitive, political and
social uncertainties; results of exploration programs; accidents,
labour disputes and other risks of the mining industry; political
instability, terrorism, insurrection or war; or delays in obtaining
governmental approvals, projected cash operating costs, failure to
obtain regulatory or shareholder approvals. For a more detailed
discussion of such risks and other factors that could cause actual
results to differ materially from those expressed or implied by
such forward-looking statements, refer to Karora 's filings with
Canadian securities regulators, including the most recent Annual
Information Form, available on SEDAR at www.sedar.com.
Although Karora has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking statements,
there may be other factors that cause actions, events or results to
differ from those anticipated, estimated or intended.
Forward-looking statements contained herein are made as of the date
of this news release and Karora disclaims any obligation to update
any forward-looking statements, whether as a result of new
information, future events or results or otherwise, except as
required by applicable securities laws.
Table 1: Beta Hunt Gold- Larkin Deposit Significant Results -
February 1, 2022 to June 30, 2022
Hole ID
|
Sub
interval
|
From
(m)
|
To
(m)
|
Downhole
Interval
(m)
|
Estimated
True
Width
(m)
|
Au
(g/t)1.
|
BL1890-01AR
|
|
80.2
|
91.0
|
10.8
|
6.9
|
4.2
|
BL1890-02AR
|
|
3.6
|
22.0
|
18.5
|
18.5
|
3.6
|
including
|
3.6
|
4.0
|
0.5
|
0.5
|
11.9
|
and
|
7.0
|
7.4
|
0.4
|
0.4
|
22.9
|
and
|
10.0
|
12.0
|
2.0
|
2.0
|
9.1
|
and
|
21.0
|
22.0
|
1.0
|
1.0
|
11.0
|
|
33.0
|
36.0
|
3.0
|
3.0
|
2.1
|
|
78.4
|
81.3
|
3.0
|
3.0
|
2.9
|
|
100.0
|
104.0
|
4.0
|
4.0
|
1.6
|
BL1890-03AR
|
|
23.0
|
30.7
|
7.7
|
7.5
|
1.8
|
|
128.0
|
136.0
|
8.0
|
7.8
|
29.8
|
including
|
129.0
|
131.0
|
2.0
|
1.9
|
101.8
|
and
|
134.0
|
136.0
|
2.0
|
1.9
|
16.3
|
|
160.0
|
163.9
|
3.9
|
3.8
|
2.1
|
|
166.3
|
174.0
|
7.7
|
7.5
|
1.9
|
BL1890-04AR
|
|
77.0
|
84.0
|
7.0
|
5.2
|
3.9
|
including
|
78.9
|
79.5
|
0.6
|
0.5
|
18.8
|
BL1890-05AR
|
assays
pending
|
-
|
-
|
-
|
-
|
-
|
BL1890-06AR
|
|
2.7
|
8.0
|
5.3
|
5.3
|
2.0
|
|
85.0
|
88.0
|
3.0
|
3.0
|
1.9
|
BL1890-07AR
|
|
57.0
|
65.0
|
9.0
|
6.9
|
1.8
|
|
112.0
|
116.0
|
4.0
|
3.1
|
2.9
|
BL1890-08AR
|
|
59.0
|
66.0
|
7.0
|
5.9
|
1.5
|
|
90.0
|
92.0
|
2.0
|
1.7
|
3.3
|
BL1890-09AR
|
|
1.0
|
8.0
|
7.0
|
7.0
|
2.7
|
|
21.0
|
23.0
|
2.0
|
2.0
|
2.6
|
|
57.0
|
61.0
|
4.0
|
4.0
|
2.3
|
|
73.0
|
74.0
|
1.0
|
1.0
|
7.1
|
|
112.5
|
118.0
|
5.5
|
5.5
|
2.4
|
|
129.0
|
135.0
|
6.0
|
6.0
|
2.7
|
BL1890-10AR
|
|
52.0
|
53.0
|
1.0
|
0.9
|
5.6
|
BL1890-11AR
|
|
100.0
|
103.1
|
3.1
|
2.4
|
2.0
|
BL1890-13AR
|
|
38.6
|
39.4
|
0.8
|
0.8
|
7.9
|
|
59.3
|
62.4
|
3.1
|
3.1
|
1.6
|
|
128.0
|
132.0
|
4.0
|
4.0
|
8.7
|
including
|
129.7
|
130.0
|
0.3
|
0.3
|
82.9
|
BL1890-14AR
|
|
4.0
|
10.8
|
6.8
|
6.1
|
1.1
|
|
78.0
|
81.0
|
3.0
|
2.7
|
2.6
|
|
142.0
|
145.0
|
3.0
|
2.7
|
5.5
|
BL1890-15AR
|
assays
pending
|
-
|
-
|
-
|
-
|
-
|
BL1890-16AR
|
assays
pending
|
-
|
-
|
-
|
-
|
-
|
1.
Reported gold grades > 1.0 g/t downhole and gram x metre >
5.
|
Table 2: Beta Hunt - Larkin Deposit - Drillhole Collars for
Significant Gold Results reported Feb 1, 2022 to
June 30, 2022
Hole
ID
|
MGA_N
|
MGA_E
|
mRL
|
DIP
|
AZI
|
Total
Length
(m)
|
|
|
BL1890-01AR
|
6542768.9
|
375345.2
|
-386.4
|
17.0
|
24.7
|
173.8
|
|
BL1890-02AR
|
6542768.9
|
375346.1
|
-387.9
|
-20.0
|
24.9
|
242.9
|
|
BL1890-03AR
|
6542768.9
|
375346.0
|
-388.1
|
-38.0
|
23.6
|
227.8
|
|
BL1890-04AR
|
6542768.6
|
375345.1
|
-385.4
|
22.0
|
41.7
|
170.9
|
|
BL1890-05AR
|
6542768.9
|
375345.5
|
-387.5
|
-11.5
|
40.8
|
167.9
|
|
BL1890-06AR
|
6542768.8
|
375346.2
|
-387.9
|
-23.7
|
44.6
|
167.7
|
|
BL1890-07AR
|
6542768.7
|
375346.2
|
-388.1
|
-42.6
|
46.4
|
188.8
|
|
BL1890-08AR
|
6542754.0
|
375363.7
|
-385.0
|
15.3
|
46.4
|
170.7
|
|
BL1890-08ARA
|
6542754.0
|
375363.7
|
-385.0
|
15.6
|
46.7
|
8.8
|
|
BL1890-09AR
|
6542754.0
|
375363.8
|
-387.0
|
-11.4
|
54.1
|
150.0
|
|
BL1890-10AR
|
6542754.5
|
375363.7
|
-387.5
|
-23.9
|
50.2
|
174.0
|
|
BL1890-11AR
|
6542754.3
|
375363.7
|
-387.5
|
-43.9
|
64.7
|
204.0
|
|
BL1890-12AR
|
6542754.3
|
375363.6
|
-385.7
|
14.0
|
70.1
|
188.9
|
|
BL1890-13AR
|
6542753.9
|
375363.8
|
-387.1
|
-11.1
|
76.6
|
173.8
|
|
BL1890-14AR
|
6542754.4
|
375363.7
|
-387.7
|
-33.5
|
76.6
|
192.0
|
|
BL1890-15AR
|
6542754.3
|
375363.7
|
-387.7
|
-40.1
|
84.9
|
335.9
|
|
BL1890-16AR
|
6542753.8
|
375363.9
|
-387.3
|
-19.7
|
95.7
|
360.5
|
|
SOURCE Karora Resources Inc.