TORONTO, Feb. 26,
2024 /CNW/ - Karora Resources Inc. (TSX: KRR) (OTCQX:
KRRGF) ("Karora" or the "Corporation") is pleased to announce that
the initial results from the 50C infill drilling program, aimed at
upgrading and extending the 50C Nickel Mineral Resource, have
returned strong intercepts with some of the highest grade nickel
intersections to date at Beta Hunt.
The first set of drilling results from the current 50C program
demonstrate the potential for additional high-grade nickel
mineralization associated with the Gamma Block Nickel Mineral
Resource. Highlights from six drill hole results1
received to date are summarized below:
- G50-22-26NE: 8.2% Ni over 5.1 metres, including 13.7% Ni
over 2.6 metres
- G50-22-27NE: 12.0% Ni over 2.9 metres
- G50-22-23NE: 8.8% Ni over 3.3 metres
- G50-22-25NE: 15.4% Ni over 0.6 metres
- G50-22-28NE: 4.1% Ni over 1.2 metres
- Estimated True Widths
The 50C and 10C Mineral Resources which make up the Gamma Nickel
Mineral Resource, remain open along strike to the southeast (Figure
1) with potential to extend 3km along strike from the Gamma Fault
to the sub-lease boundary. This potential is highlighted by
historical surface drill hole LD4022 which intersected 9.5 metres
(downhole) grading 11.4% Ni, 400 metres southeast along strike of
the Mineral Resource (Figure 1) and 1.2km southeast of the 50C
discovery hole (11.6% Ni over 4.6 metres in hole G50-22-005E).
Paul Andre Huet, Chairman &
CEO, commented: "We are very pleased with the latest results
received from our nickel drilling program at the 50C nickel
discovery which, along with the 10C nickel trough, forms the Gamma
Block nickel Mineral Resource. The new infill drilling returned
some outstanding high-grade results that are expected to support
the upgrading and extension of the 50C Mineral Resource.
These high-grade drill results are even more exciting when you
consider the 50C area remains open along strike, with the potential
to extend a total of 3km from the Gamma Fault to the southern
property boundary. The current Gamma Block Measured and Indicated
Mineral Resource is a very impressive 3.0% Ni (197kt @ 3.0% for
6,000 nickel tonnes) and the potential for Mineral Resource
expansion and upgrades makes this a very compelling new area for
future mining. Beta Hunt has the unique infrastructure capability
to service and mine both gold and nickel areas, providing us
tremendous flexibility in extracting these resources as metal
prices move.
Overall, the initial results from the ongoing nickel infill and
extensional drilling program bode very well for the next update of
the Beta Hunt nickel Mineral Resource, expected in late 2024. The
current total Beta Hunt Mineral Resource is 22,300 contained nickel
tonnes in M&I category and 13,400 contained nickel tonnes in
Inferred Mineral Resources."
50C Drilling Update
The purpose of the 4,200 metre 50C infill drilling program is to
upgrade the existing Gamma Block Mineral Resource to add confidence
in support of future mine production. Drilling is planned to be
undertaken from four positions situated along the Beta Return
Incline (BRI) development drive (Figure 1). The drilling was
facilitated by advancing the BRI an additional 300 metres during
2023. This development also forms part of the future access to the
50C.
The 50C nickel zone was discovered by Karora in early 2021 (see
KRR news release, April 6, 2021) and
a maiden Mineral Resource was announced in 2022 (see KRR news
release, May 11, 2022). The 50C is
part of the Gamma Block Mineral Resource which hosts 197k tonnes grading 3.0% Ni for 6,000 Ni tonnes
in the Measured and Indicated category and 317k tonnes grading 2.7% Ni for 8,200 Ni tonnes
in the Inferred category. The Gamma Block (including the 50C) is a
new nickel area at Beta Hunt and Karora is poised to be the first
company to mine nickel from this zone.
Drilling Results
Results received for the first six drill holes of the 50C infill
drill program delivered some of the highest-grade nickel
intersections recorded from the 50C to date, highlighting the
potential to upgrade and extend the existing Nickel Mineral
Resource. The high-grade intersections are associated with massive
sulphide, dominated by nickel sulphide mineral pentlandite,
occurring on both the ultramafic/basalt contact and basalt/basalt
pinch positions. Significant intersections1 are
summarised below:
- G50-22-26NE: 8.2% Ni over 5.1 metres, including 13.7% over
2.6 metres, 2.3% Ni over 2.7 metres and 5.1% Ni over 0.5
metres
- G50-22-27NE: 12.0% Ni over 2.9 metres
- G50-22-23NE: 8.8% Ni over 3.3 metres
- G50-22-25NE: 15.4% Ni over 0.6 metres
- G50-22-28NE: 4.1% Ni over 1.2 metres
- Estimated True Widths
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, Chief Geological Officer, 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 85%
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 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 CRM per batch, with a minimum of one CRM per 20
samples.
Karora operates an industry best practice QA/QC process to
ensure the integrity of all assay results.
About Karora Resources
Karora is focused on increasing gold production at its
integrated Beta Hunt Gold Mine and Higginsville Gold Operations in
Western Australia. Ore is
processed at two centralized plants: the 1.6 Mtpa Higginsville mill
and the 1.0 Mtpa Lakewood mill, both located near our mining
operations. At Beta Hunt, a robust gold Mineral Resource and
Reserve is hosted in multiple gold shears, with gold intersections
along a 5 km strike length remaining open in multiple directions.
Higginsville has a substantial Mineral gold Resource and Reserve
and prospective land package totaling approximately 1,900 square
kilometers. 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 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 planned
and ongoing drilling, the significance of drill results, the
ability to continue drilling, the impact of drilling on the
definition of any resource, and resource modelling.
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.sedarplus.ca.
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 50C Nickel Results – 1st
January 2024 – 18th February 2024
Target/Prospect
|
Hole
ID
|
Sub
interval
|
From
(m)
|
To
(m)
|
Downhole
Interval (m)
|
Est.True
Width
(m)2.
|
Ni
%1.
|
50C Nickel
|
G50-22-23NE
|
|
45.3
|
48.8
|
3.5
|
3.3
|
8.8
|
G50-22-24NE
|
|
50.8
|
51.1
|
0.3
|
0.3
|
1.6
|
|
54.5
|
54.7
|
0.3
|
0.3
|
3.2
|
G50-22-25NE
|
|
52.3
|
52.9
|
0.7
|
0.6
|
15.4
|
G50-22-26NE
|
|
85.8
|
86.2
|
0.4
|
0.3
|
2.1
|
|
87.9
|
95.0
|
7.1
|
5.1
|
8.2
|
including
|
88.6
|
89.0
|
0.3
|
0.2
|
22.8
|
|
98.7
|
102.4
|
3.7
|
2.7
|
2.3
|
|
104.6
|
105.6
|
1.1
|
0.8
|
1.6
|
|
115.4
|
116.1
|
0.7
|
0.5
|
5.1
|
G50-22-27NE
|
|
84.1
|
84.2
|
0.1
|
0.1
|
5.7
|
|
105.0
|
109.0
|
4.0
|
2.9
|
12.0
|
including
|
105.6
|
106.0
|
0.4
|
0.3
|
23.5
|
G50-22-28NE
|
|
120.1
|
122.0
|
1.9
|
1.2
|
4.1
|
1. Reported
gold grades > 1.0% Ni including up to 1m of <1.0%
Ni
|
2. Estimated
true widths applied where known. Interval lengths are downhole
widths where Estimated true
widths cannot be determined with available
information.
|
Table 2 Beta Hunt - Drillhole Collars for 50C Nickel Results
received 1st January
2024 – 18th February
2024
Target/Prospect
|
Hole
ID
|
MGA_N
|
MGA_E
|
mRL
|
DIP
|
AZI
|
Total
Length (m)
|
50C
|
G50-22-23NE
|
6541761
|
376312
|
-315.6
|
67.0
|
206.9
|
75.1
|
G50-22-24NE
|
6541760
|
376311
|
-317.0
|
50.4
|
215.8
|
86.8
|
G50-22-25NE
|
6541760
|
376311
|
-318.1
|
35.8
|
218.3
|
119.8
|
G50-22-26NE
|
6541760
|
376311
|
-318.9
|
22.3
|
220.2
|
122.9
|
G50-22-27NE
|
6541760
|
376311
|
-318.8
|
22.1
|
230.2
|
122.8
|
G50-22-28NE
|
6541760
|
376311
|
-319.2
|
13.5
|
229.1
|
156.0
|
SOURCE Karora Resources Inc.