This figure shows the location of Torque projects’ simplified geology and major mineral deposits in Tasmania.
The main targeted commodity is gold but the project areas collectively cover a wide range of mineralisation styles and geological settings including gold+/-bismuth+/-base metals in skarn style deposits; gold in disseminations and/or veins associated with intrusive granite (e.g. Pogo and Fort Knox, Canada); high grade zinc+lead+gold+silver in VHMS style; Tungsten+/-molybdenum+/-bismuth+/-tin in vein or skarn deposits; Tin as disseminations in “greisen” altered granite and/or replacement/skarn tin deposits.
The Company has gold resources, high grade mineralisation, development opportunities and many drill ready targets. The Company’s main projects are advanced with most preliminary exploration, such as geophysics and geochemistry, completed. The Company is not a grass roots exploration company. Frontier expended AUD$8.6 million on Tasmanian exploration from 2002 until April 2012. Since April 2012, the Company has expended a further AUD$1.2 million.
At Moina, the Company controls a historic multi-metal mineral district with two gold projects at feasibility stage – Narrawa and Stormont. Excellent logistics and infrastructure – ideal for development and operations, only 40 km from Devonport. At the SMRV Project high to very high grade massive sulphides have been drill intersected – geology is similar to the large Rosebery mine.
The Company has a major advantage over all previous explorers at Moina in that in late 2011, Frontier spent AUD$600,000 on an electrical geophysical exploration survey, 3DIP, and the results were an outstanding success. The 3DIP showed that the known gold resources at Stormont and Narrawa could be located using 3DIP and that the 3DIP survey had, in effect, rolled back the surface cover of recent basalt and sediments, and allowed us to view possible undiscovered mineral deposits – both large and small – from near surface to depths of 400-500 metres. Our Consulting Geophysicist has identified more than 70, (mainly previously unknown), targets that warrant testing by drilling.
1. Exploration Targets at the Moina Project are:
- Gold-bismuth and gold-pyrrhotite-base metal skarns. This Exploration Target is skarn type mineralisation; individual bodies of mineralisation may vary from approximately 100,000t at 2 to 5g/t gold plus bismuth and/or zinc, lead and silver to 20,000,000t at similar grades.
This Target is based on the exploration results summarised in Section 4.4.2 of the Replacement Prospectus dated 24 July 2013; the known Stormont and Narrawa mineral bodies, and on the known skarns in the retention licence held by TNT Mines Ltd.
- Intrusive related gold deposits. This Exploration Target is disseminated gold, pyrite, bismuth mineralisation which may have formed within the uppermost parts of the Dolcoath granite or in the Moina sandstone immediately above the granite.
Individual bodies of mineralisation may range from a few million tonnes to hundreds of millions of tonnes at grades of 0.7 to 1.5g/t gold.
This Target is based on research by Mineral Resources Tasmania, who determined that the Dolcoath granite is anomalous in gold and bismuth in comparison to granites worldwide; and on the chargeability results of the 3DIP survey which suggest large bodies of pyritic mineralisation may occur within or just above the uppermost contact of the Dolcoath granite.
Other Exploration Targets may be defined in the future in respect to tungsten, tin, molybdenum, bismuth, lead, zinc, silver with further exploration. At this stage of exploration, there is insufficient data to define such Exploration Targets.
In respect to the Exploration Targets above it must be noted that the potential quantities and grades are conceptual in nature, that there has been insufficient exploration to estimate a mineral resource (with the exception of the Stormont and Narrawa bodies), and that it is uncertain if further exploration will result in the estimation of mineral resources additional to those at Stormont and Narrawa.
2. Exploration Targets at the SMRV Project are:
- Massive zinc, lead, silver, gold sulphide
This mineralisation is similar to Rosebery, Cue River or Hellyer Mines (or former mines). The minimum sized mineral body in the SMRV environment likely to be economic is estimated at 10Mt at grades of 12 to 20% combined zinc and lead (plus silver and gold credits). The maximum size deposit likely to be defined would be approximately 30Mt at similar grades to the minimum size target. The above tonnages and grades are approximate and no financial study has been completed to more accurately ascertain the minimum tonnes and grade likely to be economic in the SMRV Tenements.
This target is based on exploration and drill data, summarised below and described in detail in Section 4.4.3 of the Replacement Prospectus dated 24 July 2013.
- Gold-base metals
This is similar to the Henty Mine, north of Queenstown, Tasmania. This Exploration Target is 2Mt to 4Mt at a grade of 10 to 15g/t gold plus credits in lead, zinc and silver. The above tonnages and grades are approximate and no financial study has been completed to ascertain the minimum tonnes and grade required for an economic deposit in the SMRV Project.
Mineralisation similar to the Henty Mine has been intersected in a drill hole in the SMRV Project and relevant exploration results relating to this Target are described in Section 4.4.3 of the Replacement Prospectus dated 24 July 2013.
In respect to the Exploration Targets above, it must be noted that the potential quantities and grades are conceptual in nature, that there has been insufficient exploration to estimate a mineral resource (except at the Wart Hill prospect) and that it is uncertain if further exploration will result in the estimation of mineral resources additional to those at Stormont and Narrawa.
For more detailed information on the Company’s Projects please refer to Section 4 of the Replacement Prospectus dated 24 July 2013.
Mineral resources have been estimated at two prospects in the Moina Project, Stormont and Narrawa, both skarn related deposits. Stormont is a small on and near surface gold-bismuth deposit with excellent potential to increase resources by defining similar targets nearby or under basalt cover. Narrawa is the project name for a number of previously named prospects such as Higgs and Narrawa Reward. Narrawa is a near surface small sized gold, silver, lead, zinc, tungsten and tin system with excellent potential to increase resources in the nearby vicinity of the present resource.
Recent 3DIP and geochemical surveys evaluated with historic aeromagnetic data all strongly suggest that other deposits similar to Stormont and Narrawa will be defined by further exploration. The data also demonstrates a strong possibility of defining large disseminated gold systems and/or replacement type tin and tungsten systems.
The Stormont and Narrawa systems have excellent access, no known environmental restrictions (other than normal environmental requirements) and would be predominantly open pit-table.
The combined total Indicated Mineral Resource, at a cut-off grade of 0.5g/t gold, at the Stormont and Narrawa prospects is 313,600t at 2.49g/t gold plus credits in silver, lead and zinc. Contained metal is 25,058ozs gold, 125,811ozs silver, 2,311t lead and 1,953t zinc.
In addition to the total Indicated Mineral Resource there is an Inferred Mineral Resource at Narrawa.
The individual project resources/reserves are as follows:
- Probable Reserves of 74,400t at 4.64g/t gold for 11,000 ozs gold at a cut-off grade of 1.5 g/t gold. These Probable Reserves are included within the Indicated Mineral Resource and not additional to the Indicated Mineral Resource.
- Indicated Mineral Resource of 150,800t at 2.89g/t gold for 14,011ozs gold at a cut-off grade of 0.5 g/t gold.
- Indicated Mineral Resource of 162,800t at 2.11g/t gold + 1.42% lead + 1.20% zinc + 20.6g/t silver for 11,040ozs gold + 2,311t lead + 1,953t zinc + 107,288ozs silver.
- Inferred Mineral Resource of 46,570t at 2.07g/t gold + 0.98% lead + 0.81% zinc + 16.0g/t silver for 3,100ozs gold + 460t lead + 380t zinc + 23,960ozs silver.
A small Inferred Mineral Resource has been estimated at the Wart Hill prospect, SMRV Project.
The resource estimation used Surpac’s inverse squared methodology. A resource was estimated for various gold equivalent cut-off grades ranging from 0g/t gold to 10g/t gold equivalent. Using a cut-off grade of 5g/t gold equivalent gave 167,364t at 1.14g/t gold, 74g/t silver. 0.215% copper, 3.88% lead and 7.7% zinc (gold equivalent grade of 7.12g/t).
The gold equivalent was calculated using the following: gold – USD$1,592/oz; silver USD$28.39/oz; copper USD$3.54/lb; lead USD$0.881/lb and zinc USD$0.863/lb, leading to a gold equivalent formula of: gold equivalent (g/t) = [0.0178273 x silver (ppm)] + [0.0001524 x copper (ppm)] + [0.000379 x lead (ppm)] + [0.000372 x zinc (ppm)].
The statements in this Section that relate to exploration results, mineral resource and ore reserves are based on information compiled by Robert McNeil, Managing Director of Torque Mining Ltd, and a Fellow of the AustIMM. Robert McNeil has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Robert McNeil consents to the inclusion on this website of these statements in the form and context in which they appear and Robert McNeil has not withdrawn his consent.