GMJ134-Jan-Mar-19-web

WA GOLD PROJECT
PRIMING FOR DEVELOPMENT

✔ 2.5Moz Mineral Resource and enormous opportunity to grow
✔ Intensive 40,000m, A$4M drilling campaigns underway
✔ Multiple investment and re-rating catalysts ahead
✔ Fully-funded / free-carried via JV with Ibaera Capital
✔ 624,000oz @ 2.14g/t Au Ore Reserve (update imminent)
✔ Clear path to developing Ghana’s next long-life gold mine
✔ Highly-regarded Board and development team that will deliver
✔ Tremendous value on fundamental and comparative metrics
“The perfect time to become a shareholder!”

Azumah will be attending Arlington Pre-daba, 121 Mining Investment and Mining Indaba in Capetown, February 2019.
To arrange an investor briefing, contact Managing Director Stephen Stone:
e: [email protected] m: +61 (0) 418 804 564

www.azumahresources.com.au

DRILL BITS

Red 5 alerts with maiden resource A Zone remains open in all directions, with more assays pending
at the time of print.
Red 5 Ltd’s shares went up 15% upon news of a maiden “The basement mineralisation remains open and untested to
resource from the Eastern Margin Contact at the King of the the south and at depth. Diamond drilling will now continue to
Hills gold mine. step out and test the extents of the mineralisation along strike
and aim to outline the size and grade of this potentially large
An indicated and inferred resource of 28.7mt @ 2 g/t for 1.9 moz and exciting gold discovery,” Musgrave managing director Rob
was announced in December. Waugh said.

“This initial bulk resource at King of the Hills is a game-changer NTM starts RC at Redcliffe
for Red 5. Based on the drilling completed to date and assessing
only a portion of the broader granodiorite contact zone, the size An aircore drilling programme at NTM Gold Ltd’s Redcliffe
and scale of this resource gives us more confidence that King project, near Leonora, has yielded more highly positive results
of the Hills can ultimately support a large-scale bulk mining from several areas.
operation,” Red 5 managing director Mark Williams said. A total of 301 aircore holes for 18,000m was drilled by NTM, with
mineralisation detected at the Hub, Infinity, Redcliffe East and
“Given the strength of this early result, we’re now under way with Redcliffe South, Aliso and Bindy North prospects.
preliminary studies to assess the merits of a standalone mining Better results from Hub included 10m @ 3.21 g/t gold including
and processing operation.” 5m @ 5.12 g/t, 2m @ 2.5 g/t (to end of hole) and 10m @ 1.14
g/t; Aliso 5m @ 3.56 g/t, 5m @ 1.22 g/t and 5m @ 1.12g/t; and
Musgrave discovers Bindy North 5m @ 1.57 g/t.
Lake Austin North RC drilling was in progress at the time of print, with Hub, Infinity,
Redcliffe East, Redcliffe South, Bindy North and Nambi all
Musgrave Minerals Ltd has being targeted.
confirmed a significant gold
discovery at Lake Austin North, Ausmex swoops on Falcon
within the company’s flagship
Cue project in Western Australia’s Ausmex Ltd’s exploratory drilling at the Falcon gold mine in the
Murchison. Golden Mile has delivered “rewarding” results for the company.
Exploration has revealed high-grade gold under historical gold
Diamond drill hole 18MODD008 workings, with high-grade intersections of significant size, up to
Rob Waugh returned an “exceptionally thick” 4m @ 18.93 g/t gold (27-31m) within 8m @ 10.55 g/t.
This is the fourth set of high-grade historic workings that have
intercept with a high-grade core on returned high-grade gold intersections during maiden drilling by
the southern most basement drill traverse at A Zone. Ausmex.

Results included 242m @ 1 g/t gold from 61m down-hole, Good indications from Kouri
including 45m @ 3.3 g/t from 70m, including 9m @ 4.6 g/t from
70m, 18.9m @ 4.7 g/t from 96.3m and 5.8m @ 4.5 g/t from Golden Rim Resources Ltd is confident there is further upside to
199.8m. the 1.4 moz gold resource at its Kouri project, Burkina Faso.

Hole 18MODD008 is 50m south of 18MORC057 where 94m @
2.2 g/t from 156m (end of hole) was hit.

The company also reported that a diamond drill scissor hole
on the discovery cross section 150m north of 18MODD008
confirmed a thick interval of high-grade gold and steep east dip
with 20m @ 4.5 g/t from 102.2m down hole, including 2.6m @
11 g/t from 102.8m and 7.4m @ 6.5 g/t from 114.9m recorded.

Page 52

An upgraded indicated and inferred resource of 32mt @ 1.4 g/t The results have materially extended the down plunge
(0.3 g/t cut-off) for 1.4 moz contained gold was announced in late extent of high-grade mineralisation at the southern end of
2018. the Commonwealth deposit, beyond the extent of the current
resource outline.
Contained ounces of 1.4 moz was up 40% from the maiden
resource released from Kouri in May, while indicated resources The results also demonstrate the deposit contains numerous
were up 54% to 4.3mt. narrow high-grade veins commonly carrying grades of between
10 g/t gold and more than 30 g/t, according to the company.
Drilling for further extensions to the resource was under way at
the time of print, with a 3,000m RC programme targeting areas at An inferred resource of 720,000t @ 2.8 g/t gold, 48 g/t silver,
Guitorga, Diabouga, Guitorga North, Guitorga West and Red Hill. 1.5% zinc, 0.6% lead and 0.1% copper exists at the project, which
includes a higher grade component at the Main Shaft of 145,000t
@ 4.3 g/t gold, 142 g/t silver, 4.8% zinc, 1.7% lead and 0.2% copper.

Impact will conduct further drilling programmes at
Commonwealth in 2019.

Impact will loookktaonannonuonucnecae ammaiadiednenrerseosouurcrceefrforommSSiliilcicaaHHiilllin 2019

Golden Rim upgraded its maiden resource
from Kouri, Burkina Faso, in late 2018

Swells up for Cervantes

Cervantes Corporation Ltd had completed a short RC drilling
programme testing bonanza grade gold at Albury Heath in
Western Australia’s Meekatharra district.
A programme of seven holes for 440m was completed on zones
previously returning 2m @ 67.2 g/t gold from 27m, including 1m
@ 129.3 g/t from 27m and 5m @ 63.1 g/t from 32m, including
1m @ 202.8 g/t from 33m. Results from the latest campaign are
expected in the new year.
Albury Heath currently contains an indicated and inferred
resource of 390,000t @ 2.15 g/t gold.

Impact great at Commonwealth

High-grade assay results from the final diamond drill holes
completed at Impact Minerals Ltd’s Commonwealth project,
100km north of Orange, New South Wales, have confirmed
significant extensions to the mineralisation at the Commonwealth
South prospect.

Page 53

DEALS OF GOLD www.ddh1.com.au

It is anticipated this work will lead to
preliminary mine design and cash flow
modelling across some of these projects,
which have been subjected to various
drilling programmes, geological mapping,
data capture and interpretation in recent
years.

Torian has also engaged the services
of a boutique mining group, based in
Kalgoorlie, with extensive experience in
both open pit and underground mining, as
well as cartage and treatment.

Zenith is increasing its installed capacity at Jundee to 24MW Northern Star Resources Ltd’s East
Kundana JV and Evolution Mining Ltd’s
Frog’s Leg and White Foil deposits are
both partly along strike of Torian’s ground.

ZENITH FINDS MORE POWER AT JUNDEE Primero primed for more at Syama,
Tropicana
Zenith Energy Ltd is adding another 6MW of installed capacity
to its power station at Northern Star Resources Ltd’s Jundee Primero Group Ltd has secured new contract awards and
gold mine in Western Australia. extensions with a suite of gold clients, including Resolute Mining
Ltd, AngloGold Ashanti Ltd and Independence Group NL.
Under the amended terms of a previously signed power
purchase agreement, Zenith will build, own and operate an Existing clients Resolute (Syama in Mali) and AngloGold and
expanded 24MW power station to reliably and efficiently service Independence (Tropicana JV in Western Australia) had no
the power needs at Jundee, about 45km north-east of Wiluna. hesitation renewing terms with Primero, which listed on the
ASX in July.
First power from the expanded station is expected to be
delivered in Q3 FY2019. The amended agreement also carries Primero has also won its first contract with BHP Ltd’s South
a 10-year term. Flank iron ore project in Western Australia through the award

Zenith’s total build, own, operate capacity will increase to more
than 195MW following the completion of the station expansion
works.

Torian sizes up Goldfields mining Primero has signed a contract extension
opportunity at Resolute’s Syama mine in Mali

Torian Resources Ltd has appointed Kalgoorlie-based BM
Geological Services Pty Ltd (BMGS) to carry out JORC-
compliant estimates across its suite of projects in the West
Australian Goldfields.

BGMS will examine eight projects, including Mt Stirling, Mt
Stirling Well, Credo Well, Gibraltar East and Golden Buckle.

Page 54

www.ddh1.com.au

of a subcontract with Clough Ltd’s minerals business unit for Ongoing project optimisation studies are set to completed
the design, procurement, construction and commissioning of in Q1 2019 with resource and reserve updates to be
the on-site fuel facilities. announced soon.
Lithium producer Tawana Resources Ltd has also awarded
Primero a FEED contract for the Stage 2 expansion of the United goals at North Arunta
Bald Hill mine, having successfully delivered Stage 1 earlier
this year. United Drilling Services Ltd (UDS) recently undertook a
2,250m maiden drilling campaign for Gladiator Resources
West African has awarded key contracts to Lycopodium Ltd and Prodigy Gold NL at the North Arunta JV, Northern
and Byrnecut for Sanbrado’s development Territory.

West African gears up for Sanbrado The programme comprised about 2,000m of RC and 250m
development of diamond drilling. It was aimed at testing the prominent IP
chargeability anomalies identified from survey work completed
West African Resources Ltd has awarded key contracts in mid-2018.
to Lycopodium Ltd and Byrnecut Group as it begins
development of its Sanbrado project in Burkina Faso (see Samples have been sent to Perth for analysis and results were
page 50). pending at the time of print.
Lycopodium has been unveiled as the preferred EPCM
contractor for a 2 mtpa CIL treatment facility and other UDS is an experienced drilling contractor which has been in
supporting infrastructure at Sanbrado. operation since 1994.
Brynecut has been offered a five-year underground mining
services contract valued at $US110 million, with portal Agnew renews underground mining and
establishment expected to begin in March. drilling contracts
West African has also awarded a mill package contract to
Outotec, with an order placed for 4MW SAG and ball mills. Barminco Holdings Ltd has won two four-year contracts at
Development activities at Sanbrado are well under way, Gold Fields Ltd’s Agnew mine valued at $335 million.
including construction of a 210-room camp and the box cut
for underground access. Both contracts include an option for an additional 12 months
and are extensions of existing agreements for underground
mining and diamond drilling services.

Barminco, now a subsidiary company of Ausdrill Ltd, has been
active at Agnew since 2010 and during that time has completed
about 50km of development and 2.5mt of production.

Meanwhile, African Underground Mining Services – the 50:50
JV between Ausdrill and Barminco – has been awarded a
$US375 million underground mining services contract at
AngloGold Ashanti Ltd’s Obuasi mine in Ghana, in partnership
with country-based contractor Rocksure International.

Under the terms of the five-year contract, AUMS and Rocksure
will provide a full suite of underground mining services from Q1
2019, with about 550 people to be employed at Obuasi for the
duration of the agreement.

Page 55

PRECIOUS METALS

Palladium hits record highs,
pierces gold prices

by Swati Verma, Arpan Varghese and K. Sathya Narayanan, Reuters

Palladium soared to a record in early December, fuelled by of steam, and there could be profit-taking at these high levels.
a sustained deficit and speculative interest for the auto
catalyst metal, briefly surpassing bullion, which scaled a more The metal’s 14-day relative strength index (RSI) was around
than five-week peak as the US dollar slid. 77 in early December. An RSI above 70 indicates a commodity
is overbought and could lead to a price correction.
Spot gold rose 0.5% to $US1,237.44/oz on December 4, after
earlier hitting $US1,241.86/oz, the highest since October 26. “Looking ahead we believe the dynamic of an investor long
overhang that has been built-up for palladium, combined
Palladium climbed 2.6% to $US1,235/oz, having earlier with the short overhang in the gold market, will eventually
jumped to an all-time high of $US1,239.50/oz. contribute to gold re-establishing its premium over palladium,”
analysts at Metals Focus wrote in a note.
“We have a tight fundamental market, flat supplies, rising
demand and on top of that, undoubtedly some speculative Meanwhile, gold prices were on track for a second straight
interest which has helped drive prices to all-time record session of gains (at the time of print) as the US dollar
highs,” Mitsubishi analyst Jonathan Butler said. continued to be pressured after the US and China agreed to
hold off on fresh trade tariffs for 90 days.
“For the moment, we don’t see anything changing; the
metal remains in demand for industrial uses, speculators “Primarily, it is the weaker dollar that is providing assistance
are covering their positions, lease market is very tight, and and that will be the key driver in the short-term,” Capital
palladium forwards are in backwardation. We could see some Economics analyst Ross Strachan said.
higher prices from here in the very short-term.”
“However, gold is going to find it difficult to sustain the current
The metal, used mainly in emissions-reducing auto catalysts rally unless there is even more dollar weakness.”
for vehicles, has gained about 49% since mid-August.
Investors also kept a close eye on signals on the future path
“Palladium continues to fire long signals on all indicators and of interest rates in 2019 by the US Federal Reserve, with the
to make new highs, and is now challenging gold as reduced Central Bank widely expected to raise rates at its meeting on
auto tariffs from China boost demand expectations in an December 18-19.
already tight market,” analysts at TD Securities said in a note.
Meanwhile, spot silver jumped 1.1% to $US14.52/oz, while
However, a few analysts said palladium’s rally could run out platinum dipped 1% to $US798.40/oz.

Gold was trumped by palladium prices in December

Page 56

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HIDDEN TREASURES A motorbike-riding pensioner has made a dual discovery

Pensioner mechanical engineer has exhausted three bikes, riding up
rides into to 300km a trip in an effort to chase after lustrous objects
$110K fortune and will go to any length to find even the smallest of hidden
treasures.
by Louise Lupton Tomasovich is well-recognised in Australian prospecting
circles for his unique gold magnet motorbike and has been an
West Australian prospector Gary Tomasovich – aka inspiring character for Australia and the mining community.
Gadachi Gold – hit the jackpot twice recently with the “After all these years, I can study the ground and I can see
discovery of gold nuggets worth $54,373 each. the best areas for gold. Sometimes I give people advice, I tell
The 69-year-old motorbike rider was in disbelief when his them where to look, but they still waste their time going on
handheld Minilab GP Extreme metal detector detected two what I call a sightseeing tour; just wasting their time,” he said.
gold nuggets weighing a colossal 1kg each.
“Recently, I was working a reef in central WA, on top it
was OK but as soon as you moved away from the reef the
interference [on the detector] was too much. It was heavily
mineralised because of all the runoff from the ironstone,”
Tomasovich said.
“About 80m from the reef, I got a nice, strong signal and
there, about two-and-a-half inches below the surface I found
a 1.1kg nugget. The old heart did start to tick over.”
For 50 years, Gary has been a regular prospector, riding
his motorbike through every gold region in Australia. The

INDEX

Acacia 46 Dacian 18, 23 Intrepid 8 Ramelius 5, 7
De Grey 18-19
Alkane 7 Doray Rand 31
Duketon 5
AngloGold 12, 46, 54, 55 35 Kin 5 Randgold 6,27, 33,34,36, 46
Kirkland Lake 4,15, 22, 31
Anova 12 Red 5 52
38, 40
ApolloConsolidated 24,42-43 Regis 4, 5, 20, 22, 27

Ausgold 8, 43 Eastern Goldfields 6 Mako 48 Resolute 48, 54
Matsa 12
Ausmex 52 Endeavour 24 Metminco 12 Rio Tinto 16-17, 28
Millennium 10
Australian Potash 35 Evolution 4, 6, 8, 20, 22 Musgrave 23, 24, 52 Riversgold 20
27, 31, 32-33, 54
RNC 15
Explaurum 5, 7, 43
Bardoc 5
Barrick 5, 22, 27, 30, 31 Gascoyne 5 Saracen 4, 20-24, 26-27
Genesis 11
Bassari 33, 34, 46 Gladiator 55 Navarre 40 Shanta 46
BHP 49 Glencore 33, 46
Bellevue 54 Gold Fields 11, 55 Newcrest 16, 27, 31, 34-35 Silver Lake 4, 5, 15
Goldcorp 27, 34
4, 15, 20-24, 28-29 Golden Rim 52-53 Newmont 4, 30, 31 StBarbara 4,22,27,34-35,40
Great Boulder 8
Greatland 16-17 Northern Star 4, 6, 20, 22, Sumitomo 30
24, 27, 30-31, 54
Calidus 7 Tawana 55
Capicorn 5 NTM 24, 52 Teranga 28
Cardinal 23, 24 Torian 54
Catalyst 35, 40-41 OceanaGold 4, 22, 36-37 Tribune 31
Cervantes 53
Chalice 8 Hancock Prospecting 40 Peel 35 West African 7, 23, 55
Consmin 15 Perseus 23, 48
Cygnus 43 Impact 53 Petra Diamonds Yamana 31
Independence 54 Prodigy 46
35, 55

Page 58

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One of Australia’s highest grade gold projects

Historic Bellevue Gold Mine

• A significant high-grade gold discovery in Western Australia
• +1 million ounces @ 12.3g/t gold delineated in less than 12 months
• Multiple drill rigs turning for a resource upgrade in early 2019
• Recent successful institutional capital raising of $15 million
• Highly experienced team with a track record of exploration success and corporate growth

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