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Ariana Resources PLC
24 June 2024
 

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24 June 2024

AIM: AAU

DOKWE PROJECT: RESULTS OF detectORE TRIAL

Ariana Resources plc ("Ariana" or "the Company"), the AIM-listed mineral exploration and development company with gold project interests in Africa and Europe, is pleased to announce the completion of field trials of a ground-breaking new analytical technique at the Dokwe Project site in Zimbabwe.

Highlights:

·    Reliable gold analytical results obtained from drill core in as little as 15 hours (with dry sample), using detectORE™.

·    Over 1,000 samples were successfully tested and cross-checked by an ISO-accredited laboratory.

·    Gold correlations from detectORE™ versus laboratory results ranged from good to excellent (0.72 to 0.99 R2).

·    A fully operational low-cost and relatively mobile detectORE™ laboratory has now been setup in Zimbabwe, with a second coming online in Türkiye in the coming weeks.

·    Ariana is implementing this new time-efficient and cost-saving technology across all its exploration programmes; further experimental work is already underway in Türkiye.

 
To read a pdf version of the announcement, please click here: Insert PDF link here


Dr. Kerim Sener, Managing Director, commented:

"We are incredibly impressed with the results of this trial of the detectORE™ system developed by Portable PPB in Perth, Australia. The system has demonstrated itself to be considerably cheaper and faster than conventional analytical methods, which involve shipping to commercial laboratories, more extensive sample preparation and more complex steps in analysis. Crucially, the results of the detectORE™ analyses correlated extremely well with conventional fire-assay results.

"We are now looking forward to implementing the same system based out of our Ankara office so that we can utilise this methodology for all of our routine gold exploration analysis requirements in our South-East European area of operations. Our geoscientific team were present on site in Zimbabwe during the initial set-up and trial of the system and is now in the process of implementing a parallel system in Türkiye.

"Ariana is the first company in Zimbabwe and Türkiye to have implemented this game-changing technology. We have again shown that the Company remains a pioneer of the very latest technologies in our exploration programmes. This has had the effect of ensuring our gold discovery cost remains at the internationally low level of around US$11 per ounce. We look forward to continuing to work with Portable PPB to provide field-based feedback to aid the future development of this breakthrough technology."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

 

Summary

Under normal circumstances, gold cannot be measured in geological samples using field portable X-ray Fluorescence ("pXRF") due to its low concentration and the presence of interfering metals (caused by peak overlap). The patented detectORE™ technology was invented by Australia's National Science Agency, CSIRO, and has been exclusively licenced for commercialisation to Portable PPB Pty. Ltd. ("Portable PPB") who were awarded Western Australia Innovator of the Year in 2023 for their work on detectORE™.

The detectORE™ process overcomes the limitations of pXRF by leaching the gold from the sample using a lixiviant ("GLIX-20™") and a Collector Device ("CD"). GLIX-20™ is a powerful lixiviant with good selectivity for gold and allows for a simple and safe process, practical for in-field use. The CD selectively concentrates dissolved gold, enabling measurement by pXRF. Fundamentally, detectORE™ is a sample analysis technique that enables anyone, anywhere, to measure trace concentrations of gold in geological samples using a pXRF.

A feature of the Dokwe deposit is the amount and extent of pyrite mineralisation in the metavolcanic rocks, irrespective of gold content. This makes the discrimination of gold-rich samples visually difficult, and this has historically resulted in excessive sampling for fire assay, which is expensive and time-consuming. Finding a technique that can point towards gold mineralisation could significantly reduce the number of samples sent for fire assay, and therefore reduce the cost.

Ariana set up a detectORE™ laboratory at the Dokwe Project, and identified samples of a range of gold grades from historic core, on which to test the detectORE™ system and gain an understanding of the relationship between the representative units obtained through the detectORETM process and laboratory fire assay results. Following this, the due diligence drill-core was analysed using detectORE™.

A representative selection of the due diligence/detectORE™ samples was sent to Antech Laboratory (ISO Accredited) in KweKwe, Zimbabwe to be analysed for gold by fire assay.

detectORE™ Method

Intervals to be sampled were selected, and cut in half using a diamond core saw. The swarf (sediment normally disposed of and not assayed) obtained during this cutting was collected and left to settle out from the water used during the cutting process. After each sample, all equipment was carefully cleaned. Once settled, the samples were hung to dry in close-weave calico sample bags to prevent any loss of fines.

Once dry, a pXRF reading was taken from the swarf to obtain multi-element geochemistry. Next, a 250g sub-sample was weighed and placed into a plastic pouch with 500ml of reagent added and a collector device (CD) attached to the inside of the cap of the pouch. The pouches were placed in a barrel and tumbled for 12 hours. After this, the pouches were removed from the drum and CDs were removed from the pouches, rinsed gently in water and dried in a dehydrator oven for three hours (Figure 1). 

A person using a computer Description automatically generated A person in a red vest Description automatically generated A person holding a plastic bottle Description automatically generated A person pouring liquid into a bowl Description automatically generated

A collage of hands holding a bag of liquid Description automatically generated A person wearing gloves and holding a bottle Description automatically generated A barrel with a red and white tape around it Description automatically generated

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Figure 1: Photos of the detectORE™ method, from top left to bottom right: Barcode scanning, sample weighing, CD attachment, reagent preparation, adding reagent to sample, loading mixer, mixer running for 12 hours, gently washing CD's, drying CD's, XRF of CD's.

Each batch of 90 samples contained two reference materials supplied by Portable PPB which were processed and analysed in the same way as the core pulp samples. The reference materials are not certified but have known concentrations of gold. They are used to check that the leach and collection process has worked as intended for that batch. In addition, two blanks and two field duplicates were included in every 90 samples.

All samples and sample information are tracked using the bar codes on the pouches and the CD's. The sample numbers are entered into proprietary pLIMSTM software, Portable PPB's software interface for sample management and results. The barcodes prevent manual errors in data entry.

The pXRF detectORETM mode is firmware installed on portable XRF devices to allow detection of gold values from the CD's, controlled via API coupled to pLIMS™ software that also manages the QA/QC. The pXRF detectORETM mode is calibrated using five Calibrated Collector Devices of varying concentrations of gold from 0 to 1,000ppb equivalent. Once dried, the CDs were analysed for gold using Evident's detectORETM mode on a Vanta M Series (VMR) pXRF.

The gold concentration is calculated based on the weight of the original sample and moisture content, and the amount of gold on the CD (i.e., gold leached into solution). The gold concentration is given as dU (detectORETM units), where a dU represents the leached and collected gold in micrograms of gold. This is a partial extraction, not a total gold result. The laboratory results from the trial batches are compared to the detectORETM results, and a correlation coefficient is established. This equation is used to predict the ppm (g/t) values the dU correlates with, and thus help define samples to be analysed at a laboratory using conventional assay. The detectORE™ results when compared to fire assays also provide detailed geometallurgical insights and leach characteristics, further adding value to this process.

As a check for the detectORE™ process, one batch of samples was analysed twice, showing strong repeatability of results.

Initial Results

In total, 1,067 samples (including 106 QA/QC samples) were processed through the detectORE™ system from April to June 2024, of which 79 samples were from historic drill-holes, and 988 samples were from the Due Diligence drilling.

The detectORE™ results showed a strong correlation with fire assay results across a range of grades, from barren to 35.0g/t Au, as seen in Figure 2. It is clear that the detectORE™ results are strongly representative of the fire assay results, despite results being given in detectORE™ units (dU), with mineralised intervals indicated at the same depths and with similar concentrations for both analytical methods.

  A close-up of a graph Description automatically generated

Figure 2: Section view of due diligence drill holes at Dokwe North (DPD129 and DPD131) and Dokwe Central (DPD130). A good correlation can be seen between fire assay results displayed in yellow bars on the left side of the drill strings, and detectORE results in red bars on the right.

Because of the trial, Ariana has concluded that the detectORE™ results can be confidently used to select samples to be sent for fire assay, or to determine the next phase of sampling. By correlating the detectORE™ results with known assay results, the detectORE™ results can be easily converted to ppm (or g/t) values, which are a close prediction of the potential grade to be obtained via fire assay. For the Dokwe project, a grade of 500 dU was noted to be equivalent to approximately 1.00g/t Au.

The correlation between detectORE™ results and fire assays ranged from 0.72 to 0.99 R2, with an average R2 value of 0.81 (Figure 3). The average difference between the predicted grade and the fire assay grade was ±0.3g/t Au, with differences of greater than ±1g/t Au only seen in 2% of the samples to date (19 samples), 63% of which were greater than 2.5g/t Au in fire assay.

Figure 3: Scatter Plot showing a good correlation between the fire assay results (X-axis) and results predicted by the detectORE method (Y-axis). The graph focuses on the due diligence drilling at Dokwe North (DPD129) and Dokwe Central (DPD131).

Next Phase

In the initial phase, over half of the samples were analysed at the laboratory in addition to all samples being analysed through the detectORE™ process. This is to ensure a better understanding between laboratory results in ppm and detectORE™ results in dU. In future sampling programmes, approximately only 10% of samples would likely be shipped from the project to undergo standard fire-assay or equivalent analysis in a commercial laboratory.

The detectORE™ collectors also capture silver (Ag) and copper (Cu). However, further work is progressing to optimise and understand how Ag and Cu leach and are collected during the detectORE™ process. Silver is both a commodity and gold pathfinder element so having the ability to gain data on silver, in the field, at low concentrations is expected to help find gold and to know when laboratory silver assays are warranted so the value of this metal can be factored into project NPV and mine scheduling. All CD's are being archived safely for future silver and copper measurements after the process has been fully calibrated by Portable PPB.

 

This trial focused on the use of detectORE™ to analyse drill-core samples. Future work will include analysing soil and stream sediment samples, where the economic and efficiency benefits from near-daily turnaround of analytical results will come into play. Exploration depends on assays to move the process forward to the next stage with confidence. Having near daily gold assays anywhere, using a simple highly mobile process will undoubtedly enable us to explore faster and more confidently and should see further declines in what are already industry-leading low discovery costs, whilst also fast-tracking mine development through better insights into ore leach characteristics.

 

Contacts:

 

Ariana Resources plc

Tel: +44 (0) 20 7407 3616

Michael de Villiers, Chairman


Kerim Sener, Managing Director


Beaumont Cornish Limited (Nominated Adviser)

Tel: +44 (0) 20 7628 3396

Roland Cornish / Felicity Geidt


Panmure Gordon (UK) Limited (Joint Broker)

Tel: +44 (0) 20 7886 2500

Hugh Rich / Atholl Tweedie / Rauf Munir


WHIreland Limited (Joint Broker)

Harry Ansell / Katy Mitchell / George Krokos

Yellow Jersey PR Limited (Financial PR)

Tel: +44 (0) 207 2201666

 

Tel: +44 (0) 7983 521 488

Dom Barretto / Shivantha Thambirajah /
Bessie Elliot

arianaresources@yellowjerseypr.com

 

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated Adviser and is authorised and regulated by the FCA. Beaumont Cornish's responsibilities as the Company's Nominated Adviser, including a responsibility to advise and guide the Company on its responsibilities under the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed solely to the London Stock Exchange. Beaumont Cornish is not acting for and will not be responsible to any other persons for providing protections afforded to customers of Beaumont Cornish nor for advising them in relation to the proposed arrangements described in this announcement or any matter referred to in it.

 

Editors' Note:

 

The information that relates to Exploration Results is based upon information compiled by Ruth Bektas, Exploration Group Leader, Ariana Resources plc. Ruth Bektas is a member of Recognised Professional Organisations as defined by JORC 2012: a Chartered Geologist (CGeol, Geological Society of London) and European Geologist (EurGeol, European Federation of Geologists) and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity upon which she is reporting as a Competent Person as defined in the 2012 Edition of "The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves." Ms. Bektas consents to the inclusion in this report of the matters based on the information compiled by her, in the form and context in which it appears.

 

The information in this announcement that relates to exploration results is based on information compiled by Dr. Kerim Sener BSc (Hons), MSc, PhD, Managing Director of Ariana Resources plc. Dr. Sener is a Fellow of The Geological Society of London and a Member of The Institute of Materials, Minerals and Mining and has sufficient experience relevant to the styles of mineralisation and type of deposit under consideration and to the activity that has been undertaken to qualify as a Competent Person as defined by the 2012 edition of the Australasian Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code) and under the AIM Rules - Note for Mining and Oil & Gas Companies. Dr. Sener consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

 

About Ariana Resources:

Ariana is an AIM-listed mineral exploration and development company with an exceptional track-record of creating value for its shareholders through its interests in active mining projects and investments in exploration companies. Its current interests include gold production in Türkiye and copper-gold exploration and development projects in Cyprus and Kosovo.

 

The Company holds 23.5% interest in Zenit Madencilik San. ve Tic. A.S. a joint venture with Ozaltin Holding A.S. and Proccea Construction Co. in Türkiye which contains a depleted total of c. 2.2 million ounces gold equivalent (as at March 2024, using a price ratio of 90 Ag to 1 Au). The joint venture comprises the Kiziltepe Mine and the Tavsan and Salinbas projects.

 

The Kiziltepe Gold-Silver Mine is located in western Türkiye and contains a depleted JORC Measured, Indicated and Inferred Resource of 171,700 ounces gold and 3.3 million ounces silver (as at March 2024). The mine has been in profitable production since 2017 and has been producing at an average rate of c.22,000 ounces of gold per annum. A Net Smelter Return ("NSR") royalty of 2.5% on production is being paid to Franco-Nevada Corporation.

 

The Tavsan Gold Mine is located in western Türkiye and contains a JORC Measured, Indicated and Inferred Resource of 311,000 ounces gold and 1.1 million ounces silver (as at March 2024). Following the approval of its Environmental Impact Assessment and associated permitting, Tavsan is being developed as the second gold mining operation in Türkiye and is currently in construction. A NSR royalty of up to 2% on future production is payable to Sandstorm Gold.

 

The Salinbas Gold Project is located in north-eastern Türkiye and contains a JORC Measured, Indicated and Inferred Resource of 1.5 million ounces of gold (as at July 2020). It is located within the multi-million ounce Artvin Goldfield, which contains the "Hot Gold Corridor" comprising several significant gold- copper projects including the 4 million ounce Hot Maden project, which lies 16km to the south of Salinbas. A NSR royalty of up to 2% on future production is payable to Eldorado Gold Corporation.

 

Ariana owns 100% of Australia-registered Asgard Metals Fund ("Asgard"), as part of the Company's proprietary Project Catalyst Strategy. The Fund is focused on investments in high-value potential, discovery-stage mineral exploration companies located across the Eastern Hemisphere and within easy reach of Ariana's operational hubs in Australia, Türkiye, UK and Zimbabwe.

 

Ariana owns 75% of UK-registered Western Tethyan Resources Ltd ("WTR"), which operates across south-eastern Europe and is based in Pristina, Republic of Kosovo. The company is targeting its exploration on major copper-gold deposits across the porphyry-epithermal transition. WTR is being funded through a five-year Alliance Agreement with Newmont Mining Corporation (www.newmont.com) and is separately earning-in to up to 85% of the Slivova Gold Project.

 

Ariana owns 61% of UK-registered Venus Minerals PLC ("Venus") which is focused on the exploration and development of copper-gold assets in Cyprus which contain a combined JORC Indicated and Inferred Resource of 16.6Mt @ 0.45% to 0.80% copper (excluding additional gold, silver and zinc.

 

Panmure Gordon (UK) Limited and WH Ireland Limited are brokers to the Company and Beaumont Cornish Limited is the Company's Nominated Adviser.

 

For further information on Ariana, you are invited to visit the Company's website at www.arianaresources.com.

 

 

Glossary of Technical Terms:

 

"Au" chemical symbol for gold;

 

"DD" Due Diligence;

 

"g/t" grams per tonne;

 

"pLIMS" Portable Lab Information Management System;

 

"PPPB" portable PPB;

 

"pXRF" portable XRF;

 

Ends.

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