Quarterly Activities Report

Transcription

1 Quarterly Activities Report For the period ended 30 September 2013 Golden Rim Resources Ltd (ASX: GMR) is active in West Africa, with a pipeline of gold projects covering over 5,000km 2 in the highly prospective Birimian greenstone belts of Burkina Faso, Mali and Ivory Coast. Golden Rim has an Inferred Mineral Resource of 850,000 tonnes at 6.8 g/t gold for 185,000 ounces of gold for a 0.5 g/t cut-off, at the Balogo Project, Burkina Faso. With continued success at Balogo and at its other projects in West Africa, Golden Rim is poised to deliver significant growth and value to shareholders. Head Office Level 2 10 Outram Street WEST PERTH WA 6005 AUSTRALIA T: Exploration Office Level 1 19 Prospect Street BOX HILL VIC 3128 AUSTRALIA T: Contact Craig Mackay Managing Director info@goldenrim.com.au Directors Rick Crabb, Non Executive Chairman Craig Mackay, Managing Director Gilbert Rodgers, Executive Director Glenister Lamont, Non Executive Director Highlights Burkina Faso Limited fieldwork was conducted in West Africa during the quarter due to the wet season. Further auger drilling on the Kabola anomaly at Balogo returned a peak assay value of 525 ppb gold. An Environmental Impact Assessment commenced at Balogo as part of a Bankable Feasibility Study. The acquisition agreement for the Korongou Project was successfully re-negotiated to reduce the three payments due over the next 18 months to a total of US$1 million. Corporate Golden Rim successfully completed a placement of 85 million fully paid ordinary shares in the Company at an issue price of 2.2 cents per share to raise $1.87 million (before costs). Balogo Project, Burkina Faso The Balogo Project covers 605.2km 2 and is located in southern Burkina Faso (Figure 1). It covers part of a highly prospective Lower Proterozoic Birimian greenstone belt and is traversed for 25km by a significant NE-trending fault splay which is connected to the major Markoye Fault system. This fault system controls a number of major gold deposits in Burkina Faso, including Taparko / Bouroum (1.6 Moz gold), Kiaka (5 Moz gold), Bomboré (5.2 Moz gold) and Essakane (5.6 Moz gold). Auger Drilling Auger drilling during the last two quarters has outlined two new significant gold-in-soil anomalies, in addition to the Netiana Lodes. The first anomaly, Netiana North, was outlined in weathered bedrock, 300m NE of the Netiana Lodes. It has a very high peak value of 13,526 ppb (13.5 g/t) gold, which is the highest auger result ever obtained by Golden Rim in West Africa. The second anomaly, Kabola, has been outlined in weathered bedrock, 100m south of the Netiana Lodes. It has a peak value of 1,489 ppb (1.5 g/t) gold and is open to the south (Figure 2). Golden Rim Resources Ltd I ABN I Level 2, 10 Outram Street, West Perth WA 6005, Australia I PO Box 378, West Perth WA 6872, Australia I info@goldenrim.com.au I T I F

2 A total of 36 auger points, totalling 152m, were drilled on the Kabola anomaly in July 2013, before the commencement of the wet season ceased all exploration activities at Balogo. Twelve of these samples returned assay results over 20ppb. The peak result was 525 ppb gold. Environmental Impact Assessment An Environmental Impact Assessment (EIA) as part of a Bankable Feasibility Study (BFS) commenced at Balogo. SOCREGE Sarl (SOCREGE) is conducting the EIA which is expected to be completed by the end of June The EIA has the longest time line component of the BFS. During the quarter, SOCREGE set up a meteorological station at the Balogo camp and collected meteorological data through the wet season. In addition, fauna and flora and sociological surveys were completed. A preliminary report on the Phase 1 work is due to be submitted to Golden Rim in the coming weeks and this information will form part of the final EIS report that will be submitted as part of the permitting process for Golden Rim s proposed mine development at Balogo. Phase 2 of the EIS will consist of the collection of similar data after the wet season from October to December The final phase will involve data collection from January to April A final EIS report should be available from SOCREGE by June Bankable Feasability Study In addition to the EIA, other components of the BFS are expected to commence in November Initially Golden Rim intends to complete an infill drilling program at Netiana to upgrade the gold resource. It is planned to utilise some of these drill holes for geotechnical, metallurgical and hydrological purposes. Following the drilling, the Company plans to conduct mining and engineering studies. The BFS will assess the economic viability of installing a modular 30tph gravity and CIL plant to exploit the resource at Netiana. Korongou Project, Burkina Faso The Korongou Project covers part of a highly prospective Lower Proterozoic Birimian Samira Hill greenstone belt in Burkina Faso and is traversed by a significant NE-trending fault splay which is connected to the major Markoye Fault system. This fault system controls a number of major gold deposits in Burkina Faso, including Kiaka (5.9 Moz gold), Bomboré (5.2 Moz gold) and Essakane (6.2 Moz gold). The mineralised fault system extends into western Niger where the 2Moz Samira Hill is located (Figure 1). No field work was carried out on the Korongou Project during the quarter. Golden Rim successfully negotiated changes to its agreement to acquire the Korongou Project from Epsilon Gold Mines Ltd (Epsilon). Previously, a total of $2 million was payable to Epsilon over a period of two years and an additional US$1 million was payable upon the commencement of a Bankable Feasibility Study by Golden Rim. Under the new terms, US$1.5 million is payable over a period of two years and an additional US$1.5 million will be payable upon a Decision to Mine. Golden Rim has already provided $500,000 of the initial payments. Page 2

3 Sebba Project, Burkina Faso The Sebba Project is located in NE Burkina Faso. The permits are located on several greenstone belts which are traversed by major deep-seated shear zones and are considered highly prospective for the discovery of significant gold mineralisation (Figure 1). Following a review of data and financial priorities, Golden Rim withdrew from its right to acquire the Damkoko permit. No field work was carried out on the Sebba Project during the quarter. Golden Rim has commenced divestment activity for the Sebba Project. Babonga Project, Burkina Faso No field work was completed on the Babonga Project during the quarter. Golden Rim has commenced divestment activity for the Babonga Project. Yako Project, Burkina Faso No field work was completed on the Yako Project during the quarter. A final acquisition payment was made on the Zanna Permit, giving Golden Rim 100% ownership of the permit. Golden Rim has commenced divestment activity for the Yako Project and is currently in discussion with several parties. Diapaga Project, Burkina Faso The Diagapa Project covers an area of 960km 2 and is located approximately 350km from Ouagadougou, the capital of Burkina Faso (Figure 1). It lies on the NE-trending Diapaga Birimian greenstone belt and is bisected by a series of major and complex shear structures running into Niger and connected to the major Markoye Fault system. The Markoye Fault system hosts a number of significant gold deposits in Burkina Faso, including Taparko (1.7Moz), Kiaka (5.9Moz), Essakane (6.2Moz) and Bomboré (5.2Moz). Under a terms sheet for a joint venture, Blina Minerals NL is to carry out exploration activities on the Diapaga Project and has the right to earn a 51% interest in the project by spending $2M within 30 months. No field work was completed by Blina on the Diapaga Project during the quarter. Mali Projects (Sepola and Faraba) No work was completed on the projects in Mali during the quarter. Golden Rim continued its divestment activity for the Mali assets and is currently in discussion with several parties. Page 3

4 Ivory Coast Projects (Kongasso and Koyekro) Golden Rim has two granted permits in Ivory Coast, Kongasso and Koyekro, covering 795km 2. A third permit (Nguessankro) is under application (Figure 3). The Kongasso Permit is located on a major structural corridor running SW-NE through the whole country. The permit overlays a narrow volcano-sedimentary belt squeezed between granitic batholiths. These early Eburnean plutons are thought to be barren, allowing the exploration work to focus on a 150km 2 volcano-sedimentary strip of land. The Koyekro Permit is underlain by metasediments and granitic intrusions. A major shear runs northsouth along the western border of the permit. Rockchip sampling Late in the previous quarter, reconnaissance mapping and rockchip sampling was conducted across the Kongasso Permit. Dense vegetation covers most of the permit, as a result the samples were picked up along the roads. Most were milky massive quartz fragments from veinlets. No results received were significant, apart from sample KON05, which returned 0.72 g/t gold from alluvial gravel from artisanal workings located close to the Fouanga village. Soil Geochemistry In September a gold-in-soil geochemistry reconnaissance program was conducted across both permits. At Kongasso a total of 68 samples were collected along two tracks that crossed the most interesting geological formations. Typically soils in the area show three horizons: A0 horizon - rich in organic matter; B horizon clay rich soil; and, C horizon rich in stone fragments or lateritic pisoliths. Samples were taken from the B horizon, at a depth of 20 to 60cm. At Koyekro access is very difficult, resulting in the collection of 41 samples along a single dirt road. Soil coverage is very deep in this area and only the A0 and B horizons were observed. No anomalous gold results were returned from either permit. Bergslagen Joint Venture, Sweden The Falun Project comprises nine permits covering 101km 2 in and around the historic mining centre of Falun, located 200km NW of Stockholm. The Falun Project forms part of the Bergslagen Joint Venture (BJV) between Royal Falcon Mining LLC (Golden Rim s 35% owned Abu Dhabi alliance company) and Drake Resources Ltd. Golden Rim continued its divestment activity for the BJV assets. Corporate During the quarter, Golden Rim successfully completed a placement of 85 million fully paid ordinary shares in the Company at an issue price of 2.2 cents per share to raise $1.87 million (before costs). Page 4

5 Paterson Securities Limited and Melbourne Capital Limited acted as joint lead managers to the Placement. Shares under the Placement were issued under the Company s 15% placement capacity. The funds raised will enable Golden Rim to undertake further work at the Balogo Project. During the quarter, Mr Nadir Alhammadi resigned from the Board of Directors. Mr Alhammadi s appointment to the Board was as a representative of PAL Technology Services LLC, a substantial shareholder of the Company. Mr Alhammadi is no longer on the Board of PAL Technology Services LLC and therefore has resigned from the Board of Golden Rim. In August 2013, the Company exhibited at the Africa Downunder Conference. The conference was particularly useful in identifying further service provider and funding opportunities. The Company s Managing Director, Craig Mackay, also presented at the conference, continuing to increase the profile of the Company. Tenements Set out below is additional information in relation to the Company s tenements held at the end of the quarter (on a consolidated basis): Tenement name Project name Golden Rim Holding (%) Mali Golden Rim s potential equity (%) Changes in the Quarter Kolomba Sepola Kolumba North Gourbassi East Sepola Sepola Kenibandi East Sepola Faraba Faraba Niaouleni West Faraba Burkina Faso Yipely Sebba Komondi Sebba Maba Sebba Nasoulou Sebba Babonga Babonga Zanna Yako Acquired Tanlili Yako Balogo Balogo Dabiyan III Balogo Zaptenga Balogo Antyaga Diapaga Bagari Diapaga Gounda Diapaga Kountiagou Diapaga Korongou Korongou 0 90 Gandeni Korongou 0 90 Ivory Coast Kongasso Koyekro Sweden (held in a joint venture agreement)* Falun nr100 Falun Page 5

6 Tenement name Project name Golden Rim Holding (%) Golden Rim s potential equity (%) Falun nr101 Falun Falun nr102 Falun Falun nr104 Falun Falun nr105 Falun Haghed Falun Krondiket Falun Oxbeg nr2 Falun Skyttgruvan nr2 Falun Changes in the Quarter * Tenements held under BJV between Royal Falcon Mining LLC (Golden Rim s 35% owned Abu Dhabi alliance company) and Drake Resources Ltd. Royal Falcon Mining LLC s interest is 51% making Golden Rim s effective interest 18%. --ENDS-- Figure 1. Location of Golden Rim s permits and project areas in Burkina Faso. Page 6

7 Page 7 Figure 2. Auger sampling and geochemical anomalies at the Balogo Project, Burkina Faso.

8 Page 8 Figure 3. Geology and location of Golden Rim s permits in Ivory Coast.

9 For further information, please contact: Hayley Butcher Golden Rim Resources Company Secretary The information in this public report that relates to exploration results and mineral resources is based on information compiled by Mr Craig Mackay who is a member of The Australasian Institute of Mining and Metallurgy. Mr Mackay is an employee of Golden Rim Resources Ltd. Mr Mackay has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Mackay consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Further Company Information E: info@goldenrim.com.au W:goldenrim.com.au Capital Structure Issued Shares: 653,006,923 Unlisted Options: 33,650,000 Major Shareholders Royal Group, Abu Dhabi 8.34% Share Registry Security Transfer Registrars Pty Ltd 770 Canning Highway APPLECROSS WA 6153 AUSTRALIA T: F: E: registrar@securitytransfer.com.au W: securitytransfer.com.au Page 9

10 Appendix 5B Mining exploration entity quarterly report Appendix 5B Rule 5.3 Mining exploration entity quarterly report Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10 Name of entity GOLDEN RIM RESOURCES LTD ABN Quarter ended ( current quarter ) September 2013 Consolidated statement of cash flows Cash flows related to operating activities 1.1 Receipts from product sales and related debtors Current quarter $A 000 Year to date (3 months) $A Payments for (a) exploration & evaluation (b) development (c) production (d) administration (672) (449) (672) (449) 1.3 Dividends received 1.4 Interest and other items of a similar nature received Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other (provide details if material) Net Operating Cash Flows (1,118) (1,118) Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets ( 55) ( 5) ( 55) ( 5) 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets Loans to other entities (23) (23) 1.11 Loans repaid by other entities 1.12 Other (sale of rights to licences) Net investing cash flows (31) (31) 1.13 Total operating and investing cash flows (carried forward) (1,149) (1,149) + See chapter 19 for defined terms. 17/12/2010 Appendix 5B Page 1

11 Appendix 5B Mining exploration entity quarterly report 1.13 Total operating and investing cash flows (brought forward) (1,149) (1,149) Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 1,870 1, Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings Repayment of borrowings (50) (50) 1.18 Dividends paid 1.19 Other (share issue costs) (131) (131) Net financing cash flows 1,739 1,739 Net increase (decrease) in cash held 590 (590) 1.20 Cash at beginning of quarter/year to date Exchange rate adjustments to item 1.20 (4) (4) 1.22 Cash at end of quarter 1,086 1,086 Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities Current quarter $A' Aggregate amount of payments to the parties included in item Aggregate amount of loans to the parties included in item 1.10 NIL 1.25 Explanation necessary for an understanding of the transactions Non-cash financing and investing activities 2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest + See chapter 19 for defined terms. Appendix 5B Page 2 17/12/2010

12 Appendix 5B Mining exploration entity quarterly report Financing facilities available Add notes as necessary for an understanding of the position. Amount available Amount used $A 000 $A Loan facilities NIL NIL 3.2 Credit standby arrangements NIL NIL Estimated cash outflows for next quarter 4.1 Exploration and evaluation 4.2 Development $A Production 4.4 Administration 345 Total 845 Reconciliation of cash Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. Current quarter $A 000 Previous quarter $A Cash on hand and at bank 1, Deposits at call 5.3 Bank overdraft Other (provide details) Total: cash at end of quarter (item 1.22) 1, Changes in interests in mining tenements 6.1 Interests in mining tenements relinquished, reduced or lapsed Tenement reference Nature of interest (note (2)) Interest at beginning of quarter Interest at end of quarter 6.2 Interests in mining tenements acquired or increased Zanna Acquisition 0% 100% + See chapter 19 for defined terms. 17/12/2010 Appendix 5B Page 3

13 Appendix 5B Mining exploration entity quarterly report Issued and quoted securities at end of current quarter Description includes rate of interest and any redemption or conversion rights together with prices and dates. Total number Number quoted Issue price per security (see note 3) (cents) 7.1 Preference + securities (description) 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buybacks, redemptions Ordinary securities 653,006, ,006,923 Amount paid up per security (see note 3) (cents) 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buybacks Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted 85,000,000 85,000, See chapter 19 for defined terms. Appendix 5B Page 4 17/12/2010

14 Appendix 5B Mining exploration entity quarterly report 7.7 Options (description and conversion factor) 4,000,000 (ESOP) 600,000 (Class E) 7,000,000 (Class F) 1,000,000 (Class G) 15,000,000 (Class H) 3,900,000 (ESOP) 2,150,000 (ESOP) Exercise price $0.15 $0.21 $0.27 $0.21 $0.29 $0.29 $0.14 Expiry date 7 May October November July November November January Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter 7.11 Debentures (totals only) 7.12 Unsecured notes (totals only) Compliance statement 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 5). 2 This statement does give a true and fair view of the matters disclosed. Sign here: Date: 29 October 2013 (Director) Print name: Notes GILBERT RODGERS 1 The quarterly report provides a basis for informing the market how the entity s activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report. 2 The Nature of interest (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the + See chapter 19 for defined terms. 17/12/2010 Appendix 5B Page 5

15 Appendix 5B Mining exploration entity quarterly report entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and Issued and quoted securities The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities. 4 The definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. 5 Accounting Standards ASX will accept, for example, the use of International Financial Reporting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with. == == == == == + See chapter 19 for defined terms. Appendix 5B Page 6 17/12/2010