ASX Announcement Quarterly Report to 30 September 2017 · Hole ID FROM TO Interval (m) Sulphide %...

ASX Announcement

31 October 2017

Quarterly Report to 30 September 2017

Highly promising exploration results at two WA projects

Yamarna (Mt Venn) - Copper-Nickel-Cobalt

▪ Drilling underway at the Mt Venn Copper-Nickel-Cobalt prospect

within the Yamarna Project in WA

▪ Drilling is following-up maiden drill result of 1.7% copper (plus nickel

and cobalt) and more than 30 conductors identified in EM survey;

These conductors are supported by strong geochemical results

▪ Early drilling has hit sulphide zones up to 40m wide

▪ Drilling along the main conductor trend has intersected extensive

sulphide mineralisation with visible chalcopyrite

▪ First assays expected in two weeks

▪ Current program comprises up to 23 holes with downhole EM to

follow immediately after

Tarmoola - Gold

▪ Surface sampling and mapping undertaken over the eastern

tenements returns extremely promising results of up to 24gpt

▪ 2km trend of high grade gold mineralisation identified along the

Marionette shear zone (splay off the Ursus Fault)

▪ Extensive soil sampling program covering the Ursus and Marionette

structures now underway

Corporate

▪ $3.9m in cash at the end of the quarter

▪ 11,028,132 ordinary fully paid shares and 8,483,178 unlisted

options were released from escrow on 7 July 2017

▪ No new securities have been issued during the quarter

▪ Total ordinary shares on issue remain at 68,394,000 and

38,086,750 unlisted options

ASX Code: GBR

Capital Structure

Ordinary Shares: 68.4m

Unlisted Options: 38.1m

Unvested Performance Rights: 2m

Current Share Price: 23₵

Market Capitalisation: A$15.7m

Cash: A$3.9m

Debt: Nil

Board of Directors

Greg Hall

Non-Executive Chairman

Stefan Murphy

Managing Director

Murray Black

Non-Executive Director

Melanie Leighton

Non-Executive Director

Substantial Shareholders

Exploration Capital Partners: 5.2%

Directors: 9.7%

Key Advisors: 7.8%

Projects

Yamarna

Tarmoola

Jundee South

Balagundi

Broadwood

ASX Announcement

31 October, 2017

2

Yamarna

In late August Great Boulder received Ministerial consent and entry permit approvals to commence

exploration activities at its Yamarna project, including the Mt Venn copper-nickel-cobalt project. In

early September a ground based moving loop EM survey and concurrent aircore geochemistry

program commenced at My Venn, the first exploration activities undertaken by Great Boulder since

announcing initial assays of up to 1.7% copper plus nickel and cobalt.

The EM survey identified a significant number of EM conductors over the 7.5km-long survey area

of the Mt Venn intrusion that show a strong, late-time response indicative of a bedrock source.

EM plate modelling in the northern survey area showed a series of stacked, near surface

conductors along a 3.6km strike length immediately north of an interpreted east-west trending fault.

Assay results from this area show a strong correlation between the EM response and copper,

nickel and cobalt in the end-of-hole geochemistry.

The ground-based moving loop EM was also able to penetrate the paleochannel sediments in the

southern area where late-time conductors were identified beneath the transported cover (up to

120m deep). More moderate copper-nickel responses, coincident with the modelled EM

conductors, were detected in the southern survey area.

Aircore drilling defined a very discrete copper-nickel-cobalt bedrock trend associated with the peak

conductor trend in the northern area. The geochemical anomaly extends a further 1.2km north of

the survey area where some of the strongest copper results and associated nickel, zinc and silver

were returned. Importantly, aircore drilling did not encounter any carbonaceous shales or graphitic

units that may produce spurious EM anomalies.

Exploration Activities

Figure 1. End of hole copper (LHS) and nickel (RHS) grades shown over Channel 30 EM response.

ASX Announcement

31 October, 2017

3

Post quarter-end, Great Boulder commenced its maiden RC drilling program at Mt Venn. Drilling

has focused on a 5km-long northern trend where the strongest and most shallow conductors have

been detected with coincident copper-nickel anomalies. Drilling will extend north beyond the limit

of the EM survey where copper-nickel with anomalous silver-zinc-lead assays were returned,

possibly representing a different style of mineralisation to the main magmatic copper-nickel target.

A southern conductor trend has also been identified over a 3.5km strike but under considerable

transported cover. These conductors will be tested, targeting the large basal conductors and

upper more discrete, high amplitude conductors. The western target area sits off the main Mt

Venn trend and exhibits a different geochemical signature, with higher background nickel and

chromium levels which suggest a more ultramafic lithology.

On 24 October the Company announced the intersection of wide zones of sulphide mineralisation

from drilling at Mt Venn. Visual estimates from six of the seven holes drilled into the modelled EM

plates reveal they intersected stringer, semi-massive and massive sulphide mineralisation over

varying widths up to 40m. Logging from the first nine holes also reported no carbonaceous or

graphitic units.

Sulphide mineralisation is prominent along the entire conductor trend, showing a highly sulphur-

saturated system within metamorphosed dolerite and gabbro. The sulphide mineralogy is

pyrrhotite dominant with chalcopyrite visually logged, consistent with the previously-reported hole

drilled at Mt Venn by Gold Road, which intersected 1.7 per cent copper plus nickel and cobalt.

Drill hole 17MVRC002 tested a shallower conductor which confirmed massive to semi-massive

sulphide mineralisation as the source of the EM conductor. A zone of massive to semi-massive

sulphide mineralisation has also been intersected in drill hole 17MVRC007, located 160m north of

17MVRC002 and is considered to be the strike continuity of mineralisation. Drill hole 17MVRC001

(60m west of 17MVRC001) tested a deeper conductor which also confirmed a wide zone of

intense sulphide mineralisation as its source.

All RC drill holes are being cased for down hole EM to be undertaken to orientate the conductors

and model the dip continuity and along strike between drill lines.

Figure 2 (top). RC drill hole 17MVRC001 – Sulphide mineralised interval (Red > 20% sulphide, Orange > 10% sulphide; Green > 5% sulphide)

Figure 3 (right). RC chips from drill hole 17MVRC002 – Sulphide mineralised interval (Red > 20% sulphide, Orange > 10% sulphide; Green > 5% sulphide)

ASX Announcement

31 October, 2017

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Hole ID FROM TO Interval (m) Sulphide (%)

17MVRC001 20 33 13 5-10%

33 36 3 3-5%

36 62 26 5-10%

62 68 6 3-5%

68 83 15 5-10%

83 103 20 3-5%

103 129 26 5-10%

129 131 2 3-5%

131 139 8 5-10%

153 158 5 5-10%

158 175 17 3-5%

175 195 20 10-20%

195 198 3 20-50%

198 206 8 10-20%

Hole ID FROM TO Interval (m) Sulphide %

17MVRC002 22 37 15 5-10%

37 46 9 3-5%

46 62 16 10-20%

62 70 8 5-10%

70 72 2 20-50%

72 77 5 + 50%

77 80 3 20-50%

80 84 4 10-20%

84 97 13 3-5%

110 116 6 5-10%

132 137 5 5-10%


17MVRC005 42 49 7 5-10%

49 71 22 3-5%


17MVRC006 139 154 15 5-10%


17MVRC007 83 85 2 5-10%

85 106 21 + 50%

111 128 17 + 50%

130 135 5 + 50%

135 142 7 5-10%

142 147 5 + 50%

147 210 63 5-10%


17MVRC008 48 65 17 3-5%


17MVRC009 Trace Sulphides Only

Northern Conductor Trend

Figure 4. Planned and completed RC drill hole locations, targeting EM conductor plates and copper-nickel trend.

Table 1. Logged sulphides from the northern conductor trend

ASX Announcement

31 October, 2017

5

Tarmoola

During the quarter, Great Boulder completed a surface sampling and mapping program at the

Tarmoola project, located 40km north-west of Leonora in WA.

The program identified the regionally significant Ursus Fault, which is considered a key gold

bearing structure at the +2Moz King of the Hills gold mine. The Ursus fault was mapped extending

over 3km within the Tarmoola project, and the high-grade gold results were coincident with the

Marionette shear zone, interpreted as a splay off the Ursus Fault.

Over 80 surface samples were collected along the eastern outcropping margin of the Tarmoola

project. Surface samples were collected from outcrop as well as historical workings.

A significant zone of high grade mineralisation has been delineated over a 2km strike length,

predominantly in quartz veins within the historical Marionette workings. The mineralisation sits

along a northwest splay of the Ursus Fault (Marionette shear zone).

Significant rock chip results include:

▪ 23.9g/t Au: Quartz vein in historical workings

▪ 17.3g/t Au: Quartz vein in historical workings

▪ 12.7g/t Au: Mafic schist and quartz veining in a small working

▪ 9.1g/t Au: Hematitic shaft spoil and quartz veining

Gold mineralisation appears restricted to within 500m of the Ursus Fault and along the northwest

trending Marionette shear zone. Wide-spaced aircore has previously been drilled along the Ursus

fault, however this has been largely ineffective as the holes were not orientated to test the fault and

were shallow due to bedrock cropping out at surface.

Historical gold workings are limited to the

Marionette group where a number of small

scale diggings are aligned along the NW-

SE striking Marionette shear zone. The

shear zone strikes for 700m and potentially

links with a similarly oriented reef and

shear zone over 1km along strike to the

southeast. Surprisingly no drilling has

been completed in the hanging wall of the

Marionette shear.

A shallow group of workings 600m to the

east returned 9.06g/t Au, and on the north

side of the Ursus Fault is another

significant rock chip sample of a quartz

reef next to the NE-striking dolerite which

returned 2.43g/t Au. These results are all

within 500m of the Ursus Fault and are

most likely sited on shear zones splaying

off the Ursus Fault.

Great Boulder will now undertake detailed

soil sampling to define the extent of

mineralisation ahead of a maiden RC drill

program at Tarmoola.

Figure 5. Fact map showing sample location and grades (Au g/t)

500M

ASX Announcement

31 October, 2017

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Sample ID Easting Northing Au (g/t) Description

TMRK0048 308541 6836117 23.90 Quartz from workings

TMRK0051 308655 6835653 17.30 Quartz from shaft

TMRK0068 309483 6834635 12.70 Mafic schist and quartz veining in small working

TMRK0052 309045 6835985 9.06 Hematitic shaft spoil and quartz

TMRK0043 308458 6836256 4.78 Quartz and rock chips from shaft


TMRK0045 308480 6836332 3.43 Quartz scratchings


TMRK0037 309227 6836716 2.43 Quartz veining





TMRK0041 306086 6847021 0.48 Quartz and felsic saprolite from shaft

TMRK0044 308463 6836333 0.46 Schistose porphyry from shaft

Figure 6. Tarmoola mapping and gold surface samples showing target areas (red) around the Ursus and Marionette structures

Table 2. Significant rock chip samples from Tarmoola

ASX Announcement

31 October, 2017

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Jundee South

During the quarter, Great Boulder completed a field mapping and surface sampling program at

Jundee South. Great Boulder is now designing a follow-up aircore geochemistry program to test

targets generated from the field mapping.

Other Projects

No field activities were undertaken at Balagundi or Broadwood during the quarter.

At the end of the September quarter Great Boulder had $3.9m in cash.

The following changes occurred to the issued capital of Great Boulder during the September 2017

quarter:

• Release of 11,028,132 ordinary fully paid shares and 8,483,178 unlisted options from

escrow on 7 July 2017.

The issued share capital of the Company at the date of this report is:

Class of Securities Issued Capital

Ordinary fully paid shares 68,394,000

• Quoted on the ASX 48,109,357

• Escrowed (18 Nov. 2018) 20,284,643

Unlisted Options (exercisable at $0.20 and expire 18 Nov. 2020) 38,086,750

Unlisted Performance Rights 2,000,000

Corporate

ASX Announcement

31 October, 2017

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Competent Person’s Statement

Exploration information in this Announcement is based upon work undertaken by Stefan Murphy whom is a Member of the Australasian Institute of Geoscientists (AIG). Mr Stefan Murphy has sufficient experience that 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 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (JORC Code). Mr Stefan Murphy is Managing Director of Great Boulder and consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.

Forward Looking Statements

This Announcement is provided on the basis that neither the Company nor its representatives make any warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the Announcement and nothing contained in the Announcement is, or may be relied upon as a promise, representation or warranty, whether as to the past or the future. The Company hereby excludes all warranties that can be excluded by law. The Announcement contains material which is predictive in nature and may be affected by inaccurate assumptions or by known and unknown risks and uncertainties, and may differ materially from results ultimately achieved.

The Announcement contains “forward-looking statements”. All statements other than those of historical facts included in the Announcement are forward-looking statements including estimates of Mineral Resources. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, copper, gold and other metals price volatility, currency fluctuations, increased production costs and variances in ore grade recovery rates from those assumed in mining plans, as well as political and operational risks and governmental regulation and judicial outcomes. The Company does not undertake any obligation to release publicly any revisions to any “forward-looking statement” to reflect events or circumstances after the date of the Announcement, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. All persons should consider seeking appropriate professional advice in reviewing the Announcement and all other information with respect to the Company and evaluating the business, financial performance and operations of the Company. Neither the provision of the Announcement nor any information contained in the Announcement or subsequently communicated to any person in connection with the Announcement is, or should be taken as, constituting the giving of investment advice to any person.

The exploration results contained in this report were previously reported by the Company in its announcements released to ASX and listed below. The Company confirms that it is not aware of any new information or data that materially affects the information included in the Company’s previous announcement.

▪ Exceptional Surface Samples from Tarmoola (19 September 2017) http://www.asx.com.au/asxpdf/20170919/pdf/43mfjljypxc70y.pdf

▪ Multiple EM Conductors Identified at Mt Venn (5 October 2017) http://www.asx.com.au/asxpdf/20171005/pdf/43mz0p5cp1c4yt.pdf

▪ Mt Venn Drilling Update - Wide Sulphide Zones Intersected (24 October 2017) http://www.asx.com.au/asxpdf/20171024/pdf/43nhkkn2x64djn.pdf

▪ Mt Venn Drilling Update - Additional Information (30 October 2017) http://www.asx.com.au/asxpdf/20171030/pdf/43nq2cst0r5cf9.pdf

http://www.asx.com.au/asxpdf/20170919/pdf/43mfjljypxc70y.pdf

http://www.asx.com.au/asxpdf/20171005/pdf/43mz0p5cp1c4yt.pdf

http://www.asx.com.au/asxpdf/20171024/pdf/43nhkkn2x64djn.pdf

http://www.asx.com.au/asxpdf/20171030/pdf/43nq2cst0r5cf9.pdf

ASX Announcement

31 October, 2017

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Appendix 1 – Tenement Schedule

In line with obligations under ASX Listing Rule 5.3.3, Great Boulder provides the following information relating to its mining tenement

holdings as at 30 September 2017.

Project Tenement Number Status % Held % Earning

Changes during the Quarter

Balagundi M25/194 Granted - 75%

Broadwood P26/4009 Granted - 75%

Broadwood P26/4010 Application - 75%






Jundee South E53/1101 Granted 100% -

Tarmoola E37/1241 Granted - 75%

Tarmoola E37/1242 Granted - 75%

Tarmoola P37/8667 Granted - 75%


















Tarmoola P37/8685 Granted - 75% Tarmoola P37/8935 Granted 100% - Tenement Granted

Yamarna E38/2320 Granted - 75%






Yamarna P38/4178 Granted - 75%

ASX Announcement

31 October, 2017

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+Rule 5.5

Appendix 5B

Mining exploration entity and oil and gas 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, 01/05/13, 01/09/16

Name of entity

Great Boulder Resources Ltd

ABN Quarter ended (“current quarter”)

70611695955 30 September 2017

Consolidated statement of cash flows Current quarter

$A’000

Year to date (3

months)

$A’000

1. Cash flows from operating activities

1.1 Receipts from customers

1.2 Payments for

(233) (233) (a) exploration & evaluation

(b) development

(c) production

(d) staff costs (73) (73)

(e) administration and corporate costs (91) (91)

1.3 Dividends received (see note 3)

1.4 Interest received 48 48

1.5 Interest and other costs of finance paid

1.6 Income taxes paid (Municipal Tax)

1.7 Research and development refunds

1.8 Other (provide details if material)GST (5) (5)

1.9 Net cash from / (used in) operating

activities

(354) (354)

2. Cash flows from investing activities

2.1 Payments to acquire:

(a) property, plant and equipment

(b) tenements (see item 10) (Lease

payment)

ASX Announcement

31 October, 2017

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$A’000

Year to date (3

months)

$A’000

(c) investments

(d) other non-current assets

2.2 Proceeds from the disposal of:

(a) property, plant and equipment

(b) tenements (see item 10)

(c) investments

(d) other non-current assets

2.3 Cash flows from loans to other entities

2.4 Dividends received (see note 3)

2.5 Other (provide details if material)

2.6 Net cash from / (used in) investing

activities

3. Cash flows from financing activities

3.1 Proceeds from issues of shares

3.2 Proceeds from issue of convertible

notes

3.3 Proceeds from exercise of share

options

3.4 Transaction costs related to issues of

shares, convertible notes or options

3.5 Proceeds from borrowings

3.6 Repayment of borrowings

3.7 Transaction costs related to loans and

borrowings

3.8 Dividends paid


Seed capital refunds

3.10 Net cash from / (used in) financing

activities

ASX Announcement

31 October, 2017

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$A’000

Year to date (3

months)

$A’000

4. Net increase / (decrease) in cash and

cash equivalents for the period

4,256 4,256

4.1 Cash and cash equivalents at

beginning of period

4.2 Net cash from / (used in) operating

activities (item 1.9 above)

(354) (354)

4.3 Net cash from / (used in) investing


4.4 Net cash from / (used in) financing


4.5 Effect of movement in exchange rates

on cash held

4.6 Cash and cash equivalents at end of

period

3,902 3,902

5. Reconciliation of cash and cash

equivalents

at the end of the quarter (as shown in

the consolidated statement of cash

flows) to the related items in the

accounts

Current quarter

$A’000

Previous quarter

$A’000

5.1 Bank balances 833 727

5.2 Call deposits 3,069 3,529

5.3 Bank overdrafts

5.4 Other (provide details)

5.5 Cash and cash equivalents at end of

quarter (should equal item 4.6

above)

3,902 4,256

ASX Announcement

31 October, 2017

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6. Payments to directors of the entity and their associates Current quarter

$A'000

6.1 Aggregate amount of payments to these parties included in

item 1.2

97

6.2 Aggregate amount of cash flow from loans to these parties

included in item 2.3

6.3 Include below any explanation necessary to understand the transactions included in

items 6.1 and 6.2

Directors salaries and superannuation

7. Payments to related entities of the entity and their

associates

Current quarter

$A'000

7.1 Aggregate amount of payments to these parties included in

item 1.2

7.2 Aggregate amount of cash flow from loans to these parties

included in item 2.3

7.3 Include below any explanation necessary to understand the transactions included in

items 7.1 and 7.2

8. Financing facilities available

Add notes as necessary for an

understanding of the position

Total facility

amount at quarter

end

$A’000

Amount drawn at

quarter end

$A’000

8.1 Loan facilities

8.2 Credit standby arrangements

8.3 Other (please specify)

8.4 Include below a description of each facility above, including the lender, interest rate

and whether it is secured or unsecured. If any additional facilities have been

entered into or are proposed to be entered into after quarter end, include details of

those facilities as well.

ASX Announcement

31 October, 2017

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9. Estimated cash outflows for next quarter $A’000

9.1 Exploration and evaluation 757

9.2 Development -

9.3 Production -

9.4 Staff costs 86

9.5 Administration and corporate costs 80


9.7 Total estimated cash outflows 923

10. Changes in

tenements

(items 2.1(b) and

2.2(b) above)

Tenement

reference

and

location

Nature of interest Interest at

beginning

of quarter

Interest

at end of

quarter

10.1 Interests in mining

tenements and

petroleum

tenements lapsed,

relinquished or

reduced

10.2 Interests in mining

tenements and

petroleum

tenements acquired

or increased

Compliance statement 1 This statement has been prepared in accordance with accounting standards and policies

which comply with Listing Rule 19.11A.

2 This statement gives a true and fair view of the matters disclosed.

Sign here: .......................................................... Date: .......30 October 2017..............

(Company secretary)

Print name: John Sendziuk .........................................................

ASX Announcement

31 October, 2017

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Notes

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 that wishes to

disclose additional information is encouraged to do so, in a note or notes included in or

attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards,

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. If this quarterly report

has been prepared in accordance with other accounting standards agreed by ASX pursuant to

Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash

flows from investing activities, depending on the accounting policy of the entity.

ASX Announcement Quarterly Report to 30 September 2017 · Hole ID FROM TO Interval (m) Sulphide %...

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