quarterly activities report for the about kopore … · 2018. 10. 30. · belt. the initial...

ASX RELEASE | 31 October 2018

ABOUT KOPORE METALS

Kopore Metals Limited is a public company listed on the Australian Securities Exchange (ASX) and is actively exploring its copper-silver prospects on the emerging world class Kalahari Copper Belt, Republic of Botswana and Namibia.

DIRECTORS & MANAGEMENT

PETER MEAGHER Non-Executive Chairman

GRANT FERGUSON Managing Director

SHANNON COATES Non-Executive Director

DAVID CATTERALL Exploration Manager

REGISTERED OFFICE Suite 3, Level 2, 470 Collins Street Melbourne Vic 3000

QUARTERLY ACTIVITIES REPORT FOR THE

PERIOD ENDING 30 SEPTEMBER 2018

HIGHLIGHTS

• Korong Dome (formerly GWD1) reconnaissance drilling campaigncommenced at the Korong East (formally KM3) Prospect andKorong North (formerly KM1) interpreted anticline Prospect.

• Drilling commenced at the Kara Prospect.

• Drilling campaign undertaken on Ghanzi West licences inBotswana, confirming the prospectivity of the area, with theidentification of the D’Kar Formation near surface. Previouslythought to be greater than 100m below surface.

• Pathfinder sulphides - pyrite and pyrrhotite - identified in RAB, RCand Diamond drilling, providing the Company with refined targets.

• Copper-lead-zinc soil anomaly identified at Korong West Prospect,over an area of 4.5km2 and coincident with a major airborneelectromagnetic (EM) conductor.

• Environmental waiver received to conduct a soil sampling programacross recently acquired Virgo licences in Botswana.

• Acquisition of eight prospecting licenses in Namibia, on theKalahari Copper Belt, across an area of 5,705km2 and contiguousto Kopore’s existing Botswanan Ghanzi West prospecting licencegroup.

• Post the end of the quarter, Kopore acquired a substantialgeological dataset from Namibian Ministry of Mines and Energy,allowing exploration targeting on its Namibian prospecting licencesto be fast-tracked, reducing initial exploration costs and refiningexploration targets.

• Capital raising of $2.67 million (before costs) completed.

Kopore Metals Limited (“Kopore” or “Company”) is pleased to provide the following activities report, outlining the progress achieved during the September 2018 quarter. The Company has continued to transform its project portfolio from greenfields to high-priority exploration targets, including regional scale dome targets geologically similar to domal targets known to host significant copper-zinc mineralisation elsewhere across the Kalahari Copper Belt (Figure 1).

In addition to the field reconnaissance and drilling activities in Botswana, the Company successfully acquired 5,705 km² of highly prospective ground in the Republic of Namibia (Figures 1, 2, 4 and 5), contiguous to our current Botswana Ghanzi West licence group and all located on the Kalahari Copper Belt.


Page | 2

The Namibian Department of Mines has provided a substantial dataset of the historical exploration

activities over the newly granted prospecting licence area, to the Company for detailed analysis. This

large information data set will assist the Company with its targeting and exploration program planning

for 2019.

Figure 1- Kopore Metals Limited Project Portfolio on the Kalahari Copper Belt (source: https://www.cupriccanyon.com/development-

exploration/exploration and https://www.asx.com.au/asxpdf/20181016/pdf/43z90dkfrgy792.pdf )

BOTSWANA

KOPORE COMMENCES MAIDEN DRILL PROGRAM IN BOTSWANA

In July 2018, the Company commenced drilling at the Korong East and Kara Prospects1. The Company’s

key objective from the initial reconnaissance drilling was to provide geological information for the Korong

1 ASX Announcement – 29 July 2018 – Kopore Commences Maiden Drill Program on the Kalahari Copper Belt https://www.asx.com.au/asxpdf/20180629/pdf/43w4gvnj299mbp.pdf

https://www.cupriccanyon.com/development-exploration/exploration

https://www.cupriccanyon.com/development-exploration/exploration

https://www.asx.com.au/asxpdf/20181016/pdf/43z90dkfrgy792.pdf


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East area and to test regional scale copper-zinc anomalies, identified by coincident soil geochemistry

and coincident to the Korong East airborne Electromagnetic (EM) conductor zones2 (Figure 2).

In August 2018, the Company completed the initial drilling campaign at the Korong East Prospect (Figure

2), successfully confirming the presence of near surface D’Kar Formation, targeted alteration and

sulphide pathfinder minerals, as is observed in known copper-silver projects across the Kalahari Copper

Belt. The initial drilling program achieved a total of 15 drillholes, comprising 695m of RAB and 531m of

RC drilling, for a total of 1,226m. The Company is currently evaluating the results of the reconnaissance

drilling campaign to refine the targets for future potential drilling programs at the Korong East Target.

The Kara and Korong North Projects achieved a total of 2,123m RAB and RC drilling for the September

2018 quarter, providing the Company with initial geological drilling information, demonstrating the

following:

1. Identification of the D’Kar Formation within 15m of surface. This is a significant observation, as

the top of the D’Kar Formation was previously thought to be at depths greater than 100m below

surface. The D’Kar Formation is the known host for copper-silver mineralisation along the

Kalahari Copper Belt.

2. Pyrite and pyrrhotite sulphides have been identified at the Kara and Korong Domes. Pyrrhotite is

a well-recognised pathfinder sulphide on the Kalahari Copper Belt. Mineralisation zonation on

the Kalahari Copper Belt has been documented in selected geological papers and Kalahari

Copper Belt resource developer Cupric Canyon (US Private)3.

The drilling program will continue into the December 2018 quarter and conclude the initial

reconnaissance phase.

Note - The Company has changed the names of its high priority Botswana prospect names to the

following:

Old Prospect Name New Prospect Name Old Prospect Name New Prospect Name

GWD1 Korong Dome KM4 Korong South

KM1 Korong Nth Prospect GWD2 Tau Dome

KM2 Korong West GWD3 Kara Dome

KM3 Korong East GW3 Kara Prospect

2 ASX Announcement – 27 February 2018 - Initial Airborne Survey Identifies Multiple EM Targets at Kopore’s Kalahari Copper Belt Projects https://www.asx.com.au/asxpdf/20180227/pdf/43ryv4n175f73q.pdf 3 Geological Controls on Mineralisation at Khoemnacau’s Zone 5. https://www.cupriccanyon.com/assets/docs/CKnight_SEG-2015_Zone-5_Geologic_controls_poster.pdf

https://www.asx.com.au/asxpdf/20180227/pdf/43ryv4n175f73q.pdf

https://www.cupriccanyon.com/assets/docs/CKnight_SEG-2015_Zone-5_Geologic_controls_poster.pdf


Page | 4

Figure 2 - Ghanzi West Project Group including Korong and Kara Prospects

THIRD MAJOR COPPER SOIL ANOMALY IDENTIFIED AT THE KORONG WEST PROSPECT

In July 2018, the Company announced the delineation of a new copper-lead-zinc anomaly over the

Korong West Project4. The Korong West copper-silver-zinc anomaly overlies a recently interpreted

airborne EM conductor.

The Korong West copper-lead-zinc soil anomaly has an area of approximately 4.5km2 and is coincident

with an interpreted synclinal structure within the D’Kar Formation. Anticlinal and synclinal structures are

highly prospective for copper mineralisation, as observed throughout the Kalahari Copper Belt.

Korong West has been identified as drill ready and is the third major copper soil anomaly identified within

the Korong Dome. The Korong West Prospect will undergo drill testing in 2019.

4 ASX Announcement – 17 July 2018. Third Major Copper Soil Anomaly Identified at the KM2 Prospect https://www.asx.com.au/asxpdf/20180717/pdf/43wkmc6z6xsp15.pdf

https://www.asx.com.au/asxpdf/20180717/pdf/43wkmc6z6xsp15.pdf


Page | 5

Figure 3 - KM2 copper in soil sample results overlying copper soil contours and 2017 airborne EM survey base map

ENVIRONMENTAL WAIVER PERMITS SOIL SAMPLING TO BEGIN ACROSS ITS VIRGO

LICENCES (BOTSWANA)

During the September 2018 quarter, Kopore applied to the Botswana Department of Environmental

Affairs for a soil sampling environmental waiver to conduct a sampling program across the Virgo licence

group which was then approved in August 20185. This environmental waiver allows the Company to

conduct a soil sampling program on site, potentially delineate copper soil anomalies before requiring an

extensive environmental management plan (EMP) to be submitted. Lodgement of an EMP will be

required once a drill target has been identified and the Company plans to conduct follow-up exploration

drilling programs.

The Company is planning to conduct a targeted regional soil sampling program in the December 2018

quarter, concurrent to its continuing historical data collation and ground reconnaissance mapping

programs. These programs will assist the Company in targeting zones for subsequent geophysics and

drilling programs.

Historical exploration in the Virgo Project area has been limited, however the licence areas have been

interpreted as sitting within the same geological region as the Cupric Canyon’s Banana Zone domal

structure and Zone 5 Project.

5 ASX Announcement – 27 August 2018 Momentum building in the Kalahari with waiver granted for Virgo Licences https://www.asx.com.au/asxpdf/20180717/pdf/43wkmc6z6xsp15.pdf

https://www.asx.com.au/asxpdf/20180717/pdf/43wkmc6z6xsp15.pdf


Page | 6

NAMIBIA

KOPORE ACQUIRES NAMIBIAN PROSPECTING LICENCES

In July 2018, the Company was granted eight prospecting licenses6 covering approximately 5,705km2,

in the Republic of Namibia. Historical exploration data from activities conducted across the awarded

prospecting licences has provided the Company with multiple advanced exploration targets. The

Company has submitted documentation to the Namibian Department of Mines and is currently finalising

the EMP, with completion anticipated in the December 2018 quarter. Upon approval of the EMP, Kopore

will commence field exploration activities, including drilling campaigns.

Figure 4 - Namibian Airborne Magnetics Reprocessed with Historical Drillholes

6 ASX announcement - Kopore consolidates the Namibian extensions of the Kalahari Copper Belt https://www.asx.com.au/asxpdf/20180711/pdf/43wfw6bj4v90n0.pdf

https://www.asx.com.au/asxpdf/20180711/pdf/43wfw6bj4v90n0.pdf


Page | 7

ACQUISITION OF GEOLOGICAL DATASET FROM NAMIBIAN MINISTRY OF MINES

FASTRACK’S EXPLORATION TARGETING

Upon granting of the eight prospecting licences in Namibia, the Namibian Ministry of Mines and Energy

provided a substantial set of archived historical exploration reports and data7, covering its licence areas.

These datasets provide the Company with an accelerated path to delineating and refining exploration

targets and further optimising targeted exploration expenditure.

Figure 5 - Namibian Prospecting Group with Interpreted Geology, Historical Soils and Drillholes

PLANNED ACTIVITIES

The Company plans to conduct the following activities during the December 2018 quarter:

7 ASX announcement - Namibian dataset to accelerate exploration targeting https://www.asx.com.au/asxpdf/20180813/pdf/43x8k1h8kv43tt.pdf

https://www.asx.com.au/asxpdf/20180813/pdf/43x8k1h8kv43tt.pdf


Page | 8

1. Korong Dome Prospect, Botswana RAB/RC Drilling Programs (in sequence) –

a. Complete planned drilling at the Kara and Korong Prospects

2. Initiate soil sampling program on the Virgo licence areas, Botswana.

3. Conduct a full data review and database compilation of the historical exploration data on the

newly granted Namibian prospecting licences.

4. Complete public consultations and submission of an Environmental Management Plan for the

newly granted Namibian prospecting licences.

5. Identify and rank targets across the newly granted Namibian prospecting licences.

AUSTRALIA

Teutonic Project

The Company is in the advanced stages of completing a full review of the Teutonic Project in Western

Australia and other Kopore held licences in the area. A decision on the path forward will be made in Q4

2018.

PHILIPINNES

Comval Project

Kopore is currently assessing its options for the optimal path forward with the Philippines Comval Copper

Gold Project.

CORPORATE

At 30 September 2018, the Company held cash of $3.23 million.

On 11 July 2018, the Company raised $2.67 million (before costs) via a placement to professional and

sophisticated investors at $0.025 per share. The funds raised have and will be used to accelerate the

Company’s exploration programs in Botswana and Namibia.8

The Placement involved the issuance of approximately 106.9 million new fully paid ordinary shares in

the Company ('New Shares') which took place as a single tranche and fell within the Company's

placement capacity under ASX Listing Rules 7.1 (comprising 63,497,710 New Shares) and 7.1A

(comprising 43,415,140 New Shares).

Competent Persons Statement

The information in this announcement that relates to exploration results is based on information compiled by Mr David Catterall, a Competent Person and a member of the South African Council for Natural Scientific Professions, a recognised professional organisation (ROPO). David is engaged by Kopore as a consultant Exploration Manager. David Catterall has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken 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 2012).

David Catterall consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

8 ASX Announcement – 11 July 2018 Kopore completes oversubscribed placement to raise A$2.67M https://www.asx.com.au/asxpdf/20180711/pdf/43wfv8htq3n8hr.pdf

https://www.asx.com.au/asxpdf/20180711/pdf/43wfv8htq3n8hr.pdf


Page | 9

- END -

FOR FURTHER INFORMATION PLEASE CONTACT:

GRANT FERGUSON ADAM MIETHKE Managing Director Director

Kopore Metals Limited Discovery Capital Partners

Tel. +61 3 9867 7199 +61 8 6365 5200

[email protected] [email protected]

www.koporemetals.com www.discoverycapital.com.au

mailto:[email protected]

mailto:[email protected]

http://www.koporemetals.com/

http://www.discoverycapital.com.au/


ABOUT KOPORE METALS

Kopore Metals Limited is a public company listed on the Australian Securities Exchange (ASX) and is actively exploring its copper-silver prospects on the emerging world class Kalahari Copper Belt, Republic of Botswana and Namibia.

DIRECTORS & MANAGEMENT

PETER MEAGHER Non-Executive Chairman

GRANT FERGUSON Managing Director

SHANNON COATES Non-Executive Director

DAVID CATTERALL Exploration Manager

REGISTERED OFFICE Suite 3, Level 2, 470 Collins Street Melbourne Vic 3000


ABOUT KOPORE

Kopore Metals Limited (ASX:KMT) is a public company listed on the Australian Securities Exchange (ASX) and is actively exploring its copper-silver prospects on the emerging world class Kalahari Copper Belt, located in the Republic of Botswana and Namibia.

Kopore continues to explore for stratabound copper-silver deposits across its sixteen 100% owned prospecting licenses in Botswana and eight prospecting licences in Namibia, for a total of 14,363km2 on the world class Kalahari Copper Belt. Kopore believes the Kalahari Copper Belt can provide the potential for large scale discovery, as demonstrated by neighbouring resource development companies.

The directors and management of Kopore have strong complimentary experience with over 20 years of Australian and International technical, legal and executive roles in exploration, resource development, mining, legal and resource fields.

Botswana and Namibia are stable, pro-mining jurisdictions, supportive of mineral exploration and development. According to the most recent Fraser Institute Annual Mining Survey, Botswana and Namibia are ranked #3rd and #6th respectfully for “investment attractiveness” in Africa, in addition to their highly ranked global position.

Kopore Tenement Schedule as at 30 September 2018

Tenement Schedule - Africa

Tenement

Name

Location Size

(Km2) Grant Date Expiry Date

%

Ownership

PL203/2016 Icon Botswana 928.6 01-10-16 30-09-19 100%

PL204/2016 Icon Botswana 925 01-10-16 30-09-19 100%

PL205/2016 Icon Botswana 870.6 01-10-16 30-09-19 100%

PL128/2013 Alvis Botswana 412.2 01-07-16 30-06-18 100%

PL129/2013 Alvis Botswana 418.3 01-07-16 30-06-18 100%

PL127/2017 Ashmead Botswana 991 01-07-17 30-06-20 100%



PL207/2017 Icon Botswana 985 01-01-18 31-12-20 100%

PL208/2017 Icon Botswana 581 01-01-18 31-12-20 100%

PL209/2017 Icon Botswana 164 01-01-18 31-12-20 100%

PL210/2017 Alvis Botswana 1,000 01-01-18 31-12-20 100%

PL135/2017 Virgo Botswana 296 01-10-17 30-09-20 100%




EPL7049 Trans Kalahari Namibia 936.33 01-07-18* 01-07-21* 100%



Page | 12







* These are dates of acceptance of Notice to Applicant of Preparedness to Grant Application forExclusive Prospecting Licence.

* These are dates based on three year period reckoned from date of acceptance.

Tenement Schedule – Australia

Tenement Name Location Size

(Ha) Grant Date Expiry Date

%

Ownership

E37/1037 Teutonic Western Australia 1,613 23/07/2010 22/07/2020 70%

E37/1281 Teutonic Western Australia 954 21/03/2017 20/03/2022 100%

E37/1282 Teutonic Western Australia 2,350 21/03/2017 20/03/2022 100%

Tenement Schedule – Philippines

Tenement Name Location Size

(Ha) Grant Date Expiry Date

%

Ownership

EP-000001-00-XI Comval Mindanao, Philippines 2,171 30/01/2009

(2nd renewal) 29/01/2011 36%

EP -000002-09-XI Comval Mindanao, Philippines 2,139 15/08/2015

(2nd renewal) 14/08/2017 36%

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

+ See chapter 19 for defined terms 1 September 2016 Page 1

+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

KOPORE METALS LIMITED

ABN Quarter ended (“current quarter”)

73 149 230 811 30 September 2018

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

(451) (451) (a) exploration & evaluation

(b) development - -

(c) production - -

(d) staff costs (72) (72)

(e) administration and corporate costs (322) (322)

1.3 Dividends received (see note 3) - -

1.4 Interest received 1 1

1.5 Interest and other costs of finance paid - -

1.6 Income taxes paid - -

1.7 Research and development and GST refunds 80 80

1.8 Other - -

1.9 Net cash from / (used in) operating activities (764) (764)

2. Cash flows from investing activities

- -

2.1 Payments to acquire:

(a) property, plant and equipment

(b) tenements (see item 10) - -

(c) investments - -

(d) other non-current assets - -



Consolidated statement of cash flows Current quarter $A’000

Year to date

(3 months) $A’000

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 – Cash acquired on acquisition

Other – transaction costs

- -

2.6 Net cash from / (used in) investing activities - -

3. Cash flows from financing activities

2,670 2,670 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 (187) (187)

3.5 Proceeds from borrowings - -

3.6 Repayment of borrowings (2) (2)

3.7 Transaction costs related to loans and borrowings - -

3.8 Dividends paid - -

3.9 Other (provide details if material) - -

3.10 Net cash from / (used in) financing activities 2,481 2,481

4. Net increase / (decrease) in cash and cash equivalents for the period

1,508 1,508 4.1 Cash and cash equivalents at beginning of period

4.2 Net cash from / (used in) operating activities (item 1.9 above)

(764) (764)

4.3 Net cash from / (used in) investing activities (item 2.6 above)

- -

4.4 Net cash from / (used in) financing activities (item 3.10 above)

2,481 2,481

4.5 Effect of movement in exchange rates on cash held 4 4

4.6 Cash and cash equivalents at end of period 3,229 3,229



5. Reconciliation of cash and cash equivalentsat the end of the quarter (as shown in theconsolidated statement of cash flows) to the relateditems in the accounts

Current quarter $A’000

Previous quarter $A’000

5.1 Bank balances 3,209 1,488

5.2 Call deposits 20 20

5.3 Bank overdrafts - -

5.4 Other (details) - -

5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)

3,229 1,508

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 72

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

Salaries, director fees, 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

N/A

8. Financing facilities availableAdd notes as necessary for anunderstanding 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 andwhether it is secured or unsecured. If any additional facilities have been entered into or areproposed to be entered into after quarter end, include details of those facilities as well.

N/A



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

9.1 Exploration and evaluation 500

9.2 Development 0

9.3 Production 0

9.4 Staff costs 82.5

9.5 Administration and corporate costs 250

9.6 Other (provide details if material) 0

9.7 Total estimated cash outflows 832.5

10. Changes intenements(items 2.1(b) and2.2(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

None

10.2 Interests in mining tenements and petroleum tenements acquired or increased

See Attached

‘Annexure A’

See attached

‘Annexure A’

0% 100%

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: 31 October 2018 (Company secretary)

Print name: Andrew Metcalfe

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have beenfinanced for the past quarter and the effect on its cash position. An entity that wishes to discloseadditional information is encouraged to do so, in a note or notes included in or attached to thisreport.

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 Resourcesand 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 flowsfrom investing activities, depending on the accounting policy of the entity.

ANNEXURE A

Tenement reference and location

Nature of interest Interest at beginning of quarter

Interest at end of quarter

EPL 7049, Namibia Holder of License 0 100






EPL 7055, Namibia, Holder of License 0 100


quarterly activities report for the about kopore … · 2018. 10. 30. · belt. the initial...

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