Exploration & Growth

Red River has been granted a number of tenements in the Herberton region of North Queensland. The tenements include two polymetallic projects hosting the highest-grade known silver-indium deposits in Australia and an exciting bulk tonnage silver target.

The Isabel and Orient Projects have potential to provide additional feed to Thalanga Operations or be developed as stand-alone operations.


Herberton Silver-Indium Project Location


Isabel Project

The Isabel Project includes the Isabel massive sulphide deposit and the Isabel Extended exploration target.

The Isabel deposit has historic mineral resource estimate of 85kt @ 15.3% Zn, 2.8% Pb, 0.7% Cu, 113 g/t Ag & 370 g/t In located within 100 metres of surface. (the historical estimate is not compliant with the 2012 JORC Code, drilling and sampling will be required prior to any further quantification of the resource).

Previous drilling at Isabel Extended target has intersected massive sulphide mineralisation (7.25m @ 3.3% Cu). Isabel Extend is location 150m from the Isabel deposit.


Orient Project

The Orient Project includes the Orient West deposit and the Orient East bulk tonnage silver target

Orient Project Sample Location Map

Orient West has historical mineral resource estimate of 229kt @ 5.1% Zn, 2.9% Pb, 180 g/t Ag & 190 g/t In (the historical estimate is not compliant with the 2012 JORC Code, drilling and sampling will be required prior to any further quantification of the resource).
 

Orient Silver Indium Project Sampling Summary


A large (450m by 200m) alteration zone associated with pervasive ferruginisation and fracturing, has been identified at Orient East. The alteration zone is associated with a number of higher-grade silver-indium-lead-zinc vein systems. Historical drilling has intersected high grade silver-indium-lead-zinc mineralisation associated with wider zones of lower grade mineralisation over a potential 200m plus strike length.


Drillhole EO3 Cross Section (Orient East Bulk Tonnage Target)

Drillhole EO3 intersected extensive zones of epithermal silver-indium-lead-zinc mineralisation from a shallow depth. The mineralisation intersected in EO3 has not been followed up (open in all directions) and EO3 was ended in a zone of low grade silver mineralisation.

The Waterloo Project is located 40km southwest of Charters Towers in North Queensland. It is accessed by the Flinders Highway and the Gregory Developmental Road. The Waterloo Project is on EPM 10582, which is wholly owned by Red River Resources.

Waterloo is Red River’s highest grade deposit, with a current Mineral Resource of 707kt grading 19.1% zinc equivalent. Waterloo is planned to be the third mine developed by Red River, after West 45 and Far West.

Waterloo Project Location

The project area lies within the Mt Windsor Sub‐province, which forms an east‐west trending belt extending for about 165km from the Leichardt Range, south of Ravenswood in the east, almost to Pentland to the west. Rocks of the sub‐province have been extensively intruded and dismembered along the northern margin by emplacement of the Ordovician to Permian Ravenswood Batholith and Lolworth Igneous Complex. A discontinuous cover of Tertiary alluvium, the Campaspe Formation, obscures much of the terrane.

Waterloo is a blind VHMS deposit that lies under 25 to 60m of Campaspe cover. Mineralisation occurs near the contact of a footwall sequence of pyrite‐sericite‐quartz schist and a hangingwall sequence of coarse rhyolitic volcaniclastics. It was discovered after interest was generated from the discovery of sericite‐pyrite schist outcrop in a creek to the east. Follow‐up RAB drilling outlined an area of anomalous base metals in weathered basement below the cover sequence. Drilling to date appears to have constrained the lodes that comprise the current resource, however the system remains open down plunge to the west and along strike to the east and west which has only been sparsely drilled.

 

Waterloo Project Development

Red River is undertaking an infill and extension drilling program at the Waterloo deposit to test the potential to extend the known Mineral Resource and to generate data to allow the JORC Resource to be updated and a maiden Waterloo Ore Reserve to be calculated. Waterloo remains on track to be the next mine developed by Red River after the current Far West mine development activities are completed.

Highlights from the current drilling program include:

  • WL17A intersected 7.8m @ 36.5% Zn Eq. (3.9% Cu, 3.6% Pb, 17.5% Zn, 1.0 g/t Au & 94 g/t Ag) from 248.20m down hole.
  • WL22 intersected 20.20m @ 18.6% Zn Eq. (1.0% Cu, 2.3% Pb, 11.7% Zn, 0.5 g/t Au & 52 g/t Ag) from 195.40m down hole including an exceptionally high grade interval of 5.50m @ 44.8% Zn Eq. (2.7% Cu, 5.1% Pb, 27.7% Zn, 0.9 g/t Au & 129 g/t Ag) from 210.10m down hole.
  • WL33 intersected 6.80m @ 26.8% Zn Eq. (2.3% Cu, 1.2% Pb, 14.9% Zn, 3.5 g/t Au & 60 g/t Ag) from 241.20m down hole.

 

Waterloo Long Section

 

Waterloo Mineral Resource

Waterloo hosts a JORC Code (2012) compliant Mineral Resource of 707Kt grading 1.9% Cu, 1.6% Pb, 11.0% Zn, 0.9g/t Au and 50g/t Ag. (19.1% Zinc Equivalent). The Mineral Resource estimate was published by Red River on the 24 April 2015 in the ASX release “Waterloo Deposit – Updated Mineral Resource Estimate.

Resource Class

Tonnage (kt)

Cu (%)

Pb (%)

Zn (%)

Au (g/t)

Ag (g/t)

Zn Eq. (%)

Transition

 

 

 

 

 

 

 

Indicated

97

3.2

2.4

14.5

1.6

78

21.7

Inferred

69

0.8

1.1

6.4

0.4

24

7.8

Subtotal

166

2.2

1.9

11.1

1.1

55

15.9

Fresh

 

 

 

 

 

 

 

Indicated

309

2.5

2.0

13.0

1.3

65

25.5

Inferred

232

0.9

0.8

8.3

0.4

28

13.0

Subtotal

541

1.8

1.5

11.0

0.9

49

20.1

 

 

 

 

 

 

 

 

Total

707

1.9

1.6

11.0

0.9

50

19.1

 

 

 

 

 

 

 

 

Oxide

 

 

 

 

 

 

 

Inferred

55

0.2

2.3

0.1

3.7

15

-

Source: Mining One Consultants, 7 Feb 2015

Tonnages and grades are rounded. Discrepancies in totals may exist due to rounding.

It is Red River’s opinion that all elements included in the metal equivalent calculation have a reasonable potential to be recovered and sold. Zinc equivalent grade was not calculated for the oxide resource


 

Western Mining Services (WMS) recently completed a metallogenic analysis for Red River Resources tenements (Diorite Hill Project) in the East Laverton region of Western Australia and used this analysis to develop a targeting model to identify areas of prospective ultramafic rocks.

he combination of areas of prospective ultramafic rocks and the key regional-scale structural control on the nickel sulphide (NiS) mineralisation of the region identifies relatively focused targets for the next phase of exploration.

WMS concluded that the northern parts of Red River’s tenement package has moderate NiS prospectivity, and this prospectivity is primarily associated with:

  • NW corner of E38/2937; potential 3.8 km strike length of untested prospective ultramafic contact; and
  • P38/4128 (together with the northernmost part of P38/4129); potential 1.8 km strike length of untested prospective ultramafic contact.

WMS concluded that the remained of the tenements/applications held by Red River in the East Laverton region had little or no prospectivity for NiS mineralisation, and as a result, the decision was taken to relinquish these tenements/applications.

The Miaree Project is comprised of exploration licences E08/1350, E47/1309 and E47/1707 (approximately 150km2). The project tenements are currently held under a joint venture between Red River and Iron Mountain Mining Ltd (Iron Mountain)(ASX:IRM). As at 30 September 2014, Red River held a 39.75% interest in the Miaree Project, and Iron Mountain held a 60.25% interest and was the joint venture manager.

Miaree Project tenements showing location of reported resources

miaree-joint-venture

As previously reported by Iron Mountain, the Miaree Project contains an independently estimated JORC Inferred Resource of 286Mt magnetite at an overall grade of 31.36% Fe1.

1 Refer to Iron Mountain Quarterly Report for period ending 30 June 2014

Red River views the interest in the Miaree Project as non core and is seeking expressions of interest as a way of realising value from this asset.

The Liontown Project is located 40km southwest of Charters Towers in North Queensland. It is accessed by the Flinders Highway and the Gregory Developmental Road. Tenure for the Liontown/Waterloo Project area comprises two exploration permits (or part thereof) and one mining licence.

Liontown Project Location

The project area lies within the Mt Windsor Sub‐province, which forms an east‐west trending belt extending for about 165km from the Leichardt Range, south of Ravenswood in the east, almost to Pentland to the west. Rocks of the sub‐province have been extensively intruded and dismembered along the northern margin by emplacement of the Ordovician to Permian Ravenswood Batholith and Lolworth Igneous Complex. A discontinuous cover of Tertiary alluvium, the Campaspe Formation, obscures much of the terrane.

 

Liontown Deposit

Mining at Liontown is estimated to have started on the gold-copper rich parts of the deposit in 1905, continuing until 1911. In 1952, a silver-lead lode, part of the Liontown Horizon was discovered and subsequently mined.

Mineralisation in the Liontown Horizon is developed in the basal siltstone unit of the hangingwall sequence, with the most consistent mineralisation lying immediately above the pumice breccia. Mineralisation is developed as multiple zones of stratiform, laminated, semi‐massive and rarely massive sulphide. The Liontown host rocks comprise a footwall sequence of dacitic pyroclastics termed pumice breccia, which has been strongly silicified and chlorite altered.

Liontown Long Section

 

Liontown Deposit Mineral Resource

Resource Category

Type

Tonnage (kt)

Cu (%)

Pb (%)

Zn (%)

Au (g/t)

Ag (g/t)

Zn Eq. (%)

Indicated

 

 

Fresh

334

0.4

1.9

4.6

1.2

20

8.3

Transition

34

0.5

1.3

4.0

1.4

29

7.6

Oxide

36

0.7

1.5

4.4

1.7

31

9.0

Sub Total

403

0.5

1.8

4.6

1.3

21

8.3

Inferred

Fresh

1,586

0.5

1.5

4.6

0.8

28

8.2

Transition

85

0.7

1.7

5.4

0.4

15

9.4

Oxide

184

1.0

1.3

4.7

0.8

12

9.3

Sub Total

1,855

0.5

1.5

4.6

0.8

26

8.4

Total

All

2,258

0.5

1.6

4.6

0.8

25

8.4

Total

Fresh/Trans

2,038

0.5

1.6

4.6

0.8

26

8.3

Tonnages and grades are rounded. Discrepancies in totals may exist due to rounding.

Source: Liontown Deposit JORC 2012 Resource Estimate (ASX Release, 24 June 2015)

 

Liontown East Deposit

The Liontown East deposit is located approximately 1km from the Liontown deposit and is located on EPM 14161. Liontown East was discovered in July 2016 by Red River, when the discovery hole (LTED01), was drilled to test the Liontown East coincident geochemical and geophysical target.  

The discovery hole LTED01 when it intersected intervals of massive and semi massive sulphides from 452.7m depth (28 July 2016). Since then 37 holes have been completed in and around the deposit with the results successfully defining a mineralised envelope of 250 m in strike length bearing 075° and 480 m down plunge length at 60° to the south east.

Red River announced a maiden Mineral Resource of 1.5Mt @ 12.2% Zn Eq. for the Liontown East deposit in July 2018

Liontown East Long Section

Liontown East Mineral Resource

Resource Class

Tonnage (kt)

Cu (%)

Pb (%)

Zn (%)

Au (g/t)

Ag (g/t)

Zn Eq. (%)

Measured

 

 

 

 

 

 

 

Indicated

 

 

 

 

 

 

 

Inferred

1,515

0.5

2.5

7.3

0.7

29

12.2

Total

1,515

0.5

2.5

7.3

0.7

29

12.2

Tonnages and grades are rounded. Discrepancies in totals may exist due to rounding.

It is Red River’s opinion that all elements included in the metal equivalent calculation have a reasonable potential to be recovered and sold.

Liontown Project

The Liontown Project consists of the Liontown and Liontown East deposits. Both deposits are part of the same system, and Red River has identified the potential for the known mineralisation at Liontown and Liontown East to extend into the Liontown Gap Target Area. Red River intends to carry out further drilling in this area to seeking to close the gap between the Liontown Mineral Resource and Liontown East Mineral Resource.

Liontown Gap Target Area

 

Liontown Project Mineral Resource

The combined Liontown Project Mineral Resource (Liontown and Liontown East) now stands at 3.6Mt @ 10.0% Zinc Equivalent.

Deposit

Resource Class

Tonnage (kt)

Cu (%)

Pb (%)

Zn (%)

Au (g/t)

Ag (g/t)

Zn Eq. (%)

Liontown

Measured

 

 

 

 

 

 

 

 

Indicated

367

0.5

1.8

4.6

1.3

21

8.3

 

Inferred

1,671

0.5

1.5

4.6

0.8

26

8.4

 

Subtotal

2,038

0.5

1.6

4.6

0.8

25

8.4

Liontown East

Measured

 

 

 

 

 

 

 

Indicated

 

 

 

 

 

 

 

 

Inferred

1,515

0.5

2.5

7.3

0.7

29

12.2

 

Subtotal

1,515

0.5

2.5

7.3

0.7

29

12.2

Combined

Measured

 

 

 

 

 

 

 

 

Indicated

367

0.5

1.8

4.6

1.3

21

8.3

 

Inferred

3,185

0.5

2.0

5.9

0.7

28

10.2

 

Total

3,553

0.5

2.0

5.7

0.8

27

10.0

Tonnages and grades are rounded. Discrepancies in totals may exist due to rounding.

Source: Liontown Deposit JORC 2012 Resource Estimate (ASX Release, 24 June 2015), Maiden Liontown East Mineral Resource (ASX Release, 18 July 2018)

 

Red River Resources currently holds approximately 600 km2 of exploration tenements in the highly prospective Cambro-Ordovician Mt Windsor Volcanic Belt located in Northern Queensland.

The Mt Windor Volcanic Belt is approximately 165km long and up to 10km wide and host a number of poly metallic base metal deposits at the contact between the Mt Windsor Volcanics and the Trooper Creek Formation (Thalanga Deposit) and also in the Trooper Creek Formation (Liontown Deposit).

 

Polymetallic VHMS (volcanic-hosted massive sulphide) deposits of Mt Windsor Belt

Deposit

Mineral Resource

Historic Production

Host Rocks

Deposit Morphology

Thalanga

(inc. Thalanga, Far West, West 45 and Orient)

2.8Mt @1.3% Cu, 2.4% Pb, 7.2% Zn, 0.2 g/t Au & 59 g/t Ag (15.1% Zn Eq.) [1]

4.7Mt @ 1.9% Cu, 2.6% Pb, 8.3% Zn, 0.5 g/t Au & 71 g/t Ag [2]

Occurs at the contact between rhyolite of the Mount Windsor Volcanics and dacite to andesite of the Trooper Creek Formation

Stratiform tabular geometry underlain by disseminated stringer mineralisation and stockworks

0.6Mt @ 1.6% Cu, 1.6% Pb, 5.0% Zn [3]

0.6Mt @ 0.5% Cu, 2.6% Pb, 5.1% Zn, 0.2 g/t Au & 46g/t Ag (10.1% Zn Eq.) [4]

Liontown

3.6Mt @ 0.5% Cu, 2.0% Pb, 5.7% Zn, 0.8 g/t Au & 27 g/t Ag (10.0% Zn Eq.) [1]

Mined from 1905-1911 and in the mid 1950s

Occurs within dacite to andesite of the Trooper Creek Formation

Tabular bodies

Waterloo

0.7Mt @ 1.9% Cu, 1.6% Pb, 11.0% Zn, 0.9 g/t Au & 44 g/t Ag (19.1% Zn Eq.) [1]

-

Occurs within dacite to andesite of the Trooper Creek Formation

Lens shaped tabular body

Magpie

0.25Mt @ 1.2% Cu, 1.7% Pb, 8.3% Zn, 0.2 g/t Au & 37 g/t Ag [6]

-

Occurs within dacite to andesite of the Trooper Creek Formation

Lens shaped tabular body

Highway-Reward

-

3.8Mt @ 6.2% Cu & 1 g/t Au[5]

Occur within rhyolite, dacite of the Trooper Creek Formation

Pipe like bodies

Handcuff

1Mt @ 0.4% Cu, 0.2% Pb, 7.4% Zn, 0.2 g/t Au & 9 g/t Ag [6]

-

Occurs within dacite to andesite of the Trooper Creek Formation

Tabular bodies

 

Deposit Held by Red River Resources

Source: L.J. Hutton and I.W. Withnall Depositional Systems, Crustal Structure and Mineralisation in the Thalanga Province, North Queensland

[1] Red River Resources Limited

[2] RGC Thalanga Production from 1990-1999

[3] Kagara Limited Thalanga Production from 2010-2012

[4] Red River Resources FY2018 to FY2019 (current)

[5] 1998-2005 Source: Grange Resources Limited

[6] Non JORC Resource Source: Aberfoyle (1995)

 

Red River utilises innovative exploration techniques and methodology in target generation and exploration activities within the Mt Windsor Belt, predominately focusing on near-mine and brownfield exploration targets. Exploration techniques used include the following:

 

  • Geochemical and rockchip sampling
  • Aerial hyperspectral alteration mapping
  • Geophysical surveys (predominately high powered Induced Polarisation)
  • Drilling (diamond and reverse circulation techniques)

 

Red River has defined and ranked an exciting portfolio of targets schedule to be tested in FY20 with the objective of increasing resources at our known deposits and finding the next generation of polymetallic massive sulphide deposits within the Mt Windsor Belt to enable Red River to continue to extend the operation life of Thalanga.

Red River Exploration FY20 Exploration Plan

 

Diamond drill rig at Liontown Project

 

Massive sulphide mineralisation from the Waterloo Deposit

 

 

 

 

Red River currently holds approximately 610km2 of exploration permits in the highly prospective Mt Windsor Belt, and these are divided into five project areas:

Project

Tenements

Thalanga

EPM 16929, EPM 10582

Liontown Waterloo

EPM 14161, EPM 10582, EPM 25815

Highway Reward

EPM 10582, EPM 25985, EPM 18713, EPM 18471, EPM 26718

Ermine

EPM 12766, EPM 25815

Trooper Creek

EPM 18470

 

Red River Tenement Holding in the Mt Windsor Belt

The Mt. Windsor Volcanic Belt, located south of Charters Towers (Central Queensland) is one of the most prospective geological provinces for volcanic hosted (VHMS) mineralisation in Australia. The initial discovery in the Belt was made in 1905 (Liontown), and a number of additional deposits were discovered in a 15 year period of intense exploration activity, from the mid 1970s to the mid 1980s, triggered by the discovery of the Thalanga deposit in 1975.

To date, the major deposits discovered and mined in the Belt include:

Thalanga (7.0Mt @ 2.5% Cu, 3.7% Pb, 11.7% Zn, 0.6 g/t Au & 98 g/t Ag)

Highway Reward (3.8Mt @ 6.2% Cu & 1 g/t Au)

Volcanic Hosted Massive Sulphide (VHMS) Deposits

Volcanic Hosted Massive Sulphide (VHMS) deposits are a globally important class of base metal deposit typically with combinations of copper, lead and zinc and significant precious metals (gold and silver). The polymetallic content of VHMS deposits positions them as one of the most desirable deposit types for security against fluctuating prices of different metals.

VHMS deposits form at or near the sea floor through the focused discharge of hot, metal-rich hydrothermal fluids and are strata bound accumulations of sulphide minerals that precipitated at or near the sea floor in spatial, temporal and genetic association with contemporaneous volcanism. (Franklin et al, 2005). VHMS deposits are discovered in submarine volcanic terranes that range in age from 3.4Ga to actively forming deposits in modern seafloor environments. Most, but not all VHMS deposits, occur in clusters that define major mining districts. The clustering is attributed to common heat source that triggers large scale subsea floor fluid convection systems.

Palaeozoic age (541Ma to 252Ma) VHMS deposits represent the majority of Australian VHMS deposits, and are concentrated in the rocks of Cambro-Ordovician age (541Ma to 443Ma) in the Mount Windsor Volcanics (Queensland) and the Mount Read Volcanics (Tasmania). There are a wide range in variability of styles of Australian VHMS deposits including mounds, pipes, sheets layered deposits, stacked deposits, stockwork and disseminated deposits, distal reworked deposits and cyclic layered deposits (Large, 1992).

 

Cross Section of Typical Mound Style VHMS deposit, after Hannington et al. (1998)

The schematic diagram represents a classic cross section of a VHMS deposit, with concordant semi-massive to massive lens underlain by a discordant stockwork vein system (feeder zone) and associated alteration halo or pipe (Galley et al, 2007)

The major deposit size can range from 15-90Mt with a median deposit size of 1-5Mt, with an average grade for Cu-Pb-Zn deposits of 1% Cu, 5% Pb and 12% Zn with high silver and gold credits, with an average grade of 120 g/t Ag and 2g/t Au (Gemmell et al, 1998).

 

Franklin, J.M., Gibson, H.L., Jonasson, I.R., and Galley A.G., 2005, Volcanogenic massive sulfide deposits: Economic Geology 100th Anniversary Volume, p. 523-560

Galley, A.G., Hannington, M.D., and Jonasson, I.R., 2007, Volcanogenic massive sulphide deposits, in Goodfellow, W.D., ed., Mineral Deposits of Canada: A Synthesis of Major Deposit-Types, District Metallogeny, the Evolution of Geological Provinces, and Exploration Methods: Geological Association of Canada, Mineral Deposits Division, Special Publication No. 5, p. 141-161.

Gemmell, J.B., Large, R.R., and Zhaw, K., 1998, Palaeozoic volcanic-hosted massive sulphide deposits: AGSO Journal of Australia Geology and Geophysics, 17(4), p. 129-137

Hannington, M.D., Galley, A.G., Herzig, P.M., and Petersen, S., 1998, Comparison of the TAG mound and stockwork complex with Cyprus type massive sulfide deposits: Proceedings of the Ocean Drilling Program, Scientific Results Volume 158, College Station, TX, p. 389-415

Large, R.R., 1992, Australian volcanic-hosted massive sulfide deposits: Features, styles, and genetic models: Economic Geology, v. 87, p. 469-968

 

 

 

 

 

The primary goal of Red River Resources is to create prosperity through lean and clever resource development for our shareholders and stakeholders.

Our objective is to grow Red River Resources into a company with multiple operating assets within low sovereign risk jurisdictions with our focus being on opportunities within the base and precious metal commodity space.

We will seek to fund and conduct innovative exploration near-mine and brownfield exploration at our assets with the objective of defining new resources that can extend the operational life of the assets.

To this end, we continue to seek high quality acquisition opportunities within the sector, which will meet and surpass our internal requirements and allow us to deliver material value for our shareholders.