NEWS & MEDIA

Galileo Resources Plc – Star Zinc Project: New Drilling Program Commences

14 August 2018

Galileo is pleased to announce the commencement of a 2nd diamond-drilling programme (Programme) on its highly prospective 85%-owned Star Zinc Project (“Star Zinc”) in Zambia.

Highlights

 

·    The Programme is scheduled for about 1000 metres (m) of diamond core drilling to depths of up to 80m, with average depth likely to be around 60 m

·    Drilling will initally target areas that are open ended east-north-east and south-east of the known mineralised zone, which previously modelled conceptual grade tonnage (CGT) estimate (announced 4 June 2018) highlighted  as having the exploration potential to extend

·    Drilling will also target several nearby, “bulls-eye” high-gravity geophysics anomalies.  An independent review of Star Zinc’s historical geophysics data showed good correlation of gravity anomalies with the mineralisation intersected in the 1st drilling (or Initial) programme  (announced 23 July 2018)

·    Drilling  is expected  to be completed during Otober and the Company will provide regular  udpates on core appearance, portable  XrF spectrometry indications and actual laboraory assays consistent with that adopted in the Intitial  programme

Colin Bird, Chief Executive Officer, said:  “The Initial programme confirmed the presence of very high grade williemite (up to 38% Zn) adjacent to the collapsed (“pit”) area in the mineralised zone with extensions to the east and  west of this area. The Initial programme highlighted the  presence of lower but still relatively high zinc values in the karstic material. 3D-modelling defined the presence and orientation of the two types of mineralisation   We believe that  this Programme should extend the known ore zone to the east and potentially identify near-surface mineralisation in areas highlighted  by the geophysics review.  

The overall assessment showed further,  the presence of heightened lead values in the deposit. This is recognised, academically,  as a marker for the potential of a nearby feeder source for mineralisation. The Company, depending on results,  may test this theory for the presence of a deeper feeder source during this Programme.

Star Zinc has the potential for  a stand-alone project as well as a supplier of run-of-mine ore for the Kabwe project.    

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

 

Technical Sign-Off

 

Andrew Sarosi, Director of Galileo, who holds a B.Sc. Metallurgy and M.Sc. Engineering, University of Witwatersrand and is a member of the Institute of Materials, Minerals and Mining, is a “qualified person” as defined under the AIM Rules for Companies and a competent person under the reporting standards. The technical parts of this announcement have been prepared under Andrew’s supervision and he has approved the release of this announcement.

 

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

 

You can also follow Galileo on Twitter: @GalileoResource

For further information, please contact: Galileo Resources PLC

 

Colin Bird, Chairman

Andrew Sarosi, Executive Director

Tel +44 (0) 20 7581 4477

Tel +44 (0) 1752 221937

Beaumont Cornish Limited – Nomad & Joint Broker

Roland Cornish/James Biddle

Tel +44 (0) 20 7628 3396

Novum Securities Limited – Joint Broker

Colin Rowbury /Jon Belliss

+44 (0) 20 7399 9400

 

The Star Zinc Project

The Star Zinc project is a historical small-scale open pit mine from where, reportedly, low tonnage, but high grade willemite (a zinc silicate mineral) was extracted intermittently in the 1950s to 1990s.

 

The Star Zinc project is located approximately 18km NNW of Lusaka (see Figure 3.1 below), and is accessible via the tarred “Great North Road” and a good all weather graded road, with the journey time from central Lusaka of approximately 30 minutes (traffic allowing).

 

There is adequate power, water, rail & telecommunications, with the International Airport at Lusaka, less than 45 minutes away.

 

The Mines and Minerals Development Act No. 7 of 2008, which grants a Large Scale Prospecting Licence for a maximum of 7 years, governs the mineral tenement.  Recent changes to the Act now provides for an initial 4 years with a further two 3-year extensions totalling 10 years, with a mandatory 50% reduction of licence area at the completion of the 1st grant and 2nd grant periods respectively. The first renewal period initially expired 13 August 2016 but was extended to 13 August 2018.  The Company has submitted an application for the next renewal period.

 

The Star Zinc Willemite project was mapped in the 1960s by several geologists of the Northern Rhodesia (now Zambia) Geological Survey.

 

At Star Zinc, two main fracture trends are present, one E  W, and another N  S. Both sets of fractures are nearly vertical and are irregularly mineralised. Willemite generally replaces the host rock marbles in the form of massive ore bodies, but it occurs also in veins

 

In addition, karstic (pertaining to landscape underlain by limestone which has been eroded by dissolution, producing ridges, fissures, sinkholes and other characteristic landforms) mineralisation and red soils (terra rossa) are locally heavily mineralised with detrital willemite and supergene zinc minerals. Zinc values measured in soils at Star Zinc reach up to 15,600 ppm and are accompanied by the pathfinder elements Ag (silver), Pb (lead), Ba (barium), Sb (antimony) and Cd (cadmium). The karst infill has a zinc (Zn) content up to 45wt.% Zn, up to 35wt.% Fe and up to 5g/t Ag.

 

The mineralogical assemblage of Zn nonsulphides includes a whole number of minerals, but the main economic phases present are Zn-silicates (willemite, hemimorphite, Zn-bearing clays), Zn- Pb carbonates (smithsonite, cerussite), hydrated Zn- Pb carbonates (hydrozincite, hydrocerussite) and Zn- Mn- Fe- oxides (zincite, franklinite, gahnite).

 

Limited independent metallurgical testwork by others has clearly shown that the willemite present at Star Zinc is amenable to acid leaching with positive results for two samples tested. Zinc leaching efficiencies obtained ranged from 89% and 92%.  The testwork indicated polymerisation of dissolved silica in the leachate.  

 

An independent competent person’s report commissioned by BMR concluded. In summary, the Star Zinc project has good potential to become a viable project.

 

Note:  the information about Star Zinc is sourced primarily from Competent Person’s Report for the Star Zinc Project, Zambia; Wardell Armstrong, January 2016

 

 

Glossary

Detrital                               loose fragments or grains that have been worn away from rock

 

Calcite                                  mineral of calcium carbonate

 

Dolomite                            mineral composed of calcium magnesium carbonate

 

Dolomitic                           pertaining to dolomite  

 

Floats                                   pieces of rock that have been removed and transported from their original outcrop

 

Hematite                             reddish-black mineral consisting of ferric oxide. It is an important ore of iron.

 

ICP-OES/MS                        inductively coupled plasma  – optical emission spectrometry/mass spectrometry

 

Karst                                     landscape underlain by limestone (calcium carbonate), which has been eroded by dissolution, producing ridges, fissures and so on

 

Karstic                                 pertaining to karst

 

Leaching                              chemical process of solubilising metals in rock into solution

 

ppm                                      parts per million

 

XRF Spectrometer           analytical instrument for determining chemical composition using x-ray fluorescence  spectrometry

 

Supergene                            pertaining to processes or enrichment that occurs relatively near surface 

 

Willemite                           zinc silicate ore mineral

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.