Announcement

Quarterly Activities Report - 30 June 2019

31 July 2019

Quarterly Activities Report - 30 June 2019

South Korea

  • Bonanza grade outcrop and float assays returned at the Deokon Project, with peak grades of 32.4g/t gold and 1,095g/t silver in outcrop and 53.9g/t gold and 6,240g/t silver in float. Two identified veined zones, “Bonanza” and “Thorn”, 4m-20m wide 500m apart with interpreted continuity and open along strike.Land access approval for drilling is being sought.

  • Major low-sulphidation epithermal gold target identified at Beopseongpo containing five major veined zones in excess of 20 metres wide and combined strike length of over 2,570 metres. Surface rock chips returned peak grades around 1-2g/t Au and given the vein textures show a boiling environment,means the best part of the system is likely 100-500 metres below surface. This represents a truly compelling target and initial scout drilling is imminent at Lotus North.

  • Surface mapping and outcrop rock chip and float sampling completed at Neungju and Dokcheon Projects, with 130 and 49 samples taken respectively.Assays and full technical report pending.

  • Preparation for drilling at the Weolyu Project continued with improvement of infrastructure to enable mobilisation of drilling equipment. A change in target ranking was decided as a consequence of the recent compelling results returned at Beopseongpo and Deokon, which prioritised initial drilling programs to commence there ahead of Weolyu.

  • Permit to develop submissions for the Gubong and Kochang Projects operated by JV company BMV have proceeded to the next assessment stage
  • Corporate

  • Fully underwritten non-renounceable 1 for 3 Rights Issue offer at A$0.11 per share (with 18c call option to 31 Dec 2021 for every 2 rights shares subscribed for) to raise capital of $2.3 million to execute the Korean-focused exploration strategy. A post-Rights Issue placement to 4 major shareholders raised an additional $0.44 million on the same terms, subject to shareholder approval.

  • Underground JORC Probable Reserve completed at Cannon Gold Mine, with 117kt at 5.31g/t Au for 20koz calculated using 3.0 g/t Au economic cut-off grade.

  • Formal sales process of the West Australian assets by PCF capital at an advanced stage
  • To read the full announcement please down load the pdf below:

    Quarterly Activities Report - 30 June 2019