BRISBANE, Australia, Oct. 14, 2021 (GLOBE NEWSWIRE) — Adyton Resources Corporation (TSX Venture: ADY) has reported an 88% increase in total gold ounces across the company’s 100% owned Fergusson Island Gold Project and Feni Gold and Copper Project, located within Papua New Guinea’s renowned “Rim of Fire”.
Fergusson Island maiden Indicated Resource of 175,000 gold ounces at 1.33 grams/tonne (g/t) and Inferred Resource increased by 33% to 540,000 gold ounces at 1.08 g/t.
Feni Island Inferred Resource increased by 123% to 1,460,000 gold ounces at 0.75 g/t.
Adyton Chairman, President and Chief Executive Officer, Mr Frank Terranova said the updated resource estimates would provide a strong basis for technical studies to be undertaken in preparation for submitting a Mining Lease Application for the Fergusson Island Project by the end of calendar 2022.
“When we acquired the Fergusson Island and Feni Island Projects, we saw a unique opportunity to create a portfolio of complementary projects, each of which demonstrated clear pathways for accelerated development,” Mr Terranova said.
“Fergusson Island Project provides a relatively simple pathway to near term production while Feni Project has the potential to be a project of international significance.
“With a relatively modest drill program at Gameta and a re-assessment of the economic cut-off grade based on a conceptual mining study we have significantly increased the size of our overall mineral resource estimate, which leaves the company confident for the future,” he said.
Mr Terranova was confident that future exploration programs would continue to grow the mineral resources on Fergusson Island with the resource being close to surface, and open in multiple directions including at depth. He added that Feni Island’s resource estimate upgrade was also very encouraging.
“The recent drilling at Feni has confirmed our belief that this project is geologically analogous to the neighbouring Lihir and Simberi deposits and demonstrates its potential to be a major gold discovery with copper porphyry potential,” he said.
Consolidated Group mineral resource estimates
Table 1 presents a summary of the updated mineral resources for the consolidated Fergusson Island and Feni Island Projects.
|Fergusson Island – Gameta Project||1.33||4.0||173||1.01||10.5||340|
|Fergusson Island – Wapolu Project||–||–||–||1.06||5.8||200|
|Fergusson Island total||1.33||4.0||173||1.02||16.3||540|
Table 1: Gameta, Wapolu and Feni combined Adyton group resources at 0.5g/t gold cut-off
Mineral Resource Estimate Parameters
- Mineral Resources were prepared in accordance with NI 43-101 and the CIM Definition Standards for Mineral Resources and Mineral Reserves (2014) and the CIM Estimation of Mineral Resources and Reserves Best Practice Guidelines (2019) prepared by the Standing Committee on Reserve Definitions and adopted by the CIM Council.
- These Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. This estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues. The quantity and grade of reported Inferred Resources in the mineral resource estimates are uncertain in nature and there has been insufficient exploration to define these resources as Indicated or Measured; however, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
- All Mineral Resources estimates are reported at a cut-off grade of 0.5 g/t gold. The cut-off grade has been determined based on conceptual pit optimisations developed using Whittle software, an assumed gold price of US$1,800 per ounce and mining, processing and other cost assumptions derived from published cost data for comparable Papua New Guinea gold projects.
- In estimating the Gameta Resources:
- The core areas drilled to a 40 m spacing or less were considered sufficient for Indicated Mineral Resource classification based on a combination of confidence in data inputs, geological interpretation, and sample variography. Indicated classification was restricted to interpreted mineralisation domains and interpreted separately for the Detachment Fault Zone (DFZ) & DFZ transition zones, and the footwall metamorphic as the drill spacing changes with depth and drill hole orientation.
- High grade caps were applied for estimation to remove undue effects from outliers and skewed grade distributions. Most caps relate to the 99.5th percentile of the distributions.
- Domaining of the hanging wall, mineralised shear zone and footwall ore types was carried out, with variogram correlogram modelling being undertaken for each domain using unfolding for most domains for lateral orientations and down hole variograms for the cross-strike orientations.
- Bulk density measurements were carried out on a representative number of core samples and assigned based on rock classification into the tock types – oxide domain, partial oxide and fresh shear zone hosted mineralisation domain, and a lower footwall domain.
- Gold grades were estimated by Ordinary Kriging for blocks within each domain.
- The effective date of the updated estimate is 14 October 2021
Cut-Off Grade Sensitivity
The following tables tabulate the Adyton Group resources at different cut-off grades across the three projects covered in this release (highlighted at a 0.5 g/t cut-off).
|Gameta Resources – October 2021|
Table 2: Gameta Indicated and Inferred Resources reported using various cut-off criteria.
|Wapolu Resources – October 2021|
Table 3: Wapolu Inferred Resources reported using various cut-off criteria.
|Feni Resources – October 2021|
Table 4: Feni Inferred Resources reported using various cut-off criteria.
The following figures show a slice through the existing Resource block models for the three projects.
Technical Report and Qualified Persons
The mineral resource estimates for the Gameta, Wapolu and Feni projects included in this press release were prepared under the supervision of Mr Mark Berry (MAIG) of Derisk Geomining Consultants, an Independent Qualified Person as defined by NI 43-101. The technical content has also been reviewed by Rod Watt, BSc Hons (Geo), FAusIMM, Chief Geologist and a director of Adyton Resources Corporation, who is a “Qualified Person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).
A Technical Report to support the updated mineral resource estimates for the Gameta, Wapolu and Feni projects, prepared in accordance with NI 43-101, will be filed on SEDAR (www.sedar.com) within 45 days of this news release.
ON BEHALF OF THE BOARD OF ADYTON RESOURCES CORPORATION
Frank Terranova, Chairman, President and Chief Executive Officer
For further information please contact:
Frank Terranova, Chairman, President and Chief Executive Officer
Phone: +61 7 3854 2389
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Forward looking statements
This press release includes “forward-looking statements”, including forecasts, estimates, expectations, and objectives for future operations that are subject to several assumptions, risks, and uncertainties, many of which are beyond the control of Adyton. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “should”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. Forward looking statements in this news release include plans for additional drill testing, the intention to prepare additional technical studies, the timing of additional drill results, and the preparation of a resource upgrade in Q3 2021. The forward-looking information contained herein is provided for the purpose of assisting readers in understanding management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. Forward-looking information are based on management of the parties’ reasonable assumptions, estimates, expectations, analyses, and opinions, which are based on such management’s experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect. Such factors, among other things, include: impacts arising from the global disruption caused by the Covid-19 coronavirus outbreak, changes in general macroeconomic conditions; changes in securities markets; changes in the price of gold or certain other commodities; change in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations pressures, cave-ins and flooding); discrepancies between actual and estimated metallurgical recoveries; inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability of and changes in the costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed, and actual future results may vary materially. Readers are cautioned not to place undue reliance on forward looking statements or information. Adyton Resources Corporation undertakes no obligation to update forward-looking information except as required by applicable law.
ABOUT ADYTON RESOURCES CORPORATION
Adyton Resources Corporation is focused on the development of gold and copper resources in world class mineral jurisdictions. It currently has a portfolio of highly prospective mineral exploration projects in Papua New Guinea on which it is exploring for copper and gold. The Company’s mineral exploration projects are located on the Pacific Ring of Fire which hosts several world class copper and gold deposits. Adyton was formed by a reverse takeover transaction completed with XIB I Capital Corporation on 17 February 2021 and commenced trading on the TSX Venture Exchange under the symbol “ADY” on February 24, 2021. Adyton is also quoted on the Frankfurt Stock Exchange under the code 701: GR. Further as of 1 August 2021 Adyton is also quoted on the OTCQB market under the code ADYRF. For more information about Adyton and its projects, visit www.adytonresources.com.
Map showing the location of Adyton’s Papua New Guinea exploration projects
relative to significant PNG gold projects.