Peel Mining

Resources and Reserves

Mineral Resources & Reserves of Peel Mining projects

Mineral Resources

Peel Mining has defined three resources across it’s four major deposits within its South Cobar Projects (SCP), and is in the process of resource definition drilling on the fourth.

The Mallee Bull deposit is a Cobar-style copper dominant polymetallic deposit and was Peel’s first Mineral Resource Estimate release, originally in 2014 and then upgraded in 2017. Currently, the Mallee Bull deposit has a JORC compliant Mineral Resource of 6.76 million tonnes at 1.8% copper, 31 g/t silver, 0.4 g/t gold, 0.6% lead and 0.6% zinc (2.6% copper equivalent) containing approximately 175,000t copper equivalent (using a 1% copper equivalent cut-off).

The Wagga Tank–Southern Nights deposit is a large-scale Zn-rich polymetallic VMS-type deposit. A maiden resource was released in 2019 and subsequently upgraded in 2020. The resource currently totals 4.95 million tonnes @ 5.0% Zn, 2.0% Pb, 0.3% Cu, 0.4g/t Au & 78g/t Ag.

The historic May Day Open Pit mine was originally excavated in the 1990’s, recovering 2,398oz of gold. In 2020, Peel Mining defined a maiden inferred mineral resource based on drilling beneath the pit, this was subsequently upgraded to an indicated resource in early 2021. The May Day deposit consists of 1.07 Mt at 1.02 g/t Au, 26.3 g/t Ag, 0.74% Zn, 0.50% Pb.

The Wirlong deposit represents a classic Cobar-style Cu-Ag deposit analogous to the CSA mine. A resource definition drilling programme is currently underway with a maiden resource estimate expected by year’s end.

A breakdown of the individual resources deposit is provided in the table below:

Mallee Bull Resource
Resource Classification Kt CuEq % Cu % Ag g/t Au g/t Pb % Zn %
Indicated 1,340 2.15 0.91 30 0.40 0.96 1.23
Inferred 5,420 2.70 2.00 31 0.40 0.50 0.40
Total Resource 6,760 2.60 1.80 31 0.40 0.60 0.60

The information in the above table relating to the Mallee Bull Resource Estimate is based on information compiled by Mr Jonathon Abbott, a Competent Person who is a Member of the Australian Institute of Geoscientists. Mr Abbott is a full-time employee of MPR Geological Consultants Pty Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code of Reporting of Mineral Resources and Ore Reserves’. Mr Abbott consented to the release of the matters based on his information in the form and context in which it appears.

Wagga Tank - Southern Nights Resource
Resource Classification Kt Zn % Pb % Cu % Ag g/t Au g/t
Southern Nights Indicated 2,540 5.9 2.3 0.19 88.9 0.33
Inferred 1,600 3.7 1.4 0.3 59 0.3
Sub-total 4,140 5 2 0.2 77 0.3
Wagga Tank Indicated 410 4.67 2.52 0.5 64.3 0.53
Inferred 400 5.3 2.3 0.3 98 0.5
Sub-total 810 5 2.4 0.4 81 0.5
Combined Indicated 2,950 5.73 2.33 0.23 85.5 0.36
Inferred 2,000 4 1.6 0.3 67 0.3
Total Resource 4,950 5 2 0.3 78 0.3

The information in the above table relating to grade estimation and the Mineral Resource Estimate for Southern Nights-Wagga Tank is based on information compiled by Mr Jonathon Abbott, who is a Member of The Australian Institute of Geoscientists. Mr Abbott is a full-time employee of MPR Geological Consultants Pty Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves”. Mr Abbott consented to the release of the matters based on his information in the form and context in which it appears.

May Day Indicated Resource
  Cut off $NSR Kt Au g/t Ag g/t Zn % Pb %
Open Pit Oxide $27/t 510 1.03 20.4 - -
Sulphide $37/t 390 1.00 28.2 1.31 0.84
Subtotal   900 1.02 23.8 0.57 0.36
Underground (Sulphide) $80/t 170 1.03 39.4 1.67 1.21
Combined 1,070 1.02 26.3 0.74 0.5

The information in the above table relating to the May Day Resource Estimate is based on information compiled by Mr Jonathon Abbott, who is a Member of The Australian Institute of Geoscientists. Mr Abbott is a full-time employee of MPR Geological Consultants Pty Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves”. Mr Abbott consented to the release of the matters based on his information in the form and context in which it appears.