Thalanga Far West is classified as a volcanogenic-massive-sulphide (VHMS) style of mineralisation where copper, zinc, lead and silver mineralisation is found associated with a suite of sulphide minerals including sphalerite, galena, chalcopyrite, pyrite and other minor sulphide assemblages. Mineralised zones are typically represented by fault controlled lenses located within the host Quartz Eye volcaniclastic unit.

Far West is the down dip extension of the Thalanga West mineralisation. Thalanga West was mined by RGC Thalanga Pty Ltd until the Thalanga mine was closed in 1998. Subsequent operators of the Thalanga mill disposed of tailings from the processing of Highway-Reward ore into the Thalanga underground development, preventing any use of this development.

Diamond drilling has been completed over multiple drill campaigns since the early 1990’s within the Thalanga Far West project area. RGC Thalanga Pty Ltd drilled (surface and underground) into the Thalanga Far West area and also drove an exploration decline out to Thalanga Far West. Limited mining activities took place in Far West prior to the Thalanga operation being closed in 1998.

Thalanga Far West Long Section

thalanga-far-west

Thalanga Far West hosts a JORC Code (2012) compliant Mineral Resource of 1,158kt grading 1.7% Cu, 1.9% Pb, 5.8% Zn, 0.2g/t Au and 49g/t Ag. The resource estimate was completed by Mining One Consultants in January 2015.

For further details of the Thalanga Far West resource and the supporting disclosures and appendices, please refer Thalanga Projects – Reserves & Resources and also to the Red River ASX release “Red River Delivers Thalanga Far West Maiden JORC 2012 Resource of 1.2Mt @ 14.3% Zinc Equivalent” dated 27 January 2015

Thalanga Far West Exploration Target

Red River believes that based on the work carried out to date, there is sufficient evidence to define an Exploration Target of 900 – 1,300kt @ 10.0% - 15.0% Zn equivalent at Thalanga Far West.

For this Exploration Target, the potential quantity and grade is conceptual in nature, there has so far been insufficient exploration to define a Mineral Resource in compliance with the JORC Code and it is uncertain if further exploration will result in the determination of a Mineral Resource as defined by the JORC Code.

The Exploration Target is based upon the:

  1. Up dip project of the current Thalanga Far West Resource ; and
  2. Depth extension of the current Thalanga Far West Resource

Red River believes that the current Thalanga Far West Resource has the potential to increase through infill drilling into the up dip projections of the current resource area. The ore domain wireframe was extended into this area however the lack of sufficient drill coverage and confidence in the nature and orientation of the mineralised lens in this area precluded resources from being reported.

Drill spacing in this area is greater than 100m, so the Company plans to drill an additional 12 holes. These holes have the potential to bring additional resources into the estimate and to upgrade portions of the Inferred Resource to an Indicated Resource category. This drilling is likely to occur within the next 12 months.

Thalanga Far West Resource Upside Potential

thalanga-far-west-resource

Source: Mining One

Potential depth extensions of the deposit in certain areas appear to be closed off by the existing drilling such as seen between 19700E and 20000E and between 19400E and 19550E. There is however potential for down dip extensions in two areas as shown in Figure 1 below, these areas are referred to as target area 1 and 2. There is potential to define an additional 400kt – 800kt if the ore horizon is intersected at both of these target positions.

Repetitions and offsets of mineralized lenses may also be present in the area as seen in the Thalanga and West 45 deposits so future exploration will need to consider this possibility. The exploration targets presented here are however interpreted to be extensions of the main Thalanga Far West domain. Exploration potential towards the west appears limited based on the existing drilling data and the deposit is constrained to the west by the mined out Thalanga deposit.

Figure 1 Thalanga Far West Exploration Target Areas

thalanga-far-west-exploration

Source: Mining One

To test the depth extensions, Red River is planning to initially drill four holes into each target area for a total of eight holes. This drilling is likely to occur within the next 12 months.