Exploration commenced at Latin Uranium SRL Argentina ________________________________________________________

For personal use only
DATE:
13 OCTOBER 2014
TO:
COMPANY ANNOUNCEMENTS OFFICE
ASX LIMITED
ASXCode: CHK
________________________________________________________
Exploration commenced at Latin Uranium SRL Argentina
The Board wishes to advise that following a review of the Technical Report on Latin
Uranium SRL prepared for Cohiba Minerals Limited (Cohiba) by Mr Ariel Testi, the due
diligence exploration program at the Huaco and Homero licences located 40km~ from San
Juan in Argentina, has commenced.
The program includes drilling to verify the uranium mineralisation expected at Hauco and
will run through to December 2014 with a completed report expected by January/February
2015.
Details of the program are attached.
Subject to the results of the program Cohiba will decide whether to recommend an
investment into Latin Uranium SRL to its shareholders.
If the Board recommends the Investment the necessary documentation including independent
expert reports and required regularity and statutory information will be forwarded to
shareholders to review before the calling of a general meeting to vote on the proposed
ordinary resolution.
The market will be kept in form on the progress.
David Herszberg
Chairman
Address / Postal Suite 5, Level 1, 310 Whitehorse Road, Balwyn VIC 3103
Phone 03 9830 7676 Fax 03 9836 3056 Web www.cohibaminerals.com.au
ACN 149 026 308
For personal use only
Report October 2014
EXPLORATION PROGRAM LATIN URANIUM SRL
Projects: Huaco & Homero
Province: San Juan, Argentina
Prepared by: Ariel Testi, MSc
SUMMARY
The exploration program was prepared on September 29th through October 1st. It
comprises exploration in advance drilling program proposal that involves mapping
& sampling, and surface collars totalizing 600m for Huaco and Homero projects.
The Medano Rico (Homero project) and La Cuesta (Huaco project) sectors are
defined according to the information of previous exploration works, ground
geophysics survey, grid scintillometer survey and support by the exploration team
at Latin Uranium SRL. The budget for the entire program is AU$ 200.000.
Introduction
The Latin Uranium SRL (LU) claims are located 40Km of San Jose de Jachal and
Huaco cities and are in the eastern side of the San Juan Precordillera (Fig N° 1).
The exploration team (Service Company) that will follow up the exploration
program consists of two field teams divide according to exploration/drilling
requirements. Each field team is formed by a geologist and a mining technician
and presents a senior geologist and a semi-junior/junior geologist. The exploration
program on this proposed includes the Huaco and Homero projects (Advanced
exploration project of LU).
For personal use only
Figure 1: Location Map of the Medano Rico and La Cuesta sectors
Exploration
Huaco
The exploration program for Huaco project is shallow drilling to define breccia pipe
geometry. This program consists of four collars of 150m depth surrounding an area
of 200m by 200m. Following the first shallow drilling program, downhole
geophysical surveys more accurately define the uranium intercepts.
Homero (Medáno Rico) Concession Number 1124.121-M-11 (MD Homero1).
The exploration program comprises Grids scintillometer survey, detailed geological
mapping-rock chip sampling on a reduced area.
The program involved the following phase:
1) Geological Mapping and Sampling: One team with a Senior Geologist will be
carried out the geological-structural traverses of the area.
2) Grid Scintillometer Survey: The area selected will be assessment using handle
For personal use only
scintilometers with GPS by traverses. The program will be carried out by one team
with a semi junior/junior geologist.
The work in Homero project has to be done with the assistance of a climbing
instructor.
Drilling program Proposed
It comprises 600m surface drilling program. The plan is expected finalize in 15
days approximately using one surface drilling machine. The collars should be
according to a rhomboidal pattern:
Huaco project (La Cuesta sector) Concession Number 1124.647-M-12.
The drilling proposal contains 600m for shallow exploration drilling. These
collars should be oriented to the most favorable area of mineralization and
lithology; a tentative location is shown on Figure 2 by the blue dots.
However, the exact location of the collars should be defined by LU
geologists using the best data available at the time.
This sector is chosen due to the following factors:
•
Association of breccia-structure with barite-fluorite-pyrite and semicircular radiometric anomalous area.
•
Stock Pile of 40 Tn with approximately 870ppm e_U (ppm)
scintillometer.
•
Hydrothermal alteration
•
The lack of drillhole information regarding the area
For personal use only
N
Figure 2: La Cuesta Sector, Tentative collars in blue dots
Timeline/Milestone
Two month working will be required for completing the entire exploration and
drilling program. Therefore, all tasks will be based on parallel and improved
different aspect of the exploration efforts. The milestone schedule for major
deliverables listed in this proposal is shown:
For personal use only
Milestone Schedule
Day Schedule
Data Collection, digitalization
5
Homero: Geological Mapping, sampling,
20-30
Grids scintillometer survey
Surface Drilling Program (logging and
10-20
sampling, database information)
Surface Drilling Lab Analisys and Reports
Integration of the information, maps
generation, conclusions
Total
15
10
60
JORC COMPETENT PERSON STATEMENT
The information in this report that relates to Exploration Results is based on,
information and supporting documentation compiled by Mr Ariel Testi who is a
Certified Professional Geologist (AIPG-CPG#11739 ) with the American Institute of
Professional Geologists. Mr Testi is a consulting Geologist appointed by Cohiba
Minerals Limited to conduct exploration on the exploration licences held by Latin
Uranium Pty Ltd. Mr Testi 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 of Exploration Results, Mineral Resources
and Ore Reserves’. Mr Testi consents to the inclusion in this report of the matters
based on his information in the form and context in which it appears.
For personal use only
APPENDIX I
For personal use only
100
0
100 m
23/08/2014
LA CUESTA
6,666,600 mN
6,666,500 mN
6,666,400 mN
6,666,300 mN
6,666,200 mN
Huaco Project
2,543,700 m E
2,543,600 m E
2,543,500 m E
2,543,400 m E
2,543,300 m E
2,543,200 m E
2,543,100 m E
2,543,000 m E
2,542,900 m E
6,666,700 mN
Section 1 Sampling Techniques and Data
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Criteria
Sampling
techniques
JORC Code explanation
•
•
•
•
Commentary
Nature and quality of sampling (eg cut
channels, random chips, or specific specialised
industry
standard
measurement
tools
appropriate to the minerals under investigation,
such as down hole gamma sondes, or
handheld XRF instruments, etc). These
examples should not be taken as limiting the
broad meaning of sampling.
Include reference to measures taken to ensure
sample representivity and the appropriate
calibration of any measurement tools or
systems used.
Aspects of the determination of mineralisation
that are Material to the Public Report.
In cases where ‘industry standard’ work has
been done this would be relatively simple (eg
‘reverse circulation drilling was used to obtain 1
m samples from which 3 kg was pulverised to
produce a 30 g charge for fire assay’). In other
cases more explanation may be required, such
as where there is coarse gold that has inherent
sampling problems. Unusual commodities or
mineralisation types (eg submarine nodules)
may warrant disclosure of detailed information.
•
•
•
Random chips samples were taken at surface
outcrops, float and proximal blocks which show
favourable geology, alteration and radiometric
anomalies at project scale. In general, samples
were partially weathered
Representative samples at each sample site
weigh between 0.8 and 2.5 kg. No details of
previous companies’ samples are known of their
QAQC processes.
Rock samples were sent to Alex Stewards
(Assayers) Argentina S.A. (sample taken in
2013-2014), SGS Argentina and ACME (rest of
the samples) all certificates laboratories where
they were crushed, dried and pulverized. The
analytical process comprises Aqua Regia digest
with ICP-AR-42 (U&Th).
Drilling
techniques
•
Drill type (eg core, reverse circulation, openhole hammer, rotary air blast, auger, Bangka,
sonic, etc) and details (eg core diameter, triple
or standard tube, depth of diamond tails, facesampling bit or other type, whether core is
oriented and if so, by what method, etc)
•
No drilling results are included.
Drill sample
recovery
•
Method of recording and assessing core and
chip sample recoveries and results assessed.
Measures taken to maximise sample recovery
and ensure representative nature of the
samples.
Whether a relationship exists between sample
recovery and grade and whether sample bias
may have occurred due to preferential loss/gain
of fine/coarse material.
•
No drilling results are included.
Whether core and chip samples have been
geologically and geotechnically logged to a
level of detail to support appropriate Mineral
Resource estimation, mining studies and
metallurgical studies.
Whether logging is qualitative or quantitative in
nature. Core (or costean, channel, etc)
photography.
The total length and percentage of the relevant
intersections logged.
•
No drilling results are included.
•
•
Logging
•
•
•
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Criteria
Sub-sampling
techniques and
sample
preparation
JORC Code explanation
•
•
•
•
•
•
Quality
of
assay data and
laboratory tests
•
•
•
Verification of
sampling and
assaying
•
•
•
•
Commentary
•
•
The nature, quality and appropriateness of
the assaying and laboratory procedures
used and whether the technique is
considered partial or total.
For geophysical tools, spectrometers,
handheld XRF instruments, etc, the
parameters used in determining
the
analysis including instrument make and
model, reading times, calibrations factors
applied and their derivation, etc.
Nature of quality control
procedures
adopted (eg standards, blanks, duplicates,
external laboratory checks) and whether
acceptable levels of accuracy (ie lack of
bias) and precision have been established.
•
•
No external (third party) laboratory checks have
been completed to date. Quality control measures
(inserted reference materials, blanks and duplicates)
are mentioned and in occasionally reports there is no
indication that replicate analyses were carried out.
The verification of significant intersections
by either independent or alternative
company personnel.
The use of twinned holes.
Documentation of primary data, data entry
procedures, data verification, data storage
(physical and electronic) protocols.
Discuss any adjustment to assay data.
•
Pending reports with external lab test results of
significant assay values would be verified uranium
mineralization by Ariel Testi. However, this is not
required at this stage of exploration.
No twinned holes were drilled.
Primary assay data for rock chips has been entered
into standard Excel templates for plotting on MapinfoArcMap. All previous data has been entered digitally
by previous explorers and verified internally by Latin
Uranium. All data was compiled into Excel
spreadsheets.
There has been no adjustment to assay data.
•
•
•
•
•
•
•
Location of
data points
•
•
•
No core drilling reported.
Surface samples were not split during any part of the
process.
The sample preparation of rock chips by Latin
Uranium follows industry best practice in sample
preparation involving oven drying, coarse crushing
down to #10 followed by pulverisation of 1Kg sample
to a grind size of 95% passing 106 micron. QAQC
practices by previous companies are unknown, but
samples repeated by Latin Uranium SRL indicate that
the original previous companies sampling results was
reliable. No complete recorded of field duplicates were
carried out. Although, some duplicates were taken.
Laboratory QC procedures for rock sample assays
involve the use of internal certified reference material
as assay standards, along with blanks, duplicates
and replicates.
Uranium mineralization is filling pore space in fine
conglomerate-pebbly sandstone to siltstone and
bands, small veins, and fine disseminations. The
samples sizes of 0.8 to 2.5kg at latin Uranium
projects are considered appropriate.
If core, whether cut or sawn and whether
quarter, half or all core taken.
If non-core, whether riffled, tube sampled,
rotary split, etc and whether sampled wet or
dry.
For all sample types, the nature, quality and
appropriateness of the sample preparation
technique.
Quality control procedures adopted for all
sub-sampling
stages
to
maximise
representivity of samples.
Measures taken to ensure that the sampling
is representative of the in situ material
collected, including for instance results for
field duplicate/second-half sampling.
Whether sample sizes are appropriate to
the grain size of the material being
sampled.
Accuracy and quality of surveys used to
locate drill holes (collar and down-hole
surveys), trenches, mine workings and
other locations used in Mineral Resource
estimation.
Specification of the grid system used.
Quality and adequacy of topographic
control.
•
•
•
The quality of previous companies sample assays is
unknown, although generally the preparation and
analytical techniques conformed to the industry
standards of the time.
Handheld spectrometric- scintillometer was utilized to
detect possible surface anomalies. While this data is
recorded, only independent laboratory assay results
are reported here.
Surface rock chip sample locations were surveyed by
using a standard hand-held GPS. Expected accuracy
is +/- 5m for easting and northing and +/- 15m for
elevation coordinates. No drilling results are included.
The grid system for Latin Uranium projects are
Argentina Gauss Krueger Campo Inchauspe, Zone 2.
Standard government topographic maps have been
used for topographic validation.
Criteria
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Data spacing
and distribution
JORC Code explanation
•
•
•
Orientation of
data in relation
to geological
structure
Sample security
Audits or
reviews
Commentary
Data spacing for reporting of Exploration •
Results.
Whether the data spacing and distribution •
is sufficient to establish the degree of
geological
and
grade
continuity
appropriate for the Mineral Resource and
Ore Reserve estimation procedure(s) and
classifications applied.
•
Whether sample compositing has
been applied.
Surface samples are targeting radiometric anomalies
at various spacing.
Current reconnaissance programs are not appropriate
for any sort of comment on potential geological and
grade continuity. There has been insufficient
exploration completed to define this material as a
Mineral Resource.
No sample compositing has been done.
•
Whether the orientation of sampling
achieves unbiased sampling of possible
structures and the extent to which this is
known, considering the deposit type.
If the relationship between the drilling
orientation and the orientation of key
mineralized structures is considered to
have introduced a sampling bias, this
should be assessed and reported if
material.
•
The measures taken to ensure sample
security
•
For rock samples, chain of custody is managed by Latin
Uranium SRL. Samples are delivered by Latin Uranium
SRL personnel to Alex Steward Argentina for
preparation and assay. Tracking sheets have been set
up to track the progress of batches of samples. Security
of previous companies samples is unknown however is
considered unimportant.
The results of any audits or reviews of
sampling techniques and data
•
Numerous repeat sampling exercises validate the
sampling of previous workers.
•
•
•
Surface samples were collected perpendicular to veinbreccia walls and mineralized horizon, or across
zones of alteration, and are representative of the
mineralization controls.
No drilling is reported.