RCS - Red Rock Resources - Update on Burkina Faso, Australia and DRC

Red Rock ResourcesAnnouncement

10/06/2024 14:00

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RNS Number : 8339R  Red Rock Resources plc  10 June 2024

10 June 2024

Red Rock Resources PLC

("Red Rock", "RRR", or "the Company")

 

Update on Burkina Faso, Australia and DRC

Significant Results from Gold Drilling next to RRR's Australian Gold Assets

 

Red Rock Resources Plc, (AIM:RRR) ("Red Rock" or "the Company"), is a natural
resource development company with interests in gold, base metals, battery
metals, and hydrocarbons principally in Africa and Australia.

This release is an update further to that of 29(th) April 2024.

Key points:

·    Gold testing and production equipment loaded on container on way to
sail for Burkina Faso

·    Preparation of operating sites continues at Bilbale and Boulon

·    Exceptional gold drill results from neighbouring area in Australia
prompts plans for geochemistry and drilling

·    Long stop date for purchase option of minority interest in Australian
asset extended to tomorrow

·    New Government appointment in DRC ends six month post-election hiatus
with prospect of resolution of RRR claims

Burkina Faso: In the announcement of 29 April Red Rock noted that it was hoped
to start operations at scale in early June, if no customs and other delays
occurred. One key development since has been the significant recent rise in
air freight rates, that has led to the decision to transport containers by
sea. Although maritime container rates have also increased, this becomes the
preferred option, and enables the Company to bring in extra equipment.

Simultaneously, initial earth moving and trucking equipment will be
transported from Europe, with generators and other equipment. Target arrival
times are early July, again subject to Government delays.

RRR's team has been on the ground working on the preparation of accommodation,
water wells, transportation and logistics, and dealing with the Government.

Australia: The Company has commissioned its Australian management team at Red
Rock Australia Limited ("RRAL") to immediately start a geochemistry programme
on its Kilmore Gold Project tenements just to the west of Southern Cross Gold
Limited's (ASX: SXG)("SXG") Sunday Creek gold discovery in Victoria,
Australia, in order to confirm and map the continuation onto RRR ground of the
dyke being explored by SXG, and to develop drill targets.

SXG announced on 27 May 2024 that it has:

 

·    Drilled 473.0 grams per tonne ("g/t") Gold Over 0.5 Metres at Sunday
Creek

·    Found multiple High-Grade Structures which extend Mineralisation

·    Plans for a 60km Drill Programme over the coming Year

 

*Refer to Southern Cross Gold Limited's ASX news Release dated 27 May 2024.

https://wcsecure.weblink.com.au/pdf/SXG/02810736.pdf
(https://wcsecure.weblink.com.au/pdf/SXG/02810736.pdf)

 

This news comes off the back of other very significant drill intercepts
grading 455.3 metres at 7.2 grams per tonne of gold and 331.5m at 7.1 grams
per tonne of gold amongst other high grade drill results.

 

The long stop date for completion of the purchase of the 49.9% of the
Australian assets not already owned by RRR now expires tomorrow. The Company
is working to meet the deadline and make a final assessment of the purchase.
An announcement will be made on or after Wednesday 12(th) June 2024.

 

DRC: After the Presidential election at the end of last year, it has taken six
months to put in place a leadership for the Assembly and a new Cabinet. During
this period there has been stasis on all matters. RRR now anticipates being to
take up where it left off just before the Election, and obtain the issuance of
the arbitration award.

 

Andrew Bell, Red Rock Resources CEO, commented:

 

"Progress towards continuous operations in Burkina Faso continues
satisfactorily. The scale of the logistics operation is considerable, and
involves overcoming regulatory challenges at the points of both export and
import. Further announcements will be made as we progress.

 

The astonishing gold results from Southern Cross Gold's Sunday Creek gold
discovery has seen the company rise very quickly to a market capitalisation of
nearly A$600 million, and SXG is beginning to attract international attention.
These drill grades are associated with the same dyke that crosses out of SXG's
ground to the west and is believed to run westward into Red Rock's ground.
Recent research by our geologists uncovered small but high grade historic
production at Donnybrook, which may be within this possible continuation of
the dyke containing Sunday Creek.

 

SXG have raised a significant amount of money to drill 60,000 metres of
drilling in 2024 and Red Rock would be missing an opportunity if it did not
concurrently conduct the necessary geochemistry and other exploration to map
the hypothesised dyke extension within our ground and identify and follow up
any promising drill targets."

 

About Red Rock Australia Ltd (RRAL) Victorian Gold assets:

 

RRAL owns 2,281km(2) of tenements in the Tier-1 gold jurisdiction in the
Australian State of Victoria.

 

The Kilmore Gold Project lies to the west of Southern Cross Gold's Sunday
Creek gold project. Refer to Figure 1 which shows RRAL's Kilmore tenements
with respect to Sunday Creek and the important geological trends as currently
estimated.

The Kilmore Project is situated on RRAL tenements EL007329 and EL007460 which
were approved on the 23rd of March 2020 and 24th of July 2023 respectively,
with a 5-year initial term. Combined the tenements cover 800km(2) of
prospective ground within the Melbourne zone of Central Victoria. The tenement
package includes the towns of Wallan, Romsey and Lancefield.

http://www.rns-pdf.londonstockexchange.com/rns/8339R_1-2024-6-10.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8339R_1-2024-6-10.pdf)

Figure 1: RRAL's Victorian gold tenements at Kilmore next to Southern Cross
Gold Limited's Sunday Creek gold discovery.

The main geological feature at the project is the Heathcote fault, a large
basement structure separating the Bendigo zone from the Melbourne zone. The
fault has upthrust a large piece of metabasalt that forms the Mt William range
running through EL007460, this area hosts known phosphate deposits and shows
elevated base metal anomalism. The tenement package has seen almost no modern
exploration for gold.

There are three gold fields within the project, the most notable being
Donnybrook. This gold field had an approximate strike of 4km and an average
grade of 142g/t Au.

Dyke swarms are mapped throughout both licences. In EL007329, RRAL geologists
believe dyke structures are related to the Mt Disappointment Granodiorite and
could be a related structure to what is currently being explored by Southern
Cross Gold at their Sunday Creek project.

At Donnybrook, historic mines will need to be located, should this be possible
in an area partially built up as suburbs of Melbourne, so that RRR can
accurately target high grade structures.

Given the proximity to Sunday Creek, the dykes forming an interpreted ring
structure around Mt Disappointment are of particular interest. RRAL geologists
are now planning to commence a large-scale mapping and sampling campaign in
search for Sunday Creek style mineralisation on Kilmore, with a view to
drilling.

For further information, please contact:

Andrew Bell 0207 747
9990                                                     Chairman Red
Rock Resources Plc

Bob Roberts 0203
8696081
 Broker Clear Capital Corporate Broking

 

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