Reserves and Resources

JORC Resources as at October 2022

JORC Resources – as at October 2022

Key highlights:

  • Company’s JORC Resources showing an interim increase in excess of 1.4 billion tonnes
  • Copi Mine JORC Resources increased to 1.2 billion tonnes
  • Copi drilling program highlights include:
    • Resource boundary not yet confirmed — orebody is 4km wide and 22km long
  • High-value rare earth minerals content now included in JORC resource reporting.

Copi Project – JORC Resources – as at October 2022

Notes:

(1) The Copi Project Mineral Resource has been classified and reported in accordance with the guidelines of the JORC Code (2012).

(2) All Loxton-Parilla sediments (including inter-burden) reported within the 200% Revenue Factor pit shell.

(3) The majority of the total HM is from within the +53 µm to -1 mm size fraction and is reported as a percentage of the total material. The majority of slimes are from the -53µm fraction and oversize is the +1 mm fraction.

(4) Estimates of the mineral assemblage (Zircon, Ilmenite, Rutile and Leucoxene) are presented as percentages of the total HM component of the deposit, as determined from QEMSCAN.

(5) All tonnages and grades have been rounded to reflect the relative uncertainty of the estimate, therefore sum of columns may not equal.

(6) The potential quantity and grade of the Exploration Target is conceptual in nature, as there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource. Consistent with this, all tonnages and grades are approximations.

  • Current Copi JORC Resources update over 1.2 billion tonnes
  • Copi Mine’s orebody boundary is not yet defined with exploration continuing with two full-term RZR drill rig and geology teams to:
    • Explore/add resources to the Company resource statement
    • Complete infill drilling to improve confidence of resource model for economic reserves.
  • Bulk (25 tonnes) metallurgical test work results indicate good marketability with further upside in sight:
    • 250kg of products to be shipped to strategic customers for testing
    • Commissioning on RZR Pinkenba Laboratory underway.

Notes:

  • The majority of the total HM is from within the +53 µm to -1 mm size fraction and is reported as a percentage of the total material. The majority of slimes are from the -53µm fraction and oversize is the +1 mm fraction.
  • Estimates of the mineral assemblage (Zircon, Ilmenite, Rutile and Leucoxene) are presented as percentages of the total HM component of the deposit, as determined from QEMSCAN. QEMSCAN rules used for the majority of the mineral determination include:
    • Ilmenite: 50 to 70% TiO2
    • Leucoxene: 70 to 95% TiO2
    • Rutile: >95% TiO2.
  • All tonnages and grades have been rounded to reflect the relative uncertainty of the estimate, therefore sum of columns may not equal.
  • The potential quantity and grade of the Exploration Target is conceptual in nature, as there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource. Consistent with this, all tonnages and grades are approximations.

Copi Project Mine Plan

  • Current resources are generated within an economic mine plan shell which includes project estimated costs and revenue inputs. This indicates a strong likelihood for conversion to reserves (excludes the Rare Earths)
  • Resources are based on a dredge mine scenario which includes the upper and lower high-grade zones and the inter low-grade zone
  • Dredge mine scenario operates at the front of industry cost curves and can profitably mine lower-grade ores
  • Current resources would support a 40Mtpa mining operation with a +16-year mine life.

Next projects – Jaw & Gilligans – as at October 2022

Jaws and Gilligans are RZ Resources next significant projects. Early indications show substantial potential with resources similar to Copi with excellent assemblage.