The Hirsikangas deposit in Central Finland is a Palaeoproterozoic orogenic gold deposit located on a crustal scale shear zone. Hirskangas is a wholly owned subsiduary of Northern Aspect Resources Ltd (“NARL”) acquired by Rupert Resources in May 2018.
The Hirsikangas gold deposit is controlled by a NW-SE trending structure which extends for approximately 30km on a land position entirely held by wholly owned subsidiaries of Rupert Resources Ltd. The reported resource is contained on 800m of this strike and potential to extend the resource exists to the south east, where mineralisation has not been fully closed out. The resource reported is constrained by an open pit to a depth of 120m but mineralisation is shown to continue to a depth of 300m. In addition, further drill testing of parallel structures and off-sets may potentially add to the resource where anomalous gold values have been identified in drilling conducted in both 2012 and 2018. Other recommended work programmes to investigate regional potential along the controlling structure include geochemical sampling and geophysical targeting.
Since 2016, the geological team working at Hirsikangas has expanded the licence package from the small exploration permits hosting the current Hirskangas resource to cover the entire 30km strike of the indicated shear zone and potential parallel structures (see Figure below). In the first season of fieldwork under NARL’s ownership, a sampling and mapping campaign was begun to cover the strike extent of the shear zone and yielded a number of gold bearing outcrops, boulders and soil anomalies. This work has continued in the summer season of 2018. The Hanni target located south east along strike from the Hirsikangas deposit has previously been identified by the Geological Survery of Finland (GTK) and has some limited historic drilling, along with IP geophysics. NARL has applied for an exploration permit covering the extent of the target and undertaken stakeholder meetings with landholders and local authorities to discuss its exploration plans for the area. The figure below shows the extent of the historic sampling along with work by NARL’s team in 2017 and the widespread distribution of anomalous boulders throughout the reservation area along the Ruhanperä shear zone. Samples collected from boulders grading 21 g/t Au, 24 g/t Au and 110 g/t Au were found by prospectors close to the Hanni target (these samples are selected samples and are not in-place and are not representative of the mineralization hosted on the property).
Rupert Resources completed a new resource estimate in November 2018 which showed Hirsikangas to have an Inferred Resource of 89koz at a grade of 1.2g/t Au. The Mineral Resource estimate for the Hirsikangas Gold Deposit is reported in accordance with National Instrument 43-101 and has been estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) “Estimation of Mineral Resources and Mineral Reserves best Practice Guidelines”. This mineral resource estimate is classified as Inferred as defined by the CIM. A preferred cutoff of 0.5g/t Au was selected for the reported estimate based on an optimised pit shell, a metallurgical recovery of 92% and a gold price of EUR1,200/oz. The Inferred Mineral Resource is reported entirely within this shell and significant unreported mineralisation extends at depth beneath this pit.
Certain disclosure contained in this summary of the resource estimate for Hirsikangas of a scientific or technical nature has been summarized or extracted from the technical report entitled “NI 43-101 Technical Report: Hirsikangas Gold Project, Finland”, with an effective date of November 9, 2018 (the “Hirsikangas Technical Report”). This report was prepared for Rupert Resources Ltd by Brian Wolfe, BSc(Hons), MAIG, Principal and Director of International Resource Solutions Pty Ltd of Perth, Western Australia, and who is an independent Qualified Person as such term is defined in NI 43-101 and sets forth the estimate. The Hirsikangas Technical Report was filed by Rupert Resources under its profile on SEDAR (www.sedar.com) on November 9, 2018 and can also be found by following the URL below.
The key assumptions used to prepare the estimate are as follows. Geological and assay information from 73 diamond drill holes totalling 9155m holes with the majority of regions defined on a notional 50mE x 25mN drill spacing. Gold grade estimation was completed using Multiple Indicator Kriging (MIK). A dry bulk density database was supplied containing a total of 2,206 measurements and based on the density statistics of mineralised rock, a bulk density of 2.7t/m³ has been applied as a tonnage factor to allow for appropriate grade tonnage reporting. In the case of the overburden, a bulk density of 2.0t/m³ has been assumed although there are no direct measurements.