Metallurgical Studies, including the testing of gold oxide ore using the CSIRO-developed 'Clean Mining' technique, are ongoing.
Preliminary results suggest an average of 83% recovery after 24 hours of leaching. Second phase testing is now underway.
EXPLORATION & DEVELOPMENT PROGRESS DURING THE QUARTER
REPUBLIC OF NORTH MACEDONIA
PLAVICA HIGH SULPHIDATION EPITHERMAL GOLD-COPPER-SILVER PROJECT
Secondary test-work focusing on metallurgical recoveries are continuing through CSIRO Laboratories in Australia. Results will be released to the North Macedonian Government and the ASX once received.
Ongoing work relating to Metallurgical testing is being undertaken on oxide ore samples at the CSIRO developed 'Clean Mining' Lab in Western Australia. The Clean Mining technique uses a non-toxic, water soluble, non-flammable inorganic compound to extract gold after the crushing and milling processes are completed. Final results will be tabulated in a report for the North Macedonian Government. The results from this work were reported in the June Quarter. Second phase work is now ongoing to see what the recoveries are like with different grind sizes. Results are expected in the March 2021 Quarter.
AUSTRALIA
ARLTUNGA PROJECT: Copper, Gold (EL25238) (GES 100%)
The Arltunga Gold Project consists of Exploration Licence EL25238 covering 95.2 sq km, is located approximately 110 km northeast of Alice Springs in the vicinity of the Arltunga Goldfield. Thirty three historical gold mines and prospects are known in the licence area. EL25238 covers 31 sub blocks. A Licence Renewal Application was lodged on 23 October 2020. This application was approved on 18 January 2021 for a further one year period. The new expiry date is 7 November 2021. The 14 Annual Technical Report was lodged on 9 November 2020 and accepted as satisfactory on 17 November 2020.
Genesis contacted The Department of Industry, Tourism and Trade on 21 September 2020 to explain that Terra Search Pty Ltd, the company Genesis had contracted to undertake the drilling program in October 2020, could not proceed with the exploration program until March 2020 due to COVID-19 border restrictions. Genesis requested an expenditure covenant amendment and this was approved on 28 September 2020. The Mining Management Plan (MMP) update was lodged on 17 March 2020 and approved on 21 September 2020. An Application to the Aboriginal Areas Protection Authority (AAPA) for an Authority Certificate was made on 14 November 2019. Authority Certificate C2020/028 was issued on 4 June 2020.
The current Central Land Council Sacred Site Clearance Certificate expires on 31 December 2020. Genesis requested an extension of the certificate on 1 December 2020. A meeting planned with CLC and the Native Title Holders on 17 March 2020 at Santa Teresa was cancelled due to the recent developments of COVID-19. A Reverse Circulation (RC) drilling program is planned in mid 2021. No field work was carried out during the current Quarter
ALICE SPRINGS PROJECT: Copper, Gold, Iron (EL24817) (GES 100%)
The Alice Springs Project consists of Exploration Licence EL24817 covering 372.59 sq km, and is located approximately 110-155 km northeast from Alice Springs in the Northern Territory. EL24817 covers 118 sub-blocks. An Application to the Aboriginal Areas Protection Authority for an Authority Certificate was made on 14 November 2019. Authority Certificate C2020/028 was issued on 4 June 2020. A Licence Renewal Application was lodged on 14 April 2020. This application was approved on 6 August 2020 for a further one year period. The new expiry date is 17 April 2021. The 14 Annual Technical Report was lodged on 20 April 2020 and accepted as satisfactory on 24 April 2020.
The Mining Management Plan (MMP) update was lodged on 6 March 2020. The current Central Land Council Sacred Site Clearance Certificate expires on 31 December 2020. Genesis requested an extension of the certificate on 1 December 2020. A meeting planned with CLC and the Native Title Holders on 17 March 2020 at Santa Teresa was cancelled due to the recent developments of COVID-19. No field work was carried out. A Reverse Circulation (RC) drilling program is planned in mid 2021
GLADSTONE-MOUNT MILLER PROJECT: Manganese (EPM15771) (GES 100%)
The Gladstone-Mount Miller Project consists of Exploration Licence (EPM15771) covering 24.35sq km and is located approximately 15 km by road from the port of Gladstone on the east coast of central Queensland. The largest mine on the tenements controlled by Genesis was at Mount Miller. The mine opened in 1895 and operated intermittently until 1916 and then from 1958 to 1960. A total of 21,785 tonnes of ore was mined with a grade which ranged from 71% to 75% MnO2. The 13 Annual Technical Report was lodged on 22 June 2020.
A Licence Renewal Application was lodged on 14 February 2019. This application was approved on 3 September 2019, the new expiry date is 19 June 2021. A Partial relinquishment report was lodged on 16 April 2019 requesting the surrender of 3 sub blocks. 4 sub blocks will be retained. The Environmental Authority Partial Surrender Report was approved on 21 May 2019. Reconnaissance mapping was carried out during the quarter ending 30 September 2019. A small pit of manganese was discovered to the southwest of Mt Millar.
A small outcrop of quartz breccia was also discovered to the west of the Mt Millar mine. This was assayed for Au and base metals with no significant results.
No field work was carried out during the Quarter
PIONEER PROJECT: Gold (EPM15619) (GES 100%)
The Pioneer Project consists of one granted Exploration Permit Mineral (EPM15619) covering 6.23 sq km, approximately 70 km by road from Bundaberg via the Bruce Highway in Queensland. The project lies within the Gaeta Goldfield and has undergone previous exploration for gold, uranium and base metals, with numerous historical gold workings located throughout the area. Historical mining was primarily focused on the Pioneer Reef which was the largest producer, but mining activities also included several other reefs including Gympie, Lord Nelson, West Yorkshire and Happy Jack.
The 14 Annual Technical Report was lodged on 6 August 2020. A Licence Renewal Application was lodged on 22 April 2020 requesting a further two year period. This application was approved on 30 June 2020. The new expiry date is 2 August 2022. EPM15619 covers 2 sub blocks. Reconnaissance mapping was undertaken in August 2019. A number of pegmatites were sampled for Lithium plus Au and base metals. Results were disappointing.
Prospect scale mapping was conducted at Pioneer during the December Quarter. Due to the drought in SE Australia, the grass was at a minimum resulting in maximum exposure of outcrop. As a result a number of previously unmapped old workings and quartz veins were discovered. Planned work now includes Pole dipole IP and ground magnetics to help define targets prior to drilling. No field work was carried out.
McARTHUR RIVER PROJECT: Manganese (EL24814) (GES 100%)
The McArthur River project consists of Exploration Licence EL24814 covering 380.88 sq km and is located approximately 850 km south east of Darwin in the Northern Territory and 450 km north-west of Mount Isa in Queensland. The project area contains the Masterton No2 manganese occurrence. EL24814 covers 116 sub-blocks. A Licence Renewal Application was lodged on 14 April 2020. This application was approved on 6 August 2020 for a further one year period. The new expiry date is 17 April 2021. The 14 Annual Technical Report was lodged on 20 April 2020 and accepted as satisfactory on 24 April 2020.
A request to waiver the submission of the annual Mining Management Plan Update was accepted on 16 November 2020 as the exploration program had not changed from the previous application in November 2019. No field work was carried out. A full review of all data available is underway to guide further exploration on the tenement.
OTHER INFORMATION
COVID-19
During the Quarter, the Company continued to review on a monthly basis the revised working and salary/fee arrangements of its senior project management team and Directors. The health and safety of the Company's staff remains a priority. All necessary health and safety precautions are being taken as part of this process of returning to the office.
Payments to related parties of the Company and their associates
The aggregate amount of payments made during the quarter to related parties and their associates (referred to in item 6.1 of the accompanying Appendix 5B (quarterly cash flow report)) comprises director fees paid to directors, consultancy fees paid to a director for the provision of geological consulting and tenement management services, as well as general company management services, at a discount from normal commercial rates. During the Quarter, Director fees payable to certain of the Directors have been accrued and not paid.
About Genesis Resources Limited
Genesis Resources Limited is an Australian company with a portfolio of quality gold, iron, manganese, uranium and base metal (copper-zinc-silver) in the highly prospective Proterozoic and Phanerozoic metallogenic provinces of northern and central Australia. Genesis has signed a Joint Venture over an advanced copper-gold project (Plavica) within the Former Yugoslav Republic of Macedonia. The Plavica Project lies within Carpathian Volcanic Arc, a major epithermal province running through Eastern Europe, which is highly prospective for gold, copper and silver mineralisation. Genesis' projects are close to established infrastructure including railways, shipping ports, highways, power stations and populated areas. The Company's objective is to provide rapid capital growth through mineral discoveries and development of economic deposits in Australia and overseas.
Contact:
Tel: +61 3 9853 2300
GENESIS RESOURCES LIMITED 