Osino Resources Corp. (TSX-V:OSI) (FSE:RSR1) (OTCQX:OSIIF) is pleased to provide an update on the recently completed infill and orientation drill program at the Ondundu Gold Project.
Osino remains focused on the financing and construction activities for the Twin Hills Gold Project, while progressing its other exploration projects including Ondundu.
The Ondundu drill program was designed to upgrade the mineral resource around the Razorback Main Zone while the orientation program will provide guidance on the optimum drilling, sampling and assay methodologies for future work in the nuggety coarse gold mineralization at Ondundu.
Dave Underwood, Osino’s VP Exploration commented: “The short drill program we recently completed at Ondundu has produced some exceptional intercepts including 157m @ 1.50g/t in hole ONRC23-019 and 109m @ 2.30g/t as previously reported in hole ONRC23-017. These results indicate potential to increase the size and grade of the main ore zones with further detailed infill and step-out drilling. In addition, the two holes drilled in a westerly orientation to check for mineralization perpendicular to the main ore shoots, intersected unexpected mineralization to the east of the current resource and indicate potential to define a new zone of mineralization in an area never previously drilled.”
Ondundu is a sedimentary hosted, structurally controlled orogenic gold deposit located 130km to the north-west of Osino’s Twin Hills gold project, in an area of known gold deposits hosted within the inland arm of the Pan African Neoproterozoic Damara Belt. The main area of gold mineralization stretches about 1.9km from Margarethental in the north to Razorback in the south (the Ondundu Main Zone or OMZ) and occurs on the steep, west-facing limb of a parasitic syncline-anticline pair (previously termed the “Common Limb”) on the eastern limb of the south-eastern part of the Ondundu anticline.
The bulk of the gold at Ondundu is free gold associated with bedding-parallel quartz‐Fe‐carbonate-pyrite veins, commonly with related sericite alteration. These veins occur as extensional and shear veins along the west‐southwest dipping common limb and form as single or in sets of parallel veins which occur in zones up to 1 m wide in outcrop.
The Ondundu Project has a long history of mining and exploration, dating back to the first European to note gold in the area in 1917. Between 1922 and 1964, it was reported that a significant amount of gold was recovered by small scale miners on various mining claims in what is now known as the Ondundu Main Zone (OMZ). Gold was recovered from alluvial, eluvial and shallow oxidised gold bearing rocks. The project has been extensively drilled by various operators, most recently by B2Gold, who completed extensive exploration and drilled 119 diamond drillholes (24,490m) and 3 RC holes (564m) on the OMZ and Margarethental North areas during the period 2015 until 2021.
On July 21, 2022 Osino Resources Corp. completed the acquisition of the 100% owned Ondundu Gold Project from B2Gold. Osino has since completed initial metallurgical testwork which indicates that after milling to 80% passing 75 micron, gold recovery in the range of 76-79% to gravity concentrate (containing less than 5% of the solid feed to the circuit) could be achieved. This suggests that gravity concentration (and potentially optical sorting) on site, with subsequent transport to and further processing at Twin Hills could be a feasible process route for Ondundu material.
As initially announced in its news release dated October 27, 2022, the maiden MRE for the Ondundu Gold Project comprises 26 million tonnes (Mt) at an average grade of 1.13 g/t Au for a total of 0.9 million ounces (Moz) of gold in the Inferred mineral resource category (0.5 g/t cut-off).
Ondundu Orientation Drill Program
Ondundu’s drill program was designed to upgrade the mineral resource around the Razorback main zone and to conduct an orientation program to optimise drilling, sampling and assay techniques with a specific emphasis on capturing the potential upside due to the very pronounced nugget effect at Ondundu.
A total of 3,148m was completed in 15 reverse circulation (RC) holes at Razorback main zone, aimed at step-out drilling and to infill previous drilling carried out by B2Gold in 2016. These holes were drilled towards a 70-degree azimuth with 60-degree inclinations, resulting in a net combined inter-hole spacing of ~16m (refer to Figures 1 and 2).
The RC drill program was also designed as an orientation program to assist in optimising drilling and assay techniques, given that the mineralization at Ondundu displays high nuggety, coarse gold characteristics. The main orientation aspects comprised the following:
Figure 1: Ondundu Project Overview with recent drill results (ONDD22-225 and ONDD22-226 were reported previously).
Additional Upside Potential at Ondundu
Two diamond scissor holes (ONDD22-226 and ONDD22-225) were drilled into the Margarethental and Razorback mineralized zones in late 2022, in opposite directions (azimuth of 2500) to the resource drilling. These results were previously reported and comprise the following:
ONDD22-226 intersected a zone of conformable mineralization between 73 and 89m of 16m @ 2.66g/t and 10m @ 3.89g/t between 105 and 115m, while ONDD22-225 intersected a wide zone of low-grade gold mineralization between 10 and 63m, and higher intercepts between 119 and 189m which is made up of both conformable and extensional quartz veins (see Figure 1).
These holes demonstrated the existence of mineralized extensional quartz veins which are non-parallel to the typical bedding conformable vein sets, which are responsible for bringing about the bulk of the mineralization. These non-bedding parallel vein sets thus represent significant upside potential both in terms of additional ounces, but also in terms of converting previously non-mineralized material into mineralized material within the eastern parts of the current resource model, still within the RPEEE pit.
There are also several prospective brownfields exploration targets within a 5km radius to the Ondundu resource, which warrants further exploration. These targets could eventually also contribute to the total mineral resources at Ondundu .
Ondundu Geology and Mineralization
The main geological feature in the Project area is the low amplitude Ondundu anticline, a major north – south trending fold which plunges approximately 30° to the south. Parasitic folds within the regional anticline have concentrated gold mineralization mainly in conformable (bedding parallel) veins.
The main mineralized zone extends sub-vertically from the surface and trends in a north-south direction, with the conformable mineralization dipping to the west and pinching out to the east and west (see Figures 2 and 3). Mineralized quartz veins within this main zone are also parallel to bedding. The intensity of these veins in this main zone is high compared to other areas of the mineralization. Mineralization is generally hosted by finely interlayered, upward-fining turbiditic sediments belonging to the Kuiseb Formation.
Razorback Mineralized Zone
The style of mineralization depicted within the Razorback mineralized zone in Figures 2 and 3 below is representative of the entire Ondundu main mineralized area, including Razorback and Margarethental.
Most holes from the recently completed drill program intersected the target mineralization which compliments and expands on previous drilling by B2Gold and confirms the robust nature of the main Razorback mineralized zone.
Hole ONRC23-019, was excellent starting in the hanging wall and drilling through the centre of the south plunging main ore shoot with 157m @ 1.50g/t from 55 to 212m. This is a step-out hole that intersected shallow mineralization that will extend the mineralized envelopes in the hanging wall area.
This hole also confirms the main high-grade shoot at depth, which is modelled in a north-south direction in both Razorback and Margarethental zones, see Figure 4. The hole has great potential to improve the overall grade of the MRE and to add extra ounces.
Hole ONRC23-021 is also a step-out in the same area and intersected several new zones of low-grade mineralization that will also contribute positively to the growth of the resource. All indications at this stage are that mineralization keeps going and is open at depth.
ONRC23-013 and ONRC23-014 were very good infill holes which intersected shallow mineralization as expected with 10m @ 2.65g/t (31-41m), and 70m @ 1.02g/t (0-70m), respectively – and with both these holes intersecting good mineralization at depth which will extend some conformable mineralized zones. Holes ONRC23-015 and ONRC23-022 also intersected very good mineralization as expected (see table 1).
Figure 2: Razorback target, showing assay results of recently drilled infill and step-out holes.
All step-out and infill holes drilled to date on the Razorback main zone produced assay results in line with expectations. New zones of mineralization, both high and low grade, have been intersected which show potential for increasing the mineralized envelopes.
Most holes intersected excellent mineralization that confirms the current model and the robust nature of the mineralization at Razorback. Some holes also intersected higher grades than expected which will improve the overall grade and ounces of the MRE.
There is significant scope for the Ondundu MRE to be improved in the next iteration, through better definition and modelling. Additionally, step-out drilling is required to further extend the mineralized zones to the west and east of the current model.
Figure 3: Section one across Razorback Main Zone – looking north
Figure 4: Section two across Razorback Main Zone – looking north
All fire assay results have now been received and are presented in Table 1, including eight holes reported previously in April 2023.
Drill Intercept Table
|HOLE||X||Y||FROM||TO||WIDTH (m)||GRADE (g/t)|
Table 1: Mineralized Intercepts for recently received Ondundu Infill RC Holes
Notes on Drill Assay Reporting:
Qualified Person’s Statement
David Underwood, BSc. (Hons) is Vice President Exploration of Osino Resources Corp. and has reviewed and approved the scientific and technical information in this news release and is a registered Professional Natural Scientist with the South African Council for Natural Scientific Professions (Pr. Sci. Nat. No.400323/11) and a Qualified Person for the purposes of National Instrument 43-101.
About Osino Resources
Osino is a Canadian gold exploration and development company focused on the fast-tracked development of our wholly owned, Twin Hills Gold Project in central Namibia. Since its grassroots discovery by Osino in August 2019 the Company has completed more than 225,000m of drilling and has completed a suite of specialist technical studies culminating in the recently published Twin Hills Definitive Feasibility Study. The DFS describes a technically simple and economically robust open-pit gold operation with a 2.15moz gold reserve, 13-year mine life and average annual gold production of over 169koz per annum.
Osino has a commanding ground position of approximately 8,000km2 located within Namibia’s prospective Damara sedimentary mineral belt, mostly in proximity to and along strike of the producing Navachab and Otjikoto Gold Mines. The Company is actively exploring a range of gold prospects and targets along the belt by utilizing a portfolio approach geared towards discovery, targeting gold mineralization that fits the broad orogenic gold model.
Our core projects are favourably located north and north-west of Namibia’s capital city Windhoek. By virtue of their location, the projects benefit significantly from Namibia’s well-established infrastructure with paved highways, railway, power and water in close proximity. Namibia is mining-friendly and lauded as one of the continent’s most politically and socially stable jurisdictions. Osino continues to evaluate new ground with a view to expanding our Namibian portfolio.
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