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Metalicity Acquires Near-Surface High-Grade Zinc Projects

Thursday, October 12, 2017
THE BOURSE WHISPERER: Metalicity (ASX: MCT) has exercised its option to acquire the high-grade Napier Range zinc project and the Emanuel Range zinc project, both located in the Lennard Shelf of the Kimberley Region of Western Australia.

Metalicity said the acquisitions had strengthened the company’s zinc project pipeline, adding the Napier Range project represents a low capital and near term producing zinc production opportunity.

The company said although the Emanuel Range project is an early stage opportunity, it still presents as a highly prospective zinc exploration project with an extensive 30 kilometres strike of largely untested targets.

Metalicity sad the two projects will complement the development of its large scale long life Admiral Bay zinc project, located in the adjoining Canning Basin of the Kimberley Region of WA.

“Securing the Napier Range zinc project is a significant step forward for Metalicity’s zinc strategy by providing a potential high-grade, low capital, near term zinc development project that complements the pathway for our 100 per cent-owned Admiral Bay zinc project,” Metalicity managing director Matt Gauci said in the company’s announcement to the Australian Securities Exchange.

“Metalicity has completed field work, exploration targeting and base case financial modelling and looks forward to commencing an aggressive exploration program to determine the projects capacity to provide a source of cashflow for the company’s ongoing advancement of the long-life Admiral Bay zinc project, while also seeking new discoveries at the Emanuel Range zinc project.”

The Napier Range zinc project contains the Wagon Pass deposit, which is a JORC 2012 Inferred Mineral Resource Estimate (MRE) of 750,000 tonnes at 13.6 per cent zinc equivalent (ZnEq) and an adjoining Exploration Target Range (ETR) of 100,000 to 200,000 tonnes at 10 to 15 per cent ZnEq.

Napier Range also contains an additional ETR of 1 to 4 million tonnes at 10 to 15 per cent ZnEq across a number of separate prospects within the mining leases that are priority targets for drilling.