asx announcement code: vxr - venturex resources small‐scale copper production from the existing...

Board Allan Trench Non-Executive Chairman Tim Sugden Managing Director Michael Mulroney Non-Executive Director Anthony Reilly Executive Director Liza Carpene Company Secretary

ASX Announcement Code: VXR

For further details:

Dr Tim Sugden Managing Director T: +61 8 6389 7403 M: +61 407 085 032 E: [email protected]

Contact Details Registered Office: Suite 3, Level 1 127 Cambridge Street West Leederville WA 6007 T: +61 8 6389 7400 F: +61 8 9463 7836 E: [email protected] W: www.venturexresources.com ABN: 28 122 180 205

Venturex Resources Limited (Venturex) wishes to announce the completion of an

initial resource estimation for the Liberty‐Indee base metals project (70% Venturex;

90% Venturex on decision to mine).

The total Indicated and Inferred Resource of 708,000 tonnes grading 1.9% Cu, 3.6%

Zn, 35g/t Ag and 0.8g/t Au at the Evelyn deposit provides an initial and valuable

contribution to the growing regional resource inventory around the recently

acquired Whim Creek Operation. Evelyn is open at depth and further resource

growth is anticipated.

LIBERTY‐INDEE PROJECT—EVELYN RESOURCE

Evelyn Resource Estimate (0 cut‐off grade)

The Evelyn deposit consists of two coherent north‐plunging lenses of massive

sulphide (>80% sulphide) up to 16 metres true width with high grade cores of

copper and zinc mineralisation, often with gold grades exceeding 1g/t. The density

of the high grade massive sulphide zones generally exceeds 4.0gm/cc. The main

southern lens has been drilled to a depth of approximately 200 metres below

surface and both lenses remain open at depth. The upper 30 metres of the

mineralisation is partially to completely oxidised.

Initial Resource of 708,000 tonnes @ 1.8% Cu, 3.6% Zn, 35g/t Ag & 0.8g/t Au

Open at depth

Open pit and underground mining studies underway

Further resource growth in Whim Creek Region expected

HIGHLIGHTS

Liberty‐Indee Expands Regional Copper‐Zinc‐Lead‐Silver‐Gold Resource Base in the Pilbara

25 November 2009

Type JORC

Classification

Tonnes Cu

wt%

Zn

wt%

Pb

wt%

Ag

g/t

Au

g/t

CuEq

wt %

Sulphide & Indicated 453,000 2.2 4.5 0.4 42.0 0.9 5.0

Transitional Inferred 204,000 1.0 1.8 0.2 22.4 0.4 2.2

Sub‐total 657,000 1.8 3.7 0.3 35.9 0.8 4.1

Oxide Indicated 22,000 2.8 2.3 0.4 24.1 0.5

Inferred 29,000 1.8 2.5 0.5 32.8 0.5

Sub‐total 51,000 2.2 2.4 0.4 29.0 0.5

All Ore Types TOTAL 708,000 1.9 3.6 0.3 35.0 0.8


Released: 25 November 2009

Total Inferred and Indicated Resources at Evelyn at various cut‐off grades

Venturex is evaluating several open pit and underground mining concepts and will report an initial ore reserve

estimate when these studies are complete.

Long‐section of the Evelyn Prospect, showing resource model outline and extensional deep drill target.

The next phase of exploration drilling at Evelyn is expected to commence in early 2010 with the objective of

testing the inferred down plunge extensions of the identified high grade lenses.

Cut‐Off Volume Density Tonnes CuEq

wt%

Cu

wt%

Zn

wt%

Pb

wt%

Ag

g/t

Au

g/t5.00 47,394 4.06 191,870 6.24 3.11 6.07 0.44 50.1 1.21

4.50 63,164 4.07 256,051 5.87 2.89 5.71 0.44 48.7 1.15

4.00 75,977 4.04 307,759 5.60 2.75 5.44 0.43 47.4 1.09

3.50 91,736 3.96 370,134 5.29 2.61 5.06 0.42 45.9 1.03

3.00 111,138 3.79 443,650 4.95 2.44 4.72 0.42 43.8 0.96

2.50 126,691 3.93 504,803 4.68 2.30 4.43 0.40 42.2 0.91

2.00 145,582 4.08 581,954 4.36 2.14 4.11 0.38 39.9 0.85

1.50 158,415 4.07 634,152 4.15 2.03 3.90 0.37 38.2 0.81

1.00 170,362 4.06 682,698 3.94 1.93 3.70 0.35 36.5 0.77

0.50 176,043 4.11 706,066 3.84 1.88 3.60 0.34 35.5 0.75

0.00 176,619 4.15 708,457 3.83 1.88 3.59 0.34 35.4 0.75

As previously announced, Venturex has finalised the Share Sale Agreement to acquire Straits (Whim Creek)

Pty Ltd from Straits Resources Ltd. At completion (anticipated 31 January 2010), the full mineral resource

inventory controlled by Venturex within a 25 kilometre radius of the Whim Creek Operation will total 12.35

million tonnes grading 0.9% copper, 1.3% Zn and 18.6g/t Ag. A full breakdown of the resource inventory is

contained in Appendix 1.

Total Resources (all categories) at Whim Creek, Mons Cupri, Salt Creek and Liberty‐Indee

Current open pit and underground reserves at Whim Creek, Mons Cupri and Salt Creek are estimated at 3.72

million tonnes at a copper equivalent grade of 2.6%. This is expected to increase with the addition of

additional ore reserves from Liberty‐Indee at the completion of the current mining studies.

Total Open Pit and Underground Reserves at Whim Creek, Mons Cupri and Salt Creek.



REGIONAL RESOURCES STRATEGY

Tonnes Cu

wt%

Zn

wt%

Pb

wt%

Ag

g/t

Au

g/t

All Resources 12,350,600 0.90 1.30 0.40 18.60 0.13

Location JORC

Classification

Tonnes Cu

wt%

Zn

wt%

Pb

wt%

Ag

g/t

Au

g/t

CuEq

wt %Whim Creek Proved 410,000 1.6 0.5 0.1 1.9 0.0 1.8

Open Pit Probable 170,000 1.4 0.4 0.1 1.6 0.0 1.6

Sub‐total 580,000 1.5 0.5 0.1 1.8 0.0 1.7

Mons Cupri Proved 1,350,000 1.2 1.7 0.7 25.0 0.2 2.4

Open Pit Probable 450,000 1.1 1.7 0.8 20.0 0.1 2.2

Sub‐total 1,800,000 1.2 1.7 0.7 23.8 0.2 2.3

Salt Creek Proved

Open Pit & UG Probable 1,400,000 1.3 3.5 1.0 34.0 0.2 3.3

Sub‐total 1,400,000 1.3 3.5 1.0 34.0 0.2 3.3

Stockpiles Proved 20,000 1.0 0.0 0.0 0.0 0.0 0.0

Sub‐total 20,000 1.0 0.0 0.0 0.0 0.0 0.0

All Locations Proved 1,780,000 1.3 1.4 0.6 19.4 0.2 2.2

Probable 2,020,000 1.3 2.8 0.9 28.2 0.2 2.9

Total Reserves 3,800,000 1.3 2.2 0.7 24.1 0.2 2.6

SULPHIDE & TRANSITIONAL

Venturex intends to build a substantial sulphide base metals resource base to support a future production

centre around the acquired Whim Creek Operation. The immediate objectives of this strategy are to:

Maintain small‐scale copper production from the existing Whim Creek copper oxide heap leach pads to

maximise the recovery of the existing mined copper inventory (Appendix 1).

Accelerate exploration activities at Whim Creek, Salt Creek and Liberty‐Indee (Appendix 2) in order to

continue the growth of the regional resource inventory. Key targets include extensions of high grade

massive sulphide lenses at Liberty‐Indee and Balla Balla (Salt Creek), the high grade copper mineralisation at

East Balla and superficial zinc and gold anomalies at Whim Creek.

Calculate further additions to the global mineral resource inventory where there is sufficient exploration

data present, with an initial focus on the high grade zinc mineralisation at Balla Balla (Appendix 3).

Commence a scoping study into the economics of a centralised sulphide milling facility at the existing Whim

Creek mine site.

TIM SUGDEN Managing Director



FUTURE REGIONAL STRATEGY

MINERAL RESOURCE NOTES

LIBERTY‐INDEE (EVELYN)

The information in this report that relates to Mineral Resources at Liberty‐Indee is based on information compiled by Dr Tim Sugden BSc, PhD. and Mr Ian Glacken BSc, MSc (Mining Geology), MSc (Geostatistics), Member and Fellow respectively, of the Australasian Institute of Mining and Metallurgy. Dr Sugden is a full‐time employee of Venturex Resources Limited and Mr Glacken is a full time employee of Optiro Pty Ltd. Both Dr Sugden and Mr Glacken have sufficient experience relevant to the style of mineralisation, type of deposit under consideration and to the activity which they are undertaking to qualify as a Competent Persons as defined in the 2004 Edition of the “Australasian Code for Reporting of Mineral Resources and Ore Reserves”. Dr Sugden and Mr Glacken consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.

The following parameters apply to the determination of the Evelyn Resource:



Geological Setting Copper‐zinc‐lead‐silver‐gold mineralisation at Evelyn is believed to be a structurally modified Volcanogenic Massive Sulphide (VMS) deposit, associated with mafic volcanic stratigraphy. The VMS horizon can be traced for approximately 12 kilometres along strike.

Drilling techniques The resource estimate is based on 3,327 samples derived from 61 reverse circulation (RC) holes and 4 diamond holes.

Drill hole spacing Typical spacing of intersection points in the massive sulphide was between 10m and 30m

Drill hole collar positions Collar positions were determined using a Trimble Pathfinder differential GPS, providing accuracy of less than 100cm.

Down hole surveys Dip and azimuth readings were taken every 10 to 50 metres using a downhole camera.

Intersection angle Most RC holes were drilled perpendicular to the strike of the massive sulphide lenses. The angle of intersection between the lenses and holes is generally 60 to 70 degrees.

Sampling The samples within the ore were all virtually 1m in length therefore no compositing of samples was required or performed.

Sample preparation and assaying

The samples were analysed at UltraTrace Laboratories. Samples were dried, crushed, split with a riffle splitter and pulverized. Au, Cu & Zn determined by ICP Optical Emission Spectrometry. Ag & Pb determined by ICP Mass Spectrometry.

Data validation DataShed was used for drillhole and sample data storage and validation.

Density 218 density determinations were determined using the pycnometer method. 66 values are inside the ore zone as defined by the wireframe, and 152 sit outside the ore wireframe. The overall average density value in the ore zone is 4.17 t/m3. In the absence of any values for weathered ore Optiro used conservative values of 3.0 and 3.5 for oxidised ores and transitional sulphides respectively.

Quality control procedures Samples with QAQC data were evaluated using QAQCR assay quality reporting software. QAQC data evaluation included field duplicates, lab standards, repeats and lab blank flushes.

Geological interpretation Venturex developed a Vulcan format wireframe of the interpreted mineralisation and the surface topography. These wireframes was converted into Datamine format for resource estimation. No validation or modification of the wireframes was performed by Optiro. Surfaces were constructed for the base of complete oxidation (BOCO) and top of fresh rock (TOFR). The information contained in the historical geology logs as well as the collar file were combined with 29 down hole depths recorded for the TOFR and 9 depths for the BOCO.

Dimensions Two massive sulphide lenses (North and South) have been identified by RC drilling. The North Lens has a long axis length of approximately 200 metres and plunges to the north at approximately 50 degrees. The larger South Lens has a long axis length of at least 300 metres and plunges to the north at approximately 40o. The horizontal strike length is in the range 60‐125 metres and maximum true width is approximately 16 metres. The lens is open at depth and interpreted to extend below the North Lens.

Estimations and modeling techniques

The resource calculation was conducted by Optiro Pty Ltd using data and interpretations supplied by Venturex. Grades were estimated using ordinary kriging.

Block modeling The deposit was modelled using a 5 mE by 10 mN by 10 mRL block size with sub‐blocking to a minimum of 0.5 m in each dimension to correctly honour the volume of the lode and weathering horizons.

Cut‐off grades, top‐cut grades

A top‐cut of 20% Cu was applied to copper grades in the oxide and transitional zones.

Model Validation The resource model was validated against the input data by comparison of the average input composite and output block grades and visual comparison in section and plan views.

Metal Values A copper equivalent grade (Cueq) was calculated in the model using the following prices:

copper $6,900 per tonne zinc $2,200 per tonne lead $2,500 per tonne silver $18 per oz gold $1,100 per oz

Classification The classification applied to the Evelyn resource is based on the calculated kriging efficiencies and slopes of regression in the block model. The parameters reflect the quality of the estimates with regard to the data density and modelled variogram. The blocks with closely spaced data therefore receive a higher classification that those further away from data. The classification takes into account only the spatial continuity demonstrated in this round of grade estimation.

WHIM CREEK, MONS CUPRI and SALT CREEK

1. The information in this report that relates to Mineral Resources at Whim Creek, Mons Cupri and Salt Creek is based on information

compiled by Peter Storey, who is a member of the Australasian Institute of Mining and Metallurgy. Mr Storey is a full‐time

employee of Straits Resources Limited and has sufficient experience relevant to the style of mineralisation, type of deposit under

consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the

“Australasian Code for Reporting of Mineral Resources and Ore Reserves”. Mr Storey consents to the inclusion in the report of the

matters based on their information in the form and context in which it appears.

2. Mineral Resources are Inclusive of Ore Reserves.

3. Discrepancies in summations will occur due to rounding.

4. Whim Creek Project Cu equivalent calculations are based on copper price of $US3.60/lb and zinc price of $US1.05/lb.

5. A copper equivalent cut‐off grade of 0.4% Cu has been applied to all resources.

ORE RESERVE NOTES

1. The information in this report that relates to Ore Reserves at Whim Creek, Mons Cupri and Salt Creek is based on information

compiled by Mr Peter Storey, who is a member of the Australasian Institute of Mining and Metallurgy. Mr Storey is a full‐time

employee of Straits Resources Limited and has sufficient experience relevant to the style of mineralisation, type of deposit under

consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the

“Australasian Code for Reporting of Mineral Resources and Ore Reserves”. Mr Storey consents to the inclusion in the report of the

matters based on their information in the form and context in which it appears.

2. Mineral Resources are Inclusive of Ore Reserves.

3. Discrepancies in summations will occur due to rounding.

EXPLORATION NOTES

The information in this report, as it relates to Exploration Results, is based on information compiled and/or reviewed by Dr Tim Sugden

PhD, BSc (Hons), who is a Member of the Australasian Institute of Mining and Metallurgy. Dr Sugden is Managing Director of Venturex

Resources Limited and has sufficient experience which is relevant to the style of mineralisation and type of deposit under

consideration and to the activity being undertaking to qualify as a Competent Person as defined in the 2004 Edition of the

“Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.” Dr Sugden consents to the inclusion in

this report of the matters based on his information in the form and context in which it appears.



Total Sulphide and Transitional Resources at Whim Creek, Mons Cupri, Salt Creek and Liberty‐Indee

(all located within a 25 kilometre radius of the Whim Creek Operation).

Remaining Oxide Resources at Whim Creek, Mons Cupri and Liberty‐Indee (Evelyn)



APPENDIX 1 ‐ GLOBAL RESOURCE DETAILS

Location JORC Classification Tonnes Cu wt% Zn wt%

Pb wt% Ag g/t Au g/t

Whim Creek Measured 20,600 1.0 0.3 0.1 1.9 0.00

Indicated 38,300 0.7 0.3 0.1 1.3 0.00Inferred 7,000 0.0 2.7 0.4 8.8 0.10

Sub‐total 65,900 0.7 0.6 0.1 2.3 0.00

Mons Cupri Measured 82,700 0.4 0.2 0.3 9.7 0.00


Sub‐total 614,700 0.4 0.2 0.3 8.7 0.00

Liberty‐Indee Measured 0 0.0 0.0 0.0 0.0 0.00


Sub‐total 51,000 2.2 2.4 0.4 29.0 0.47

All Locations Measured 103,300 0.5 0.2 0.2 8.1 0.00


Total Oxide Resource 732,000 0.6 0.4 0.3 9.5 0.10

OXIDE

Location JORC Classification Tonnes Cu

wt%

Zn

wt%

Pb

wt%

Ag

g/t

Au

g/t

CuEq

wt %Whim Creek Measured 572,000 1.4 0.5 0.2 4.8 0.07 1.7

Indicated 585,000 0.8 0.4 0.1 4.2 0.04 1.1

Inferred 131,000 0.2 2.3 0.4 10.2 0.30 1.4

Sub‐total 1,288,000 1.0 0.6 0.2 5.1 0.08 1.4

Mons Cupri Measured 3,094,000 0.8 1.0 0.4 18.7 0.10 1.5

Indicated 2,487,000 0.6 0.6 0.3 12.8 0.06 1.1

Inferred 2,260,000 0.6 0.5 0.2 10.0 0.05 0.9

Sub‐total 7,841,000 0.7 0.7 0.3 14.3 0.08 1.2

Salt Creek Measured 0.0 0.0 0.0 0.0 0.00 0.0

Indicated 1,705,000 1.5 3.6 1.1 42.3 0.20 3.6

Inferred 127,000 0.1 6.5 2.6 66.6 0.19 3.9

Sub‐total 1,833,000 1.4 3.8 1.2 44.0 0.20 3.6

Liberty‐Indee Measured 0.00

Indicated 453,000 2.2 4.5 0.4 42.0 0.92 5.0

Inferred 204,000 1.0 1.8 0.2 22.4 0.44 2.2

Sub‐total 657,000 1.8 3.7 0.3 35.9 0.77 4.1

0.0 0.0 0.0 0.0 0.00 0.0

All Locations Measured 3,666,000 0.9 0.9 0.4 16.5 0.10 1.6

Indicated 5,230,000 1.1 1.9 0.5 24.0 0.18 2.3

Inferred 2,722,000 0.6 0.9 0.3 13.5 0.10 1.2

Total Sulphide &

Transitional Resources11,619,000 0.9 1.4 0.4 19.2 0.13 1.8

SULPHIDE & TRANSITIONAL

Base metal resources, reserves and mineralisation in the Whim Creek Region

Base metal resources and reserves on the Whim Creek and Salt Creek leases



APPENDIX 2 ‐ LOCATION OF RESOURCES IN THE WHIM CREEK REGION

Resources and significant intersections in the Salt Creek area

Long‐section of the Balla Balla deposit, showing high grade zinc‐lead intersections and deeper target zone.

A JORC‐compliant resource estimate is expected in early 2010.



APPENDIX 3 ‐ RESOURCES AND EXPLORATION TARGETS AT SALT CREEK

asx announcement code: vxr - venturex resources small‐scale copper production from the existing...

Documents