- Over the September quarter, Blaze International (BLZ) accelerated exploration at four of it’s projects in WA
- After entering an option agreement to buy the Mt Magnet South Project, Blaze conducted an auger geochemical programs over a five-kilometre target zone to define anomalism
- The program identified gold anomalies and multiple program of works have been submitted for a drilling program
- Additionally, Blaze conducted fieldwork at three nickel projects in the southwest of WA
- Pleasingly, Blaze ended the quarter with around $2.2 million in cash – an increase from the $1.2 million it started with
- Company shares are up a slight 2.86 per cent to trade for 3.6 cents
Over the September quarter, Blaze International (BLZ) accelerated exploration at four different projects in Western Australia.
The Mount Magnet South
In July, Blaze entered an option agreement with Eastern Goldfields Exploration (EGE) to acquire three exploration licences that cover 147 square kilometres.
The tenements are located immediately south of Mt Magnet and north of its Kirkalocka tenement in the Meekatharra-Wydgee Greenstone Belt.
Under the agreement, Blaze paid a $20,000 option fee and will need to spend at least $100,000 within nine months of receiving approvals.
Once this has been completed, Blaze can acquire a 100 per cent interest in the tenements by paying $1 million in cash and issuing 7.5 million shares to the vendor and a 2 per cent net smelter royalty (NSR) on any metals produced.
Systematic work completed over the years has highlighted gold soil geochemical anomalies that are considered to be prospective for gold mineralisation.
During the quarter, Blaze conducted geological mapping and identified a major creek system that coincides with interpreted magnetic breaks and anomalous results.
The company then initiated an auger geochemical program of 540 samples over the five-kilometre-long target zone to further define anomalism within the corridor.
The depths of the auger hole averaged one metre with a maximum gold value of 140 parts per billion (ppb). An anomaly at a 50 ppb level covers over 4.5 kilometres of strike and now requires drill testing to explore its significance and potential.
Blaze has submitted multiple programs of works (PoW) to conduct drilling. Approval is expected within two weeks and drilling is expected to begin at the end of November. The company has contracted Kennedy Drilling Contractors to complete the initial program.
Southwest nickel projects
The Binneridgie
The Binneridgie Project comprises three tenements and covers 110 kilometres of strike of nickel sulphide-bearing, sulphur saturated gabbro intrusions of the Binneridgie Dyke Suite.
Blaze conducted reconnaissance rock chip sampling, mapping and soil sampling. Soil sampling results showed low level anomalous platinum, palladium and gold. However, elevated platinum group elements (PGE) are a key indicator that nickel sulphides are present.
The company will undertake an airborne magnetic survey which is planned to start in the next few weeks. The survey will be used to plan ground truthing and follow-up sampling of interpreted ultramafic units.
The Jimberlana
Jimberlana covers 18 kilometres of strike of the nickel sulphide-bearing and PGE-bearing Jimberlana Norite Intrusion.
Blaze is exploring the project for large tonnage, disseminated-style mineralisation within ultramafic portions of the intrusion.
During the quarter, it conducted reconnaissance sampling to detect PGEs in the soils. Results have shown that PGEs exist across five kilometres of strike with the anomaly concealed under alluvial cover in the west.
The PGEs are associated with chromium of up to 0.34 per cent and nickel of up to 641 parts per million in soils – reflecting the ultramafic portions of the intrusion. Additionally, the combination of elevated copper and PGEs represent potential sulphide mineralisation.
Blaze will review geophysical methods to detect disseminated sulphides at the project.
The Cojinup Creek
The project includes four exploration licence applications and covers 738 square kilometres northeast of Ravensthorpe in the southeast of WA.
Over the quarter, Blaze identified magmatic nickel-copper-PGE sulphides within the project.
Cojinup Creek contains nine trends of mafic-ultramafic intrusions that strike northeasterly through the project area.
Previously-conducted mapping has shown shallowly-to-steeply dipping layered mafic-ultramafic intrusions of dolerite, gabbro and pyroxenite.
Historical exploration includes airborne magnetics and airborne electromagnetic surveys (AEM). The AEM surveys covered some intrusions and showed enhanced conductivity around the intrusions.
Blaze believes these responses may be related to sulphides within or near dykes. The company plans to undertake ground truthing and reprocessing to better understand the potential for magmatic sulphides.
The Financials
In July, Blaze raised $1,312,500 before costs and spent around $241,000 on admin and corporate costs as well as exploration and evaluation.
Pleasingly, cash reserves increased from around $1.2 million at the start of the quarter to $2.2 million at the end.
Company shares are up a slight 2.86 per cent to trade for 3.6 cents at 2:07 pm AEDT.