Hammer Metals Ltd (HMX) - ASX Release

High gold and copper grades coincident with VTEM anomalies at Toby Project

  • High grade rock chips with individual peak grades of up to 18.4g/t Au, 76g/t Ag and 15.15% Cu returned from the new Toby prospect located 8km north of the Kalman deposit.

  • The prospect was located by Hammer personnel investigating a group of VTEM conductors near the intersection of the Ballara, Kalman West and Pilgrim Faults.

  • Several zones of outcropping gossan over a strike length of 400m were found in the area which is mostly obscured by thin soil cover.

  • Subsequent follow-up prospecting of a smaller VTEM anomaly 500m to the northwest of Toby has identified a red-rock altered breccia zone up to 40m in width coincident with the anomaly.

  • The initial samples from the (Charlie) Prospect obtained individual peak grades of up to 1.36g/t Au, 25.6g/t Ag, 1.2% Cu and 1.23% Zn.

  • Follow-up sampling of and mapping of Toby and Charlie is underway with results expected soon.

  • As announced to the ASX a sub audio magnetics (“SAM”) survey and reverse circulation drilling program is scheduled for Perentie for October-November period. (Refer ASX announcement 11 October 2016.)

Hammer’s Executive Chairman said: “Diligent field work is continuing to find new zones of untested mineralisation in this highly mineralised terrain in NW Queensland. The location of these prospects along strike from Hammer’s Kalman deposit is encouraging and we look forward to bringing shareholders more news from Toby and Perentie in coming weeks.”

The information contained has been prepared by third parties. No warranty of accuracy or reliability is given in relation to any advice or information contained in this document and no responsibility for any loss or damage whatsoever arising in any way for any representation, act or omission, whether express or implied (including responsibility to any persons by reason of negligence), is given by DJ Carmichael Pty Limited or any officer, agent or employee of DJ Carmichael Pty Limited.