CRUSADER RESOURCES LIMITED 
Highlights
- Maiden JORC compliant mineral resource estimates for Querosene, Dona Maria and Crentes exceed 230,000 ounces of gold at 5.6 g/t Au (open pit and underground targets combined)
- High-grade resources at the Querosene and Dona Maria prospects total 459kt at 12.1 g/t for 178koz of gold, comprising
* Querosene vein 263kt at 12.3 g/t for 104koz of gold and
* Dona Maria vein 196kt at 11.8 g/t for 74,700oz of gold
- Both Querosene and Dona Maria are open at depth and along strike and expected to grow with additional planned drilling
- Initial economic reviews indicate that the Querosene and Dona Maria resources could be favorable for underground development, being near-surface and relatively contiguous ore bodies
- Crentes has reported a potentially open-pittable resource of 846kt at 2.0 g/t for 55koz
- Metallurgical testwork for Querosene returns excellent (>90%) recoveries, testwork for both Crentes and Dona Maria currently underway
- Crusader has appointed Global Resource Engineering to assist with optimisation and conceptual designs
Crusader's Managing Director Rob Smakman commented, "We are delighted to be delivering maiden resources for the first of many prospects at Juruena. The high grades at Querosene and Dona Maria have confirmed our geological model and importantly, provide a platform for expansion and exploration. Crusader will now focus on progressing a conceptual study to look at the best possible development options for Juruena. The overall prospectivity of this 'district' is much larger than just these first three targets and we are confident that ongoing exploration will continue to deliver similar results- the list of high-grade targets ready to be drilled include Tomato, William and Mauro as well as potential resource growth at Dona Maria and Querosene".
The Juruena Project (> 400km2 of contiguous tenements, 100% Crusader owned) is located in Central Brazil on the southern fringe of the Amazon basin. Situated on the western end of the prospective Juruena-Alta Floresta Gold Belt (estimated to have produced ~7Moz), Juruena has been worked extensively by artisanal miners (garimpeiros) since the 1980s, producing an estimated 500koz (see Figure 1, in link below).
Crusader's first drilling program at Juruena has successfully led to the estimation of maiden resources for three prospects within the Juruena Project- Querosene, Dona Maria and Crentes. A full table of the resources at different cutoffs is given in the link below.
Querosene Prospect
The Querosene prospect is located on the eastern end of the Juruena project area and was the first prospect targeted in the Crusader drilling program due to consistent high-grade drilling results from previous explorers. Results from Crusader's 2014/15 drill campaign confirmed and expanded on these results (including 2m @ 32.97 g/t gold from 84m in hole QR-20 and 3m @ 26.35 g/t gold from 73m in hole QR-03) and their continuity has allowed independent consultants to estimate a JORC compliant mineral resource of 263,500t at 12.3 g/t for 104,100oz Au.
Mineralisation is divided into 4 main zones, with the majority of the higher grades and ounces contained in the SE and Main zones. Mineralisation at Querosene is open to the South and at depth, with several areas on the main zone and SE zone presenting obvious drilling targets which could have immediate and significant impact (see figure 2, in link below).
The mineralisation is associated with narrow shear zones, quartz vein and minor sulphides. Mineralisation intercepts (downhole) normally vary between 1-4m in width (See figure 3, in link below), with narrow, non-magnetic dolerite dykes often associated.
Results for metallurgical testing on samples from the Querosene prospect indicate recoveries of > 90% for both gold and silver using standard leaching (see ASX release 1 July 2015). Results also indicate the gold and silver are free milling and well distributed within the ore.
Dona Maria Prospect
Dona Maria is located adjacent to the Crentes prospect, approximately 1 kilometre along the Juruena fault zone from Querosene. Mineralisation at Dona Maria appears to 'splay away' from the main Crentes trend (WNW) toward the NNW (see figure 4, in link below). There is a broad, relatively shallow garimpo working over the mineralised trend and historical intercepts indicate both very high-grade narrower intercepts and broad, moderate grade disseminated intervals.
Results from Crusader's 2014/15 drill campaign have confirmed there is a very high grade zone within the Dona Maria prospect with results including; 12m @ 35.13 g/t Au from 99m in MR-10, including 4m @ 75.07 g/t Au from 99m and 3.38m @ 47.97 g/t Au from 183.62m in MD-01, including 1.87m @ 84.50 g/t Au from 183.62m and their continuity has allowed independent consultants to estimate a JORC compliant mineral resource of 196,300t @ 11.8 g/t for 74,700oz Au.
Mineralisation at Dona Maria is oriented NNW and appears to be a 'splay' away from the WNW trending Crentes fault zone (coincident with the main Juruena fault zone). The mineralised zone is associated with sulphides within a sheared quartz rich zone, associated with dolerite dykes (see figures 5 & 6, in link below).
Crentes Prospect
Mineralisation at Crentes appears to be associated with sheeted quartz and sulphide veins (pyrite, +/- chalcopyrite) which are exposed in a shallow garimpo working. The garimpo pit is approximately 400m long (oriented WNW- see figure 5 & 7, in link below) and up to 40m wide. The mineralised trend is associated with the Juruena fault zone, a regionally extensive feature which is generally unmineralised and along strike from the Querosene prospect.
Crentes is a lower grade prospect than Querosene or Dona Maria, however it has the advantage of being broad, near surface and is therefore considered a potentially open-pittable target.
Further Work
Crusader has engaged with experienced mining consultancy Global Resource Engineering (GRE) to assist with conceptual mine and project planning. GRE offers a full range of consulting services from process design to mine planning, studies, water management and project optimisation. GRE have extensive experience in Brazil and bring a low overhead approach to the project team.
SUMMARY OF RESOURCE ESTIMATE AND REPORTING CRITERIA
As per ASX Listing Rule 5.8 and the 2012 JORC reporting guidelines, a summary of the material information used to estimate the Mineral Resource is detailed below (for more detail please refer to Appendix 1 and Sections 1 to 3 included in Appendix 2, in link below).
Geology and Geological Interpretation
The Juruena mineralisation is considered to have resulted from magmatic activity (intrusions and fluids) which could be sourced from a gold porphyry system or intrusive-related gold system, whilst still containing characteristics commonly associated with epithermal systems. The mineralisation is hosted by Paleoproterozoic volcanic and granitoid rocks of varying composition. The host rocks are found within the Juruena-Rondonia block of the Amazon Craton.
The Querosene and Dona Maria resources are constrained with discrete, narrow, steeply dipping high grade gold mineralised zones associated with alteration and mafic dykes. True thickness for these is typically between 1m to 3m.
The Crentes resource forms a broader (5m to 35m wide), typically lower grade zone over a 600m strike length trending west-north-west.
Drilling Techniques and Hole Spacing
Primarily targeting the Querosene, Dona Maria and Crentes zones, Crusader completed 73 RC drill-holes in 2014 and 2015 (7,749.50m) using a nominal 5 1/2 inch face sampling hammer. In early 2015 Crusader also completed 11 diamond drill-holes (1,863.81m) of NQ2 diameter with HQ pre-collars. Over the wider Juruena project area, Lago Dourado Minerals Ltd ("Lago") completed 90 RC drill-holes (6,618m) and 70 diamond drill-holes (22,497.81m) between 2010 and 2013. Between 1996 and 1997 by Consolidated Madison Holdings Ltd ("Madison") completed 91 diamond drill-holes (15,821.89m).
Sections are generally spaced 25m to 50m with hole directions varying depending on the orientation of the targeted mineralised zone.
Sampling and Sub-Sampling Techniques
Sample information used in resource estimation was derived from both RC and diamond core drilling. The drill samples and core have been geologically logged in detail and sampled for lab analysis in line with industry standards.
Sample Analysis Method
SGS were used by Crusader for all analyses. Acme in Santiago, Chile were used for fire assays for the Lago samples, whilst Acme in Vancouver, Canada were used for multi-elemental analyses. The samples were assayed for Au by Fire Assay of 50g aliquots followed by Atomic Absorption Spectroscopy (AAS), a technique designed to report total gold. In addition all Lago samples were analysed for a suite of 34 elements with an aqua regia digest and ICP-MS finish. Quality Control procedures were adopted by both Lago and Crusader including field duplicates, blanks and standards. No geophysical tools were used to determine any element concentrations used in the resource estimate.
Cut-Off Grades
For Dona Maria and Querosene, hard boundary envelopes have been wireframed to geological (mafic dyke) and structural/alteration boundaries which also typically coincide with high gold grade. For Crentes, the zone has been wireframes to a broad, low grade, approximately 0.2 ppm Au mineralised zone for use for a Multiple Indicator Kriging (MIK) modelling method.
Estimation Methodology
For Querosene and Dona Maria, grade estimation by Inverse Distance Squared (ID2), Ordinary Kriging (OK) and accumulation methods was completed using Geovia Surpac(TM) software for gold. For Crentes, Multiple Indicator Kriging (MIK) was used. At Dona Maria and Crentes, the block model was constructed with parent blocks of 10m (E) by 10m (N) by 10m (RL) and at Querosene, with parent blocks of 4m (E) by 20m (N) by 20m (RL). Both have been sub-celled at the domain boundaries for accurate domain volume representation. Estimation parameters were based on the variogram models, data geometry and kriging estimation statistics. Top-cuts were decided by completing an outlier analysis using a combination of methods including grade histograms, log probability plots and other statistical tools. Based on this statistical analysis of the data population, top-cuts of 60ppm Au were applied to Querosene and Dona Maria and 15ppm to Crentes.
Classification Criteria
The Mineral Resource has been classified on the basis of confidence in the geological model, continuity of mineralised zones, drilling density, confidence in the underlying database and the available bulk density information. The Juruena Mineral Resource has been classified entirely as Inferred according to JORC 2012.
Mining and Metallurgical Methods and Parameters
Dona Maria and Querosene have been identified as potential underground mining zones with their narrow, steeply dipping and high grade natures. Crentes has been identified as a potential open-pit zone with broad lower grade mineralisation close to surface.
A representative composite mineralised sample from Querosene has been tested by an independent laboratory and gold recovered using a variety of techniques, including cyanide leaching. Composite samples from mineralisation at both Crentes and Dona Maria have been submitted for testwork, however results are not yet available.
To view the release including tables and figures, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-CAS-735134.pdf
About Crusader Resources Limited:
Crusader Resources Limited (ASX:CAS) (Crusader) is a minerals company focussed on the identification, acquisition, development and operation of projects in Brazil. Crusader believes that Brazil is a vastly underexplored country with high potential for the discovery of world class mineral deposits. The company has already acquired a diverse portfolio of projects including gold, iron ore, tin, tungsten and uranium and continues to utilise its strong networks in Brazil to identify new opportunities.
Crusader is characterised by a tight corporate structure and features an experienced board of directors who are strongly focussed on the success of
the company.
Source:
Crusader Resources Limited
Contact:
Mr. Rob Smakman Managing Director, Brazil Office (Brazil): +55 31 2515 0740 Email: rob@crusaderdobrasil.com Mr. Paul Stephen Executive Director, Australia Office (Aus): +61 8 9320 7500 Email: paul@crusaderresources.com Crusader Resources Limited T: +61-8-9320-7500 F: +61-8-9320-7501 E: admin@crusaderresources.com WWW: www.crusaderresources.com
