AIC Mines Limited (ASX: A1M) ('AIC' or the 'Company') is pleased to report that definition drilling of the Eloise Deeps deposit has returned excellent results and supports near term production forecasts.
Reinvigoration of exploration at Eloise has commenced with electromagnetic geophysical surveys underway and planning for surface drilling and additional underground drilling now well advanced.
Commenting on the results, AIC Managing Director Aaron Colleran said: 'This early confirmation of the tenor of the Deeps mineralisation supports our commitment to accelerate exploration at Eloise. AIC's exploration strategy at Eloise has two objectives - to delineate extensions to the known resource areas and to discover satellite deposits within the Eloise mining tenements. During our due diligence review we recognised a clear opportunity to extend the mine life well beyond five years. We are confident that we can add significant value at Eloise as we ramp-up exploration.
Definition Drilling Results An infill definition drilling program consisting of 10 holes for a total of 2,285.6 metres, on a 25m x 25m spacing, was recently completed on the z305 Level, at the base of the Sub Level Cave (SLC) (1500mBSL). The objective of the program was to infill wide-spaced resource drilling and to use the information for final mine design, scheduling and grade estimation of the SLC. The results have confirmed the widths and grades intersected in the initial resource drilling and have extended the high-grade mineralisation in the hanging wall lode in hole ED167 to the south.
Mining Activity
Stoping in the mine is currently focused on the upper levels with Macy and Chloe orebodies providing quality ore near surface. Sub-level caving operations in the Deeps are in the development phase and on track for production in the March 2021 Quarter. Ore development on the z305 Level, at the base of the SLC, has intersected high-grade, massive chalcopyrite mineralisation, validating recent drilling results in hole ED162.
Exploration Activity
AIC is planning for a second underground diamond drilling rig to be mobilised to site early in the new year. Underground drilling will focus on resource definition and extension at the Deeps (z305mRL to z390mRL) and the Macy, Chloe and Levuka zones. Planning has also commenced for surface drilling at Macy, above the Median Fault, located within 500m of surface. Existing wide-spaced surface drilling has identified the potential to define high-grade mineralisation in the upper levels of the mine
Downhole electromagnetic (DHEM) surveys of two surface holes at Macy Far North have commenced and will be completed in late November. The purpose of the surveys is to test if any conductive plates can be identified, confirming the continuity of mineralisation up to 350m north of the current Macy resources. In addition to the downhole surveys, GEM Geophysics are scheduled to commence surface Moving Loop Electromagnetic (MLEM) surveys in the Far East Corridors in late November. The MLEM is aimed at detecting the potential continuation of the mineralised Jericho trend onto the project. This work will mark the first exploration activity in this area.
About the Eloise Copper Mine
Eloise is a high-grade operating underground mine located 60 kilometres southeast of Cloncurry in North Queensland. It commenced production in 1996 and has since produced approximately 339,000t of copper and 167,000oz of gold. Current annual production is approximately 40,000dmt of high-quality copper concentrate containing approximately 11,000t of copper and 6,000oz of gold. Current operations consist of an underground mine accessed via decline. The upper levels of the mine (above 1,190m below surface) are extracted by longhole open stoping and the lower levels are extracted by sublevel caving. Eloise is an owner-miner operation with a mining contractor used only for underground development. Processing is via conventional crushing, grinding and sulphide flotation with capacity to treat up to 750,000tpa. Metallurgically the ore is very consistent as the ore mineralogy at Eloise is almost exclusively chalcopyrite. Processing achieves high copper recoveries (generally 94% - 95%) and produces a clean concentrate. The concentrate has significant by-product credits from gold and silver.
Forward-Looking Statements
This Announcement includes 'forward-looking statements' as that term within the meaning of securities laws of applicable jurisdictions. Forward-looking statements involve known and unknown risks, uncertainties and other factors that are in some cases beyond AIC Mines' control. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this announcement, including, without limitation, those regarding AIC Mines' future expectations. Readers can identify forward-looking statements by terminology such as 'aim,' 'anticipate,' 'assume,' 'believe,' 'continue,' 'could,' 'estimate,' 'expect,' 'forecast,' 'intend,' 'may,' 'plan,' 'potential,' 'predict,' 'project,' 'risk,' 'should,' 'will' or 'would' and other similar expressions. Risks, uncertainties and other factors may cause AIC Mines' actual results, performance, or achievements to differ materially from those expressed or implied by the forward-looking statements (and from past results, performance or achievements). These factors include, but are not limited to, the failure to 6 complete the project in the time frame and within estimated costs currently planned; the failure of AIC Mines' suppliers, service providers and partners to fulfil their obligations under supply and other agreements; unforeseen geological, physical or meteorological conditions, natural disasters or cyclones; changes in the regulatory environment, industrial disputes, labour shortages, political and other factors; the inability to obtain additional financing, if required, on commercially suitable terms and global and regional economic conditions. Readers are cautioned not to place undue reliance on forward-looking statements. Although AIC Mines believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements.
Contact:
Tel: +61 (8) 6269 0110
Fax: +61 (8) 6230 5176
Email: info@aicmines.com.au
Web: www.aicmines.com.au
AIC MINES LIMITED 
