VDM GROUP LIMITED only | ACTIVITY REPORT - QUARTER ENDED 31 DECEMBER 2021 |
QUARTERLY ACTIVITIES REPORT | |
During the Quarter | |
o | On-the-ground activity at the Company's Angolan projects remained suspended |
for the entirety of the quarter due to COVID-19. | |
o | The COVID-19 situation has worsened in Angola in recent weeks with the |
use | number of persons contracting the virus having increased by about 50% since |
the start of the 2022 calendar year, with a total of 98,057 cases having been | |
reported since the pandemic commenced. Despite this, the number of deaths | |
has increased only marginally from 1,772 at 31 December 2021 to the current | |
level of 1,894. With only 22.9% of the population vaccinated, the State of Public | |
Calamity has been extended to 13 February 2022 with Angola's borders | |
remaining closed. | |
o | Restrictions on travel and gatherings within Angola continue and mask wearing |
personalo | in public places remains mandatory with fines for violation applicable. |
VDM holds two exploration projects in Angola. The CdB Project is more | |
o | The Company deems it currently unsafe for its personnel to travel to Angola. |
o | As such, the Phase 3 Drilling Program at the CdB Copper Project aimed at |
expanding the size of the resource quickly and cost effectively remains on hold. | |
The Company is looking to commence Phase 3 as soon as the situation allows. | |
Practically, the earliest this can now occur is May 2022 after the raining season | |
ends. | |
o | During the quarter, the Company continued to have informal discussions with |
parties in relation to equity participation, joint venture, project earn-in as the | |
Company seeks to shore up its medium to long term funding requirements. | |
o | Copper spot price finished the quarter higher at US$4.46/lb (30 September |
2021: US$4.09/lb) but has since steadied to be currently trading at and around | |
the US$4.30/lb level as at the date of this report (Source: Market Index) | |
Background | |
For | advanced and has a JORC 2012 compliant mineral resource estimate (refer |
following). The Cage Bengo Project is prospective for gold and a range of other | |
metals and minerals but is best described as greenfields with no work having | |
yet been conducted by VDM. | |
o | On 26 November 2020, VDM announced its maiden copper Mineral Resource |
Estimate for CdB Copper Project of 18.4 Mt @ 1.0% Cu for 183,845t of copper, comprising:
➢ Measured + Indicated: 13.467Mt @1.02% Cu for 137,590t of copper;
➢ Inferred: 4.937Mt @094% Cu for 46,355t of copper.
Refer Appendices 1 and 2 for more information relating to the Company's projects.
Exploration Activities During the Quarter
In accordance with the requirements of ASX Listing Rule 5.3.1 the Company advises that there was no exploration activity conducted during the quarter.
31 JANUARY 2022
BOARD & MANAGEMENT
Mr Luk Hiuming
NON-EXECUTIVE CHAIRMAN
Dr Dongyi Hua
EXECUTIVE DIRECTOR OF MINING
Mr Huadong Guo
NON-EXECUTIVE DIRECTOR
Dr Colin Noid
NON-EXECUTIVE DIRECTOR
Mr Michael Fry
DIRECTOR
COMPANY SECRETARY
REGISTERED OFFICE
Unit 88,
42 Terrace Road,
East Perth, WA 6004
POSTAL ADDRESS
PO Box 3347
East Perth, WA 6892
CONTACT DETAILS
Tel: (08) 6166 6126
WEBSITE
vdmgroup.com.au
SHARE REGISTRY
Computershare Investor
Services Pty Limited
GPO Box 2975
Melbourne, VIC 3001
Tel: 1300 850 505
ASX CODE
VMG
Schedule of Mineral Tenements
In accordance with the requirements of ASX Listing Rule 5.3.3 the Company provides the following information:
onlyLocation Angola
Angola
No tenements were acquired or disposed of during the quarter ended 31 December 2021 and there were no changes in the ownership (of existing tenements) since the end of the previous quarter.
usedevelopment property which comprises 92.485ha of vacant land with conditional WAPC approval for a subdivision of up to 132 rural lifestyle/residential lots. The property is zoned "Residential" (R2.5) and "Rural Residential".
Quartz Estate Property South Headland
The Company holds a 52% interest in Lot 501, Greenfield Street, Boodarie in South Headland in Western Australia, first acquired in 2008. Lot 501, colloquially referred to as the Quartz Estate, is a
With reports that the South Headland property market has improved significantly in recent months, the personalCompany has recently decided, together with the other partners in the property, to list the property for sale. A listing agreement was executed towards the end of the quarter with the property listed for sale
at an asking price of $2.95 million.
The Company will provide further updates when material information comes to hand.
Mandurah Apartment
The Company holds a 100% interest in an apartment located at 20/15 the Palladio, Mandurah that is currently leased to a third party. The lease is due to expire during February 2022 at which time the Company expects to list the property for sale. The local agent reports that the market conditions are currently very strong, with most properties being sold within 14 days of listing. The property was valued back in May 2021 at around $1.1 million.
Related Party Payment Information
In accordance with the requirements of ASX Listing Rule 5.3.5 the Company advises that during the quarter ended 31 December 2021 the following payments were made to directors of the Company and their associates in respect of directors' fees (inclusive of superannuation) and consulting fees:
For | Name | Position | $ | Notes |
Mr Luk | Non-Executive Chairperson | - | ||
Dr Hua | Executive Director | - | ||
Mr Guo | Non-Executive Director | - | ||
Mr Noid | Non-Executive Director | - | ||
Mr Fry | Director, Company Secretary | 16,010 | Director's fee | |
16,010 | ||||
As previously reported in the March 2021 quarter activities report, all non-executive Directors and Dr Hua have agreed to suspend their entitlement to directors' fees in order to conserve existing cash resources.
This report has been authorised for release by Michael Fry - Director/Company Secretary.
For further information please contact:
Michael Fry
Company Secretary
VDM Group Limited
M: +61 417 996 454
Page 2 of 9
Competent Person Statement
Exploration Results
The information in this release that relates to exploration Results of the CDB Copper Project is extracted from reports released to the Australian Securities Exchange (ASX) on 15 March 2019 titled "Assay Results Confirm onlyHigh Grade Copper Mineralisation at CdB Copper Project" and on 26 November 2020 titled "Phase 2 Assay Results Confirm Further High Grade Copper Mineralisation at CdB Project" and are available to view at www.vdmgroup.com.auand for which Competent Persons' consents were obtained. Each Competent Person's consent remains in place for subsequent releases by the Company of the same information in the same form
and context, until the consent is withdrawn or replaced by a subsequent report and accompanying consent.
The Company confirms that is not aware of any new information or data that materially affects the information included in the original ASX announcements released on 15 March 2019 and 26 November 2020.
Mineral Resources
useThe information in this report which relates to Mineral Resources is extracted from a report released to the Australian Securities Exchange (ASX) on 26 November 2020 titled "VDM Delivers Maiden Copper Resource at CdB Copper Project" which was based on information compiled by Ms Bonnie (Yanfang) Zhao and Dr Yiefei Jia, full time employees of SRK Consulting (China) Ltd and respectively, a Member and a Fellow of the Australasian Institute of Mining and Metallurgy. Each has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking to qualify as Competent Persons as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources, and Ore Reserves". Ms Zhao and Dr Jia consented to the reporting of the information in the form and context in which it appears. Those consents remain in place for subsequent releases by the Company of
personalthe same information in the same form and context, until the consent is withdrawn or replaced by a subsequent report and accompanying consent.
The Company confirms that is not aware of any new information or data that materially affects the information included in the original ASX announcement released on 26 November 2020, and, in the case of estimates of Mineral Resources, that all material assumptions and technical parameters underpinning the estimates in the original ASX announcement continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Persons' findings are presented have not been materially modified from the original ASX announcement.
Disclaimer
This report has been prepared by VDM Group Limited ("Company"). The material contained in this report is for information purposes only. This release is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Company and nether this release nor anything contained in it shall form the basis of any contract or commitment.
This report may contain forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning VDM Group Limited's business plans, intentions, opportunities, expectations, capabilities and other statements that are not historical facts. Forward-looking statements include those containing such words as could-plan-target-estimate-forecast-anticipate-indicate-expect-intend-may-potential-should or similar expressions. Such forward-looking statements are not guarantees of future performance and involve known and
Forunknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company, and which could cause actual results to differ from those expressed in this report. Because actual results might differ materially to the information in this report, the Company does not make, and this report should not be relied upon as, any representation or warranty as to the accuracy, or reasonableness, of the underlying assumptions and uncertainties. Investors are cautioned to view all forward-looking statements with caution and to not place undue reliance on such statements.
The report has been prepared by the Company based on information available to it, including information from third parties, and has not independently verified. No representation or warranty, express or implied, is made to the fairness, accuracy or completeness of the information or opinions contained in this report.
The Company estimates its reserves and resources in accordance with the Australasian Code for Reporting of Identified Mineral Resources and Ore Reserves 2012 Edition ("JORC Code"), which governs such disclosures by companies listed on the Australian Securities Exchange.
Page 3 of 9
Appendix 1: About CdB Copper Project
- 55.25% owned by VDM;
o Project area covers 3,854kms2, and is ~32kms from East to West and ~129kms from North to South;
useonly | Geology shows characteristics of a typical central African sediment-hosted copper deposit. |
o |
Location
The CdB Project is located in the central coastal region of Angola ~385km south of the Angolan capital city of Luanda.
personal | |
Figure 1: Location Map - CdB Project | |
Work Performed by VDM | |
o | VDM's Phase 1 drilling program at CdB was conducted during calendar year 2018 and comprised 41 |
holes for a total of 3,903.30 metres. 843 samples were collected and sent for assay with the results | |
released to market via ASX announcement on 15 March 2019 confirming presence of high-grade copper | |
mineralisation. | |
o | VDM's Phase 2 drilling program commenced on 6 May 2019 and was completed in late November 2019 |
with a total of ninety-three (93) holes having been drilled for 5,690.70 metres. | |
o | Phase 2 drill-holes were largely to a depth of about 60 metres and were targeting near to surface |
mineralisation. Of the 93 holes drilled, four holes were of between 120m and 150m in length and were | |
drilled for structural and hydrological purposes. | |
o | 779 samples were prepared for assay and despatched to a Chinese laboratory. |
o | Assay results from the Phase 2 Drill Program were received and reported to ASX on 26 November 2020, |
For
and the highlights were:
- Fifty-four(54) of the ninety-three (93) holes returned assays grading better than 0.5% Cu.
- High-grademineralisation generally intersected in a 40m zone that extends from ~40m below surface to ~80m beneath surface.
- Results overall were better for Phase 2 with 13.9% of samples returning grades of more than 1% copper, as compared to 5.7% under Phase 1.
- Better assays include:
- 8.64m @ 2.60% Cu from 53.961m, including 1.1m @ 4.98% Cu from 61.47m in Hole 10 (located in Area 3);
- 3.15m @ 3.60% Cu from 35.20, including1.08m @ 5.5%Cu from 37.27m in Hole 25 (located in Area 3); and
- 4m @t 2.13% Cu from 34m in Hole 16 (located in Area 3).
Page 4 of 9
A map illustrating the grade distribution of assay results from both Phase 1 and 2 is set out as Figure 2 below:
For personal use only
Page 5 of 9
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VDM Group Limited published this content on 30 January 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 January 2022 23:30:03 UTC.
