SOUTH-WEST PROJECTS

Overview

The Project sites are located approximately 300km south of the capital city of Perth in the South-Western region of Western Australia.

Project 1 is known as Unicup. Project 2 is called Antwalker/Pipeclay Tree.

This region has an extensive history of exploration, some of which falls within the tenement areas. Whilst no large-scale mining operations have eventuated within the tenement areas, there are however many other operating mining projects and substantial agricultural and other primary industry enterprises located within this region. As a result, infrastructure has been well established to support industry, along with the residential townships that provide for the communities that service them.

Each location can be accessed via excellent quality, all-weather sealed highways and major roads, with the tenement areas being readily accessible by a mix of sealed and gravel/sand access roads. The local roads – some of which may require upgrade to support any proposed future mining operations – are both suitable and accessible all year round for exploration teams and their associated equipment, including drill rigs.

The location of each of these Projects also gives easy access to the major highways needed to transport the resource to holding, processing and shipping facilities.

Geology

The Company’s tenements are located on elevated sand plains and the residual laterite terrain of the Biranup Zone in the Proterozoic Albany-Fraser Orogen of South-Western Australia.

It is underlain by quartzo-feldspathic gneisses, mainly derived from granitoid rocks of the Biranup and Nornalup Complexes. These high grade, pure quartz silica sands are part of the mid to late Eocene Werillup Formation, which consists of alluvial river sands and gravel, laid on low grade coal and lignite laid down in coastal swamps. The host stratigraphy is up to 64m in thickness and crop out at surface.

The geological setting of the tenements is consistent for silica sand potential, and the Independent Geologist’s Report details this in full.

Environment

The tenements are situated within a region that requires a high-sensitivity approach to both the environment and community/cultural amenity.

The Company will need to work within these limitations if it is to be successful in commercialising its operations. The tenements are held either privately by landowners, or by Crown forestry interests, and consents will be required from all stakeholders and entities. These are not guaranteed or assured at this time, although initial contact and discussions have been implemented.


PROJECT 1 UNICUP

The Unicup Project encompasses two granted exploration licences E70/5447 and E70/5527 as well as E70/5920 which is still pending. These tenements are located close to the Muirs Highway.

The figure that follows shows the location of the three tenements in relation to local nature reserves and State forests. The project is relatively unencumbered by these areas, however the underlying land is generally freehold land and permission will be required to undertake some exploration activities.

The Unicup Project is located on poorly drained flats with lakes and low dune and undulating low hills and rises. The sediments of the area are part of the Werillup formation consisting of either carbonaceous clays and silts interbedded with fine to coarse grained quartz sands or thick beds of carbonaceous clay through to carbonaceous sandy silts.

The distribution of the sediments is poorly understood due to extensive cover by ferricrete, alluvium and colluvium (Smith, 2003). There is a sharp bedding contact between quartz sands and underlying clays or clayey silts. Quartz sands are poorly to moderately sorted, fine to coarse grained, with grains being angular to subangular.

An overview of the local geology at the Unicup Project is shown in the graphic that follows. Deeper palaeochannels potentially containing significant sand deposits are also shown.

These palaeochennels will be the focus of initial exploration as they contain deeper deposits of sand.


Unicup Project Mineral Resource EstimateAuranmore Consulting were engaged by Allup Silica Limited to undertake a Mineral Resource Estimate (MRE) for the Unicup Silica Sand Project.

The Unicup Silica Sand Project Mineral Resource Estimate, effective as of 4TH October 2021 is summarised as:

Tonnes SiO2% Al2O3% FeO3% TiO2% LOI%
72,784,641 96.62 1.14 0.410 0.467 0.685

IMPORTANT NOTE:

The Mineral Resource Estimate complies with recommendations in the Australasian Code for Reporting of Mineral Resources and Ore Reserves (2012) by the Joint Ore Reserves Committee (JORC). The Minerals resource Estimate was compiled by Richard Maddocks, MSc in Mineral Economics, BAppSc in Applied Geology and Grad Dip in Applied Finance and Investment. Mr. Maddocks is an employee of Auranmore Consulting and is a Fellow of the Australasian Institute of Mining and Metallurgy (111714) with over 30 years of experience. Mr. Maddocks has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the JORC Code.


PROJECT 2 ANTWALKER

Details for the South-West Silica Exploration Projects

Geology

The Company’s tenements are located on elevated sand plains and the residual laterite terrain of the Biranup Zone in the Proterozoic Albany-Fraser Orogen of South-Western Australia.

It is underlain by quartzo-feldspathic gneisses, mainly derived from granitoid rocks of the Biranup and Nornalup Complexes. These high grade, pure quartz silica sands are part of the mid to late Eocene Werillup Formation, which consists of alluvial river sands and gravel, laid on low grade coal and lignite laid down in coastal swamps. The host stratigraphy is up to 64m in thickness and crop out at surface.

The geological setting of the tenements is consistent for silica sand potential, and the Independent Geologist’s Report details this in full.

Environment

The tenements are situated within a region that requires a high-sensitivity approach to both the environment and community/cultural amenity.

The Company will need to work within these limitations if it is to be successful in commercialising its operations.

The following figure shows the tenements in relation to conservation areas. Whilst the majority of the tenure is outside of these areas there is some State Forest encroaching upon it. Should the Company intend to explore these areas it will require government approval for certain exploration activities. In addition, any underlying freehold title will also require permissions for certain exploration activities.

The Antwalker Project Exploration Target is based on E70/5455 only.

The tonnage is based on the area immediately surrounding the drilling where a palaeochannel has been identified (see the following graphic). At this stage there has been insufficient exploration on the Pipeclay Tree tenements E70/5682 and E70/5745 to justify the estimation of Exploration Targets on these tenements.

Antwalker Before Beneficiation Processing
Tonnage Range Minimum Maximum
Exploration Target 20,000,000 40,000,000
Grade
Silica (SiO2) 97% 99%
Inclusions Lowest Highest
Iron Oxide (Fe2O3) % (ppm) 0.04% (400) 0.05% (800)
Titanium Dioxide (TiO2) % (ppm) 0.35% (3500) 0.55% (5500)
Alumina (Al2O3) % (ppm) 0.03% (300) 0.07% (700)
LOI% (moisture and volatiles) 0.70% 1.00%
Pipeclay Tree
El 70/5682 No Exploration Target Established
El 70/5745

 

 

A drill traverse by BHP on the Antwalker tenement in 2000 showed a thick layer of transported sand up to 27m on a clay rich saprolite profile on basement rocks of medium grained feldspar-quartz-biotite gneiss. The sand cover seems to be more extensive than indicated on the smaller scale geological mapping. This drilling indicates the presence of deeper sand filled channels within the surficial deposits. The cross section through the drilling is shown alongside.

This section shows the extent of the sand horizon and the significantly deeper channels excised into the underlying granitic bedrock.


PROJECT 3 ARGYLE

The Project sites are located approximately 2,200km (direct distance) north of the capital city of Perth, or 3,200km if travelling by road.

It is in the Kimberley Region of Western Australia. This region has a long history of exploration and is home to a number of mining operations, including that of the successful, but recently closed Argyle Diamond Mine, which is nearby.

Infrastructure in this region is well developed despite being so remote. It has all-weather roads, hydro-electric power, an abundance of water and good communication structures for mobile and internet connectivity. The tenements have access to the Great Northern Highway, rated to operate quad-trains (4 trailers on a prime-mover), and are located between 70-90km from the Port of Wyndham.


Details for the Argyle Silica Exploration Project
GeologyThe surficial deposits covering the area of E80/5629 and E80/5524 are dominated by alluvium and colluvium associated with the confluence of the Dunham River and Cabbage Tree Creek. This consists of sands, gravels and clays overlying the Devonian, Cambrian and earlier Proterozoic rock units. The following graphic shows the two tenements with the surface geology mapping from the 1:250000 Lissadell mapsheet, SE52-2.

The colluvial and alluvial deposits are shown in yellow with the occasional outcrop of the underlying Devonian sandstone (labelled DC on map).

And this graphic shows the geology of E80/5652 from the Cambridge Gulf 1:250000 SD52-14 map-sheet, with the recent alluvial sediments associated with the Eight Mile Creek making up the majority of the tenement area.


 

Exploration History

The region of the project area has an extensive exploration history mainly targeting diamonds and base metals. There has been no recorded exploration targeting high quality silica sands. Diamond exploration has been focussed on the search for kimberlite pipes and alluvial diamonds.

In April 2021, Allup Silica conducted a sampling program within E80/ 5524.

These were grab samples taken from the surface with a shovel. Sample locations are shown alongside:


PROJECT 4 ESPERANCE

Location for the Esperance Silica Exploration Project

The ESPERANCE Project consists of three tenements, E63/2138 (pending) and E63/2139 (granted) along with E63/2137 (granted). Two of the tenements are approximately 100km from the port, situated between the two small townsites of Salmon Gums and Grass Patch in the Shire of Esperance. These tenements are a combination of Crown and private landholdings.

The third tenement (E63/2137) is just 20km from port, and contains parts that are designated as being for ‘Construction Industry Supplies’.

At this time all tenements are either under-developed or undeveloped.


Details for the Esperance Silica Exploration Project

Dune Buggy

Exploration of the Dune Buggy site has been very sparse, with only reconnaissance work being recorded. It remains unexplored and is at this time is an area of interest for future investigation. The Project area is located on Crown land and once approvals are received, the Company intends to undertake a progressive exploration program starting with sampling, analysis and metallurgical investigations, and subject to these results progressing to a far more extensive program of drilling and further works.

Pink Bark
100% E63/2139 Granted 26/10/2021
100% E63/2138 Application lodged 02/09/2021
Shire of Esperance, Western Australia

The area of interest is located on a combination of Crown land and privately owned freehold land. Historical drill hole data shows the existence of “sand intercepts” up to 14m deep and averaging 5m – 7m in thickness. No exploration has been conducted to date other than desktop geological interpretation and visual inspection at surface.

Dune Buggy
100% E63/2137 Granted 04/11/2021
Shire of Esperance, Western Australia

The area of interest is located on a Crown land in an area designated for ‘Construction Industry Supplies’. No exploration has been conducted to date other than desktop geological interpretation and visual inspection at surface.

Pink Bark

Exploration on the Pink Bark tenements has been limited to a series of air-core holes drilled in 2009 by Triton Gold Ltd targeting gold mineralisation in the basement rock. These holes intersected overlying sand horizons and the geological logs have recorded sand thickness up to 14 metres deep from surface, but no assay results for silica content were completed. Accordingly, it remains unexplored for silica sands and is at this time is an area of interest for future investigation.

The Project areas are located on both Crown land and private land. Private landowners will be required to enter into an Exploration Agreement with the Company before any future works can be undertaken, this will be at their sole discretion. As at this time no such agreements have been sought or received. Should the Company receive the consent of the landowners, then once these approvals are received, the Company intends to undertake a progressive exploration program starting with sampling, analysis and metallurgical investigations, and subject to these results progressing to a far more extensive program of drilling and further works.