White Rock Minerals pinpoints copper-rich massive sulphides at Keevy VMS trend within Red Mountain Project

White Rock Minerals Ltd (ASX:WRM, OTCQX:WRMCF) has identified copper-rich massive sulphides at the Kiwi prospect, a target that falls on the newly identified Keevy volcanic massive sulphide (VMS) trend within the Red Mountain Project in Alaska. The mineral exploration company says the massive sulphide float lies near an anomalous base metal soil trend at Red Mountain. Electrical ground geophysics is underway at the Kiwi prospect and will serve as a prelude to drill test planning at the multi-element Alaskan asset. Meanwhile, at the Dry Creek VMS Deposit, drilling activity has intersected four broad zones of sulphide mineralisation, indicating that the mineralised system does extend to depth in this position. Evidence of high-grade massive sulphide White Rock Minerals technical advisor Dr Quinton Hennigh said: “White Rock’s exploration field crews continue to find evidence of high-grade massive sulphide mineralisation at surface in new areas of their very large district-scale tenement block not yet drill tested. “It is exciting to continue to drill test new targets, any one of which could be a game-changing discovery. “Drilling continues at the Dry Creek deposit with the aim of encountering thick, high-grade massive sulphide that we know exists in this deposit. “It is very encouraging that recent drilling demonstrates the mineralised horizon persists at depth. “VMS deposits are typically lenticular in that they are known to pinch and swell in size. “We hope that continued drilling on aggressive 200-metre step-outs will find significant sulphide thicknesses in areas down-dip and along strike”. New VMS targets at Red Mountain In addition to searching VMS mineralisation at the Kiwi prospect, White Rock is undertaking exploration at two other prospective targets. Recently, the ASX-lister completed the first drill hole at Red Mountain’s Jack Frost prospect, which, like Kiwi, also lies along the newfound Keevy VMS trend. Drilling targeted 75 metres down dip-of massive sulphide float that was believed to be near its source and coincident with a trend of exhalite-type altered rock float and base metal soil anomalism. This maiden hole intersected a weak zone of pyritesphalerite-galena, but no massive sulphide mineralisation was intersected. Surface electrical geophysics and downhole EM data has since been acquired and is being processed, while White Rock will review and interpret all data before planning any additional drilling. Meanwhile, at the Easy Ivan prospect, the first drill hole is ready to commence. Once a suitable drilling contractor is organised, a drill rig is likely to move to site later this month to start drilling the highest priority new VMS targets at Red Mountain. This activity will take place over the remainder of the field season, which could extend into late September. Dry Creek VMS Deposit In addition to work over these Red Mountain prospects, White Rock is also testing for depth extensions at the Dry Creek VMS Deposit. The explorer is drilling 200-metre step outs along the target’s strike extent, where the third drill hole has hit a series of broad zones of sulphide mineralisation. There are four zones interpreted to correlate with the Upper Fosters, Fosters, Copper Zone and Discovery lenses within the main Dry Creek VMS deposit, although no significant massive sulphide mineralisation has been intersected. In the meantime, assays for the first Dry Creek hole in this season’s campaign remain pending, so White Rock is now utilising a second laboratory in an attempt to speed up the results turnaround to a four- to six-week period. Samples from the critical third drill hole will be submitted this week. Moving ahead, the drill rig has moved to the fourth hole at Dry Creek and will drill another 500 metres down to target a 200-metre down-dip extension of the Fosters and Discovery lenses in the centre of the deposit. Outside the Red Mountain VMS camp, White Rock has opted to demobilise a drill rig at the Last Chance gold region after one of the first drill holes was abandoned. No further drilling is planned at the Last Chance gold target or any new Last Chance VMS targets for the remainder of the 2021 season. White Rock and AuStar step closer to merger In other news today, the schemes for merger between White Rock and Austar Gold Ltd (ASX:AUL) became effective. AUL lodged a copy of the Federal Court’s orders, approving a proposed share scheme of arrangement and options scheme that would underpin a merger, with the Australian Securities and Investments Commission. AuStar will now apply for its shares and listed options to be suspended from trading on the ASX at the close of trading today. Under a revised merger implementation deed, White Rock intends to acquire 100% of AuStar’s issued share capital under a share scheme of arrangement. As consideration for the deal, AUL shareholders will receive 0.78 WRM shares for every AUL share they hold, resulting in an implied consideration equal to 40 cents per AUL share based on each parties’ closing price at the time. Under a separate options scheme, AuStar Gold option holders will receive one new White Rock option for every AUL option they hold, with an exercise price set at 77 cents. If the option scheme is implemented, all of the AuStar listed options will be cancelled in exchange for the issue of new White Rock options. Its anticipated the schemes will come into effect and White Rock will issue the share scheme consideration on Monday, August 23. The new WRM shares and option should commence trade the following day. Technical advisor to depart Today, the White Rock team also announced that its technical advisor has joined the advisory board of a global asset management firm and one of the company's biggest shareholders. Dr Quinton Hennigh has been appointed as Crescat Capital's full-time executive geologic and technical advisor, effective from next week. Because of the new, formal relationship with Crescat, Dr Hennigh has opted to step down from his position at WRM, although he will still be able to provide expertise on the company's exploration and development strategy, as well as other technical matters. Dr Hennigh said: "With my new role at Crescat, we look forward to continuing our strong relationship with White Rock. "White Rock's Red Mountain VMS and IRGS project in central Alaska is of keen interest to myself and Crescat and we continue to support White Rock in its endeavours there. "We are also excited about what may be achieved by WHite Rock once the merger with Victorian gold explorer and small-scale producer AuStar gold is consummated later this month, given that Crescat is also a major shareholder of AuStar. "I look forward to continuing to work with the management team at White Rock as they continue their search for their next gold and silver-rich zinc-lead-gold VMS discoveries."