"With the new understanding of higher-grade Zn – Pb zones having a spatial association with multiple extensional
faults (inferred feeders) and many similarities with SEDEX (variant) style system emerging, the potential for large
scale Zn Pb (Ag) SEDEX style deposit(s) is high. At Chinook, the potential for Zn-Pb economic ore zones
amenable to open cut mining now includes both oxide and sulphide types. The latest RC drilling has
highlighted potential economic oxide associated with the inferred extension faults zones. Drillhole EHRC051 (see
image 2 for location) is within oxide and returned an intersection of: EHRC051 4m @ 5.11% Zn + Pb, 7.5 g/t Ag
from 49m (4% Zn + Pb Cut Off). In addition to the open cut oxide/sulphide potential, NNW along the each of the
inferred multiple extension faults there is scope to delineate higher-grade Zn + Pb zones with potential for
underground mining. Historic drilling has highlighted low-grade Zn – Pb mineralisation (see image 6 – 12m @
1.25% Zn + Pb from 232m) some 5km along the plane of the inferred extension faults.
The inference is that each of the many inferred fault zones have the potential to develop higher-grade ZincLead zones in both the oxide and sulphide over the entire length of the plane of the extension fault (known
length at least 5km). Image 2 (section AA) highlights the potential width of higher-grade Zn Pb zones
associated with the inferred extension faults is >200m with the thickness up to 34m."
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