Quarterly Report Ending 31 March 2023

The Board of Breaker Resources NL (ASX: BRB; the Company or Breaker) is pleased to report on a seminal quarter for the Company.

Key Highlights

Exploration

• More high-grade mineralisation intersected by infill diamond drilling at Bombora on the Northern Flats lodes and at the Tura lode, continuing to validate ore continuity with grades again revealing a tenor to justify underground mining consideration. Intercepts reported this quarter include:
  
  • 0.78m @ 199.1 g/t gold from 659.37m in BBDD158 (est. true width = 0.54m)¹
    
  • 1.20m @ 60.52 g/t gold from 129.8m (est. true width = 1.1m)¹
    
  • 10.27m @ 6.09g/t gold from 348.5m (est. true width = 5.2m)¹
    
  • 6.00m @ 5.51 g/t gold from 596m in BBDD0162 (est. true width = 4.20m)²
  • 5.68m @ 5.81 g/t gold from 115.32m in BBDD0166 (est. true width = 5.10m) ²
    
• Diamond drilling on the deeper primary lodes was paused whilst all outstanding data was received and preliminary underground economic assessments were prepared. In the meantime, exploration crews commenced works on regional targets defined in the Bombora proximity.
• Assays from the initial evaluation works at Ularring were received with only anomalous intrusive related copper, silver and gold mineralised returned from both the historically defined anomalies at the Centre Forest and North West prospects.

Corporate and Finance

• Sam Smith, formerly Breaker’s COO, was promoted to the role of CEO and Executive Director as of 1 January 2023.
  
• The Board of Directors received, and unanimously agreed to recommend (in the absence of a superior proposal) an all-scrip takeover offer from Ramelius Resources Limited (ASX:RMS, Ramelius) at the ratio of one Ramelius share for every 2.82 Breaker shares held.
  
• Immediately after the takeover offer was announced the Board received a notification from two shareholders collectively holding 8.5% of Breaker seeking to remove four current directors and any new directors appointed under a section 249F and 203D of the Corporations act.
• Breaker’s market capitalisation increased by over 50% during the quarter.
• Breaker closed the quarter with approximately $75.4M in cash.

Lake Roe Gold Project (100%)

The Lake Roe Gold Project (LRGP) is located approximately 100km east of Kalgoorlie. On 20 December 2021, Breaker released to the ASX an updated JORC 2012 Mineral Resource Estimate for the LRGP containing a total (all JORC categories) of 1.7 million ounces of gold (32 million tonnes at 1.6g/t Au). There are three main deposits defined in the overall resource:

1. Bombora: 25 million tonnes at 1.8g/t Au for 1.5 million ounces of gold;
2. Claypan: 2 million tonnes at 1.1g/t Au for 69,000oz;
3. Crescent Kopai: 4 million tonnes at 1.0g/t Au for 132,000oz.

The gold resources at Lake Roe are already on a granted mining lease and have a clear development pathway. Environmental, geotechnical, hydrological and metallurgical studies undertaken to date do not highlight any impediments to development (ASX Release 30 June 2019). Most of the Company’s pre-mining studies are at scoping study and pre-feasibility level.

In 2022 the Company released scoping studies to evaluate the economics of open pit mining at Bombora and underground mining of the Tura lode. Both studies revealed compelling and profitable financial outcomes.

Click here for the full ASX Release

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