THE BOURSE WHISPERER: Canyon Resources (ASX: CAY) reported a “very high-grade” Inferred Resource of 250.9 million tonnes at 50.8 per cent aluminium oxide (Al2O3) (total) and 1.9 per cent silicon dioxide (SiO2) (total) within the existing resource at the company’s Minim Martap project in Cameroon.
Canyon Resources said the new Resource was defined following a detailed review of previous exploration on the Minim Martap project that identified zones of extremely high-grade bauxite with very low contaminants within the existing bauxite resource.
The company declared the Resource to have validated its theory that the project is one of the highest grade very low silica bauxite resources globally, with clear potential to substantially grow the scale of the very high-grade zones.
The review determined that more than 50 per cent of the previously announced resource on the Minim Martap licence has a grade above 50.8 per cent Al2O3.
The high-grade sections within the individual plateau highlight trends that are consistent with Canyon’s interpretation of the project’s geology.
“By conducting a more detailed assessment of the historic resource, we have identified significant areas with very high-grade aluminium oxide and low total and reactive silica on all of the Minim Martap licence plateaux,” Canyon Resources chief geologist Alexander Shaw said in the company’s announcement to the Australian Securities Exchange.
“The remarkably high-grade, combined with very low levels of contaminants, and significant cumulative volume of greater than 250 million tonnes of bauxite in these areas further reinforces the fact that the Minim Martap project bauxite deposit is a true global tier 1 bauxite resource.
“We are utilising the information from this resource analysis to assist to target the drilling campaigns, to identify new high-grade zones at the Minim Martap project.”
Canyon is continuing its exploration drilling program at Minim Martap, focussing on the high-grade zones identified from the previous data.
The company has completed 157 holes for a total of 1,556m drilled.
Samples from the drilling are currently in the process of being assayed by ALS in Ireland.
Drilling is continuing at the Minim Martap permit, targeting bauxite zones that are consistent with the very high-grade zones identified by the resource review.
Plans are currently being implemented to extend the drilling onto new and previously undrilled bauxite plateaux on the Minim Martap and Makan permits that have also been identified as being consistent with the very high-grade bauxite zones.