Horseshoe Metals encouraged by Kumarina copper hits

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THE DRILL SERGEANT: Horseshoe Metals (ASX: HOR) has received final assay results from a recently completed drilling program at the company’s Kumarina copper project, located in the Gascoyne district in Western Australia.

Drilling was carried out at the Snell North, Kumarina Deeps and Kumarina copper mine targets and consisted of 14 Reverse Circulation (RC) holes.

 

Kumarina project – E52/1998 location plan (overlain on Aeromagnetics). Source: Company announcement

 

Best results from the Kumarina copper mine prospect, include:

KRC151
11 metres (61-72m) at 1.59 per cent copper, including 1m (64-65m) at 4.52 per cent copper and 2m (67-69m) at 3.21 per cent copper; and

KRC150
2m (67-69m) at 2.36 per cent copper.

Horseshoe Metals said it had been encouraged by the results, which it said indicated copper mineralisation at the Kumarina copper mine and Snell North prospects, and that these prospects warrant further testing.

Eight holes were completed at the Snell North prospect.

Highlights from these holes include:

KRC145
1m (118-119m) at 0.10 per cent copper;

KRC146
4m (26-30m) at 0.14 per cent copper; and

KRC148
1m (104-105m) at 0.36 per cent copper and 1m (112-113m) at 0.23 per cent copper.

Horseshoe Metals explained KRC148 had recorded copper mineralisation at a similar depth to KRC145 and that both these holes have been cased to enable a DHEM survey to be undertaken.

“Drilling at the Snell North and Kumarina copper mine prospects have shown evidence of copper mineralisation, which warrants further testing at depth,” Horseshoe Metals said in its ASX announcement.

“Various holes at both these areas have been cased for DHEM survey ahead of the next drilling program.”

Website: www.horseshoemetals.com.au

Hi Ho, Hi Ho, it’s off to work we go

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THE DRILL SERGEANT: Each week any number of junior exploration plays set out to drill their ground. Here’s a small selection of what’s been happening this week.

Diamond drilling commences at BM1

Encounter Resources (ASX: ENR) has commenced diamond drilling at the BM1 prospect at the company’s Yeneena project in Western Australia.

The diamond drill program is targeting copper sulphide mineralisation to the south east of the high-grade copper oxide and supergene copper zone that was expanded by recent RC drilling.

Exploration at the BM1 prospect is being conducted as part of the Antofagasta earn-in agreement.

RC drilling completed during June and July 2014 intersected copper mineralisation outside the area of previously defined mineralisation at BM1.

The initial two hole diamond drilling program will test for copper sulphide mineralisation down dip to the south east of the high grade copper oxide mineralisation discovered at BM1.

A second target that will be tested in this program is for potential high-grade structurally controlled copper sulphides directly below the near surface copper mineralisation discovered at BM1.


Drilling at Yangibana

Hastings Rare Metals (ASX: HAS) has commenced its Stage 2 drilling program at the Yangibana project in the Gascoyne region of Western Australia.

Reverse circulation (RC) drilling is under way and diamond drilling is planned to start towards the end of September.

The target within the Yangibana project is for rare earths mineralisation associated with ironstone lenses that occur within a large intrusive unit of carbonatite affinity, now termed the Gifford Creek Carbonatite Complex.

Eleven such ironstone targets were previously drilled in the 1980s and non-JORC resources were estimated for each.

Hastings completed the first JORC resource estimate for the Yangibana project, based on its Stage 1 drilling program at the Yangibana North deposit in July 2014.


Diamond drilling at Teena

Rox Resources (ASX: RXL) has commenced a 4,000 metre diamond drilling at the Teena prospect, which forms part of the Reward zinc project in the Northern Territory.

The Reward project is subject to an option/Joint Venture agreement between Rox (49%) and Teck Australia (51%), a subsidiary of Canada’s largest diversified resource company Teck Resources Limited.

Teck have elected to increase its JV interest to 70 per cent by expending up to $15 million in total by 31 August 2018.

“This new diamond drilling program is designed to define the limits of the large high-grade zinc mineralised system already discovered at Teena,” Rox Resources managing director Ian Mulholland said.

“The results will give us a better idea of the size dimensions and therefore resource potential.”

Teena was discovered by Teck in August 2013 after drilling four deep, widely-spaced diamond drill holes into a prospective mineralised basin, located just eight kilometres west of the McArthur River zinc-lead mine.


Kendenup Nickel Target

Windward Resources (ASX: WIN) has commenced diamond drill testing of the company’s Kendenup nickel target, located near Mount Barker, in the Fraser Range South (FRS) project area.

The Kendenup prospect was identified as a high-priority target from a HeliTEM survey flown over the area.

Follow-up soil geochemistry, over the discrete late-channel EM conductor, produced a coherent 20-times background nickel anomaly.

A recently completed ground fixed-loop EM (FLEM) survey was carried out to confirm and clarify the original HeliTEM anomaly.

Two initial drillholes will be completed to test the target zone with a third contingent on results from the first two. Drilling results are expected by mid-September.

Several other high-order conductors identified from the HeliTEM survey within the
Kendenup area are yet to be followed-up.


Drilling commences at Red Bull

Sheffield Resources (ASX: SFX) has commenced drilling a large, strong bedrock conductor – RBD1 – at the company’s Red Bull nickel-copper project.

Red Bull is within 20 kilometres of Sirius Resources’ (ASX: SIR) Nova deposit, in the Fraser Range Nickel Province in WA.

The RBD1 conductor was identified from Moving and Fixed Loop Transient Electromagnetic (MLTEM & FLTEM) ground geophysical surveys as a broad, deep conductive anomaly located at the junction of three interpreted faults and a mafic/ultramafic rock sequence.

The diamond drill hole is expected to take two to three weeks to complete and will be immediately followed by a down-hole EM survey.

Crusader intercepts high-grade iron

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THE DRILL SERGEANT: Crusader Resources (ASX: CAS) has reported high-grade iron results from a diamond drilling program currently underway at the company’s Posse iron ore project, near Belo Horizonte in Brazil.

The company has received results for the first six holes, which it explained to be part of a larger program (12 holes completed to date from a total of 16 planned), designed to test an evolving geological model.

 

Posse geology map with re-interpreted hematite veins and results. Source: Company announcement

 

The model is focusing on the location and extent of hematite veins, which are the key to producing the high value lump products Crusader said were currently being successfully sold into the domestic Brazilian market.

Highlights of the latest results include:

PODH-021
7.4 metres at 69.01 per cent iron from 12.90m;

PODH-012
20m at 56.10 per cent iron from 46m, including 8m at 64.22 per cent iron from 50m and 2m at 62.50 per cent iron from 62m ; and

PODH-018
31.1m at 55.17 per cent iron from 0m, including 3.13m at 62.93 per cent iron from 4m and 7.94m at 66.52 per cent iron from 16.9m.

“The drilling at Posse was planned to update our geological interpretation which has evolved as we have mined the Posse open pit,” Crusader Resources managing director Rob Smakman said in the company’s announcement to the Australian Securities Exchange.

“The hematite veins are more folded than originally interpreted, with veins now confirmed below the pit floor and in the hanging wall.

“With additional results to come from the completion of the drilling, a new mine plan which incorporates the new geological interpretation will now be completed.

“It is worth emphasising the new model could add to the planned tonnages of the high-grade lump products-as these are primarily generated from the hematite veins.”

Website: www.crusaderresources.com

Mutiny hits new gold vein at Deflector

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THE DRILL SERGEANT: Recent diamond drilling carried out by Mutiny Gold (ASX: MYG) has identified a new shallow high-grade vein 300 metres from the existing resource at the company’s Deflector gold, copper, silver project in the Murchison region of Western Australia.

The drilling has returned:
3.08 metres at 9.9 grams per tonne gold, 7.5 per cent copper and 56.4g/t silver from 96.51m down hole 300m south and 200m west of the existing Deflector resource.

The drilling also encountered mineralisation 30m below the Deflector resource, returning an intersection of:

5.76m at 4.6g/t gold, including 0.23m at 92.9g/t gold.

 

Location of Mutiny diamond drilling in relation to the Deflector
Resource outline showing the surface projection of the new high grade
vein intersected in 14DEFDD015. Source: Company announcement

 

“The step-out holes, which are the first significant exploration holes at Deflector for five years, highlights the potential to increase the existing reserve of 322,000 gold ounces and 16,000 tonnes copper,” Mutiny Gold managing director Tony James said in the company’s announcement to the Australian Securities Exchange.

“The discovery of a shallow high-grade gold, copper, silver vein over 200 metres west and 300 metres south of the Deflector deposit confirms our belief in the exploration strategy focused on the under-explored seven kilometres long Deflector Corridor.

“Our geological and technical understanding of the mineralisation improves on a daily basis and we will continue to explore in parallel with the development of the Deflector project.”

Mutiny recently completed a review of the Deflector feasibility study, which the company said found the project will have all-in sustaining costs of just $723 per ounce and a preproduction capital cost of $67.6 million.

Average annual production is 60,000 ounces per annum gold and 2,800 tonnes per annum copper.

Buoyed by the project’s strong economics, Mutiny indicated it is now looking at funding options for Deflector while its exploration activities continue.

Email: mgl@mutinygold.com.au

Website: www.mutinygold.com.au

Centaurus on track for Candonga Resource update

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THE DRILL SERGEANT: Centaurus Metals (ASX: CTM) has reported further high-grade results from the second batch of assays received from recent diamond drilling at the company’s 100 per cent-owned Candonga iron ore project in south-east Brazil.

Centaurus said the results are to be incorporated into the impending JORC 2012-compliant Mineral Resource update for the project.

The second batch of assays relate to eight drill holes from a recent resource drill-out program targeting the limits of the mineralisation to close off sections.

Highlights of the results include:

CDG-DD-14-00016
15.1 metres at 62.1 per cent iron, 9.6 Silica, 0.9 per cent aluminium oxide and 0.02 per cent phosphorous from 3.3m;

CDG-DD-14-00014
14.6m at 61.4 per cent iron, 11.1 Silica, 0.6 per cent aluminium oxide and 0.03 per cent phosphorous from 3.0m;

CDG-DD-14-00017
9.1m at 66.8 per cent iron, 1.9 Silica, 1.3 per cent aluminium oxide and 0.01 per cent phosphorous from 2.0m;

CDG-DD-14-00013
8m at 63.8 per cent iron, 6.0 Silica, 0.9 per cent aluminium oxide and 0.03 per cent phosphorous from 7.2m;

CDG-DD-14-00018
6m at 61.5 per cent iron, 5.1 Silica, 4.0 per cent aluminium oxide and 0.03 per cent phosphorous from surface;

CDG-DD-14-00011
4.8m at 63.1 per cent iron, 4.1 Silica, 2.3 per cent aluminium oxide and 0.04 per cent phosphorous from 6.9m; and

CDG-DD-14-00015
4.1m at 67.4 per cent iron, 1.5 Silica, 0.8 per cent aluminium oxide and 0.01 per cent phosphorous from 4.8m.

Centaurus said the diamond drill program at Candonga has confirmed the presence of a near-surface, generally flat lying lens of high-grade itabirite within a broader zone of friable Itabirite mineralisation that extends up to 30m from surface.

The high-grade mineralisation sits immediately below a zone of mineralised colluvium that varies between a depth of 1m and 6m.

 

Candonga iron ore project – Schematic Cross Section 3. Source: Company announcement

 

“Once we have finalised the new resource on the high grade Candonga mineralisation, we will start work immediately on mine planning and calculation of an Ore Reserve estimate,” Centaurus Resources managing director Darren Gordon said in the company’s announcement to the Australian Securities Exchange.

“We have already had five mining contractors on site and we expect to tie down the estimated mining costs over the next couple of weeks.

“All going well, the Feasibility Study will be delivered by the end of September allowing a Final Investment decision to be made in Q4 2014 once the requisite approvals and licences have been secured.

“We still have a rig on site and we have taken advantage of this to test some interesting high priority targets located directly along strike from the current resource base.

“If this drilling is successful, we may be able to expand the DSO resource base and therefore extend the life of the Candonga operation.”

Email: office@centaurus.com.au

Website: www.centaurus.com.au

MGT scores good tin hits at Summer Hill

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THE DRILL SERGEANT: MGT Resources (ASX: MGS) has received the remaining assay results from Phase One of the company’s 2014 Summer Hills drilling program.

The company claims the latest results confirm the Summer Hill prospect to be highly-prospective with broad mineralised zones, including 15 metres  at 0.79 per cent tin, as well as narrower high-grade zones, including 4m at 1.76 per cent tin.

Highlights from the final batch of assay results received include:

Summer Hill Prospect:

SH14
8m at 0.41 per cent tin from 10m, including 1m at 1.7 per cent tin;

SH22
7m at 0.41 per cent tin from 5m, including 1m at 1.01 per cent tin;

SH23
11m at 0.61 per cent tin from 1m, including 2m at 1.13 per cent tin;

SH25
7m at 1.65 per cent tin from 10m, including 1m at 1.66 per cent and 3m at 2.96 per cent tin;

SH26
4m at 1.76 per cent tin from 37m, including 1m at 3.99 per cent tin; and

SH03 infill samples from previously-drilled hole
15m at 0.79 per cent from 32m, including 5m at 1.53 per cent tin.

Viking Prospect:

VK07
1m at 1.14 per cent tin from 25m;

VK08
1m at 1.18 per cent tin from 12m; and

VK15

2m at 1.72 per cent tin from 27m, including 1m at 3.05 per cent tin.

 

Locations of drill collars from 2014 Summer Hills Phase One drilling program and best results from each prospect. Source: Company announcement

 

MGT explained the geometry of mineralisation at parts of the Summer Hill and Viking prospects is uncertain, adding it is probable that true widths are less than the reported downhole intercepts for a number of holes.

“The latest drilling results indicate that Summer Hill is proving to be our most exciting prospect within the Summer Hills project area,” MGT Resources executive chairman and managing director Jonathan Back said in the company’s announcement to the Australian Securities Exchange.

“The results continue to demonstrate mineralised intercepts at shallow depth which will bring down extraction costs.

“A number of high-grade intersections were made including 7m at 1.65 per cent tin in SH25, where the highest grade metre ran 6.37 per cent, which is the tin equivalent of around 19 per cent copper.

“I’m pleased to say that planning for follow-up drilling of these positive results is already underway and we anticipate running another drilling program in the near future.”

Email: info@mgt.net.au

Website: www.mgt.net.au

Uranex continues graphite hits at Nachu

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THE DRILL SERGEANT: Uranex Limited (ASX: UNX) has reported encouraging progress and observations from its 2014 exploration program at the company’s Nachu graphite project in Tanzania.

The company said the 2014 exploration drilling program has defined target areas for initial resource studies.

Uranex boasted the size and potential of the Nachu project provides it with multiple extensive graphite zones from which to choose from.

The company explained it simply ranked higher-priority areas based on depth to mineralisation, intersected thicknesses and graphitic carbon grade and flake size potential.

This resulted in the identification of focus areas within Blocks B, D, F and J for the initial JORC resource, which is due in November 2014.

 

Nachu graphite project 2014 drill hole locations with labelled updated drill holes. Source: Company announcement

 

The recent drilling has confirmed graphitic schist and potential mineralisation is present in multiple horizons throughout the Nachu graphite project.

Key downhole intercepts from each Block drilled in the latest round include the longest graphitic intercepts Uranex has drilled to date.

Block F – NARC095
126 metres of graphitic schist from 1 metre downhole to 127 metres. Completed to 199 metres at -60 degrees towards the east. The 126 metres of continuous graphitic schist within 177 metres of cumulative graphitic schist intersected downhole includes the longest interval of continuous graphitic schist with visible graphitic flakes drilled to date.

Block F – NARC091
Completed to 181 metres includes a cumulative 149 metres of graphitic schist with visible graphite flakes. Drilled at -60 degrees towards the east the drill hole includes 105 metres of graphitic schist from surface, the second longest interval of continuous graphitic schist with visible graphitic flakes identified to date.

NARC091 and NARC095 are both in Block F intersecting graphitic mineralisation in separate steeply dipping north to south striking parallel panels approximately 200 to 250 metres apart.

Block J – NARC090
Completed to 91 metres at -60 degrees towards the west through the eastern limb of a shallow easterly dipping conductive panel as identified through EM modelling. The drill hole intersected 66 metres of graphitic schist with visible graphitic flakes from surface.

Block B – NARC078
Completed to 102 metres at -60 degrees towards the east through the western limb of a shallow westerly dipping conductive panel as identified through EM modelling. The drill hole intersected 40 metres of graphitic schist with graphitic flake from 20 metres downhole.

Block A – NARC088
Completed to 160 metres at -60 degrees towards the west through the eastern limb of an easterly dipping conductive panel as identified through EM modelling. The drill hole intersected a cumulative 80 metres of graphitic schist including 46 metres of graphitic schist with visible graphitic flakes from
3 metres downhole.

Uranex explained samples from the current drilling program have been delivered for laboratory analysis on a weekly basis with initial assay results expected by the end of August with remaining analysis for initial studies expected to be completed in the period to the end of September.

“Despite a slow start to our drilling campaign, we have recovered really well and we are seeing some exciting results,” Uranex CEO Rod Chittenden said in the company’s announcement to the Australian Securities Exchange.

“Today’s announcement highlights our longest continuous intercepts of graphite.

“With mineralisation beginning at or near surface Nachu is showing all the signs of a world class deposit.

“We look forward to further observations and assays in the coming weeks as we work towards our maiden JORC resource.”

Website: www.uranex.com.au

Buxton encounters more high grade graphite at Yalbra

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THE DRILL SERGEANT: Buxton Resources (ASX: BUX) has reported the final batch of results for a recently completed drilling program carried out at the Yalbra graphite project, located east of Gascoyne Junction in Western Australia.

Buxton owns 85 per cent of the Yalbra project with Montezuma Mining Company (ASX: MZM) holding the remaining 15 per cent.

The company said the results from diamond core drill holes continue to show multiple, parallel high-grade zones within the main zone of mineralisation.

New wide and high grade intercepts include:

YBDD002
30 metres at 22.5 per cent total graphitic carbon (TGC) from 17m, including 8m at 26.3 per cent TGC and 25m at 20.9 per cent TGC from 125m, including 13m at 26.3 per cent TGC;

YBDD001
19m at 19.9 per cent TGC from 61m, including 3m at 36.5 per cent TGC; and

YBDD003

16m at 21.8 per cent TGC from 35m, including 3m at 29.4 per cent TGC.

 

Simplified map of Main Zone at Yalbra showing intercepts of high-grade graphite. Source: Company announcement

 

“Additionally, the drilling program extended mineralisation in excess of a further 200 metres to the west of the existing JORC resource,” Buxton Resources said in its ASX announcement.

The company indicated an updated resource estimate will commence shortly now that all drilling results have been received.

Buxton said it expects the total tonnage will increase from the current inferred resource of 2.27 million tonnes at 20.1 per cent TGC.

Email: info@buxtonresources.com.au

Website: www.buxtonresources.com.au

Hi Ho, Hi Ho, it’s off to work we go

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THE DRILL SERGEANT: Each week any number of junior exploration plays set out to drill their ground. Here’s a small selection of what’s been happening this week.

Drilling to recommence at 1050 East

Renascor Resources (ASX: RNU) has announced the recommencement of drilling at the 1050 East prospect.

The 1050 East prospect is part of the company’s 100 per cent-owned Eastern Eyre project, located in the Olympic Dam copper belt of South Australia.

The planned program of up to 1,000 metres of diamond drilling will target extensions to massive sulphide zones intersected by earlier drilling.

A drill rig has been mobilised to site, with drilling expected to commence early next week.

“The initial drilling at 1050 East returned a number of exciting high-grade, massive sulphide intersections at relatively shallow depths,” Renascor Resources managing director David Christensen said.

“The upcoming diamond drill program will test for continuity of mineralisation from approximately 200 metres, where we believe the prospects are excellent for locating more high-grade copper.


New diamond drilling program

TNG Limited (ASX: TNG) has commenced a new diamond drilling program at the company’s Mount Peake vanadium-titanium-iron project in the Northern Territory.

The drilling is set to continue on to the company’s McArthur River base metals project.

Drilling is expected to continue through September and updates on progress and subsequent analytical results will be reported in due course.


Diamond drilling commenced

Kula Gold (ASX: KGD) has commenced diamond drilling at the company’s Woodlark Island gold project, east of Port Moresby in Papua New Guinea, following the processing of recently-acquired helimag data and the identification of additional large scale hydrothermal systems.

The helimag data covering the central and most prospective part of Woodlark Island, has been integrated with previous structural and geological interpretations resulting in an improved understanding of gold mineralising controls within the current Mineral Resources.

A low cost drilling program has commenced to demonstrate the improved targeting process and to discover additional gold resources.


Exploration Drilling of Mount Isa copper gold targets

Hammer Metals (ASX: HMX) has commenced a new RC drilling program of approximately 2000 metres.

The drilling will test several of the company’s copper and gold targets within the Mt Isa project hub.

Some of the targeted areas include: Dronfield; Overlander Central; Even Stephen; Kalman extensions; Trafalgar North; Pindora South; and Hammer Time.

The company explained all targets listed may not be tested in this program, depending on but not limited to weather and access conditions.

It is expected drilling will continue for approximately one month.

The program is to explore for further high-grade copper and gold targets within close trucking proximity of Hammer’s Kalman deposit.

Cradle hits further Panda Hill mineralisation

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THE DRILL SERGEANT: Cradle Resources (ASX: CXX) has received assay results for three diamond and two RC holes of a 78 hole drill program recently completed at the company’s Panda Hill niobium project in Tanzania.

Cradle said the results from the holes, PHDH16 and 17, and PHRC001 and 002 had expanded on thickness and grade of carbonatite mineralisation in the northern and southern regions of the deposit.

PHDH017 intersected a broad zone of high-grade (>1% niobium) magnetite rich sovite while PHC016 more than doubled the thickness of mineralisation at higher than expected niobium grades.

Highlighted intercepts from this round of assays include:

PHDH017
48 metres at 0.69 per cent niobium from 20m, including 21m at 1.07 per cent niobium;

PHDH015
55m at 0.46 per cent niobium from 41m, including 6m at 0.97 per cent niobium;

PHRC001
16m at 0.5 per cent niobium from 2m and 22m at 0.61 per cent niobium from 24m;

PHRC002

14m at 0.93 per cent niobium from 2m and 41m at 0.71 per cent niobium from 26m, including 4m at 1.42 per cent niobium with hole ending in 5m at 1.21 per cent niobium.

 

Local geology of Panda Hill showing the location of the 2014 drilled
(red) and planned (blue) drill holes. Source: Company announcement

 

In the northern regions of the deposit, hole PHDH017 intersected a broad zone of high-grade niobium mineralisation.

Cradle said this hole had confirmed the presence of high-grade magnetite-carbonatite in the northern regions of the deposit and is higher in grade than the mineralisation expected in that area.

PHDH016 intersected higher grade, more continuous and thicker mineralisation 50m to the north of hole PHDH017.

PHDH018 intersected thicker but slightly lower grade mineralisation than was indicated by historical drilling.

In the southern region both holes PHRC001 and PHRC002 encountered thicker and higher grade zones of carbonatite mineralisation than was expected, although the extent of weathered material is less than expected.

“Initial assay results are better than expected in both the northern and southern portions of the deposit,” Cradle Resources managing director Grant Davey said in the company’s announcement to the Australian Securities Exchange.

“To date our 2014 infill drilling campaign continues to expand on the thickness and grader of mineralisation in the regions we have drilled.”

Email: admin@cradleresources.com.au

Website: www.cradleresources.com.au