Encounter Resources Identifies Cobalt Potential at Yeneena

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THE DRILL SERGEANT: Encounter Resources (ASX: ENR) has started evaluating the near-term cobalt potential of the company’s copper-cobalt prospects at Yeneena in Western Australia.

Encounter Resources controls 70 strike kilometres of Yeneena basin it considers to be prospective for Proterozoic copper-cobalt deposits like the deposits of the Central African Copperbelt, which is currently the world’s largest source of cobalt.

Encounter has carried out a review of previous drilling and geochemical programs that has highlighted a 14km long copper-cobalt system at BM1-BM7 and the Lookout Rocks area as priority cobalt opportunities.

Three areas of interest have been targeted for future drilling:


BM7 Cobalt Zone:
A long zone of cobalt mineralisation of more than 600 metres has been discovered at BM7 that includes near surface intersections, including:


EPT1557
9m at 1 per cent cobalt and 1.5 per cent copper from 42m to end of hole (EOH);


EPT1689
8m at 0.11 per cent cobalt and 2.0 per cent copper and from 58m;


EPT1716
14m at 0.07 per cent cobalt and 0.52 per cent copper from 108m; and


EPT2293
18m at 0.07 per cent cobalt and 0.5 per cent copper from 49m, including 1m at 0.2 per cent cobalt at EOH.


BM1 Cobalt Zone:
The cobalt potential of the BM1 high-grade copper oxide area includes several high-grade, near surface cobalt intersections including:


EPT418
14m at 0.45 per cent cobalt and 0.38 per cent copper from 14m incl. 2m at 1.54 per cent cobalt;


EPT476
8m at 0.15 per cent cobalt and 0.22 per cent copper from 22m incl. 2m at 0.32 per cent cobalt;


EPT2075
5m at 0.18 per cent cobalt and 2.24 per cent copper from 4m;


EPT2078
6m at 0.13 per cent cobalt and 0.72 per cent copper from 26m;


EPT419
22m at 0.07 per cent cobalt and 0.12 per cent copper from 24m incl. 4m at 0.12 per cent cobalt; and


EPT2066
21m at 0.07 per cent cobalt and 0.69 per cent copper from 13m.


Lookout Rocks South Gossan:
An 80m long gossan has been identified at Lookout Rocks where surface sampling returned grades up to 0.19 per cent cobalt and 0.22 per cent copper in sample EX208145.

“Encounter’s previous exploration programs at Yeneena focused on the delineation of large tonnage copper sulphide deposits,” Encounter Resources explained in its ASX announcement.

“The previous broad spaced drilling in the BM7 area was designed to test for thick, gentle easterly dipping zones of copper mineralisation that would parallel stratigraphy.

“However, the recent review of this drilling has identified a potential steep westerly dip to the high-grade copper-cobalt shoots.

“A follow up drill program is planned in May 2017.

“This program will initially focus on testing the down dip position of the interpreted high-grade, shallow copper-cobalt shoots at BM7 and below the Lookout Rocks copper-cobalt gossan.”

Website: www.enrl.com.au