Peel Mining Drills Encouraging Signs at May Day and Southern Nights

THE DRILL SERGEANT: Peel Mining (ASX: PEX) reported on drilling results from the company’s South Cobar project, located near Cobar in Western New South Wales.

Peel Mining has received results from Resource definition drilling at the May Day deposit that returned strong, wide gold-polymetallic intercepts with a high-grade core, including:

14 metres at 1.89 grams per tonne gold, 28g/t silver, 0.48 per cent zinc, 0.32 per cent lead, 0.09 per cent copper from 98m within 31.5m at 1.05g/t gold, 26g/t silver, 0.89 per cent zinc, 0.78 per cent lead, 0.16 per cent copper from 95m;

14m at 1.7g/t gold, 82g/t silver, 3.75 per cent zinc, 3.31 per cent lead, 1.11 per cent copper from 148m within 29.8m at 0.92g/t gold, 46g/t silver, 2.63 per cent zinc, 2.52 per cent lead, 0.58 per cent copper from 146m; and

12.1m at 2.08g/t gold, 69g/t silver, 1.68 per cent zinc, 1.38 per cent lead, 0.3 per cent copper from 216.9m within 31.31m at 1.15g/t gold, 39g/t silver, 0.98 per cent zinc, 0.73 per cent lead, 0.14 per cent copper from 210.69m.

Peel has Resource drilling at May Day nearing completion in advance of an anticipated Mineral Resource Estimate (MRE) update anticipated around year end.

Assays are pending for the balance of completed drilling.

Peel also carried out five extensional drillholes at the southern end of the Southern Nights deposit to follow-up a previous encounter of gold-polymetallic mineralisation on the southern edge of the current MRE.

Two of these holes returned new massive sulphide intercepts up to approx. 80m further south, outside of the current MRE.

“The robust continuity of strong gold-polymetallic mineralisation over mineable widths within the first few resource definition drillholes at May Day affirms the potential of the resource,” Peel Mining managing director Rob Tyson said in the company’s announcement to the Australian Securities Exchange.

“These drillholes have also provided us with a clearer understanding of the geological and structural setting, as well as material for metallurgical testwork.

“We look forward to releasing further results as they become available.

“The new step-out massive sulphide intercepts at Southern Nights are also a welcome addition to the company’s critical mass ambitions, highlighting the wide-open nature of this major mineral system.

“Further step-out drilling is planned.”