THE DRILL SERGEANT: Peel Mining (ASX: PEX) described the latest intercept encountered at the company’s 100 per cent- owned Wagga Tank project, south of Cobar in western New South Wales as, “stunning”.
Peel Mining said the latest result enhanced the Wagga Tank project’s reputation, which includes the Southern Nights prospect, as emerging to be one of the most significant zinc polymetallic discoveries in Australia in recent years.
Drillhole WTRCDD150 returned the spectacular zinc-lead-silver-gold-copper mineralisation intersection occurring as sphalerite-galena-chalcopyrite rich massive sulphides, with a downhole mineralised interval of 18.2 metres at 40.3 per cent zinc, 15.7 per cent lead, 0.97 per cent copper, 356 grams per tonne silver and 2.77g/t gold from 182m.
Peel had drilled WTRCDD150 to infill Southern Nights Central Zone, adjacent to drillholes WTRCDD033 and WTRCDD035, where very strong mineralisation was previously returned.
The company claimed the interval returned from WTRCDD150 to rank as the highest-grade zinc-rich intercept that it has reported since its inception, and when coupled with adjacent drillhole intercepts, indicates a zone of near-surface, very high-grade mineralisation.
The intercept further highlights the economic potential of the Southern Nights discovery and the unsurpassed tenor associated with Cobar Basin mineral systems.
As a result, Peel is targeting this area with close-spaced infill drilling to better define the geometry and scale of the target zone.
Drilling now underway is part of an approximate 20,000m RC and diamond drilling program designed to enable the completion of a maiden JORC-compliant mineral resource estimate by the end of the 2018/19 financial year.
The program is also designed to test for extensions to the mineralised system, which remains open along strike and at depth.
Two multi-purpose (RC/diamond) drill rigs recently commenced drilling on a double shift (24/7) basis, to systematically infill and extend the current two-kilometre long footprint of the Wagga Tank-Southern Nights mineral system.
“The ultra-high-grade massive sulphides returned from WTRCDD150 are awe-inspiring, highlighting the prize that the Cobar Basin can deliver, and reaffirming the company’s recent decision to acquire the royalty associated with the project,” Peel Mining managing director Rob Tyson said in the company’s announcement to the Australian Securities Exchange.
“With funding secured and 100 per cent unfettered ownership, Peel can expeditiously drill test this area to better determine its geometry, scale and evident economic potential.”