THE DRILL SERGEANT: Stavely Minerals (ASX: SVY) reported the latest results achieved during an ongoing resource drilling program within the Cayley Lode discovery at the Thursday’s Gossan prospect, all part of the company’s 100 per cent-owned Stavely copper-gold project in Victoria.
Stavely Minerals is undertaking the resource drill-out to extend the deposit to the south-east and at depth within, what is now a 1.5 kilometres-long discovery zone, implementing in-fill and step-out drilling.
Recent activity has produced assay results from diamond holes SMD151 and SMD152, plus visual observations from SMD159, all located in the southern sector of the resource drill-out.
Drill hole SMD152 intersected the Cayley Lode above the low-angle structure (LAS) including:
64.1m at 1.04 per cent copper, 0.13 grams per tonne gold and 3.5g/t silver (1.91g/t gold equivalent) from 219m down-hole.
This intersection included a hanging-wall intercept of 18m at 1.49 per cent copper, 0.1g/t gold and 4g/t silver, (2.63g/t gold equivalent) from 219m; and
A central intercept of 5m at 1.65 per cent copper, 0.27g/t gold and 5.6g/t silver (3.09g/t gold equivalent) from 249m; and
A foot-wall intercept of 9.7m at 2.48 per cent copper, 0.38g/t gold and 8.6g/t silver (4.61g/t gold equivalent) from 273.4m.
SMD152 also intersected a large low-grade shallow intercept in the chalcocite-enriched blanket of 111.3m at 0.35 per cent copper (0.58g/t gold equivalent) from 26.7m down-hole, including a higher-grade intercept of 7.4m at 1.44 per cent copper (2.39g/t gold equivalent) from 27.6m.
Drill hole SMD151, located further south, intersected both a large low-grade shallow intercept in the chalcocite-enriched blanket of 117m at 0.48 per cent copper (0.8g/t gold equivalent) from 77m down-hole, including a higher-grade intercept of 21m at 1.38 per cent copper (2.29g/t gold equivalent) from 78m.
SMD151 also intersected Cayley Lode copper-gold-silver mineralisation below the LAS returning 8m at 1.04 per cent copper, 0.1g/t gold and 6g/t silver (2.71g/t gold equivalent) from 410m down-hole.
“While we are finalising an access agreement to establish drill access south of the railway, we have taken the opportunity to drill into that area to confirm the potential that we always believed was there,”
“Drill hole SMD159, collared just north of the railway line, has encountered several discrete sulphide lodes over a drill interval of approximately 240 metres.
“Within that overall interval, the aggregate interval of lode mineralisation was 43 metres.
“While the drill hole is believed to be oblique to the mineralisation strike orientation, and the true width is unknown, SMD159 is an important drill hole as it provides definitive proof that high-grade copper-gold-silver mineralisation does extend at depth below the low-angle structure in the southern area.
“This is an important result which, together with other encouraging drill intercepts in the southern portion of the deposit, highlights the significant growth potential to the south – where we hope to be drilling as soon as we finalise access.
“We have included gold equivalent values for our intercepts for the first time as we feel investors may have lost touch with what one per cent copper is worth in relative terms, despite the historically strong gold price.
As at 1 June 2021, 0.6 per cent copper is of roughly equivalent value to one gram per tonne gold.
“The equivalency values do not take into account respective metallurgical recoveries.
“With low-grade intervals like the shallow chalcocite-enriched blanket in SMD151, with 117 metres at 0.48 per cent copper – equivalent to 0.8 grams per tonne gold – it becomes apparent that a potential open pit optimisation being pulled down on the high-grade Cayley Lode copper-gold-silver mineralisation will also capture large volumes of this material that will contribute to a sizeable low-grade stockpile separate to the high-grade Cayley Lode mineralisation.”
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