The share price of copper explorer Alchemy Resources climbed more than seven per cent today after announcing an aggressive exploration drilling campaign at its Magnus project adjacent to Sandfire Resource's Doolgunna discovery in WA's Gascoyne region.
The share price of copper explorer Alchemy Resources climbed more than seven per cent today after announcing an aggressive exploration drilling campaign at its Magnus project adjacent to Sandfire Resource's Doolgunna discovery in WA's Gascoyne region.
In an announcement to the ASX this morning, the company said it will test at least 13 copper-gold targets identified by its extensive VTEM survey with drilling scheduled to start in early March 2010.
Alchemy managing director, Michael Hannington said the final results from its VTEM survey has been received in recent days and the company has commenced the interpretation and assessment of the data with the final interpreted results expected to be released to the market within the next few weeks.
He said the 13 EM targets resulting from the survey were strong and persistent bedrock conductors, sparking the Company's decision to accelerate the exploration program and its commitment to drill testing every one of them.
"These strong EM anomalies, combined with the fact that our tenements boast the same key geological characteristics as Sandfire's ground, have prompted us to accelerate an extensive drilling program to explore the full potential of Magnus," Mr Hannington said.
Alchemy expects the drilling program to generate a steady flow of news over coming months, with the first assay results due in early April 2010.
Shares in Alchemy were up 4.5 cents, or 7.03 per cent, to 68.5 cents per share at 1458AEST after reaching 72 cents earlier in the day.
Full announcement below:
Alchemy set for aggressive exploration program on Sandfire border
Final results from VTEM survey confirm existence of at least 13 copper-gold targets
Alchemy Resources Ltd ("Alchemy" or the "Company") (ASX: ALY) is pleased to announce that it is about to embark on an aggressive exploration drilling campaign which will see it test at least 13 copper-gold targets adjacent to Sandfire Resources NL's Doolgunna discovery in the Gascoyne region of Western Australia.
Alchemy's Managing Director Michael Hannington said the Company has received the final results from its VTEM survey in recent days and has commenced the interpretation and assessment of the data. The final interpreted results will be released to the market within the next few weeks.
Drilling at Alchemy's Magnus Project is scheduled to start in early March 2010 and will initially test 13 bedrock conductors
Three of these conductors span the border between Alchemy's tenements and those containing Sandfire's high-grade Doolgunna copper-gold orebody. A separate VTEM survey carried out by Sandfire also identified these three conductors.
Mr Hannington, who is a qualified geophysicist with 20 years experience, said the 13 EM targets resulting from the survey were strong and persistent bedrock conductors, sparking the Company's decision to accelerate the exploration program and its commitment to drill testing every one of them.
Alchemy's tenements at Magnus cover 178km2, extending from the Sandfire border on the western side. They are also located on the same Narracoota Formation which hosts Doolgunna.
"The latest results from the VTEM survey give us every reason to be optimistic about the prospectivity for copper-gold mineralisation at Magnus," Mr Hannington said.
"These strong EM anomalies, combined with the fact that our tenements boast the same key geological characteristics as Sandfire's ground, have prompted us to accelerate an extensive drilling program to explore the full potential of Magnus."
Alchemy expects the drilling program to generate a steady flow of news over coming months, with the first assay results due in early April 2010.
