Hammer Metals uncovers cocktail of mineralization on $83k lease in Mt Isa
A recent drilling campaign at Perth based hammer Metals’ “Millennium” project in Mt Isa has unearthed a cocktail of mineralization on a tenement package that cost the mining junior just $83k in cash and shares – and they bought it from Chinese interests.
Hammer announced today that a 23 hole RC drilling campaign had unearthed some very encouraging copper/gold/cobalt/silver/lead results that are able to be converted to copper equivalent grades well above 1%.
Notable intersections include 8m at 0.35% Cobalt and 4m at 0.51% Cobalt.
Other significant hits include 24m grading 0.15% Cobalt, 0.23% Copper and 0.09g/t Gold from the 73m mark for a copper equivalent grade of 1.17%.
This included a 4m intersection grading 0.51% Cobalt, 0.46% Copper and 0.16g/t Gold translating to a very significant copper equivalent grade of 3.64%.
At the 98m mark, a 13m intersection was encountered grading 0.10% Cobalt, 0.41% Copper and 0.10 g/t Gold giving a copper equivalent grade of 1.12%
Another 12m hit was discovered at the 149m mark grading 0.19% Cobalt, 0.57% Copper and 0.19g/t Gold for a 1.85% copper equivalent grade.
Other hits included 4m grading 0.30% Cobalt, 0.44% Copper and 0.14g/t Gold translating to a copper equivalent grade of 2.33% from 157m.
A solid 18m hit with a Copper equivalent grade of 1.23% was encountered 62m down hole and a sizeable 40m intersection with a Copper equivalent grade of .82% was discovered at the 56m mark.
The recent program also unearthed some interesting silver and lead results including 6m grading 39g/t Silver and 1.63% Lead from 50m and 2m at 1.02g/t Gold and 180g/t Silver from 101m down hole.
A new 10m zone of highly anomalous silver grading 40g/t included a 1m intersection grading 337g/t silver providing a hot new lead for the company to follow up on.
Hammer’s “Scalper” project in Mt Isa is also providing some excitement for the company with a recent drilling program discovering a 12m intersection grading 1.2% Copper and 0.38g/t Gold from just 20m down hole.
Drilling at Scalper is at an early stage and the company says it expects to ramp up its activity at this project early in 2017.
Hammer bought the Millennium project from ASX listed and Chinese controlled Chinalco Yunnan Copper Resources earlier this year.
Back in 2013 Chinalco’s corporate material said their “Federal” prospect which includes the Millenium mining leases had impressive hits including 10.6m @ 2% Copper and 0.23% Cobalt and 11m @ 2% Copper at the end of a shallow percussion drill hole which was drilled underneath a costean with significant Copper, Gold and Cobalt assays.
The Millenium leases are approximately 50km north of Hammer’s Kalman deposit and just 16km west of CuDeco’s mammoth Rocklands copper-cobalt mine which may provide Hammer with some future corporate options for Millenium.
The Rocklands mine has a 30 million tonne resource grading 1.9% copper equivalent. It is expected to yield CuDeco around $631m in free cash over its initial 10 year mine life from revenues of nearly $2b.
With Cobalt making up 15% of a Lithium-ion battery, Hammers’ Mt Isa play could attract Lithium style market interest if it can keep proving up solid Cobalt numbers.
Hammer Metals (HMX)
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