Shares in Sandfire Resources climbed higher today after exploration work pointed to a new discovery at its Doolgunna copper-gold project, 150 kilometres from Meekatharra.
Shares in Sandfire Resources climbed higher today after exploration work pointed to a new discovery at its Doolgunna copper-gold project, 150 kilometres from Meekatharra.
The company today said it had discovered a new massive sulphide lode about 200 metres east of the DeGrussa/Conductor 1 deposits, where Sandfire has intercepted copper at grades of up to 27.4 per cent.
Sandfire said a drill hole had intersected 15 metres of massive sulphide mineralisation between 631.7 metres and 646.7m down hole, at Conductor 4.
"The new intersection is considered to be very significant, providing strong evidence that there is a deeper, separate, massive sulphide mineral deposit located approximately 120 metres stratigraphically below Conductor 1 at depth to the east," Sandfire said.
It added the discovery added further weight for Doolgunna to host multiple lodes of copper-gold mineralisation.
The company is continuing with its drill program.
Shares in Sandfire today closed up seven cents to $3.92, after earlier touching a high of $4.15.
Over the past six months, Sandfire's share price has skyrocketed from nine cents after it continuously posted stellar drilling results from its Doolgunna project.
The announcement is below:
KEY POINTS
Significant new massive sulphide intersection 200m east of DeGrussa/Conductor 1:
- o 15.0m of massive sulphides from 670.8m (Conductor 4)
Correlates with previous Conductor 4/Footwall intersections to the west
Additional deep diamond drill hole underway 80m further to the east
SANDFIRE RESOURCES NL (ASX: SFR; Sandfire) is pleased to announce that it has discovered a new massive sulphide lode approximately 200 metres east of the DeGrussa/Conductor 1 deposits at its Doolgunna Copper-Gold Project in Western Australia.
Drill hole DGDD-035, which was drilled to test a strong off‐hole conductor detected by a down hole EM survey, has intersected 15.0 metres of massive sulphide mineralisation between 631.7m and 646.7m down hole.
The new intersection is considered to be very significant, providing strong evidence that there is a deeper, separate, massive sulphide mineral deposit located approximately 120 metres stratigraphically below Conductor 1 at depth to the east.
The new intersection correlates with the massive sulphide intersections in hole DGDD‐016 (4.0 metres of massive sulphides from 670.8m down hole), 80m to the west.
While holes DGDD-016 and DGDD-35 were collared 80m apart, the new intersection is actually some 93m east of the intersection in DGDD‐016 because of the hole drifting off line to the east.
Sandfire has recently commenced drilling another deep diamond drill hole, DGDD-043, which has been collared 80 metres east of DGDD-035, to further test the new Conductor 4 discovery.
The discovery of a new massive sulphide lode at Conductor 4 adds further weight to the geological model for the Doolgunna Project as an emerging VMS (volcanogenic massive sulphide) field comprising multiple lodes of copper-gold mineralisation.
It also confirms the accuracy of the down hole EM survey response and the importance of this technique as a key exploration tool in unlocking the potential of the field. DGDD-035 was drilled to test a strong down hole EM survey response from hole DGDD-016.
Sandfire is continuing in-fill resource definition drilling in the north-west sector of the Conductor 1
deposit. This involves short, rapidly completed drill holes and field logging and processing of the core is lagging behind hole completion.
