St George Mining’s maiden drilling program at its Paterson copper-gold project in WA’s east Pilbara region is in full swing with three more drill holes returning encouraging geological signs. Whilst confirmation of the company’s results is yet to be received from the lab, the lithologies intersected in all three drill holes appear consistent with those known to host major copper-gold deposits in the Paterson province.
The initial geological observations of the drill core for all three holes indicate locally intense alteration and hydrothermal veining with multiple zones of sulphides.
Local quartz veining and widespread intervals of disseminated sulphides have been recorded in the drill core including visible occurrences of the copper-bearing mineral, chalcopyrite.
Five diamond holes have been sunk so far in the ongoing program designed to test priority structural targets for potential, large copper-gold systems.
As the widely spaced drilling continues, the results appear to be consistent, boding well for St George’s theorised large-scale system.
So far, the drilling has concentrated around two priority target areas —20km apart — thought to be “textbook” trap sites for mineralisation. Up to 18 diamond drill holes are planned in the campaign, with some holes positioned to test the zone between the target areas.
St George Mining's Executive Chairman, John Prineas said: “Our maiden diamond drill program at Paterson is progressing strongly, with five holes now completed and all delivering indications that our systematic exploration strategy is heading in the right direction.”
“Drilling is continuing, and we look forward to reporting further drill results including laboratory assays in the coming weeks.”
In addition to copper-gold deposits, Geoscience Australia says the province is known to host significant deposits of base metals and uranium.
However, of extreme significance to the explorer’s project is the giant Telfer gold-copper deposit, operated by ASX-listed Newcrest Mining, 100km to the south. It is one of Australia’s highest-producing mines, routinely raking in more than 400,000 ounces of gold per year.
Last financial year, Newcrest produced a whopping 416,000 ounces of gold and 13,000 tonnes of copper from Telfer.
Interestingly, in a 2017 publication by the Australasian Institute of Mining and Metallurgy, Telfer was pegged as WA’s third-largest gold deposit when including past production and current reserves.
A bit closer to home and within 20km west of St George’s ground lies the Citadel joint venture of 2.4 million ounces of gold and 162,000t of copper between ASX-listed Antipa Minerals and Rio Tinto. Rio entered the joint venture in 2015 and has since earned a 65 per cent stake in the project through an exploration expenditure of $25 million.
A further 50km to the west of the joint venture is Rio’s wholly owned Winu deposit that it discovered in early 2019, containing 5.9 million ounces of gold and 2.5Mt of copper.
With encouraging early signs from every hole and the definitive laboratory assays expected within eight weeks, it will be interesting to see how mineralisation pans out for St George within the Paterson province.
Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au
By Matt Birney
