Aeris Resources Ltd (ASX:AIS) is buoyed by positive Downhole Electromagnetic (DHEM) survey results provided by joint venture partner Helix Resources Ltd (ASX:HLX) at the Canbelego Project in the Cobar region of NSW.
The DHEM survey on the second of two deep diamond drill holes completed at the JV project has resulted in the identification of further large-scale, conductive copper targets.
These conductive targets are interpreted as distinct, high-grade copper shoots, not intersected by any previous drilling and add to conductive targets already detected at depth 200 metres to the south in hole CANDD0151.
The survey returned the highest conductive response ever measured at Canbelego of 1,500-3,000 Siemens.
In Cobar Basin
Canbelego Copper Project lies along the regional scale Rochford Copper Trend. It is within the 70:30 ‘contributing’ joint venture with project manager Helix holding 70% and Aeris the remainder.
The Rochford Trend has the potential to host ‘Cobar-style’ copper deposits analogous to the large-scale, high-grade mineralisation found at the nearby CSA Copper Mine, owned by Glencore (LON:GLEN) and under offer from Metals Acquisition Corp.
Canbelego is also within the same region of western NSW that hosts Aeris’ Tritton Copper Operations.
Location plan – greater Canbelego area.
The conductive response identified by Helix in the DHEM survey is new and not attributable to the disseminated and veins of chalcopyrite (copper sulphide) intersected within the respective drill holes.
These conductive targets plunge north and south and remain open at depth.
Highest conductive response
Helix managing director Mike Rosenstreich said: “We could be on the cusp of identifying major new mineralised positions at Canbelego. The scale and intensity of the conductive models indicate ‘high-grade copper shoots’.
"It is worth noting that in May last year we hit 18 metres at 3.4% copper – the highest tenor intercept ever on the Main Lode. This interval had a conductance level of ~400-600S, so ‘conductance wise’ the off-hole source detected from CANDD016 at ~1,500 to 3,000S, is the highest conductance noted to date at Canbelego.
"Reports on ‘conductivity and visual copper estimates’ are very technical and not definitive like a straight-out assay interval but they are an essential and very exciting part of the discovery process."
Canbelego Main Lode long section – grade-thickness contour plot (all widths are downhole).
Confirms positions
In addition, this second deep-drill test, CANDD016, also intersected copper sulphide mineralisation at the predicted down-dip position of the lode structure, confirming the Canbelego Main Lode and Western Lode positions.
Observed copper-sulphide mineralisation indicates that the overall mineralised shear zone continues with depth – now, at least to 600 metres from surface.
The two deep ‘parent’ holes, CANDD015 and CANDD016, were drilled to definitively test the down-plunge continuity of high-grade copper shoots identified by drilling over the past year extending up to 200 metres below the base of the 2010 inferred mineral resource estimate.
Two ‘daughter’ holes
These are ongoing positive and highly significant technical outcomes which Helix is pursuing with two 'daughter' drill holes in progress to follow up and test these highly conductive zones. Going well, the drilling in progress will intersect well-developed copper sulphide zones, either thicker or higher grade, occurring as sizable shoots within the Canbelego shear zone.
Geological logging and sampling are underway for CANDD015 and 016 and assays are expected early in the new year.
"We know ‘Cobar copper systems’ go deep; we have proven the depth potential, but we now need to demonstrate the high grades that they are also renowned for. These technical results are very encouraging for finding higher grades than those intersected to date,” Rosenstreich added.
"The modelling suggests the company is zeroing in on something significant and fortunately, there are two rigs drilling daughter holes specifically targeting these conductive targets.
"We potentially have some very exciting short-term news flow coming up as we further assess these targets and I look forward to providing investors further updates.”