Aruma Resources Ltd (ASX:AAJ) is trading higher after receiving very high-grade copper assay results, including 36% copper from surface, that highlight the prospectivity of the recently acquired Fiery Creek Copper Project in the Mt Isa copper belt in northwest Queensland.
The results come from surface rock chip sampling programs from multiple prospects across the project area — including at Fiery Creek, Twilight, Hellfire and Piper prospects — by previous explorers including Sumitomo, Anglo American (JO:AGLJ) and MIM Holdings.
This historical exploration yielded very high-grade results in surface rock chip sampling at multiple prospects, including 36% copper in two samples by Sumitomo at the Fiery Creek Prospect; 25.4% copper at the Twilight prospect; and 15.2% copper and 7.5% copper at Hellfire prospect by Anglo American.
Shares jump
Investors have welcomed the samples with shares as much as 73% higher in early ASX trading to A$0.019.
The anomalous copper results returned from historical drilling, with extensive red-rock (hematite) alteration, are consistent with a fertile copper system.
"Thrilled with historical results"
Aruma Resources managing director Glenn Grayson said: “We are thrilled with these historical results from the Fiery Creek Project and about the project’s significant potential.
“The project has been subject to limited previous exploration from majors such as Sumitomo and Anglo American, amongst others, which delivered encouraging results including very high-grade copper in surface rock chip samples.
“The underexplored nature of the project area combined with the positive historic results and favourable geological setting in the prolific Mt Isa minerals district provide an exciting exploration opportunity for Aruma.”
The majority of the tenure neighbouring Fiery Creek is owned by Anglo American and the ground has been previously held by MIM Holdings (now Glencore (LON:GLEN)), BHP (ASX:BHP), RIO Tinto and Sumitomo. Minimal work has been done at the project area to date, including limited drilling by Sumitomo and MIM Holdings.
Aruma announced the proposed acquisition of the Fiery Creek Project in May, with completion of the acquisition subject to Aruma shareholder approval at an EGM on August 1, 2024.
What’s ahead?
Aruma plans to explore the project for stratiform copper deposits and will also assess its iron oxide copper gold (IOCG) potential. The geology of the Fiery Creek Project area is interpreted as being analogous to the units that host copper deposits within the western fold belt of the Mount Isa Inlier.
The company plans to implement a systematic exploration strategy across the new project areas. Its initial on-ground field work will include mapping and surface sampling programs.
Government-scale gravity and magnetic surveys have been conducted at the project area, and will be followed by a detailed gravity survey designed to understand the structure and alteration systems present within the tenure.
Subject to results, magnetic surveys and follow-up electromagnetic surveys of targets generated will then be undertaken. The objective of these programs is to deliver drill-ready targets for a maiden drilling program at the Fiery Creek Project.
Local geology plan of Fiery Creek Project with significant surface samples (blue boxes). Significant drilling intersections are also shown. The pale blue geology units are the fine grained reactive carbonate sedimentary units.
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