Havilah Resources Ltd (ASX:HAV) is encouraged by results from an ongoing open pit resource expansion drilling program at the Mutooroo Project, 60 kilometres southwest of Broken Hill, that point to potential growth in the copper-cobalt-gold resource.
The drilling has confirmed continuity of the copper-cobalt-gold sulphide lode at shallow depth at the project’s Mutooroo copper-cobalt deposit which may also lead to extending the planned open pit.
Several holes returned encouraging copper-cobalt-gold mineralisation including 4 metres of 1.31% copper, 0.11% cobalt and 0.16 g/t gold from 82 metres downhole, and 5 metres of 0.77% copper, 0.09% cobalt and 0.22 g/t gold from 118 metres downhole.
Other results were:
- 7 metres of 0.43% copper, 0.04% cobalt and 0.03 g/t gold from 38 metres downhole and 3 metres of 1.03% copper, 0.09% cobalt and 0.44 g/t gold from 84 metres;
- 3 metres of 1.71% copper, 0.14% cobalt and 0.32 g/t gold from 79 metres and 5 metres of 0.72% copper, 0.09% cobalt and 0.13 g/t gold from 94 metres; and
- 3 metres of 1.20% copper, 0.16% cobalt and 0.37 g/t gold from 129 metres with this hole also including the 5-metre intersection from 118 metres.
“Positive indicators”
Havilah’s technical director Dr Chris Giles said: “These drill holes specifically targeted the copper-cobalt-gold sulphide lode at depths accessible to a conceptual open pit, with the objective of expanding potential open pit copper-cobalt-gold resources along strike from the established Mutooroo JORC mineral resource.
“The aggregate 8-10 metre widths of sulphide lodes intersected in some holes and the relatively high cobalt grades of up to 0.23% plus associated gold credits are positive indicators.
“With a heritage survey of key prospects recently completed, drilling will resume shortly to explore some of the more promising surrounding regional prospects.”
Location of the Mutooroo copper-cobalt deposit within the highly prospective Mutooroo Project Area.
About Mutooroo
Mutooroo is an advanced stage copper-cobalt-gold project within commuting distance of Broken Hill and 16 kilometres south of the Transcontinental (TSX:TCL.A) railway line and Barrier Highway. It contains 195,000 tonnes of copper, 20,200 tonnes of cobalt and 82,100 ounces of gold in a massive sulphide lode.
As such, Mutooroo is one of the larger and higher-grade undeveloped sulphide cobalt deposits associated with copper in Australia. Such sulphide cobalt deposits are generally rarer and smaller than nickel-cobalt laterite deposits, but they usually have significant mineral processing advantages.
Recent drilling has confirmed multiple massive sulphide lodes up to 7 metre thickness, generally where expected from previous drilling and surface outcrops.
In general, the thicknesses of sulphide lode in the drill holes is comparable with historical records in nearby old mine workings, except in some cases only one of the two sulphide lodes intersected was recorded.
Part of PFS
Drilling elsewhere along strike has shown rapidly increasing grade-thickness of the sulphide lode with depth on some drill sections.
Another tier of deeper drilling beneath the drill holes reported here would be required to test this possibility in this location.
This drilling is part of the Mutooroo pre-feasibility study (PFS) with the immediate objective to test for shallow, open pit copper-cobalt-gold sulphide resources along strike from the existing Mutooroo resource and conceptual open pit design and below the shallow oxidised copper ore that was exploited via several historic mine shafts.
The company is undertaking a PFS on the Mutooroo project as a proposed 1 million tonnes per annum throughput copper and cobalt producer, based on current JORC measured resources, initially from an open cut mine that transitions to a longer-term underground mining operation.
Exploration in region
Havilah’s stated exploration objective is to discover new copper-cobalt-gold resources in the surrounding highly prospective Mutooroo Project Area (MPA) that can provide additional ore-feed for a central sulphide ore processing hub at Mutooroo.
Promising drilling targets exist at many historic prospects, some dating from 1960-1990 with potentially ore-grade copper drilling intersections, that have never been assayed for cobalt or gold.
Havilah’s surface geochemical sampling and gossan search has also identified several undrilled prospects that have either been previously overlooked or unrecognised by earlier explorers.
Mutooroo and the surrounding highly prospective MPA are a high priority for drilling over the next few months.
Heritage surveys have cleared planned drilling sites on several nearby key copper-cobalt-gold prospects, including Mingary Mine, Mingary East and Fallout.
Havilah expects exploration drilling will resume shortly following rig refurbishment. Initially, a further 8-10 holes will be drilled at Mutooroo to complete the resource expansion drilling, followed by the cleared MPA regional prospects which will be drilled in order of priority.