Helix Resources Ltd (ASX:HLX) has kicked off a 1,000-metre reverse circulation (RC) program at the Canbelego Copper Project joint venture with Aeris Resources Ltd (ASX:AIS) (Aeris Resources Ltd (ASX:AIS)) in the Cobar Basin of New South Wales.
Contractor Mitchell Services Ltd (ASX:MSV) has mobilised a rig to the site and started drilling today with six to eight infill holes to follow up on a recent shallow high-grade intersection.
Testing potential
Results from late 2022 such as an intersection of 16 metres at 3.21% copper from 117 metres downhole including 11 metres at 4.58% copper highlighted possible extensions of high-grade copper mineralisation at shallow levels.
The partners, which own the project on a 70% (Helix) and 30% (Aeris) basis, hope to test this potential ahead of an updated mineral resource estimate planned for late March.
Canbelego's current inferred mineral resource estimate of 1.5 million tonnes at 1.2% copper was calculated in October 2010.
Helix’s drilling on behalf of the joint venture has identified new high-grade copper shoots that continue with depth for several hundred metres below the existing mineral resource.
The companies believe an updated mineral resource estimate is appropriate to provide an interim basis for early-stage development studies.
Diamond drilling high-order targets
Also in train is a diamond drilling campaign focused on high-order conductive geophysical targets deeper in the Canbelego Main Lode, reported in December, with initial results expected in late January.
Helix managing director Mike Rosenstreich said: “It’s great to start the year on-site with the exploration team and two rigs testing the Canbelego Lode at these different levels – the RC drill infilling the shallow gaps and the diamond rig testing the highly conductive anomalies we discovered recently at depth.
“We are hoping to intersect high-grade copper shoots with the deeper diamond drilling – they are very strong geophysical anomalies unlike anything we have recorded previously. Preliminary, visual results should be available in late January.
“The ‘near-miss’ drill outcome we reported recently highlights the unpredictable ground conditions where we haven’t drilled before and the requirement for sophisticated, highly technical directional drilling technology.
“We are fortunate to have geologists and drill operators who are highly experienced in this very specialised drilling activity. The large-scale and highly prospective nature of these targets remains the same. We look forward to reporting on the drilling outcomes as soon as possible.”