- New aeromagnetic survey defines circular zone of magnetite destructive alteration exceeding ~1km in diameter
- Drill hole KDD015 within this zone intersected multiple zones of alteration and mineralisation as follows:
o Shallow, intermittent epithermal quartz veining within vuggy silica-pyrite alteration with assay results of:
o 12m at 0.51g/t gold from 8m
o 25.6m at 0.38g/t gold from 23.4m incl. 1m at 2.78g/t
o Deeper intermittent quartz-chalcopyrite-pyrite and hematite veins, plus breccia with disseminated chalcopyrite with assay results of:
o 30m at 0.19g/t gold and 0.24% copper from 117m
o 21m at 0.19g/t gold and 0.13% copper from 152m
- New epithermal quartz-hematite veins with highly anomalous geochemistry ranging up to 1.27g/t gold ~2km to the north confirms potential for shallow gold-silver mineralisation in a very large, mineralised porphyry copper-gold and epithermal system
- Option exercised with Aurelia Metals and stage 1 ($300,000 over 3 year) earn-in for a 60% interest commences
This recent drill hole not only extends the known mineralisation but points to the potential for both high level (shallow) epithermal gold-silver and deeper porphyry copper-gold mineralisation over a large area. The alteration of upper level quartz-pyrite-hematite grading to chlorite-epidote-quartz and deeper K-feldsparchlorite- hematite is consistent with a large underlying porphyry copper-gold system (see fig 3 in the link below). Moreover, the discovery of further mineralised, epithermal quartz veins, some 2km east at the Mount Leadley Trig prospect provides some indication that this is a large mineralised system. Recent rock chip sampling at Trig returned highly anomalous gold geochemistry with up to 1.27 g/t Au (see Figure 2, Table 3 in the link below).
Emmerson's Managing Director, Mr Rob Bills commented: "The recent aeromagnetic survey and drilling is highly encouraging in terms of defining large scale (~4 km2) alteration and mineralisation at Kadungle. Also providing the impetus to exercise the option with Aurelia Metals and commit to the stage 1 earn-in.
Given we have established the presence of a large mineralised system, exploration will now focus on a systematic program to pinpoint the higher grade zones for both gold and copper. This will include Induced Polarisation surveys to penetrate beneath the lithocap and better define the quartz-pyrite alteration and allow targeting for both deeper copper-gold and shallow, low sulphidation gold-silver mineralisation (see figure 3 in the link below).
The very positive start to our NSW field season continues where Emmerson currently has five new projects generated from proprietary predictive 2 and 3D targeting models - developed in conjunction with our strategic alliance partner Kenex Limited. The Kadungle project sits to the east of our large Fifield Exploration Lease, while to the west is the Rimfire Pacific Mining NL, Sopresa discovery (7.9Moz Ag and 125Koz Au). Thus we believe that these tenements are highly prospective for both gold and copper, as are our other four projects at Wellington (EL 8463), Parkes (EL 8466), Temora/Seba stopol (EL 8465 & ELA 5481) and Kiola (ELA 5417). Note Kenex can earn up to a 10% interest in these tenements (excluding Kadungle) upon achieving certain predetermined milestones. Emmerson can earn up to 80% of the Kadungle project under an option and JV with Aurelia Metals through spending $0.5m over a five year period."
The technical and commercial strategy for our NSW projects follows a similar model to our successful Tennant Creek Project in the NT. Where the expertise and technology, instrumental to success at Tennant Creek is leveraged into new underexplored opportunities, but with a focus on high, near term value from epithermal gold-silver within large porphyry copper-gold systems. It is envisaged that ERM will seek suitable JV partners on some of these NSW projects.
Kenex is a Wellington and West Australian based company which was established in 2002 to provide GIS and exploration services and advice for the exploration and mining industries in Australia and New Zealand. Over the last 10 years, Kenex has broadened their international experience through involvement with projects and clients in the Middle East, Africa, Scandinavia, Asia-Pacific and Latin America. Kenex is a group of highly motivated research professionals who have more than 85 years of combined experience and knowledge in exploration and mining, locally (New Zealand/Australia) and abroad, including the Solomon Islands, Africa, Papua New Guinea, Asia and Latin America. Kenex also has growing expertise in the marine minerals sector.
Kenex specialises in predictive modelling for minerals (2D and 3D) where it is at the forefront of providing these services to businesses to generate targets with the greatest geological potential in relation to the mineral system being evaluated. This delivers to our client's outcomes which can be used for a variety of purposes including regional evaluation of a mineral belt, identification of opportunities for acquisition, the tools for effective exploration work programme planning and in the case of predictive 3D modelling, drill hole targeting.
About Aurelia (ASX:AMI)
Aurelia Metals became a gold producer in 2014 and its flagship asset is the high-grade Hera gold-lead-zinc-silver mine in central NSW.
In FY 2016, the Hera mine produced 46,882 ounces of gold and 25,406 tonnes of lead-zinc concentrates from the processing of 308,118 tonnes of ore.
The Company is pursuing significant further improvements in the Hera operation including improved metal recoveries, increased throughput and operating cost reductions. Aurelia is also pursuing a near mine exploration programme, with a strong view on the capacity for Hera to evolve into a large scale, high-grade 'Cobar style' deposit.
To view tables and figures, please visit:
About Emmerson Resources Limited
- Has an aggressive exploration program and dominant position in the world class Tennant Creek Mineral Field.
- Is applying new exploration concepts and technologies to unlock the next generation of gold and copper deposits.
- Owns the only carbon-in-pulp gold plant in the region.
- Has an experienced Board and Management team.
Emmerson Resources Limited
Aurelia Metals Ltd