Syndicated Metals (ASX: SMD) is an Australian base metals exploration and development company with control of a tenement package covering over 4,000 square kilometres in the world recognized Mount Isa mineral province in North Queensland.
The company manages two advanced base metals projects with a combined resource inventory in excess of 269,000 tonnes Copper, 30,000 tonnes Molybdenum, 2.3 million ounces Rhenium and 315,000 ounces Gold as well as having a suite of advanced and early stage exploration targets on the surrounding tenements.
Syndicated Metals (ASX: SMD) has reported further results of drilling at its Mount Remarkable project, located 50 kilometres northeast of Mount Isa in Northwest Queensland, with new copper and cobalt discovered.
In a statement the company said these holes targeted the Green Zone and Northern Gossan, which are prospects in proximity to the company’s Barbara copper project.
Syndicated aims to expand the existing JORC resource at Barbara to be sufficient enough to support a stand-alone processing facility though a planned 10,000 metre drilling program currently underway. Both targets are located within EPM16112. (Leichhardt JV - SMD 51% and management.)
The Green Zone, located about 500 metres to the northwest of the Barbara deposits was discovered and mapped by Syndicated in 2009. Visible malachite (copper oxide) occurs at surface over a 400 metre strike length along a major north trending fault.
Surface rock chip channel sampling returned intervals of up to 10 metres at 1% Cu. Results from the first two RC holes include:
- 4 metres at 1.01% Cu from 56 metres and 12 metres at 0.6% Cu from 67 metres in GZRC001;
- 5 metres at 0.78% Cu from 55 metres and 10 metres at 0.96% Cu from 82 metres including 3 metres at 1.71% Cu from 86 metres in GZRC002;
The first two drill holes into the zone (GZRC001 and GZRC002) have confirmed the presence of potentially mineable widths and grades of copper sulphide (chalcopyrite) mineralisation at shallow depths and further drilling is underway to determine the potential of the zone and the presence of any higher grade areas.
The North Gossan, also discovered by Syndicated in late 2009, is located at the northern end of the Green Zone on the northwestern end of the Barbara Fault which hosts the Barbara North Lode and South Lode copper deposits.
NGRC001 intercepted a zone of strong quartz sulphide alteration (mostly pyrite) from 18 metres depth with a six metre thick massive sulphide zone from 40 metres at the base of the intersection grading 0.18% Co at a 0.1% Co cut-off.
The company said at current copper and cobalt prices of approximately US$3/lb for copper and US$20/lb for cobalt, 0.18% Co equates to approximately a 1.2% Cu equivalent grade.
Managing Director Russell Davis said "although the copper values in NGRC001 were low (maximum 0.26% Cu) several holes including BARC043and BARC048 at North Lode reported similar cobalt rich intercepts close to high grade copper mineralisation."
”We view these results as highly significant with the strength of the sulphide mineralisation at North Gossan giving us reasonable confidence in the potential to define a cobalt resource as well as the potential to locate ore grade copper mineralisation in the immediate area."
"Further drilling, including a diamond drill hole to collect samples for metallurgical testwork, is planned as part of the current program.”
“Results to date from our 10,000 metre program continue to support our confidence in our strategic Mount Isa region tenement holdings and highlight the potential of the area for additional new discoveries,” Davis added.
At Barbara, the company said RC drilling rig has completed several extensional holes at North Lode which returned visible chalcopyrite in the chips.
A diamond rig is currently drilling step out holes at South Lode, testing for extensions of the high grade copper intersections in BADD007 released to the ASX earlier this month. The RC rig will return shortly to complete further drilling at the Green Zone and North Gossan.
The current drilling program at the Mount Remarkable project is expected to take a further four months to complete and is aimed at expanding the existing resources at Barbara as well as testing some 10 additional high priority copper- gold targets in close proximity.
Further results are expected to be available for announcement shortly with a regular flow of results anticipated to follow over the forthcoming months.