Proactive Investors - Run By Investors For Investors

Castillo Copper appoints drill contractor for Cangai program

Drilling will commence once regulatory approvals have been sought.
Map of Australia showing project locations
Cangai is one of Australia’s highest grade copper resources

Castillo Copper (ASX:CCZ) has appointed Gnomic Exploration Services to oversee a 2,250-metre reverse circulation drilling program at its Cangai Copper Mine in New South Wales.

This will be Castillo’s inaugural drilling campaign at Cangai which has a JORC Inferred Resource of 3.2 million tonnes at 3.35% copper.

Castillo was able to recently compile the JORC resource using historical exploration data and the upcoming campaign will aim to expand upon that resource.

There are three phases to the drilling program with the initial focus on confirming supergene ore along the unmined working sections.

READ NOW: Castillo Copper upcoming drill program has shares rising

To complement the drilling program, two separate contractors have been appointed to undertake a drone aerial photography and topographic survey and a fixed loop electromagnetic (EM) survey.

Alan Armstrong, director, commented

“Once all regulatory approvals are through, the drilling campaign will commence to determine the extent of copper-gold-silver mineralisation within and external to the JORC modelled boundary.

“At this juncture, our geologists are optimistic that there will be a material upward revision to the resource size once it is 3D modelled.

“The recent assay results support this view, as they unearthed excellent high-grade material, with gold being no exception recording up to 1.7 g/t gold.

“Moving forward, Jackaderry North will become a primary cobalt target as, encouragingly, further evidence suggests cobalt mineralisation is more widespread than initial evidence implied.”

Three phase drill program

The initial phase focuses on confirming supergene ore along the unmined working sections.

Drilling will test the along strike and width extensions of the modelled lodes as well as the mineralisation halo between the lodes.

This will determine the extent of high-grade copper mineralisation within JORC modelled boundary as well as the lower grade (1-3% copper) mineralisation along the shear zone and between the high-grade lodes as identified in the field.

Phase 2 will focus on infill resource drilling aiming to upgrade a majority of the resource to the Indicated JORC category.

The closing phase of the drilling program will utilise deeper core holes to target deeper sulphide anomalies determined by the EM survey.

Cobalt target

The Cangai Copper Mine is located within the Jackaderry Project, which also hosts emerging cobalt targets.

Further geological modelling at Jackaderry North suggests contiguous cobalt mineralisation trending in from Corazon’s (ASX: CZN) tenure.

Corazon has been progressing a drilling program at its Mt Gilmore project which returned cobalt assay results ranging from up to 2.47% cobalt.

Post the Cangai drilling program, Castillo’s geology team will place greater focus on Jackaderry North and spend more time evaluating the extent of cobalt mineralisation, which is already proven extensive at surface.

View full CCZ profile View Profile

Castillo Copper Ltd Timeline

Related Articles

Out in the field in WA
October 31 2018
The company expects to make imminent works approval and licence applications to the WA Government.
1544472364_oil-worker-silhoette.jpg
Tue
MGX is focused on mining, water (including mineral extraction from brines, eg, lithium) and battery mass storage
Aircore drilling efforts by workers in Mali during the 2017-18 field season
November 09 2018
The company will pick up drilling at its projects which have delivered high-grade African gold.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use