Impact Minerals Limited (ASX:IPT) is confident of adding further resources to the 110,000-ounce gold bounty at its flagship Commonwealth precious and base metals project north of Orange in Central West NSW.
After transactions involving two non-core assets, the company has focused more on its three main projects – Commonwealth, Blackridge Gold Project in Queensland and Mulga Tank Gold-Nickel Project in Western Australia.
Pilbara project sold
The Pilbara conglomerate-hosted gold project in WA has been sold to Pacton Gold Inc (CVE:PAC) while a joint venture is being advanced with BlueBird Battery Metals Incorporated (CVE:BATT) over the Broken Hill project in NSW.
Trio of projects
At Commonwealth recent drilling has hit high-grade gold and enabled the company to identify a new massive sulphide body.
Further drilling is required to further define both prospects and Impact plans to update the resource model by the end of the March quarter of 2019.
In central Queensland, near Clermont, Impact has completed a trial bulk sampling program aimed at determining processing options for the Blackridge conglomerate-hosted gold project.
The 8.5 tonnes of samples cover the likely range of ore processing properties with suitable examples to be wet processed in a facility in Queensland within a month.
At the Mulga Tank project northeast of Kalgoorlie, the company has been undertaking reconnaissance aircore drilling testing for gold as well as nickel-copper-cobalt mineralisation.
Five gold targets and three nickel-copper-cobalt targets, all identified in magnetic and gravity data, are being tested.
Impact’s refined strategy has been acknowledged by substantial shareholder German-based ABC Beteiligungen AG, which increased its stake to 14.4% through a series of on-market share purchases.
Deutsche Balaton Aktiengesellschaft, a holding company of ABC Beteiligungen, acquired shares worth around $1.868 million in on-market trades in July and August.
The Heidelberg-based company, along with its related entities, now hold more than 190 million shares.
Managing director Mike Jones said, “This is a strong sign of support from our German shareholder ABC Beteiligungen AG and the investments allow us to continue our exploration programs.”
The Commonwealth project, which is 100 kilometres north of Orange, is within a belt that hosts many major gold-copper mines, including the Cadia-Ridgeway deposits that contain at least 25 million ounces of gold and 5 million tonnes of copper.
Concept map of Commonwealth project.
Impact’s project hosts an inferred resource of 720,000 tonnes at 2.8 g/t gold, 48 g/t silver, 1.5% zinc, 0.6% lead and 0.1% copper, which the company is confident of growing.
Updated resource estimate scheduled
An updated resource estimate is expected, incorporating the recent high-grade results from six diamond drill holes and a maiden estimate for the Silica Hill prospect.
The results have confirmed significant extensions to mineralisation at this prospect along with Main Shaft, with both still open along trend and at depth.
All four holes at Main Shaft intersected varying widths of massive and/or semi-massive sulphide mineralisation at the upper eastern contact of the Commonwealth porphyry.
Recent results from the Commonwealth project.
A second massive sulphide body has also been identified at Main Shaft directly below the lower western contact of this porphyry.
It is the first confirmed presence of a high-grade gold-rich massive sulphide unit below the porphyry.
At Silica Hill two diamond drill holes confirmed extensions to gold and silver mineralisation for 200 metres to the east and mineralisation is open down plunge.
At Blackridge, samples were collected at or near the gold-bearing contact (unconformity) between an upper younger unit of Permian conglomerates and a lower unit of schist, part of the older Anakie Metamorphic Group.
Three sample types identified
Three main sample types have been identified – free-digging samples; hard indurated (solid) rock; and clay-rich samples – with the majority comprising free-digging material of friable conglomerate.
It is evident that large volumes of this material are present on Impact’s licences.
Location and geology of the Blackridge project.
Work in the emerging conglomerate-hosted gold province of the Pilbara in WA has shown that very large samples may need to be processed in order to overcome the significant ‘nugget effect’.
This is a major factor in the exploration for this style of deposit and Impact has shown that the nugget effect was an important factor in previous Blackridge exploration drilling.
The 91 square kilometre includes a new fully granted mining lease, ML2836, in the centre of the project area, subject only to Ministerial consent, which is expected within about four weeks.
This lease is being acquired from a local prospector for cash payment of $30,000 and replacement of environmental bonds of around $7,000.
The location of the new lease (ML2386) in relation to the Blackridge mining centre.
Progress is being made on the grant of four mining lease applications under option from Rock Solid Holdings Pty Ltd and a compensation agreement with the landowner while Native Title negotiations are underway.
At the Mulga Tank project in WA, Impact’s reconnaissance aircore drilling of five targets has been testing for gold as well as nickel-copper-cobalt.
Previous work showed that the mineralisation style in the greenstone belt is similar to that hosting 1 million tonnes of contained nickel at Perseverance and more than 2 million tonnes at Mt Keith, both near Leinster.
In golden territory
The project area, 200 kilometres from Kalgoorlie, also occurs in the same geological terrain as the recently discovered Gruyere deposit, containing more than 5 million ounces of gold.
Two of the gold targets are conceptual analogues for Gruyere-style gold mineralisation, with gold in quartz veins within a layer parallel to granite intrusion.
The other three targets occur over notable deflections in structures and with evidence of anomalous gold from previous explorers.
The three nickel targets were identified as prospective for komatiite and dunite-hosted nickel sulphide mineralisation.