Peel Mining Ltd (ASX:PEX) has hit up to 22.54% zinc in infill drilling that has confirmed the continuity of high-grade mineralised zones at the Wagga Tank-Southern Nights Project south of Cobar in New South Wales.
The best result was 23 metres from 224 metres at 22.54% zinc, 12% lead, 0.25% copper, 200 g/t silver and 1.42 g/t gold, including 16.35 metres at 28.09% zinc, 15.77% lead, 0.26% copper, 270 g/t silver and 1.80 g/t gold from 224.75 metres.
Recent drilling links to previous high-grade intersections both down dip and along strike, confirming over 180 metres of strike and from 120 metres below surface to at least 350 metres.
Shares were up almost 6% to 46 cents in early trade.
Another hole intersected 9 metres at 19.91% zinc, 9.55% lead, 0.17% copper, 220 g/t silver and 0.36 g/t gold from 336 metres, including 5.4 metres at 29.26% zinc, 13.97% lead, 0.22% copper, 326 g/t silver and 0.45 g/t gold from 337.2 metres.
This result confirms continuity between the shallower mineralisation previously reported in one hole and deeper mineralisation in another hole, about 170 metres down dip.
A hole drilled on an infill section in the south of the central zone returned:
17 metres at 10.36% zinc, 6.05% lead, 0.60% copper, 401 g/t silver and 1.86 g/t gold from 181 metres, including 3 metres at 16.67% zinc, 6.78% lead, 1.04% copper, 437 g/t silver and 0.76 g/t gold; and
2.9 metres at 30.34% zinc, 18.24% lead, 0.19% copper, 415 g/t silver and 0.38 g/t gold from 193 metres.
Drilling so far has defined the approximate dimensions of the high-grade mineralisation.
Detailed structural geochemical studies are also underway to further develop the geological model in preparation for a maiden mineral resource estimate which is expected to be completed in June.
This work will also assist in future drill targeting of additional high-grade zones in this large mineralised system with Peel Mining focusing on defining the high-grade component to fast track any potential economic assessments and production scenarios.
Wagga Tank is about 130 kilometres south of Cobar on the western edge of the Cobar Superbasin.