Argonaut Resources NL’s (ASX:ARE) second drill hole drill, currently being drilled through the targeted zone at the Smith Dam 2 gravity anomaly within the Murdie Project in South Australia, has intercepted iron oxide copper gold (IOCG) alteration.
WLTD002 has intercepted further IOCG alteration including breccia zones with moderate to strong hematite and potassic alteration.
The continued IOCG alteration at the Smith Dam 2 target confirms the prospectivity of the West Lake Torrens gravity anomaly.
The Smith Dam gravity anomaly is within the broader West Lake Torrens Bouguer gravity anomaly.
Importantly, the presence of further IOCG alteration in the basement rocks of the West Lake Torrens gravity anomaly continues to provide encouragement to the Argonaut team.
Murdie drilling program
The 2021 Murdie drilling program has confirmed the presence of the critical prerequisites to the discovery of an IOCG deposit:
- The same brecciated, hematite alteration system as Olympic Dam, Carrapateena and Oak Dam;
- Preservation, rather than erosion, of the IOCG system; and
- The intersection at approximately the correct level within the system.
Both holes WLTD001 and WLTD002, are part of an initial 4–5-hole program, targeting residual gravity anomalies are referred to as Smith Dam 1 and Smith Dam 2.
Drill holes WLTD001 and WLTD002 intercepted IOCG alteration at approximately the level within a system that possible economic IOCG mineralisation would be expected to occur.
WLTD001 drill core has been cut and the samples are currently being submitted for assay.
Basement rocks intercepted in drill hole WLTD002 feature breccia zones with moderate to strong hematite and potassic alteration, supported by portable XRF analysis.
Brecciation is the breaking of rock into fragments that are then re-cemented by a matrix, in this case, an iron-rich matrix.
The system appears not to have been subject to destructive, ancient erosion.
IOCG-style hematite alteration and brecciation at second drill hole at Murdie Project
The second hole WLTD002 intercepted the basement at 645 metres and will be drilled to a depth of at least 845 metres.