Mt Cannindah delivers another massive copper hit from surface with hole 9 providing 400m @ 0.91% Cu Eq along with a signficant gold zone of 14m @ 1.65g/t from 287m

Cannindah Resources announced a significant copper intersection last week for hole 9 of the current Mt Cannindah drilling program. Hole 9 was designed to test the northern extent of the Mt Cannindah mineralisation, in an area that was previously thought to be outside the copper-gold mineralised envelope and excluded from previous resource calculations. The exploration success of this drill hole proves that the mineralisation extends further north and deeper than previously understood, boding well for the growth of the project.

In addition, high grade copper was detected in diorite breccia, a rock type that wasn’t previously thought to contain valuable grades of the mineralisation. This creates new potential for widespread copper mineralisation in other areas with the same rock type.

In a following report, the company says average metallurgical recoveries were determined using previous preliminary metallurgical test work and geological observations, while geochemical work was analysed and interpreted by geologists Terra Search.

This work established a high correlation between copper, gold and silver recovery rates resulting in a conservative recovery rate of 80% being applied for each of copper, gold, and silver.

From Cannindah Resource’s (ASX:CAE) point of view, all elements included in the metal equivalents calculation have a reasonable potential to be recovered and sold.

The company has commenced drilling of hole 10 (22CAEDD010) which will be drilled NW to further test the northern extent of the copper-gold mineralisation.

“Far more copper in the system”

Hole 9 is the longest hole ever drilled at Mt Cannindah, with copper zones skirting the northern boundary of the previously interpreted mineralised envelope.

The hole set out to extend the mineralisation at Mt Cannindah to the north and at depth, drilling for blind, copper bearing breccia.

CAE said it has done exactly that, as well as outline many other positive outcomes geologically for the project, located south of Gladstone in Queensland.

At the time, Cannindah executive chairman said the results demonstrate there is far more copper than previously recognised in the system.

“To once again have a massive copper hit from near surface at Mt Cannindah is a testament to the hard work our team has put into the planning of this drilling program,” he said.

“Having more good hits outside the previous resource block model calculation is exactly what we were after.”

This article was developed in collaboration with Fresh Equities, a Stockhead advertiser at the time of publishing. 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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