Cannindah Resources drilling for more high-grade copper-gold near hits like 493m @ 1.17% Cu Eq

Cannindah Resources starts drilling to define more high-grade copper-gold at its Mt Cannindah project
Drilling will test the Southern Breccia IP anomaly associated with the resources in the Main Breccia anomaly
Holes will also be drilled at the large southwest IP anomaly ~700m from the existing resource area

Special Report: Cannindah Resources has kicked off drilling aimed at defining additional high-grade copper-gold mineralisation within the Southern Breccia induced polarisation anomaly at its Mt Cannindah project in Queensland.

The drilling follows the company upgrading resources in early July to 14.5Mt grading 1.09% copper equivalent, a sizeable resource in the context of Australian copper discoveries.

Cannindah Resources (ASX:CAE) notes the extensional targets have been identified to be a significant and connected system of IP chargeability anomalism associated with the current resource in the Main Breccia anomaly.

Drilling will also test the large southwest IP anomaly ~700m from the existing resource area that could represent a new discovery.

“The commencement of drilling operations is a key milestone in the further development of the Mt Cannindah tier-one resource asset. With robust geological data and a strong resource base, we are well positioned to unlock further value for our shareholders,” managing director Tom Pickett said.

“The quick delivery of the commencement of this program is a testament to our commitment to delivering on the immense future potential in the scale of the Mt Cannindah project for the benefit of all shareholders.”

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Near-term development

Mt Cannnindah grants CAE the opportunity to establish production in the short-term through established infrastructure just 100km from the port of Gladstone.

The existing resource starts from surface, which translates to low-cost mining, and is open in all directions, meaning that more exploration will likely deliver resource growth.

Besides the current drilling, the company plans to carry out further exploration at the Cannindah East area ~500m east of the resource along with further work on the Eastern IP anomaly.

It is also seeking a larger porphyry bounty at depth, something that has piqued the interest of Codelco, one of the world’s largest copper miners.

The extraordinary potential of Mt Cannindah has been illuminated by its disclosed ongoing discussions with the state-owned Chilean miner, which has picked the project out as a potential first foray outside the South American copper hotspot.

This article was developed in collaboration with Cannindah Resources, 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.