Cannindah has recently gained the attention of major copper producer Codelco. Pic: Getty Images
Major IP anomalism shows multiple copper gold resource upside for Cannindah
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- Cannindah Resources flags IP anomaly that could expand Mt Cannindah resource
- Project already hosts 14.5Mt at 1.09% copper equivalent
- Company is planning to drill test shortly
Special Report: Cannindah Resources has spotted a new Induced polarisation (IP) anomaly at its Mt Cannindah copper gold project in Queensland, which could expand the current resource – last upgraded in July to 14.5Mt at 1.09% copper equivalent.
The asset not only boasts a realistic chance of short to mid-term production but is gaining the attention of one of the world’s biggest copper producers – Chilean state-owned company Codelco.
With a view to enter into a potential transaction, last month Codelco visited the project to conduct low-impact, ground-based exploration activity and to review drill core in Townsville.
Modelling has already shown the anomaly extends to the south and west beyond the current resource area and notably, it’s of comparable size and strength to the IP anomaly over the existing Mt Cannindah resource.
It could be perfect timing for the junior to expand the resource, as nearby Mt Isa looks set to close a swathe of copper mines in the second half of 2025 – and attention is shifting to near-term producers in the region that could help fill an exacerbating supply gap and save roughly 1200 jobs.
Potential economic addition to resource
This anomaly has not been tested effectively by recent and historical drilling and represents a highly prospective target which the company plans to drill test shortly – along with other key IP anomalies proximal to the existing resource.
Cannindah Resources (ASX:CAE) says if the undrilled anomaly turns out to contain significant economic mineralisation, this could very quickly materially alter the current resource estimate at Mt Cannindah.
“We are coming into a very exciting time for the company as a major drilling program is about to commence,” MD Tom Pickett said.
“The CAE board is thrilled to see the potential for resource growth at Mt Cannindah, as we progress exploration of this project further to the south into new target zones.
“The IP targets available to the company in this southern section demonstrate its exploration upside potential.
“The scale and tenor of the IP and geochemical anomalies within the Cannindah project area support a large intrusive related mineralised system.
“CAE’s exploration efforts over the next few months will focus on drill targets where there is a high probability of success.
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.
