PNX Metals puts its foot on more prime NT exploration ground
Mining & Resources
Examination of PNX drill cores. Pic: PNX Metals
Special report: PNX Metals is compiling an enviable landholding in one of the most geologically prospective parts of the Northern Territory as it ramps up the hunt for more high-value deposits to complement its flagship Hayes Creek zinc-gold-silver project to the south of Darwin.
The Hayes Creek project, where a prefeasibility study completed in June 2017 highlighted a robust and highly profitable operation with an initial mine life of seven years, contains a high-grade mining inventory of 177kt of zinc, 227koz of gold and over 16.2Moz of silver.
PNX (ASX:PNX) has just announced will acquire a 90 per cent interest in three exploration licences that together form the Kilfoyle project in the Litchfield area of the NT, 80km to the west of Hayes Creek, bringing its NT portfolio to about 2,000 sq km of highly prospective exploration tenure.
The Kilfoyle project lies along a fertile geological structure that hosts the Savannah nickel-copper-cobalt deposit, the Argyle diamond mine and the Browns lead-cobalt-copper-nickel deposit among others.
It is prospective for a range of commodities including zinc-lead-silver, lithium-tin-tantalum, nickel-copper-cobalt and gold.
This acquisition adds to the four Mineral Leases acquired in January at Fountain Head, where PNX plans to build the Hayes Creek processing plant.
“We are pleased to have secured this highly prospective exploration tenure within trucking distance of our Hayes Creek zinc-gold-silver development project,” said PNX managing director James Fox.
“The variety of opportunities presented, both in terms of commodities that can enhance our existing development plans at Hayes Creek and commodities that can provide us with exposure to the electric vehicle revolution, is significant.”
PNX believes there is strong potential to discover zinc-rich volcanogenic massive sulphide deposits on the Kilfoyle tenements as the same stratigraphy that hosts the zinc and copper-rich Daly River Mineral Field extends into PNX’s new tenure.
The VMS and nickel-copper-cobalt potential will be PNX’s initial focus, with the company intending to commence ground-based reconnaissance immediately, before flying airborne geophysics and then progressing to drill the most promising targets.
The company is also scheduled to commence drilling at Fountain Head shortly, where it believes the Fountain Head lodes “represent the near-surface expression of a larger and previously overlooked gold system”.
Drilling will follow up on open historic high-grade gold intersections such as 26m at 17 grams of gold per tonne from 139m and 7m at 9.3g/t from 144m.
Along with the planned exploration programs, the Hayes Creek definitive feasibility study is in progress and due for completion in the second half of 2018.
This special report is brought to you by PNX Metals.
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