Resources Top 5: Visible gold, a Boda lookalike and ‘something very big’ on the radar
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Here are the biggest small cap resources winners in early trade, Tuesday May 4.
Odyssey Gold shares more than doubled in early morning trade on news it had encountered “significant visible gold” in the maiden diamond drill hole at its Bottle Dump deposit in Western Australia.
The project sits in the state’s resource-rich Murchison region.
Odyssey says it is the first ever drilling in an untested area and it indicates a second mineralised domain, parallel to the mineralisation in the main mine banded-iron formation sequence.
“The impressive visible gold intersected at Bottle Dump confirms the strong potential of the Bottle Dump trend to host high-grade gold mineralisation,” executive director Matt Syme told investors this morning.
Syme said the visible gold in hole TCKDD0003 and the intercept of 13m at 3.9 grams per tonne (g/t) in hole TKRC0014 had extended known gold mineralisation over 100m to the east of the Bottle Dump pit.
“The potential extent of the Bottle Dump trend is up to 3km and the known gold mineralisation is open to the east and west and at depth,” he added.
WA is certainly delivering the gold goods for junior explorers today.
Great Boulder reckons it is sitting on something very big at its Blue Poles prospect, part of its Whiteheads project.
Zones of primary gold mineralisation have now been confirmed over 450m of strike at the prospect and mineralisation remains ‘open’ at depth and along the Arsenal trend to the north.
‘Open’ just means Great Boulder hasn’t yet found the edges of this potentially very large deposit.
Reverse circulation drilling delivered top hits of 40m at 1.15g/t gold from 44m, including 24m at 1.54g/t; 40m at 1.03g/t from 40m, including 16m at 1.4g/t; and 15m at 1.02g/t from 65m.
The uranium outlook is getting more bullish, so this $160m market cap explorer could be catching the eye of investors.
It also helps that managing director Brandon Munro has been accumulating more stock. Late last week he dropped another $32,500 on adding another 250,000 shares to his portfolio by way of an on-market buy.
Bannerman’s Etango-8 project in Namibia has been ‘reimagined’ as a smaller scale mine initially, but with the ability to ramp up production as demand improves.
The company is on track to complete a pre-feasibility study for the project in the June quarter.
(Up on no news)
Another junior goldie piquing investors’ interest, and (not surprisingly) also has a gold project in WA.
This $10m market cap minnow recently drilled a bunch of holes at its Southern Cross project, located in the Southern Cross greenstone belt mining region that has historically produced around 15 million oz of gold.
Preliminary results from the Axehead, Battler North, Xantippe and Glendower North prospects showed broad mineralised zones.
Xantippe is now working to generate a geological model to prioritise drilling targets.
Although it doesn’t have any news today, Magmatic Resources appears to have its own potential Boda lookalike right next door to Alkane Resources (ASX:ALK) in NSW’s Lachlan Fold Belt.
The company said on Monday drilling at its Wellington North project had upgraded the “Boda-style” gold-copper targets.
The project is located north of Australia’s largest producing gold mine, Newcrest Mining’s (ASX:NCM) Cadia East, and effectively surrounding Alkane’s Boda gold-copper discovery.
Drilling has extended and upgraded target zones at the Lady Ilse and Rockleigh gold-copper prospects.
Magmatic said multiple >0.1g/t gold and >500 parts per million copper regolith anomalies were identified and considered significant for bedrock gold-copper potential.