Strategic Energy Resources and Fortescue round out first field season at Canobie in search of Ernest Henry 2.0
Special Report: Strategic Energy Resources and JV partner FMG Resources tick off 3,000m of drilling at Canobie in their quest to find the next major IOCG discovery in north-west Queensland.
Strategic Energy Resources (ASX:SER) and joint venture partner FMG Resources, a wholly owned subsidiary of Fortescue (ASX:FMG), have completed the first field season at the Canobie project in Queensland after testing three Ernest Henry-style IOCG targets.
Canobie sits within the same geological domain as Evolution Mining’s (ASX:EVN) Ernest Henry operation to the south, as well as the Mount Margaret, Eloise and Roseby copper-gold deposits.
Ernest Henry is one of the largest copper reserves in the world and holds the potential to contain additional deposits.
SER has been working hard over the last few months at Canobie where it hopes to uncover an Ernest Henry 2.0.
Three geophysical targets – Wondoola, Apollo Bore and Sundance – were tested by diamond drilling in a 3,300m program, with planning already underway for the 2024 field season.
At Wondoola, drilling targeted the terminus of a northward striking chonolith
(intrusive body) interpreted to be a favourable setting to host higher tenor sulphide mineralisation.
The Wondoola prospect was one of several prospects identified at Canobie that have both prospective intrusion geometries to host sulphide mineralisation and significant magnetic vector anomalies that may contain massive monoclinic pyrrhotite.
Multiple targets with similar gravity and remanent magnetic responses remain untested within the project area.
Rotary-mud drilling was used in the cover sequence until the basement was intersected, and the hole was cased-off for diamond drilling.
Minor copper anomalism associated with IOCG-type alteration was intersected with assays pending for the remaining prospects.
“To complete over 3,000 metres of drilling within the shortened season is a remarkable effort by everyone involved,” SER managing director David DeTata says.
“We are highly encouraged by what we have seen in the drill core already and planning is well underway for the coming field season which will include geophysical surveys to advance the next round of prospects towards drill ready status as we continue the search for the next major discovery in Northwest Queensland.”
Meanwhile, core from both the Apollo Bore and Sundance prospects have been orientated and geologically logged with systematic collection of petrophysical measurements for the entire cored section of the drillholes.
A combination of 1m and 2m composite samples of half core will be sent to ALS Laboratories for full geochemical analysis using fire assays.
Assays from Apollo Bay and Sundance are expected in mid-January 2024, at which time the core will be relogged and all datasets collected from the drill holes will be used to refine the exploration model, SER says.
Steps have already been undertaken to identify and plan additional geophysical surveys in the new year to enhance the understanding of the project area prior to the on-ground drilling season where SER anticipates several selected high priority targets will be drill tested.
This article was developed in collaboration with Strategic Energy 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.