Sunshine Metals has collated multiple datasets which suggest the Liontown contact has been intensely folded. Pic: Getty Images
Sunshine Metals ready to drill exciting gold and copper targets in February
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- Historical datasets have uncovered 6km of untested stratigraphic contact near Liontown
- A further five targets are immediately adjacent to the prospective domed contact
- Drilling will begin at Tigertown next month
Special report: Gold and copper hunter Sunshine Metals is preparing for drilling at its Liontown project in Queensland, following the interpretation of a new 6km prospective stratigraphic contact that has never been tested.
The company believes that tight folding has formed a 3.5km long dome to the north of the 6Mt at 3.6g/t gold equivalent Liontown resource, part of the broader Ravenswood Consolidated project.
This has generated “first class targets”, according to Sunshine Metals (ASX:SHN) managing director Dr Damien Keys, with the identification of stratigraphic contacts a key step in the discovery of high-grade volcanogenic massive sulphide base metal deposits.
“Delineating key stratigraphic contacts is critical in VMS exploration. Our team has collated multiple datasets and propose that the Liontown contact has been intensely folded and repeats ~500m north of the current Liontown Resource,” he said.
“We believe the folded stratigraphy forms a dome geometry – the Liontown dome. The northern margin of the Liontown dome is poorly tested, with drilling limited to four 500m spaced lines of aircore drilling and 5 RC holes. Despite the broad spacing, a best intercept of 4m @ 0.65g/t Au (24m, LLRC162) demonstrates the potential fertility of the contact at Liontown North.”
Drilling will begin in February at the Tigertown prospect, one of five beyond Liontown that will be evaluated in the new round of exploration this year.
Others include Cougartown, Cougartown West, Lynx and Liontown North, which neighbour the prospective domed contact in addition to the historic workings found at Tigertown, Cougartown and Lynx.
Only ~2km of the 8km contact has been drilled at Liontown, Liontown East, Cougartown and Cougartown West with limited drilling conducted at Tigertown.
Stand out drilling results includes a 17m intersection grading 3.05g/t gold from 22m at Tigertown as well as 33m at 1.92g/t gold from 12m and a 2m intersection at 1.81g/t gold, 9.54% zinc, 2.06% lead from 54m at Cougartown.
Well-endowed province
Liontown is situated within a Queensland district that has produced over 20Moz gold and 14Mt of volcanogenic massive sulphide ore containing copper, gold, zinc and lead.
Gold was first discovered at Liontown in 1905 with geological records dating back to 1952 showing stratigraphy trending broadly east-west through the Liontown area.
Sunshine’s new concept is that the stratigraphy is tightly folded, with a fold closure located on the eastern edge of the Liontown East resource.
A second fold closure, thought to be located 2km west of the resource, is inferred from geometry of the contact as well as associated workings and from magnetic data.
While no modern IP data has been collected that would validate this western closure, the two folds form a dome like geometry, with ~8km of prospective contact along the margin.
A 2017 IP survey did not cover the western portion of the dome, but generated 30 anomalies and was pivotal in the Liontown East discovery, which now contains a resource of 1.5Mt at 4g/t AuEq.
More IP surveys are planned this year to cover the dome and refine drill targets.
This article was developed in collaboration with Sunshine Metals, 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.
