(MENAFN- ABN Newswire) Perth, Dec 13, 2017 AEST (ABN Newswire) - Emmerson Resources Limited ("Emmerson") () is pleased to announce preliminary results from two of the drill holes at its Kadungle, Mt Leadley prospect in NSW, where Emmerson can earn up to an 80% interest from Aurelia Metals by spending $0.5m over a five-year period. Kadungle and the adjacent Fifield tenements are one of four major projects held by Emmerson Resources in the highly prospective yet under explored Macquarie arc in NSW (see Fig 2 in link below). Whilst this arc hosts world class deposits of gold and copper-gold, it remains underexplored, mainly due to the challenges of exploring under younger cover. Emmerson and strategic alliance partner, Kenex Limited aim to validate a new approach to predicting the next big copper-gold discoveries in the region. This approach is probability based and utilises multiple independent data sets that are tested with respect to the known deposits to mitigate the challenges of exploring under cover.
- Early results from the first of the eight holes, 2000m drill program intersects extensive alteration and visible copper sulphides
- Drilling is still underway on the second drill hole with visible copper sulphide mineralisation increasing with depth
- The drilling is testing targets generated from the deep penetrating, Induced Polarisation geophysical survey combined with geological and alteration studies that point to a large underlying alkalic porphyry copper-gold system, with shallow epithermal gold veins over some 4km2
- A second drill rig will commence on a 5-hole program, some 2km north at the Trig prospect where gold in epithermal veins has recently been identified
Utilising this approach, Emmerson has picked up four large projects in what we believe are highly prospective areas for both shallow epithermal gold and deeper copper-gold. Exploration is underway across all four, with Kadungle being the most advanced.
Kadungle NSW - Drilling in Progress (see figure 3 in link below)
A recently completed IP geophysical survey and alteration mapping at the Mt Leadley prospect within the Kadungle project confirms the potential for shallow gold and deeper copper-gold mineralisation. The IP anomalies are apparent across five consecutive lines, over 1km in extent and within a previously identified zone of magnetite destruction (Fig 4). This is the first systematic exploration on this project and although there has been previous but limited drilling, this recent work extends the shallow gold and deeper copper-gold potential, particularly as most of the anomalies remain untested.
Drill hole KDD017 (still in progress) is aimed at testing both the IP and the increase in rank and intensity of alteration and copper mineralisation with depth, as the causative intrusion(s) is approached (see figure 5 in link below). This is supported by observations from the drill core (visible only) with shallow silicification and sericite-pyrite alteration, to pervasive chlorite-hematite, and now to deeper k-spar-pyrite-quartz-chalcopyrite. The increasing density of chalcopyrite - pyrite +/- quartz veins (visible estimates of 3 to 8 volume % of the drill core) with depth along with k-spar alteration is consistent with this model. The drill hole is currently at 525m down the hole (~450m below the surface) and still in mineralisation.
Drill hole KDD016 tested both shallow resistivity and chargeability anomalies within a broad zone of magnetite destruction, interpreted to represent hydrothermal fluids focussed within fault bounded breccias. The alteration mapping (ASD) from sparse historical drill holes support increasing alteration rank and intensity within this breccia and at depth. Pleasingly KDD016 confirms this zonation where alteration assemblages of quartz (silicification), chlorite, hematite and sericite also containing up to 25% fine disseminated pyrite is cut with intermittent veins of quartz-pyrite-chalcopyrite (visible estimates of less than 5 volume % of the core) (see figure 6 in link below).
Site preparation has now been completed at the Trig prospect ahead of mobilising a second drill rig later this week (access and weather permitting). This 5-hole program is aimed at testing the extent of gold in epithermal veins recently mapped on the surface and undercover by a Gradient Array Induced Polarisation (GAIP) survey. Note this prospect is some 2km north of Mt Leadley and has never been drill tested before - and if related provides an indication of the possible scale of the Mt Leadley-Trig mineralisation which puts it on scale with other similar deposits in the belt.
Drilling is anticipated to be finished prior to Christmas and assay results will be available in late January to early February 2018.
Emmerson's Managing Director, Mr Rob Bills commented:
"These early results at Mt Leadley, although preliminary, are very encouraging in confirming the existence of a large mineralised copper-gold system within our Kadungle tenements. The alteration and mineralisation from the drilling is consistent with our exploration model of a buried (oxidised, silica undersaturated) alkalic porphyry system which typically has great potential for not only copper but also associated gold - note assays will be required before the grade is established.
Drill hole KDD017 whilst still in progress, is encountering increasing intensity and rank of alteration plus copper mineralisation with depth. Drilling will continue on two shifts and a further rig is scheduled to commence at the Trig prospect later this week.
Whilst still early days in the program, we are optimistic given both the depth extent as revealed in drill hole KDD017 and size of the footprint of magnetite destruction at both Mt Leadley and Trig.
These positive results at Kadungle have implications to the rest of Emmerson's NSW projects, given they were targeted utilising the same parameters and methodology.
About Kenex
Kenex is a Wellington and West Australian based company which was established in 2002 to provide GIS and exploration services and advice for the exploration and mining industries in Australia and New Zealand. Over the last 10 years, Kenex has broadened their international experience through involvement with projects and clients in the Middle East, Africa, Scandinavia, Asia-Pacific and Latin America. Kenex is a group of highly motivated research professionals who have more than 85 years of combined experience and knowledge in exploration and mining, locally (New Zealand/Australia) and abroad, including the Solomon Islands, Africa, Papua New Guinea, Asia and Latin America. Kenex also has growing expertise in the marine minerals sector.
Kenex specialises in predictive modelling for minerals (2D and 3D) where it is at the forefront of providing these services to businesses to generate targets with the greatest geological potential in relation to the mineral system being evaluated. This delivers to our client's outcomes which can be used for a variety of purposes including regional evaluation of a mineral belt, identification of opportunities for acquisition, the tools for effective exploration work programme planning and in the case of predictive 3D modelling, drill hole targeting.
About Aurelia ()
Aurelia Metals Limited is an Australian gold, silver, lead and zinc mining and exploration company. The Company operates the wholly-owned Hera gold and base metal mine, in Central West New South Wales and has a key development opportunity in the Nymagee Copper, lead, zinc project, some 5 km north of Hera. In FY17, the Company produced 45,679 ounces of gold and 32,308 tonnes of lead-zinc concentrate.
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About Emmerson Resources Limited
() (FRA:42E) is an ASX listed gold resource company that recently (July, 2014) secured a landmark Joint Venture agreement with ().
- Has an aggressive exploration program and dominant position in the world class Tennant Creek Mineral Field.
- Is applying new exploration concepts and technologies to unlock the next generation of gold and copper deposits.
- Owns the only carbon-in-pulp gold plant in the region.
- Has an experienced Board and Management team.
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