Core Exploration's (ASX:CXO) shares are set to rise after kicking off copper exploration at its wholly-owned tenements in the Jervois region in the Northern Territory north east of Alice Springs.
Adding significant interest to drilling is that Core's adjacent EL 29581 is just 500 metres west of KGL Resources' (ASX:KGL) hit of 13 metres at 5.75% copper, 23.2g/t silver and 0.32g/t gold from 20 metres, announced yesterday.
KGL's shares have more than tripled already this month.
Core has reviewed the previous exploration on its own tenements following the success of KGL, and is planning soils and reconnaissance mapping and sampling this quarter to identify potential copper drill targets.
The company will focus on the underlying Bonya Schist which hosts much of the copper and polymetallic mineralisation at Jervois.
Core’s exploration will also build on the collaborative research by the Northern Territory Geological Survey (NTGS) and a CSIRO led Centre of Excellence using ASTER (Advanced Spaceborne Thermal Emission and Refection Radiometer) data.
This data led to KGL identifying new copper mineralisation in the Jervois region.
Analysis
Considering Core's light market cap. of just $5 million, with exploration kicking off near the KGL hit of 13 metres at 5.75% copper, it is leveraged to any exploration success.
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