Argent Minerals (ASX:ARD) has begun extended reach deep diamond drilling at its Kempfield project in New South Wales to test significant identified potential at depth for high-grade zinc, lead, silver and gold.
The first of two diamond drilling rigs are on site on with an additional drill rig set to mobilise to Kempfield within the next few days.
The program will include seven holes for 3,200 metres beneath a known deposit defined by shallow historical drilling to only 120 metres, which left the majority of the deposit open at depth.
As an accelerated start, the first two holes are being drilling concurrently, with an aim to extend mineralisation at depth and obtain important stratigraphic information.
Exploration at the site has already delivered high-grade intersections, with up to 5 meters at 17.9% lead-zinc from 88 metres and 5 metres at 4g/t gold.
Both of these samples were recorded immediately west of the known deposit.
Argent’s model of the deposit predicts potential extension to existing lenses along strike, as well as the possibility of new lenses, both of which are also consistent with the characteristics of this type of deposit – volcanic-hosted massive sulphides (VHMS).
New VHMS expertise
The drilling program is being conducted under the direct supervision of Argent exploration manager, Todd McGilvray, who joined Argent in last month.
As a geologist trained by the Centre of Excellence in Ore Deposits (CODES), McGilvray will leverage his experience leading the exploration effort that resulted in the discovery of new VHMS mineralisation lenses for an additional 22 million tonnes of high-grade base and precious metals at MMG Limited’s Rosebery deposit in Tasmania.
This accomplishment extended the mine life to 88 years.
McGilvray joined Argent as the company embraced a more integrated relationship with CODES Professor Ross Large, who is often esteemed as the preeminent authority in VMS deposits in Australia.
Funding progress
Start-up of the drilling campaign follows the raising of A$771,921 in an oversubscribed share purchase plan shortfall and a $269,000 research and development claim made last week.
These two fundraisers bring cash on Argent’s balance sheet to more than $1 million.
The proceeds will be used for the drill program as well as downhole geophysics surveys for selected Kempfield diamond holes, working capital and follow up work in relation to the high resolution induced polarisation geophysics survey at the company’s West Wyalong copper-gold target (also in NSW).
West Wyalong
Recent survey work at West Wyalong has represented a major step forward in confidence and practical development of the project by defining corresponding geologic anomalies meriting further investigation.
The farm-in joint venture between Argent Minerals (Operator) and Golden Cross Resources Limited (ASX:GCR) is considered a porphyry copper-gold target with potential for a major discovery in a rich, productive area which has yielded some of Australia’s best copper-gold deposits.
Argent’s tenements in the area lie only 37 kilometres from Evolution Mining’s (ASX:EVN) Lake Cowal gold mine.
Historically, the West Wyalong goldfields produced about 445,700 ounces of gold between 1894 and 1921.
Analysis
Argent is bringing big guns to Kempfield with three drilling rigs set to turn based on a premise that historical drilling may have only identified the upper 120 metres of a series of parallel mineralisation lenses that could extend to substantial depths.
The JORC 2012 resource of 21.8 million tonnes containing 52 million ounces of silver equivalent in contained silver, gold as well as lead and zinc, may just be the start if the company's genesis model for the deposit with potentially significant implications for the Kempfield Polymetallic Project.
This sprung from a series of methodical investigations that uncovered a range of scientific evidence, including high grade lead and zinc intersections of up to 5 metres at17.9% Pb/Zn from 88 metres, and 5 metres at 4 g/t of gold, both immediately to the west of the known deposit.
Hence there are significant price drivers with the drill rigs at work and result to come, which is trading about 37% higher than early last month at A$0.026.
The strong response from both new and existing shareholders to Argent’s latest fundraiser demonstrates the strong level of sentiment for the company portfolio in a world class minerals region and the core commodities targeted.
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