Impact Minerals Ltd's (ASX:IPT) major drilling program is underway at the Commonwealth Project, located 95 kilometres north of Orange in New South Wales.
The program will cover up to 3000 metres of reverse circulation and diamond drilling, and will test a significant number of targets that have been identified by Impact at four prospects.
These include the Commonwealth deposit, Silica Hill, Welcome Jack and Doughnut.
The targets were identified in geological, geochemical and geophysical data sets collected and compiled over the past 12 to 18 months and in particular as areas of variably overlapping gravity, Induced Polarisation (IP) and soil geochemistry anomalies.
Diamond hole
One diamond hole has been completed to test a small EM conductor at the southern end of the Commonwealth deposit.
Vein and disseminated mineralisation has been intersected over a 6 metre width at the upper contact of the main rhyolite unit and is visually similar to the base metal mineralisation seen in many other holes at Commonwealth South.
Assays are expected in four to six weeks.
Massive sulphides were not intersected in the hole and the source of the EM conductor has not been found and a down hole EM survey will be required.
The survey will be completed together with other holes towards the end of the drill program.
A second diamond drill hole is in progress to test the down dip extension of the centre of the Commonwealth deposit.
Placement
The company has raised $250,000 via a placement of 10,416,667 shares at $0.024 to a sophisticated investor arranged by Patersons Securities Limited.
This follows on from the recent successful Share Purchase Plan and associated placement completed on 13 May 2016.
Investment by Squadron Resources Pty Limited
The Commonwealth gold-silver-zinc-lead project and also Impact’s Broken Hill platinum-copper-nickel project are part of the investment agreement between Impact Minerals and Squadron Resources Pty Ltd.
Squadron is part of the Minderoo Group which represents the philanthropic
and business interests of Andrew and Nicola Forrest.
As part of the investment agreement, Squadron at its sole discretion, can invest a further A$1 million into either or both of the projects to earn a 19.9% interest after Impact has spent a combined total of $2.5 million on them.
It is anticipated that Impact will meet the $2.5 million expenditure target in the September quarter 2016.
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