Corazon Mining (ASX:CZN) is scheduled to begin the next phase of work this week targeting nickel-copper sulphides at its Fraser Lake Complex within the Lynn Lake Project in Canada.
The Fraser Lake Complex (FLC) is an intrusive mafic body with characteristics that suggest it is prospective for hosting Lynn Lake style magmatic nickel copper-cobalt deposits.
Recent drilling has focussed on a chargeable induced polarisation anomaly within the FLC, labelled the Matrix Trend.
Recent assay results indicate that within the FLC a sulphide content of between 35% and 50% can be expected to return grades of about 1% nickel, 0.6% copper and 0.07% cobalt.
There is little doubt that the induced polarisation (IP) anomaly that defines the Matrix Trend is caused by extensive magmatic nickel-copper-cobalt mineralisation.
FLC: Similar to Lynn Lake, but twice as big
Corazon has completed two phases of core drilling within the FLC since the start of 2017, each targeting high chargeability IP anomalies.
This drilling intersected extensive magmatic nickel- copper sulphide mineralisation and there is little doubt the IP anomalies are caused by sulphide mineralisation.
The newly recognised feeder-zone into the FLC is a priority drill target known as the Matrix Trend.
The Matrix Trend is more than 1.7 kilometres in strike, of which only 400 metres has been tested with six holes to date.
Next phase of drilling at FLC
Work permits for the drilling of new priority targets have been granted and drilling is scheduled to begin this week.
The new targets are located between 300 and 800 metres southwest of the company’s completed 2017 drilling and required the new permits, which are now granted.
All holes drilled to date within the Matrix Trend reported significant sulphide mineralisation in an area Corazon now believes is peripheral to the main targets.
The new target area is within the feeder zone and closer to the FLC’s interpreted deep mantle source. The program is anticipated to take 4-6 weeks to complete.
Background
Corazon is currently actively exploring two projects, the Lynn Lake nickel-copper-cobalt project in the Manitoba Province of Canada and the Mt Gilmore cobalt-copper-gold in New South Wales.
Lynn Lake is a historic mining centre comprising a township and two historically producing nickel mines, which shutdown in 1976.
This represents both a redevelopment opportunity and good potential for new discoveries given the historical focus was mining and not exploration.
The FLC is located 5 kilometres from the Lynn Lake Mining Centre, which collectively refers to the township and two historical mines.
The FLC is a stand-out opportunity for the discovery of a new deposit.
At the Mt Gilmore project, recent drilling results have validated Corazon’s assessment of the Cobalt Ridge prospect as a unique, high-grade, cobalt-dominant deposit.
Analysis
Corazon’s discovery of nickel-copper sulphides at the FLC through recent drilling validates its potential to host significant nickel-copper sulphide deposits.
The FLC targets are now known to be fertile for nickel-copper sulphides and are similar to Lake Lynn but circa twice the size.
There are a number of factors that make this current drilling program a significant potential catalyst for Corazon’s market value.
The current drilling of the Matrix Trend is thought to be closer to the source of the mineralised feeder zone and testing IP anomalies significantly higher than previously drilled anomalies.
Furthermore, the new IP anomalies to be drilled are interpreted to be closer to the surface than those previously drilled.
Corazon believes the previous drilling has been misdirected and hasn’t focused on the main targets, which this current drill program is targeting.
The company is fully funded to pursue the next phase of exploration having recently had to close a $3 million share purchase plan early due to it being heavily oversubscribed.