Stellar Resources (ASX:SRZ) has commenced drilling this week at the Williams gold prospect and at the Panama Hat gold mine, located 30km to the south of Broken Hill in NSW on Stellar’s EL 6556 (Panama Hat), to test the depth extent of mineralisation below high grade rock chip samples.
Carpentaria Exploration (ASX: CAP) has planned the 750m reverse circulation drilling program. Under the joint venture agreement, Carpentaria agreed to spend $1.0 million by 30 October 2012, in order to earn a 51% interest.
Five drill holes will test the Williams prospect and projected strike extent of the mineralised target horizon below sand cover to the northeast. Another two holes will test the Panama Hat mine.
Stellar has recently completed its six hole drilling program at the near surface Queen Hill mineralization within the Heemskirk Tin Project in Tasmania, confirming the presence of a high grade tin zone.
Stellar holds a 60% interest in the Heemskirk Project with joint venture partner Gippsland (ASX: GIP) and can increase its holding to 70% by completing a feasibility study.
Stellar had A$1.93 million cash at the year ended 30 June and has a market capitalisation of A$10.43 million. Stellar shares are currently trading at 11 cents.