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Mining

Peel Mining’s drilling reveals depth potential of zinc-rich polymetallic project in Cobar region

Results confirm link between Wagga Tank and Southern Nights deposits and show potential for vertical continuity.

Peel Mining Ltd’s (ASX:PEX) latest drilling results add strength to the Wagga Tank-Southern Nights project being one of Australia’s most significant emerging zinc polymetallic discoveries in recent years.

High-grade zinc-rich results have been returned from drilling at Southern Nights and in the zone between it and Wagga Tank.

A strongly mineralised intercept has also been returned from Southern Nights at more than 350 metres below surface, which adds substantial down-dip continuity.

READ: Peel Mining drill results support potential for a cluster of high-grade deposits

Best result was 7 metres at 11.32% zinc, 4.92% lead, 49 g/t silver and 0.23 g/t gold within a broader 31 metre intersection from 274 metres at 3.7% zinc, 1.51% lead, 0.25% copper, 25 g/t silver and 0.19 g/t gold.

The results build on previous results from the project, which is south of the mining centre of Cobar in western New South Wales.

READ: Peel Mining establishes link between Wagga Tank and Southern Nights zinc-rich deposits, shares up

Of particular interest is the result from a hole about 300 metres south of the Wagga Tank deposit and about 500 metres north of Southern Nights deposit.

This returned 14.45 metres at 2.43% copper, 2.67 g/t gold, 123 g/t silver, 2.58% zinc and 0.87% lead from 435.55 metres.

Core samples showing massive/semi-massive pyrite-sphalerite-galena-chalcopyrite.

The hole, coupled with other holes in the intervening area, provides a link between the two deposits.

Potential for depth continuity

It also represents one of the deepest to date in the Wagga Tank-Southern Nights project area and highlights the potential for down-dip continuity of mineralisation.

This is similar to that seen in other Cobar-style deposits, which are renowned for their vertical continuity.

Mineralisation is also gold-copper rich with individual metres grading up to 5.88% copper and 8.83 g/t gold.

This possibly indicates metal zonation, which is another common feature of Cobar-style deposits.

Follow-up work planned

Follow-up drilling is planned in this corridor over the coming weeks.

Peel’s drilling at Southern Nights is also indicating a sub-vertical mineralised system with latest results returning strong deeper intersections.

Apart from the 31 metre intersection, another good result was 19 metres at 3.52% zinc, 1.11% lead, 18 g/t silver and 0.1 g/t gold from 181 metres, including 5 metres at 8.18% zinc, 3.75% lead, 46 g/t silver and 0.12 g/t gold.

Drilling is now testing the system to about 350 metres below surface.

Geophysical survey work

Additional geophysical surveys are underway to assist with future targeting.

A comprehensive review of geophysical data is practically complete while first-pass metallurgical test work is continuing.

The company has completed a drilling program and the Fenceline and The Bird prospects with assays pending.

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