Sipa Resources Ltd (ASX:SRI) remained focused on its portfolio of Western Australian assets throughout the December 2020 quarter, in-line with its strategy to concentrate on large-scale ground holdings in underexplored areas.
At the Wolfe Basin Base Metals Project in the Kimberley region mineralisation was identified in several horizons during a nine-hole reverse circulation (RC) drilling program, including at shallow depths with an encouraging result of 1 metre at 2.9% lead.
Further targeting will now be undertaken to determine potential locations for thicker and higher-grade accumulations of sulphides, and the best geophysical techniques to locate these prior to additional drill testing.
Warralong Gold Project
At the Warralong Gold Project in the northern Pilbara region, a drill targeting program was completed based on interpretation of the detailed aeromagnetic survey, which was undertaken in September 2020.
The program resulted in several target areas being identified for follow-up in 2021 upon grant of the tenements, which has been slowed by restrictions on the Native Title advertising process.
This process has, however, recommenced with an anticipated grant date in early Q2, 2021.
Skeleton Rock Project
Skeleton Rocks is considered prospective for gold and nickel-copper-platinum group element (Ni-Cu-PGE) deposits.
In Q3 2020, four separate tenements were pegged with a combined area of more than 800 square kilometres to the west of the Southern Cross greenstone belt, and 30 kilometres southwest of the mining centre of Marvel Loch.
The project area contains several interpreted shallowly covered greenstone belts visible on open file magnetics and gravity, with limited to no drilling ever completed in these areas.
Sipa’s planned aeromagnetic survey at the project has been further delayed by contractor aircraft mechanical issues, and the survey is now planned for late January 2021.
The tenements are still awaiting grant, and this delay will not affect Sipa’s timing for drilling any targets that may be generated from the survey.
Paterson North Project (Rio Tinto farming-in)
A 1,267-line kilometre helicopter-borne EM survey was completed during the quarter at the Paterson North Project.
This work was completed as part of the current farm-in and joint venture agreement with Rio Tinto Exploration Pty Ltd.
Results will be processed and analysed to assist in firming up drill targets for testing in 2021.
Acquisition of Murchison Gold Project Project
In November, Sipa announced the execution of several farm-in and joint venture agreements over tenements prospective for gold mineralisation in the Murchison area of Western Australia.
The agreements give Sipa immediate access to granted tenure in a highly prospective part of the Western Australian Goldfields, with recent discoveries and adjacent consolidation activity underway.
Sipa’s focus is to finalise the necessary approvals and commence drilling as soon as possible in this prospective region of the WA Goldfields.
The Murchison project represents an excellent opportunity for the company to establish a ground position and explore for gold in a prolific district with good access, nearby infrastructure, and high levels of nearby activity.