Argonaut Resources NL (ASX:ARE) has been granted a trading halt by the ASX ahead of a capital raising announcement.
The halt will remain in place until the start of regular trading on Tuesday, June 15, or until an announcement is released to the market, whichever occurs earliest.
Murdie Project drilling
Argonaut recently reported that drilling at its Murdie Project in South Australia intersected a highly prospective iron oxide copper-gold (IOCG) alteration system.
The intensity of alteration from the first hole of the current drill program to target IOCG mineralisation defined by large gravity anomalies has indicated that the hole is 300-1,000 metres from possible copper mineralisation.
Mobilisation to the second drill target, Smith Dam 2 is now in progress.
Confirmation of IOCG geology
The company was pleased by the presence of an IOCG alteration system in the first-ever drill hole into the West Lake Torrens gravity anomaly, and have now established that the basement rocks host a prospective, hematite-rich IOCG system.
Argonaut is confident that it is the perfect time in the commodities cycle to be drilling for large, high-grade copper deposits.