Australian Gold and Copper Ltd (ASX:AGC) has completed its phase 2 reverse circulation (RC) program at its Cargelligo Project in the southern Cobar Super Basin of New South Wales.
The company’s RC drill program comprised 12 holes totalling 2,821 metres at the Achilles target with assays expected in late September.
This program was designed to test along strike and down dip from mineralisation intercepted in phase 1 drilling and extend to two soil anomalies located south and along trend.
“Disseminated chalcopyrite encouraging”
AGC managing director Glen Diemar said: “Our understanding of Achilles has increased remarkably, and we do like it.
“Seeing disseminated chalcopyrite is very encouraging considering the position above the EM conductor and we may be seeing the beginnings of a large fertile copper system.
“However, please understand that due to consistent rain, drilling was slow and access to favourable drill sites was limited due to boggy ground and cropping.
“As such, access to drill the most southern lead in soil anomaly was not possible.
“We plan to complete a lot more work here with further drilling of these targets and others once conditions improve.”
Location of the Cargelligo, Moorefield and Gundagai projects in relation to major mines and deposits within the Lachlan Fold Belt.
Favourable geology
AGC’s drilling above the aerial electromagnetic (EM) anomaly returned favourable geology with strong alteration and zones of disseminated chalcopyrite (copper-bearing mineral) logged in drill chips and by handheld pXRF.
Notably, the most encouraging hole logged was A3RC014 which was designed to drill as close to the aerial EM anomaly as possible with RC drilling.
This zone is planned to be the focus of phase 3 diamond drilling if assay results are favourable.
Forward plan
Assays from the phase 2 RC program across 12 holes are expected next month with results pending from downhole EM (DHEM) and aeromagnetic surveys.
AGC is planning a phase 3 diamond drill program upon receipt of assays and interpretation of results.
Given the positive drill results at the Mount B target reported last quarter, the rig has mobilised to Mount B to test underneath a historic pit and gossan.
AGC’s portfolio in the Central Lachlan Fold Belt of NSW includes Moorefield Gold Project, the Cargelligo copper-gold/base metal project in the southern Cobar Super-Basin exploring for Hera and Federation style deposits, and the Gundagai Gold Project, exploring for multi-million ounce McPhillamy’s type gold deposits.
- Ephrems Joseph