Magmatic Resources Ltd (ASX:MAG) is drilling for a tier-1 gold-copper discovery at its advanced portfolio of targets in East Lachlan, New South Wales.
East Lachlan has an endowment of more than 80 million ounces of gold and 13 million tonnes of copper.
It is most famous for Newcrest Mining’s world-class gold-copper porphyry cluster at Cadia Valley District, where currently the Cadia East Mine represents Australia’s largest gold mine and one of the world’s most profitable gold producers.
Magmatic’s three projects in the East Lachlan (Wellington North, Myall and Parkes)
Wellington North Project (gold-copper)
Magmatic’s 100%-owned Wellington North Project covers the northern extension of the Molong Volcanic Belt, north of Australia’s largest gold mine, Cadia East.
The company’s three Wellington North tenements effectively surround the recent Boda gold-copper discovery by Alkane Resources Ltd (ASX:ALK), with the Lady Ilse target located ~8 kilometres and Bodangora Gold Field targets about 3 kilometres southwest.
The Bodangora tenement encompasses the historical Bodangora Gold Field, where high grade gold mining occurred with recorded production of 230,000 ounces at 26g/t gold between 1869-1917.
Lady Ilse diamond drilling
Recent drilling at Lady Ilse has returned broad zones of gold-copper anomalism typical of the upper levels and margins of Boda-style epithermal-porphyry mineralisation.
The identification of strongly developed albite alteration and fertile high phosphorous porphyry bodies associated with the anomalism is considered strongly encouraging for a large epithermal-porphyry system in the Lady Ilse district
Future drilling activity will focus on the open northern and north-western extents of the target zone.
Historical high-grade Bodangora Gold Field
The Bodangora Gold Field offers significant exploration opportunities to Magmatic.
The two main mines at Dicks Reward (40,000 ounces gold) and Mitchells Creek (190,000 ounces gold) were developed to a depth of 150-300 metres between 1869- 1917, shallow by modern mining standards.
Access to the mines was gained by Cluff Minerals in the late 1980’s whereby underground channel sampling returned very high-grade gold in the remaining mine walls.
The application of modern exploration techniques and drilling immediately below the mine workings offers a significant opportunity to define further high-grade gold resources.
Drill planning underway at Dicks Reward (Bodangora Gold Field)
Recent review and 3D evaluation of the historic Dicks Reward Gold Mine workings within the wider Bodangora Gold Field has highlighted several priority down dip / plunge extension drill targets.
Dicks Reward drill targets are enhanced by underground channel sampling of remaining (unmined) material indicating high-grade gold including 0.63 metres at 31.3g/t gold.
Drill planning is progressing well with access and statutory permitting underway.
Drill planning underway at Mitchells Creek (Bodangora Gold Field)
Recent review and 3D evaluation of the historical Mitchells Creek Gold Mine workings within the wider Bodangora Gold Field has highlighted several priority down dip / plunge extension drill targets.
Drill planning is progressing well with access and statutory permitting underway.
Myall Project (copper-gold)
Magmatic’s 100%-owned Myall Project (EL6913) covers 244 square kilometres of the northern portion of the Junee-Narromine Belt, within the East Lachlan.
The area is considered strongly prospective for Northparkes style copper-gold porphyry and epithermal gold mineralisation.
Drill permits received for follow up drilling at Kingswood Corridor
Ongoing exploration activity indicates strong geological, geochemical and geophysical similarities between the Myall District and Northparkes Mining District, located 60 kilometres south.
The Northparkes mining operation, operated by CMOC Mining Ltd and Sumitomo Group, represents a large scale, low grade, modern, automated mining operation centred on a cluster of deposits (605 million tonnes at 0.55% copper and 0.19 g/t gold).
Recent drilling at Myall intersected a very wide zone of copper mineralisation associated with porphyry alteration to the end of hole (381.9 metres at 0.20% copper), confirming interpretations that the Kingswood Corridor represents a significant mineralised porphyry centre within the wider Narromine Intrusive Complex.
Planned follow up drilling has received access and permitting with the rig contract currently being finalised.
Parkes Project
The Parkes Project comprises two exploration licences within the Parkes Fault Zone, about 25 kilometres south from Alkane’s Tomingley Gold Operations and recently defined gold resources at Roswell (662,000 ounces) and San Antonio (453,000 ounces).
Several existing gold intersections at Parkes are equivalent to early-stage exploration results at Alkane’s Tomingley Deposits.
Exploration has been planned to commence at Parkes in the third quarter of 2021.
Next steps
Magmatic has planned an extensive work program across its three projects this year.
