Chase Mining Corporation Ltd (ASX:CML) is encouraged by the positive progress being made by its investee Red Fox Resources (ASX:FXR) at the Butchers Bore Gold Project in northwest Queensland.
Chase has a 40% interest in private explorer Red Fox, which released an update to the ASX through Chase on Tuesday.
Red Fox said its work program at Butchers Bore, 23 kilometres southwest of Cloncurry, contains two target areas with highly anomalous gold located in streams, soil and rock samples associated with structures within the Bulonga/Duck Creek anticlines.
Butcher Bore details
Red Fox is targeting high-grade gold, with the priority target identified as GW Gossan.
“The GW Gossan prospect has been defined by previous explorers as an area of anomalous gold in stream catchments and high gold values from rock chip samples from a number of structures,” Red Fox said.
“We are currently progressing a program of soil sampling, mapping and rock chip sampling to define the GW gossan mineralised zone.
“Arimco discovered a narrow fracture, 1000 metres long or more, with quartz and gossan which has been identified as the likely source of the stream anomaly.
“Rock chip samples from the zone initially returned up to 35.5 grams/tonne gold and follow up channel sampling of the zone over a 60-metre strike length returned 8 samples in excess of 1 g/t gold from 14 samples with values up to 25.6 g/t gold, 339 parts per million bismuth and 176 ppm tungsten.
“Although Arimco never plotted the rock chip results, using their coordinates for the samples implies they are continuous rock samples over the 60-metre strike length with several additional samples taken across the structure.
“Arimco proposed to follow up this work with grid soil samples, geological mapping and rock chip sampling over the area in detail, however, they went into receivership before this work could be carried out.”