Caspin Resources Ltd (ASX:CPN) is encouraged by early indications from reverse circulation (RC) drilling completed at Yarabrook Hill within the Yarawindah Brook PGE-Nickel-Copper Project in Western Australia.
Results have been received from the first three holes of an 11-hole program for 3,000 metres.
One hole, YARC0001, returned 263 metres at 0.24 g/t 3E (palladium-platinum-gold), 0.11% nickel and 0.13% copper, including a peak result of 2 metres at 2.13 g/t 3E, 0.33% nickel and 1.04% copper from 46 metres.
The significance of the early drill results is still to be thoroughly understood, pending receipt of further drill results with results from the remaining eight holes expected in coming weeks.
“Consistent with expectations”
Caspin’s chief executive officer Greg Miles said: “The drill program was designed to step out from earlier diamond drilling and test what was previously interpreted as the limits of the Yarabrook Intrusion.
“As previously announced to ASX, we now know from our gravity survey that the intrusion is larger than previously thought and this program, whilst potentially providing a vector towards higher grade mineralisation, will be insufficient to ultimately test the potential of the prospect.
“What we also know is that the results are broadly consistent with our expectations from geological logging. These observations have already been used to develop the geological model of the intrusion, which is guiding our next phase of drilling.
“The company has developed several new targets to be tested when drilling recommences later this month and will provide further updates on timing shortly.”
RC program
An RC drilling program totalling 5,000 metres was designed to primarily test: a) the eastern soil anomaly and b) the extents of the known intrusion (as interpreted at that time).
However, due to inaccessible ground conditions, the RC drilling program was paused after 3,000 metres when the remaining planned drill holes could not be drilled.
The completed drilling consisted of an initial 11 drill holes which are now considered Phase 1 of the original program.
Planned drilling over the main part of the Eastern Soil anomaly was not completed in this initial Phase 1 of drilling as those planned drill holes could not be accessed at that time.
Assays for three holes
Caspin has to date received assays for three of the holes - YARC0001-YARC0003. These holes were originally designed to test what was originally interpreted to be the prospective eastern margin of the intrusion.
Subsequent gravity survey results showed that the intrusion extended further to the east and these drill holes would be testing the ultramafic part of the intrusion.
YARC0001 and YARC0002 intersected the interpreted internal stratigraphy of the Yarabrook Hill intrusion with the holes starting in a peridotite unit and then drilling through into a more pyroxenitic gabbro and finishing in a more plagioclase rich, low-Cr gabbro.
Both intersected broad anomalous nickel-copper-PGE zones hosted in peridotites and pyroxenites, including YARC0001 intersecting 263 metres and YARC0002 intersecting 180 metres at 0.11 g/t 3E, 0.1% nickel and 0.10% copper, providing a sense for the scale of the system.
Interpreted geology of Yarabrook Hill with previous drilling and RC holes from current RC campaign.
Drilling to recommence
Caspin plans to recommence RC drilling within the coming weeks, with the program set to extend beyond the remaining 2,000 metres of the original planned program.
Only a small fraction of the entire intrusion has been drilled by Caspin or its predecessors.
Most previous drilling has focused only on where mineralisation comes to surface, but there remains a large portion of the prospective basal sequence that is potentially obscured by overlying sequences and present at depth where it is unrecognised and remains to be tested.
This program will also test the Northwest soil geochemical anomaly which occurs in an embayment of the intrusion and a potential near-surface expression of the basal contact.
Caspin will also test the XC22 Airborne Electromagnetic (AEM) anomaly, which is coincident with a magnetic high and gravity low.
Diamond drilling
A diamond program, part-funded by the WA Government Exploration Incentive Scheme, is also expected to begin towards the end of this month.
This rig will drill a deep diamond hole through the entire intrusion to assist geological interpretations and potentially identify prospective basal sequences.
“This is an exciting time for our company. We have further results to come, and an RC and diamond program to be completed before the end of the year. We will have a busy end to 2021 with plenty of opportunity for success,” Miles added.
“I’d like to thank our loyal shareholders for their continued support and welcome our new shareholders to the next chapter of the Caspin story.”