Caspin Resources Ltd (ASX:CPN) is confident of a significant zone of nickel, copper and platinum group elements (PGE) at XC-22 prospect of its Yarawindah Brook Project in Western Australia following positive results from the first drill hole.
The company recently announced a new nickel-copper sulphide discovery at the prospect after the anomaly was spotted during an airborne electromagnetic (AEM) survey.
A first drill hole to test this anomaly yielded results, with a 60-metre-thick sulphide zone immediately beneath the fresh rock cover.
There was been a strong response from investors with shares up as much as 44.5% intraday to $1.04 with more than 2.49 million changing hands during the day.
Results from the XC-22 prospect at Yarawindah
Shallow nickel, copper and PGE
Results point to a 68-metre zone of mineralisation, including two distinct higher-grade zones.
The upper nickel-copper sulphide zone was found to contain 2 metres at 1.42% nickel, 0.47% copper and 0.33 g/t 3E (palladium, platinum and gold) from 46 metres – a highly promising result at such shallow depth, and consistent with the anomaly observed during the AEM survey.
The lower low-sulphide PGE-rich zone boasted 13 metres at 0.97 g/t 3E, 0.26% nickel and 0.21% copper from 101 metres, including 2 metres at 2.88 g/t 3E, 0.23% nickel and 0.09% copper from 112 metres.
This lower PGE-rich horizon correlates well with the mineralisation in a historical drill hole and likely supergene mineralisation intersected near the surface.
The company believes it has now established stratigraphic continuity of platinum-group mineralisation over at least 200 metres.
Mineralisation remains open in all directions with extensions to be tested with two drill rigs recommencing later this month.
A captivating result
“This is a captivating result,” Caspin’s CEO Greg Miles said. “We’ve confirmed significant nickel and copper sulphide mineralisation at shallow depths associated with the AEM anomaly that stretches over 700 metres.
“Mineralisation is open in all directions and is an exciting target. The lower PGE-rich mineralisation is probably even more enticing. This is the first time we’ve been able to demonstrate continuous PGE mineralisation from surface into the basement rocks at potentially economic levels.
“The geological setting is also different from what we’ve previously observed within the Central Yarabrook Hill area and is more akin to mineralised settings at Gonneville.
“We’ve opened up a new and exciting exploration front and taken a substantial leap forward on the pathway to discovery.”