Artemis Resources Limited (ASX: ARV, Frankfurt: ATY, US OTCQB: ARTTF) has announced a highly encouraging update on its 100%-owned Carlow Castle Project in WA.
The company reported that Gold (Au) resource significantly increased by 60%, Copper (Cu) resource increased by 25%, and Cobalt resource increased by 15% at Carlow Castle.
ARV said that the Inferred Mineral Resource estimate is now 418koz Au, 48kt Cu, and 7kt Co within 8Mt @ 0.51% Cu, 1.6 g/t Au and 0.08% Co.
The Company noted that its Radio Hill Processing plant just ~35 km from Carlow Castle project, providing an option to fast track infrastructure to process Carlow Castle material.
ARV announced that the planned work program of resource infill drilling, and assaying of a select number of stored assay pulps for acid-soluble copper, is designed to upgrade the classification to Indicated.
The company said that metallurgical testwork will also commence shortly.
Carlow Castle project
The Carlow Castle gold and copper project is located in the West Pilbara region of Western Australia. It is located approximately 45 km by road east of the city of Karratha in Western Australia.
Carlow Castle is on the granted exploration license E47/1797 and is ~35 km from Artemis’ 100% owned Radio Hill Processing Plant.
The current Carlow Castle Mineral Resource covers a strike length of 1.2 km, and was successfully identified using SAM exploration in early 2018.
New MRE for Carlow Castle
The company reported that it had carried out Structural mapping and evaluation of historical diamond core and trenching through the top of the resource area in the last 2 months. The structural mapping programs and MRE were carried out by independent Mining Industry Consultants, CSA Global.
A total of 188 Reverse Circulation (RC) drill holes and 12 diamond drill holes for 24,721.6 metres completed by Artemis between March 2017 and August 2018 were considered for the MRE.
Significant increase in resource grade and metal tonnes
Artemis announced that this has now led to a significant increase in the confidence levels of the project, and culminated in the new Mineral Resource estimate (MRE) that has increased metal content by 60% for gold, 25% for copper and 15% for cobalt.
Inferred Mineral Resource estimate is now 48kt Cu, 418koz Au, and 7kt Co within 8Mt @ 0.51% Cu, 1.6 g/t Au and 0.08% Co.
Option to fast-track processing
The company said that the proximity of Artemis’ 100% owned Radio Hill Processing plant, just ~35 kilometres from Carlow Castle, potentially provides an option to fast track infrastructure to process the Carlow Castle material. The Radio Hill facility is a 0.5 million tonne gold and base metal concentrator.
As a result of the positive Mineral Resource update, Artemis said that it has already commenced plans designed to increase the confidence in the Mineral Resources.
This includes selection of acid-soluble copper assays from pulps to determine the residual copper available in the oxide material and infill drill hole planning targeted on the high-grade zones.
The work program is expected to enable a detailed scoping study and financial model.
The company said that metallurgical testwork will commence shortly to characterize the resource and define Metallurgy zones.
Artemis Resources Executive Director Ed Mead said: “The new Mineral Resource estimate including geological and structural models undertaken by independent consultants CSA Global has significantly increased metal tonnes giving the Artemis board confidence to move Carlow Castle towards scoping study and then feasibility.
A small fully funded work program of infill drilling will be undertaken with the objective of allowing conversion of a part of the Mineral Resource Estimate to higher classification (Indicated) and to feed into a scoping study and financial model, prior to conducting a feasibility study.
We are in the fortunate position of owning a processing plant just ~35 km from the deposit and we look forward to accelerating the project and taking full advantage of this.”