ASX-listed exploration and resource development company Cannindah Resources (ASX:CAE) has discovered ‘high-grade’ gold in hole 23CAEDD018 at the Mt Cannindah Project in Queensland.
The company reports this hole was collared to the south of the main drilled section of the Mt Cannindah mine area, targeting the extent and continuity of copper-gold-silver breccia and intrusive-hosted mineralisation that sub-parallel hole 23CAEDD013 intersected across some 60m to the northwest.
Hole 23CAEDD018 intersected 67m @ 1.96g/t Au from 195-262m; 41m @ 3.07g/t Au, 0.34% Cu, 14.4g/t Ag (2.32% Cu-Eq) from 221-262m; and 18m @ 6.34g/t Au, 0.18% Cu, and 17.2g/t Ag (4.18% Cu-Eq) from 244-262m including grades up to 23.93g/t Au, and 61g/t Ag.
The hole also intercepted 171m @ 0.89g/t Au, 0.31% Cu, and 8.1g/t Ag (0.91% Cu-Eq) from 103-274m; and a ‘strong’ copper zone of 21m @ 0.98% Cu-Eq, 0.75% Cu, 0.22g/t Au, and 11g/t Ag from 138-159m.
Commenting on the results, Cannindah Resources Executive Chairman Tom Pickett says: “The gold numbers in hole 18 are extremely impressive with a high-grade hit of 41m @ 3.07g/t Au including 18m @ 6.3g/t Au. We started hole 18 with a strategy to link-up some areas of interest from hole 13 and make an impact on the resource size.
Hole 18 definitely accomplished everything we could ask for so far and we have more results to come. We have delivered new intersections of gold, copper, silver and associated discoveries of mineralised breccia and high-grade gold-bearing structures in the southwest extension of Mt Cannindah.”
“Hole 18 definitely accomplished everything we could ask for so far and we have more results to come”
Cannindah says the ‘large’ downhole widths of mineralised breccia intersected in hole 23CAEDD013 in September 2022 confirmed the potential of the Mt Cannindah breccia as the company extends drilling to the southwest and south.
The discovery of wide zones of mineralised breccia and ‘high-grade’ gold structures in 23CAEDD013 was ‘highly significant’ as previous, scattered, wide-spaced, west to east historic exploration drilling had only located ‘patchy’ mineralised intersections to the south.
The company says its drilling was designed to test the general geometry and extent of geological units such as breccias and mineralised structures to obtain better data through ‘high-grade’ copper, gold, and silver grades.
If Cannindah was able to discover new mineralisation that links with intercepts such as those from 23CAEDD013 and subsequent holes, then the new knowledge gained would create a ‘great’ opportunity to expand the Mt Cannindah resource and understand the geological units to the south and southwest.
The company reports this exploration strategy has been vindicated with the drilling of 23CAEDD018. In addition to the results of 23CAEDD018, Cannindah is currently drilling 23CAEDD019 which traverses between 23CAEDD013 and 23CAEDD018.
Geological observations and logging to date of this hole indicate intersections of more than 10m of sulphidic and chalcopyrite-bearing hydrothermal breccia dominated by clasts of hornfels with some porphyry diorite. Processing and assaying of material from the bottom of hole 23CAEDD18 and 23CAEDD019 is underway, and results will be reported in due course.
Cannindah Resources is an ASX-listed exploration and resource development company focused on copper and gold. The company’s portfolio includes the Mt Cannindah Project, and the Piccadilly Project in Queensland.
Mt Cannindah is located 100km south of Gladstone and has an existing JORC resource of 5.5 million tonnes @ 0.93% Cu.
Images: Cannindah Resources Ltd
