CGN eyes upcoming Webb diamond drilling

CGN Resources (ASX:CGR) is set to kick off diamond drilling at its Webb Project in Western Australia at the end of the month as its exploration campaign in the area progresses. 

The copper, nickel, and specialty metals explorer reports that its exploration work began on schedule on 22 February 2024, with geophysical programs underway, including ground gravity, passive seismic, induced polarisation (IP), and electromagnetic (EM) surveys. 

This work has started over the Snorky and Surus targets within the project area, with ground geophysics slated for completion by the end of March. 

Once completed, CGN will drill a 700m diamond hole at the Surus gravity target, partially funded by the Western Australian government’s Exploration Incentive Scheme. The company has contracted DDH1 Drilling to complete the hole. 

CGN says it’s ‘fully funded’ and has secured all necessary permits to complete its planned exploration campaign, and in the event of a discovery, clearances are already in place to expedite further exploration.

“Having raised $10 million back in October, we are now strongly positioned to push hard on the exploration front and try and emulate the success of some of our neighbours in the West Arunta,” CGN Managing Director Stan Wholley says. 

“These initial ground geophysics programs will set the scene for the technical team to position the upcoming diamond and reverse circulation (RC) drilling programs targeting the optimal locations. 

The excitement is building as we prepare to bring the drill rig back on site and kick off our next partially EIS-funded deep diamond hole into the Surus target.”

Wholley explains that the gravity anomaly at Surus, which lies adjacent to a major crustal-scale structure, was originally conceived as an iron-oxide copper-gold (IOCG) target. 

However, following some major discoveries in the West Arunta region by the likes of WA1 Resources (ASX:WA1) and Encounter Resources (ASX:ENR), the CGN team believes this area could be a carbonatite.

Once the company’s IP and gravity survey work at Surus are complete, it will move its IP team onto the Horton and Tantor targets and then complete an EM survey at the Shep target.

Looking ahead, CGN says once the EIS-funded diamond hole at Surus is complete, it plans to mobilise an RC rig to the site towards the end of April to initially follow up on some ‘significant’ nickel mineralisation intersected in previous drilling, as well as some rare earth elements results at Hathi. 

CGN’s Webb project covers 961km-square in the West Arunta region of Western Australia. 

Images: CGN Resources
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Written By Joshua Smith
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