Kincora Copper (ASX:KCC) and earn-in partner AngloGold Ashanti (NYSE:AU) have expanded their initial drilling campaign at the Nyngan Porphyry Project in New South Wales after hitting the targeted Macquarie Arc rocks.
Six wide-spaced holes, totalling 2,707m, were drilled at the South West and Ace of Spades targets.
Anomalous copper and pathfinder minerals were noted in multiple holes. One hole encountered porphyry-style quartz veins, multiple intrusives and sulphides, which Kincora notes indicates a potential proximal setting and a priority target for stage two follow-up drilling.
CEO Sam Spring tells Mining.com.au the results support a continuation and doubling of the initial drilling program, a ground gravity survey that is almost complete followed by a phase-two drilling program at Nyngan.
“We are also getting ready to undertake our first drilling program with AngloGold at Nevertire,” he adds.
The initial scout drilling program has resumed following the summer break and now expanded with further approvals submitted for up to a total of 20 holes.
A ground gravity survey is also underway across a 40km strike covering the wider South West and Ace of Spades targets.
The relatively mature and well-explored sections of the Macquarie Arc host a mineral endowment of over 160 million gold equivalent ounces, multiple large mines – some of which have attracted over $16 billion in corporate deals, and two recent +10 million gold equivalent ounce discoveries.
The less explored extensions of the Macquarie Arc, meanwhile, have attracted five earn-in and joint venture agreements supporting potentially over $300 million in exploration and development spend.
AngloGold can earn up to an 80% stake in Kincora’s Nyngan and Nevertire licences by spending up to $50 million on exploration.
AngloGold is funding the drilling program, while Kincora is managing it in exchange for a 10% management fee.
The major is particularly interested in the Macquarie Arc in the mineral-rich Lachlan Fold Belt, with AngloGold also having inked a $145 million deal to earn into five of Inflection Resources’ (CSE:AUCU) copper-gold projects in the region.
The Macquarie Arc is host to several large intrusion-related porphyry deposits and has been described as an analogue of the Golden Triangle in British Columbia, but with the Macquarie Arc having witnessed much less exploration.
Inflection last week reported that it had intersected broad zones of gold and copper mineralisation representative of a porphyry system at its Trangie Project.
Meanwhile, at the Duck Creek Project, four step-out holes point to a vector at depth to potential porphyry-style mineralisation between a previously reported hole and the new holes, with the target remaining open.
Following that news, Inflection hit a new 52-week high of C$0.28 ($0.31), a nearly 50% spike from the day before the drill results were released. The company now has a market capitalisation of over C$20 million.
Kincora Technical Committee Chair John Holliday says initial drilling has provided encouraging results supporting Kincora’s belief that the Nyngan project is a new porphyry district-scale opportunity.
Holliday is well versed in what a porphyry system looks like, having originally discovered the Cadia and Marsden copper-gold porphyry deposits during his time with Newcrest, which has since been taken over by Newmont (ASX:NEM).
“As agreed with our partner AngloGold Ashanti, this warrants an expansion to our first phase of exploration activities with renewed drilling and geophysics mobilised,” Holliday says.
“Scout drilling to date has provided very wide spatial coverage across separate potential intrusive complexes, with all holes interpreted to have intersected Macquarie Arc rocks, and, encouraging chalcopyrite and anomalous copper in multiple holes.“
“In particular, the last hole of 2024 – hole NYDD007 – encountered porphyry style quartz veins, multiple intrusives, a locally developed exoskarn and significant sulphides strongly warranting step out drilling to either discover or provide a vectoring pattern to a possible deposit.”
Holliday says further separate potential complexes within the South West and Ace of Spades targets have been chosen for the continuation of the scout drilling.
“A detailed ground gravity survey covering 400km2, is in progress to help define more drilling targets including possible silicified basement hills under the cover rocks, which may be due to high sulphidation gold mineralisation related to porphyry deposits,” he says.
“The expanded scout drilling and ground gravity survey will assist with specific vectoring and a budgeted second-phase follow-up and step out drilling program.”
Preparations are also underway for first drilling at the Nevertire Project.
Write to Angela East at Mining.com.au
Images: Kincora Copper
