Sunshine Metals (ASX:SHN) says recently completed drilling which intersected veining and sulphides in all holes has increased its confidence in the Liontown Gap Zone’s resource growth potential.
The Gap Zone, part of the Ravenswood Consolidated Project in Queensland, represents an area between the Liontown and Liontown East resources that is 400m long and contains limited historic and recent drilling.
A six-hole diamond drilling program was completed, with the first three holes recording 3m @ 0.45% copper, 0.20 grams per tonne (g/t) gold, 5.06% zinc, 1.50% lead; 6m @ 2.01% copper, 0.29g/t gold, 1.72% zinc, 0.70% lead; and 17m @ 0.47% copper, 1.25g/t gold.
The remaining three holes were drilled 80m east of previous drilling, and results from these are expected early next month.
Managing Director Damien Keys says the company is “encouraged” by the continuity of the mineralisation in predictable locations, from what is early, broad-spaced step-off drilling.
“In particular, the strong copper results at depth are highly encouraging that our model for the formation of Liontown is stacking up and providing additional targets for follow-up drilling,” Keys says.
Sunshine Metals, which has a market capitalisation of $20.63 million, says results from metallurgical testwork are expected late this month. The testwork is focusing on optimising copper and gold recoveries from samples in the Gap Zone and the gold-rich panel on the eastern margin of the current Liontown resource.
Keys says the gold-copper focused metallurgical testwork is progressing well.
“The drilling and metallurgical work will culminate in a resource update in the December 2024 quarter,” he says.
“The Gap Zone remains lightly drilling with only eight Sunshine holes to date and the next phase of drilling in early 2025 will focus on tightening the drill spacing to better understand grade and thickness variability of the mineralisation.
“Further drilling will test a historic versatile time-domain electromagnetic and geochemical anomaly on the western end of Liontown.”
Sunshine adds that the next phase of drilling should allow for the conversion of resources from inferred to indicated status.
Sunshine Metals is a gold and copper-focused explorer. The company is advancing its projects in Queensland, led by the Ravenswood Consolidated Project which lies within a district that has produced over 20 million ounces of gold.
It will be one of the 50 companies so far confirmed to be presenting at the Noosa Mining Conference being held at the Peppers Noosa Resort from 13-15 November 2024.
Last year’s November event attracted over 1,000 attendees in-venue and online. Mining.com.au is an official media partner of this year’s Noosa Mining Conference. Click here to register.
Write to Aaliyah Rogan at Mining.com.au
Images: Sunshine Metals
