True North Copper (ASX:TNC) has hit ‘high-grade’ copper and gold zones via grade control drilling at the Wallace North section of its Cloncurry Project in Queensland.
The $64.63 million market capitalisation company says the results exceed its current resource model and are expected to have a ‘positive’ impact on future resource estimations and open-pit designs.
Some of the top results include hole WNR0088 with 17m @ 2.64% copper (Cu) and 2.70 grams per tonne (g/t) gold (Au) from 47m; and WNR0019 with 2m @ 8.24% Cu and 13.24g/t Au from 29m, including 1m @ 14.05% Cu and 25.7g/t Au from 29m.
True North says the mineralisation intersected is ‘as expected’ and generally of the same grade as defined in the resource model. However, in multiple locations, drillholes intersected Cu-Au grades ‘significantly higher’ than expected.
True North Copper Managing Director Marty Costello says the results confirm the position that the project has the potential to deliver ‘significant’ near-term value to the company in an early production scenario.
“These initial results confirm and, in some cases, exceed expected grades from comparisons to the current resource model. Not only do they indicate the potential to increase grade within the existing block model but also the potential to increase the overall resource.
With the return of all assays by the end of November 2023, mine optimisation and metallurgical studies will commence. These studies will assess the possibility of producing a copper-gold concentrate and will be finalised Q1 2024.
Wallace North is on a fully permitted mining lease, which allows near-term development options to be assessed during the optimisation study phase. The Wallace North resource is an important part of our Cloncurry Project mining plans, with its near-term value reinforced through recent drilling and resource upgrade work completed across the resource.”
“The Wallace North resource is an important part of our Cloncurry Project mining plans”
Following today’s announcement, True North’s share price has climbed 14.29% to $0.16 as of 1:20pm AEDT on 7 November.
The company notes that the drill results are still in the process of being interpreted, but initial assessments highlight multiple zones of a ‘higher grade’ than predicted.
Assays are pending for intercepts that remain open up or downhole and for those requiring quality assurance and quality control (QAQC) checks.
Final assay results from the drilling will be fed into optimisation studies and early mine planning.
The Cu-Au shoots remain open at depth and will be a target for future drilling.
The Cloncurry Project lies in northwest Queensland and is prospective for copper, gold, and cobalt.
True North Copper is a precious metals-focused explorer headquartered in Cairns. The company has assets across Queensland that are prospective for precious and critical minerals.
As of 30 September 2023, the company had $789,000 cash and cash equivalents at hand and $2 million in unused finance facilities, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: True North Copper
