Alkane Resources confirms significant gold-copper discovery at Boda

Alkane Resources (ASX: ALK) has confirmed the “significant discovery” of a large and high-grade zone of gold and copper mineralisation at the Boda prospect within its Northern Molong porphyry project in New South Wales.

The explorer today announced assay results from two core holes, located 100m south and north of a gold-copper mineralised zone defined by two earlier holes.

According to the company, results from hole KSDD007 indicate a “substantial improvement” in grade and width of the porphyry mineralisation to the south including a high-grade gold-copper chalcopyrite central zone.

Most notably, a 1,167m intersection returned grades of 0.55 grams per tonne of gold and 0.25% copper starting from 75m below ground.

This included intercepts of 512m at 1g/t gold and 0.44% copper from a 688m depth, 376m at 1.3g/t gold and 0.56% copper from 768m, and 96.8m at 3.97g/t gold and 1.52% copper from 768m.

Extensive gold-copper mineralisation was also intersected at KSDD006 to the north, returning highlights of 267m at 0.29g/t gold from a 268m depth, and 341m at 0.2g/t gold and 0.21% copper from 607m.

Alkane managing director Nic Earner said the results confirmed Boda as a “significant discovery”.

“Intersecting both a high-grade zone and a large consistent body of mineralisation are key attributes needed to show this has the potential to be a future mining operation,” he said.

The two final holes of Akane’s drilling program are currently being logged and sampled, with assay results expected in April.

Lachlan Fold Belt operators and explorers

Alkane’s Northern Molong porphyry project comprises four exploration licences covering 115sq km of the northern Molong Volcanic Belt in NSW’s central west.

The Molong Volcanic Belt lies within the Lachlan Fold Belt and is considered highly prospective for large-scale porphyry gold-copper deposits.

The most notable example is the world-class 49-million-ounce Cadia Valley gold and copper operations, which is owned by Newcrest Mining (ASX: NCM) and located 110km to the south of Alkane’s project.

According to Alkane, exploration in the Northern Molong region has established a geological framework that highlights strong similarities with the Cadia district.

Although structurally more complex than Cadia Valley, Alkane said it has demonstrated the existence of a stratigraphic sequence similar to that at Cadia, with the mineralisation hosted by similar rock types at very similar stratigraphic positions.

Other ASX-listed companies with projects in the Lachlan Fold Belt include advanced gold explorer Alice Queen (ASX: AQX), which 100% owns a large portfolio of tenements in the North Molong belt including Boda East, north of Alkane’s project.

Godolphin Resources’ (ASX: GRL) gold and base metal projects are sprinkled along and adjacent to the Lachlan traverse zone in between Alkane’s Boda prospect and Newcrest’s Cadia deposit.

Earlier this month, the company said soil samples at its 100% owned Copper Hill East project have confirmed an extended area of anomalous copper that warrants drilling on identified targets.

Meanwhile, Krakatoa Resources (ASX: KTA) recently completed a maiden 128-hole air core drilling program and an aeromagnetic survey at its 100% owned Belgravia project in the Molong Volcanic Belt.

Impact Minerals (ASX: IPT) told the market in February it has identified five targets within its Commonwealth project that lie close to Alkane’s Boda discovery and hold the potential for porphyry copper-gold mineralisation.

The company said it is awaiting assays from rock chip samples to help prioritise follow-up work, which will include soil geochemistry surveys and ground geophysics to identify targets for drilling.

Other small cap explorers in the region include Heron Resources (ASX: HRR) in joint venture with Alchemy Resources (ASX: ALY), as well as Magmatic Resources (ASX: MAG).