Peregrine Gold (ASX: PGD) has identified a second high-grade channel iron prospect at its Newman gold and iron project in Western Australia.
The new Carneys channel iron deposit (CID) prospect sits approximately 6 kilometres south of the company’s earlier Coopers discovery, and displays the same magnetic signature and surface character.
Peregrine said the find substantially increases the scale and potential economic footprint of its channel iron portfolio in the region.
New Prospect Definition
Peregrine mapped and sampled outcropping channel iron over 1.1km of strike at Carneys, where surface samples returned iron grades of up to 60% with an average grade of 55%.
Based on magnetic interpretation, the prospect appears to extend beneath shallow cover for a further inferred 4.6km—suggesting a much larger system than the exposed portion alone indicates.
Field inspection suggests the northern portion of the prospect represents eroded remnants of a mesa-type channel iron system, which then transitions into a valley-type system along strike.
Peregrine said the inferred southern extension widens significantly under cover, with magnetic data indicating a potential increase in channel width from about 140m in the north to roughly 400m further south.
The company plans to evaluate this extension through reverse circulation drilling and associated heritage survey work.
Heritage Notice Lodged
Peregrine has initiated planning for drilling and lodged a heritage notice covering both the Coopers and Carneys prospects to enable survey scheduling.
The company emphasised the significance of discovering another large-scale system within close proximity to its initial find, particularly given the presence of BHP Group’s (ASX: BHP) Western Ridge project 3km to the west.
The upcoming drill program will target both the outcropping zone and the interpreted extension beneath cover to test thickness, continuity, and grade distribution.
Peregrine said its current work aims to establish whether the two CID systems could form the basis of a larger, integrated development concept across the project area.
The company has removed the Peninsula CID target from its active pipeline after field inspection showed only minor preserved material with no significant mineralisation.
