Castillo Copper (ASX: CCZ) has revealed more high-grade copper, zinc and silver from drilling at its historic Cangai copper mine in New South Wales’ north-east.
Latest drilling at the project has uncovered “extensive” massive sulphide mineralisation across most of the five holes carried out to-date in the current campaign.
“Assay results up to 10.25% copper, 6.04% zinc and 32.5 grams per tonne silver from the first five drill-holes are exceptional,” Castillo chairman Peter Meagher said.
“The event clearly represents a demarcation point that materially distinguishes our Cangai copper mine,” he added.
These results are from within the first five holes of a 39-hole campaign, with Castillo’s board saying the assays position Castillo as a “clear point of difference from many ASX-listed peers”.
The widest intersection from the program was 11m at 5.94% copper, 2.45% zinc and 19.13g/t silver from 40m, including a 1m interval grading 10.25% copper, 1.68% zinc and 32.50g/t silver, and a 3m interval with 8.10% copper, 2.84% zinc and 23.42g/t silver, as well as another 1m interval with 7.53% copper, 6.04% zinc and 30.60g/t silver
Gold assays from the drill holes are pending.
According to Castillo, the 11m intersection with multiple high-grade zones was found in the vicinity of an anomaly identified from a down hole electromagnetic survey.
To firm up its understanding of the mineralisation, Castillo plans to carry out further down hole electromagnetic surveys to identify additional conductors.
Castillo’s geology team believes the mineralisation extends east of the 11m intersection and has begun mapping and collecting rock chip and soil samples.
“The focus now is to expand these outstanding results and to extend the known mineralisation through commencing follow up down hole electromagnetic surveys, which can optimise the remainder of the current drilling campaign,” Mr Meagher said.
“In addition, the board is looking forward to assay results from soil and rock chip samples east of the line of load, as they are likely to further extend the mineralised footprint,” he said.
Cangai copper mine
The historic Cangai copper mine is part of the company’s flagship Jackaderry project and hosts a JORC compliant resource of 3.2 million tonnes at 3.35% copper. The resource estimates contained mineralisation of 107,600t copper, 11,9000t zinc, 2.1 million ounces of silver and 82,900Moz gold.
Supergene ore grading up to 35% copper and 10% zinc has been found at the project and deemed a potential direct shopping ore.
Additionally, five historic stockpiles of high-grade ore have been located near the mine.