In its latest exploration briefing to shareholders, DGO Gold (ASX: DGO) reports that drilling at two West Australian projects has intersected ground with a “high potential” to contain volcanic hosted massive sulphides (VHMS).
The projects are Mistletoe Well and Judge’s Find in the Yerrida-Byrah Basin and located abut 75km south of the large DeGrussa copper-gold mine discovered and developed by Sandfire Resources (ASX: SFR).
DGO’s combined landholding of 4,574sq km at Yerrida and Judge’s Find is second in size in the basin only to that ground held by Sandfire, and lies 60km northeast of Meekatharra.
DGO’s aircore drilling at Mistletoe Well intersected a VHMS alteration zone more than 600m in length.
At Judge’s Find, reverse circulation drilling hit 2m at 0.5% copper and 6 grams per tonne silver.
Two targets identified on Investigator Resources’ farm-out tenements
Meanwhile, DGO says two iron-oxide copper-gold (IOCG) targets have been identified at the Pernatty project in South Australia, where the company is earning a majority stake from silver hunter Investigator Resources (ASX: IVR).
This mineralisation is located 55km southwest of the Carrapateena copper-gold mine operated by OZ Minerals (ASX: OZL).
DGO’s agreement with Investigator allows for the farm-in company to spend $6.36 million over five years to earn an 80% stake.
In early October, DGO kicked-off a drilling program aimed to testing Zambian copper belt-style (ZCB) mineralisation lying under shallow cover within the Stuart Shelf
Overall, DGO is targeting a 100km-plus zone at Pernatty.
The company has said previously that the basin setting at Pernatty has many similarities with the edges of the Katangan Basin in the Central African Copperbelt, which hosts such deposits as Chambishi, which contains 40 million tonnes at 2.6% copper.
DGO’s Mallina project confirmed as same style as Hemi discovery
DGO has been working with the native title holders and claimants to progress drilling activities at Mallina, 50km southwest of De Grey Mining’s (ASX: DEG) headline making Hemi gold discovery in the Pilbara.
Detailed analysis by DGO of geology, magnetics, and soil geochemistry has identified that Mallina has a similar geological setting to that of Hemi.
Drilling is expected to begin in the current quarter, subject to finalising arrangements with native title parties, including completing heritage surveys, and availability of drilling contractors.