Copper focussed MOD Resources (ASX: MOD) has intersected more wide high-grade copper and silver zones during infill drilling at its 70%-owned T3 copper project in Botswana, and anticipates publishing a resource upgrade by the end of the month.
The drilling program kicked off in August to test extensions to mineralisation within and outside the planned 10-year open pit operation.
Drilling revealed the company’s highest-grade intersection at T3 to date which was a 18m interval grading 4.3% copper and 94 grams per tonne silver. Situated below the current planned open pit, the intersection was part of a wider zone of 53.9m grading 2% copper and 40g/t silver.
Other downhole intersections included 20m grading 1.2% copper and 21g/t silver, and 18m grading 1.9% copper and 14g/t silver.
MOD claims the intersections give added weight to the idea of developing the T3 underground project.
“MOD is punching well-above its weight and while we may currently have a modest market cap, our drill results are competitive with some of the largest copper companies,” MOD managing director Julian Hanna said.
He added the company was gearing up for its “biggest year ever”, with results anticipated in the coming months from ongoing exploration and feasibility studies.
Eight rigs will be on-site for drilling to resume next week. The rigs will be targeting prospects across T3 and T-Rex. The T1 prospect will also be drilled to prove up a revised resource and test anomalies for deposits similar to T3.
Via a joint venture with AIM-listed Metal Tiger Plc, MOD is exploring the T3 project which includes 25 prospecting licences across 12,664 square kilometres in the central and western regions of the Kalahari Copper Belt.
T3 has a resource of 36 million tonnes grading 1.14% copper, which MOD anticipates will be upgraded later this month.
Initially focussed on developing an open pit operation at T3, metallurgical testing has revealed high grade copper concentrates and high recoveries with silver credits.
A scoping study from 2016 indicated the project had an initial 10-year open pit operation to produce up to 25,000 tonne per annum of copper.
By mid-day, shares in MOD had hit A$0.055 – up almost 8%.