Castillo Copper Ltd, a base metal explorer primarily focused on copper across Australia and Zambia, has announced that it has entered into a binding agreement with Wyloo Metals Pty Ltd to acquire two new tenements at its Broken Hill Project in New South Wales, Australia.
Castillo’s Broken Hill Project currently consists of two contiguous tenements (EL8599 and EL8572) prospective for cobalt-zinc, located within a 20 km radius of Broken Hill. The new highly prospective tenements EL8434 (611.9 km2) and EL8435 (72.4 km2) complement Castillo’s existing tenure and expand its footprint surrounding Broken Hill, the world’s largest high-grade zinc-silver-lead deposit, to 801.3 km2 from 117 km2 previously.
- Acquisition gives the company a commanding ground position in Broken Hill – a transformational move which delivers a large footprint proximal to Broken Hill’s silver-zinc-lead deposit.
- Significant technological advances have unlocked progress, indicating that Castillo’s footprint is prospective for Broken Hill Type zinc-silver-lead (BHT) and iron-oxide-copper-Gold (IOCG) mineralisation.
- Recent work by Geological Survey of New South Wales (GSNSW) generated advanced predictive geological models for major mineral systems:
- Confirmed that Castillo’s enlarged tenure is ‘highly prospective’ for silver-zinc-lead in the West Zone and for copper-gold mineralisation in the East Zone.
- Applying new technology has generated numerous high priority drillable targets within the tenure boundaries which delivers a significant pipeline of exploratory work ahead.
- Historical exploration, using conventional methods, missed identifying these highly prospective targets as they are below a 5 – 40 m covering of surficial clay and sand.
Next steps for Broken Hill
- Castillo is reviewing development plans:
- Target is a significant value creating opportunity for copper-gold-zinc-silver-lead mineralisation, as the tenure has been largely under-explored over the past two decades.
- Immediate priority to conduct ground geophysics on priority IOCG and BHT targets, then commence formulating the inaugural drilling campaign.
Next steps for other projects
- Commencement of drilling at the Mt Oxide Project.
- In fill soil sampling for Mkushi Project in Zambia.
- Review of Eldorado prospect within the Mt Oxide Project.
Simon Paull, Managing Director of Castillo Copper, commented: “The advanced predictive geological model has uncovered a potential scalable treasure trove of fresh targets to test-drill for BHT and IOCG mineralisation. More significantly, most of the new targets are at relatively shallow depth as the surficial clay and sand covering ranges from 5 – 40 m. Our geology team believe with some further localised ground geophysics, a drilling campaign can be formulated and deployed relatively fast.”
Ged Hall, UK Director of Castillo Copper, said: “New technology can change fortunes and that is exactly what has transpired here. Through acquiring more ground in Broken Hill, we now potentially have a scalable asset that is adjacent to the world-class silver-zinc-lead deposit.”
Read the article online at: https://www.globalminingreview.com/exploration-development/02102020/castillo-copper-acquires-ground-position-at-broken-hill/