The company said they continue to demonstrate grade and continuity within the deposit along with the potential of continuing mineralisation to the north-west.
The Mount Bonnie deposit is located on granted Mining Leases within the Hayes Creek Project in the Pine Creek region of the Northern Territory and is 100% owned by Phoenix Copper.
Zinc, gold and silver sulphide mineralisation
This 12 hole RC drill program at Mount Bonnie was completed in late May.
Drill holes MBRC16, MBRC17 and MBRC018 were designed to test the continuation of known mineralisation to the north-west, which is a concept supported by recent modelling of electromagnetic conductors. High-grade massive sulphide mineralisation was intersected in MBRC016 and MBRC017. MBRC018 was abandoned short of planned depth and anticipated mineralisation due to excessive water flows.
Multi-element sulphide mineralisation in hole MBRC016 comprised an appreciable thickness of 15 metres containing 6.99% Zn, 0.78g/t Au, 157g/t Ag, 0.50% Cu, and 1.14% Pb from 54m, which is immediately underneath the oxide open pit. Hole MBRC017 positioned further to the north intersected a 6 metre zone of similar mineralisation containing 7.34% Zn, 2.01g/t Au, 216g/t Ag, 0.52% Cu, and 1.43% Pb from 54m. Unfortunately, technical problems were encountered during drilling and drilling was halted, in massive sulphides, above the targeted footwall contact. As a result, the actual thickness of the massive sulphide zone was not determined for this section. Results from this partially drilled hole are significant, and as such this hole will be deepened later with diamond core to determine the full thickness of massive sulphide mineralisation in this area.
These results show excellent continuity with previously reported results, and indicate a simple tabular north-west dipping zone of mineralisation, as predicted by modelling of the upper, near surface EM conductor. Importantly, the down-dip continuation of this zone has not yet been drill tested, nor has the lower, deeper conductor which potentially represents new and untested mineralisation. This therefore provides further opportunities to extend the mineralised area, which the Company will aim to undertake later in the year.
Of the assays yet to be received, two drill holes intercepted massive sulphides and four were drilled into the oxide alteration zone. These remaining assays are due before the end of June, and will be a key component of an initial resource estimate at Mount Bonnie to be developed shortly.
Phoenix Copper managing director James Fox said: "The results from the first six holes drilled at Mount Bonnie demonstrate excellent near-surface continuity of mineralisation and contain high grades of zinc, gold and silver. It is encouraging to see the growth potential of the deposit beyond the areas drilled by way of an untested lower EM conductor which we will aim to test in the next round of drilling.
"An initial resource at Mount Bonnie will be estimated shortly. When combined with the mineral resources already defined at Iron Blow we feel that sufficient contained metal exists at the Hayes Creek project to justify commencement of a scoping study which will aim to demonstrate the economic potantial of this project."
