Freehill Mining Limited (ASX: FHS) announced that the company has completed its first round of geophysics over the copper prospective northern portion of its Yerbas Buenas project. As per the company, it commissioned ground magnetics and induced polarisation (IP) surveys at the Yerbas Buenas project in region IV, last year in Chile. The polarisation survey targeted a potential source of significant copper mineralisation, common at the surface of the area.
The Yerbas Buenas project is located in region IV, Chile on the coast about 500km of the capital Santiago.
The company has completed the data review work, which revealed that the IP survey had outlined moderately strong chargeability anomalies in the northeast portion of the survey area. As per the company, high resistivities are associated with both the chargeability anomaly and strong magnetic anomalies. A significant break in resistivities immediately west of the major magnetic anomalies is indicating a presence of a major structure or content.
The geology of Yerbas Buenas shows a complex lithology primarily consisting of various types of andesites on the eastern portion and mixed andesites and diorites on the western portion.
The company said that the Induced polarisation is likely to be a sulphide structure and the company marked the location of the magnetic structure as YB7 and noted that copper and gold sulphide mineralisation is conventional at the various nearby deposits including Higuera, Dominga, and Caballo Blanco.
The Yerbas Buenas IP anomaly is in the north-east corner, immediately east of the YB7 magnetite target. As per the company, the chargeability anomaly on the northeast portion correlates with copper-gold workings, tourmaline breccias and a deep weak to a moderated magnetic anomaly and it could be an indication of IOCG-style mineralization.
The company said that the shallow portion of the chargeability anomaly in the Quebrada would be mapped and sampled in detail to determine the possible charge source and following the mapping of the chargeability anomaly in the east of the Quebrada it will be drilled.
The chief executive officer Peter Hinner said that the completion of the IP survey is a significant step forward in verifying the presence of what the company believes is a large sulphide structure that may host the copper and gold mineralisation and a drilling program is already being planned for the second quarter that will target the anomaly.
As per the company, an additional structure to the south of YB7 at 200m depth has also emerged, and a new survey is currently underway to assess its size and geometry.
During the writing of this report, the share of the company closed at A$0.016 (as on 22nd February 2019), flat as compared to its previous close. During the day’s trading session, the share price remained flat with an average volume of 431,238. Although the stock has offered a negative return of 43.53% over last six month, it has gained momentum over last one month, rising by 14.29%.
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.