Australian explorer Krakatoa Resources Limited (ASX: KTA) kickstarted 2020 on a positive note as it has identified anomalous Au-Cu geochemical corridor trending towards its recently acquired Belgravia Project.
KTA announced that it has found positive observations from the review of the historical shallow RAB drilling which supports the prospectivity of the Larras Lake Igneous Complex (LLIC) and the Copper Hill Igneous Complex (CHIC) within the company’s Belgravia Project, located in the Lachlan Fold Belt, NSW. LLIC lies immediately north of CHIC and is also known to be gold mineralised.
It is to be noted that both LLIC and CHIC forms part of the Bell Valley target, one of 6 initial targets on the Belgravia Project. Combined, they provide KTA with a highly prospective area of over 15km2 for the discovery of porphyry clusters. As part of the completed drone magnetic survey, both of these complexes were covered.
The company believes that the geochemical trends associated with the shallow RAB drilling support the porphyries as being gold mineralised and open to the southeast, towards Belgravia and the undrilled Bella Prospect.
Location of the Historical RAB drilling in relation to the Belgravia Project (Source: Company Reports)
Previous work by MIM
Prospectivity of Belgravia Project
The prospectivity of Belgravia Project is quite well known. Limited historical drilling by Newcrest Mining at the LLIC (four holes each to a depth of 200m and within 400m of the Belgravia Project boundary) support the porphyry as being gold mineralised, including:
- 30m @ 0.20 g/t Au from 163m (Hole: LLR004) including 1m @ 1.15 g/t Au & 0.28% Cu from 185m
- 3m @ 1.02 g/t Au & 0.10% Cu from 56m (Hole: LLR004) including 1m @ 2.28 g/t Au & 0.21% Cu from 56m
Newcrest drill logs note increasing alteration at depth and in the direction of the Belgravia Project, including “hematite dusting” and “pervasive sericite”, which are strongly associated with mineralisation at Cadia.
Notably, in the last six months, KTA’s stock price has increased by 85.71% on ASX. By AEDT 2:02 PM, KTA stock was trading at a price of $0.040, up by 2.564% intraday, with a market cap of $6.83 million.
KTA informed the exchange that it will immediately start the field sampling of the Larras lake Igneous Complex.
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