Highlights

• Reverse Circulation (RC) drill campaign has been concluded at the W2 and KR2 prospects.
• Drilling at the W2 prospect, Wandanya, intersected high-grade manganese, with pXRF analysis indicating grades ranging from 15 to 55% Mn.
• Laboratory-based manganese assays will confirm the pXRF results, with assay results anticipated in mid-October.
• Remaining assays from W2 and KR2 are expected by mid-November.

Black Canyon Limited (ASX:BCA) has completed its W2 and KR2 reverse circulation (RC) drilling campaign. At the W2 prospect, Wandanya, the maiden drilling program identified potential hydrothermal-related stratabound mineralisation, with pXRF analysis revealing high-grade manganese levels ranging from 15% to 55%.

The pXRF samples from W2 are being analysed by Bureau Veritas (using standard fusion XRF methods) to confirm the pXRF results, with findings anticipated by mid-October. Additionally, the remaining RC assays from both W2 and KR2 are expected to be released by mid-November.

High-grade manganese intersected at W2 prospect

Drilling at the W2 prospect comprised 35 holes covering 642m to test a 240m long and 200m wide target. The pXRF analysis revealed consistent mineralisation zones with the bottom 2m of each intersection typically encountering high-grade mineralisation, potentially suitable for direct shipping (DSO).

pXRF results of the W2 prospect. Image source: Company update

Moreover, the company gathered significant samples to conduct benchtop heavy liquid separation testwork aimed at beneficiating lower-grade manganese intervals to ascertain the potential to produce a 35-45% Mn product, particularly relevant for the mixed Dolomite/Mn breccia zone.

Geology and alteration of identified mineralisation

The mineralisation is hosted within a sedimentary sequence, with the geology, from base to top comprising the following–

• Footwall dolomite
• Spotted manganese dolomite
• Massive manganese
• Manganese dolomite breccia overlain by hangingwall dolomite

The mineralisation is consistent down dip and along strike, indicating a fault related, hydrothermal stratabound style of manganese mineralisation. Moving towards the base of the sequence, intensity of manganese increases.

Data source: company update

Assessment of DDIP targets

Dipole–Dipole IP (DDIP) targets were also assessed as part of the drilling campaign.

Data source: Company update

Drilling at KR2 prospect

Drilling at the KR2 prospect covering 31 holes for 881m has reduced the previous drilling pattern to 100mx100m from 200mx200m. The campaign aimed at increasing the geological and grade confidence, with the ultimate goal to upgrade the currently inferred mineral resource to a higher confidence classification that can be utilised in comprehensive feasibility studies.

BCA shares jump

Following this update, BCA shares jumped 20.69% to trade at AU$0.070 apiece at the time of writing on 27 September 2024.