Shree Minerals (ASX:SHH) hits new milestone, commences fieldwork at expanded Dundas Project

Highlights

• Shree Minerals has commenced fieldwork at the Dundas Project.
• RAB drilling and auger soil sampling are also planned post the flora, fauna and heritage surveys on the tenure.
• The project has potential for lithium mineralisation as lithium pegmatites have been recorded in historical drilling.
• The company also plans to assess REE and nickel potential across the project.

Marking a significant development, Shree Mineral Limited (ASX:SHH) has commenced fieldwork, including Spring Flora and Fauna surveys at the Dundas Project.

The company has also planned a heritage survey on the tenure in November this year prior to the planned RAB drilling and auger soil sampling operations.

Located in Western Australia, the Dundas Project comprises four tenements, spreading over 644km². The project tenements are intersected by a major northwest trending fault system. SHH believes that the fault system may be the south-east extensions of the Zuleika and Boulder-Lefroy Fault systems, prolific mineralised systems.

Dundas Project location map (Image source: SHH update, 1 September 2022)

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Overview of the fieldwork

Shree Minerals has started the fieldwork with a flora survey over the planned area, which will be followed by a fauna survey this week.

The reports for these surveys are expected to get completed in the coming 3-4 weeks. Post the report completion and approval grants from the regulatory bodies DMIRS and DBCA, the company plans to begin the heritage survey. The company has a heritage agreement in place with the Ngadju Native Title Aboriginal Corporation. The heritage survey is planned for the end of October or early November this year.

An aircore drilling is planned on the southern portion of the Exploration Licence E63/2046. The aim of the drilling operation is to test the identified pegmatites and gold anomalies that were delineated in historical drilling. The company would also undertake auger drilling on the Exploration Licence E63/2048 to refine the gold anomalies.

The company plans to cover nearly 47-line kms under the drilling program, while the flora and fauna surveys will entail approximately 68-line kms.

Proposed route for survey and drilling operation (Image source: SHH update, 1 September 2022)

Shree to acquire E63/2227

In a bid to increase its footprint at the Dundas Project, the company has submitted an application for E63/2227. The tenement has significant potential for rare earth elements (REE) mineralisation. The mineralisation resembles the southern Chinese ion adsorption clay deposits and is expected to be shallow and flat lying characterised by supergene concentrations of rare earths in saprolite.

Dundas Project overview

In the Dundas Goldfield, Shree has compiled a geological database of the structural controls and lithological characteristics of lithium occurrences. The Buldania Lithium Project in the region is the largest with a Mineral Resource of 14.9 Mt @ 0.97% Li₂O and 44 ppm Ta₂O₅. It is assumed that the Zuleika Shear continues through Shree’s tenements.

Aeromagnetic imaging of the tenement areas shows linear characteristics that are suggestive of Archaean greenstone stratigraphy, including mafic, ultramafic, or Banded Iron Formation rock types. The existence of pegmatitic intrusions has been documented in the previous drilling and is frequently connected with Archaean greenstone strata.

Little historical exploration has been done in the area due to the thin blanket of transported cover (about 0.5m–10m). Gold mineralisation expected to be hosted by mafic rocks has been found in E63/2046 as a result of one km-spaced auger soil traverses by AngloGold Ashanti Australia (AngloGold) and a localised RAB/RC drilling operation by Pan Australian Resources in the 1990s.

Potential for base metal, silver, and gold has been reported from the tenement E63/2136.  

Dundas Minerals finished two closely spaced infill gravity surveys (250 m lines with 100 m gravity stations) on the priority Ni and Cu prospects in December 2021.

Dundas Minerals’ drilling of a series of RC holes at the Jumbuck Nickel project in 2022 revealed the existence of ultramafic rocks.

Exploration works carried on the tenements (Image source: SHH update, 1 September 2022)

What’s next?

Shree has shared an exploration plan for the next 24 months including.  

• Exploration fieldwork across the southern portion of ELs E63/2046 and E63/2048 during 2022-23.
• Preparation and finalisation of the Conservative Management Plan (CMP) for the next stage of RC and diamond drilling across areas approved in the first CMP and undergoing fieldwork in 2022-23.
• Drafting exploration plans for ELAs E63/2136 and E63/2227 during 2022-23.
• Commencement of fieldwork with spring surveys for initial exploration program as per the second CMP in 2023-24.
• Progressing exploration works on the southern portions on the ELs E63/2046 and E63/2048 during 2023-24 for the next stage of RC and diamond drilling.

SHH shares traded at AU$0.009 on 1 September 2022.