- Maiden Mineral Resource Estimate (MRE) to the JORC (2012) Code for BHA Project’s East Zone is 64Mt @ 318 ppm Co for 21,556t contained metal (Figure 1; Appendices A-C) at relatively shallow depths (2-80m)
- In addition, the global MRE includes 44,260t of contained copper (63Mt @ 0.07% Cu) (Figure 1; Appendices A-C)
- To extend known cobalt mineralisation, primary targets have already been factored into an inaugural drilling campaign which the Board intends to progress once key approvals are secured
- Moving forward, the Board intends to open discussions with potential off-take partners keen to lock in future cobalt supply chains and actively participate in the NSW government’s critical minerals initiative (1)
Castillo Copper’s Managing Director Dr Dennis Jensen commented: “After a Herculean effort, CCZ’s geology team has modelled a maiden cobalt inferred Mineral Resource of 21,556t at relatively shallow depths. More encouragingly, there is considerable potential to extend known mineralisation with targeted drilling campaigns. With strong global demand for cobalt clearly apparent, the Board intends to meet with prospective off-take partners eager to secure supply chains. In addition, CCZ plans to actively participate in the NSW government’s critical minerals initiative.”
Maiden Cobalt Resource
Castillo Copper Limited’s (“CCZ”) Board is delighted to announce the maiden MRE to the JORC (2012) Code for the BHA’s Project’s East Zone is 64Mt @ 318 ppm Co for 21,556t contained cobalt metal (Figure 1; Appendices A-C) at relatively shallow depths (2-80m). Furthermore, the global MRE has 44,260t (63Mt @ 0.07% Cu) of contained copper metal that enhances the result.
FIGURE 1: JORC RESOURCE TONNAGES BHA EAST ZONE PROSPECTS
PHOTO GALLERY – BROKEN HILL
Methodology
To calculate the MRE, CCZ’s geology team used historical drilling data from 1970-2014 (2) that comprised reverse circulation, rotary air blast and diamond core drilling campaigns to produce block models.
The geology team uncovered an initial total of 6,346 drill-holes across the East Zone (Figure 2) which was undertaken by reputable explorers, but notably, North Broken Hill Group (2) (NBH) who produced extensive documentation. This is important as sampling from most of the drilling undertaken by NBH was analysed at its onsite laboratory in Broken Hill and meets QA/QC requirements.
However, numerous shallow auger holes (depths <24m), that were drilled over the same period, were not used in determining the final MRE. At The Sisters, the two holes re-analysed by CCZ will be included in future resource estimations for that prospect.
Note, refer to Appendix A, B and C for full details.
FIGURE 2 : WEST AND EAST ZONE – BHA PROJECT
Reefs Tank & Tors Tank Prospects
The MRE only factors in cobalt-copper mineralisation within two prospects Fence Gossan and Reefs Tank (refer Figure 3).
For the other prospects modelled (Tors Tank, Ziggy’s Hill, Iron Blow and The Sisters; see Figure 3) either had only enough data to estimate exploration targets or did not satisfy preliminary optimisation outcomes.
To extend and increase confidence in the delineated deposits, CCZ’s geology team have mapped out a comprehensive drilling campaign that is intended to target diamond coring the known cobalt mineralisation downdip to at least 100m. The Board plans to implement the drilling campaign once all key approvals are secured.
In addition, the Board intends to re-assess the potential of the West Zone for cobalt mineralisation, given it is proximal to Cobalt Blue’s (ASX: COB) advanced operation (3) (Figure 2). In addition, previous work by CCZ’s geology team identified significant Himalaya Formation within the tenure which is known to host cobalt mineralisation (4).
FIGURE 3 : COBALT PROSPECTS IN THE EAST ZONE – BHA PROJECT
Next steps
With a maiden cobalt MRE now defined, the Board has several concurrent priorities including:
- Infill and extend the known cobalt MRE with a focused drilling campaign.
- Opening discussions with prospective off-take partners.
- Start to actively participate in the NSW government’s critical minerals strategy.
References
- CCZ ASX Release – 28 January 2022
- a) Leyh, W.R., March 1977, Progress Report on Exploration Licences No. 780 & 782, Farmcote Area – Broken Hill, NSW: For the 21- month period to 5 March 1977, North Broken Hill Limited, GSNSW Report RIN 00023081
b) Leyh, W.R., May 1979, Progress Report on Exploration Licences No. 1099 & 1100 for the six months to 27 April 1979, North Broken Hill Limited, GSNSW Report RIN R00023024
c) McConachy, G.W., 1997, EL 4792 Redan, Annual Report for the period ending 19/2/1997, Normandy Exploration Limited, unpublished report to the GSNSW, RIN 00002672
d) CCZ ASX Release – 21 & 31 March 2022 and Leyh, W.R., and Lees T., 1977, Progress Report on Exploration Licence, No. 846 Iron Blow -Yellowstone Area, Broken Hill, New South Wales for the six months period ended 29th June 1977, North Broken Hill Limited, Report GS1976-198, Jul 77, 35pp and Leyh, W.R., 1990, Exploration Report for the Third Six Monthly Period ended 12th June 1990 for EL 3238 (K Tank), Broken Hill District, New South Wales for the six months period, Pasminco Limited, Report GS1989-226, Jun 90, 22pp and Main, J.V., and Tucker D.F., 1981, Exploration Report for Six Month Period 8th November 1980 to 7th May 1981, EL 1106 Rockwell, Broken Hill, NSW, CRA Exploration Pty Ltd, GS1980-080, Jul 1981, 40pp - COB ASX Release – 28 September 2022 (Annual Report)
- CCZ ASX Release – 2 May 2018