Castillo Copper (ASX:CCZ) reports it has observed ‘potential’ cobalt and rare earth element (REE) mineralisation from 4 drillholes at the Tors Tank Prospect, located within the BHA Project’s East Zone near Broken Hill, New South Wales.
The company drilled 4 holes for a total of 488m, and this drilling intersected a geological sequence comprising clay, amphibolite, schist, gneiss and pegmatite that appears to be dipping moderately.
Castillo is interpreting the intersected geology to be consistent with observations by previous explorers, including Broken Hill North during the 1970s and 1980s.
During the qualitative logging process, Castillo reports multiple disseminated layers (mostly pyrite) up to 12m thick were identified, aligning with previous work conducted by Broken Hill North that suggested pyrite hosts cobalt mineralisation.
Further analysis of the samples showed the pyrite is mostly associated with amphibolite layers and thinner, sparser horizons which also occur and are spread within interbedded schist and gneiss layers.
Field XRF observations indicated positive readings within the amphibolite zone, supporting the interpretation that cobalt mineralisation is present, however the company states this view is subject to final assay confirmation.
The company also reports proximal to the amphibolite layers are ‘significant’ magnetite zones associated with pegmatite up to 14m thick that could host REEs, however this is also subject to final assay confirmation.
The company states this interpretation is based on recent re-assays of diamond core from drillhole DD90_IB3 at the Iron Blow Prospect, as it has comparable geology and confirms the presence of ‘high-grade’ REEs within the BHA Project’s East Zone. The best intersection recorded was 8m @ 1,270ppm TREO.
With the conclusion of the drilling campaign at the Tors Tank Prospect, all 488 1m reverse circulation (RC) samples collected were geologically logged and dispatched to ALS’s Adelaide laboratory for processing and analysis.
Castillo Copper Managing Director Dennis Jensen said the company is delighted about the potential REE discovery.
“The drilling campaign has got off to an excellent start, with initial interpretations from the geology team confirming that targeted cobalt zones have been intersected”
“The drilling campaign has got off to an excellent start, with initial interpretations from the geology team confirming that targeted cobalt zones have been intersected.
Moreover, whilst subject to final assay results, the Board is delighted to learn that significant pegmatite zones have been intersected which could potentially host rare earth elements.”
Castillo Copper is an Australian-based explorer primarily focused on copper across Australia and Zambia.
The company is embarking on a strategic transformation to morph into a mid-tier copper group underpinned by its core projects including a ‘large’ footprint in the Mt Isa copper-belt district, 4 assets across Zambia’s copper-belt, a ‘large’ tenure footprint near Broken Hill prospective for cobalt-zinc-silver-lead-copper-gold and platinoids; and the Cangai Copper Mine in northern New South Wales.
Images: Castillo Copper Ltd
