ASX-listed explorer, Comet Resources has struck an agreement to buy a portfolio of prospective greenfields base and precious metals properties in the Northern Territory in a scrip-dominated staged payment deal worth under $1 million. The tenement package consists of several exploration licences and licence applications spanning an area of approximately 840 square kilometres that take in the Oonagalabi copper-zinc, Paradise Well copper-gold and Silver Valley copper-gold-silver-lead projects.
The projects’ prospects boast some impressive early exploration numbers that look like they are begging to be followed up.
Perth-based Comet says historical exploration results point to predominantly near-surface mineralisation at the prospects where it says only very limited modern exploration techniques have been deployed to-date.
The company plans to quickly shine a light on some of the known geophysical and geochemical anomalies that have not previously been comprehensively drilled out.
One of the new assets known as Oonagalabi contains about 1.7km of outcropping copper, zinc and lead mineralisation, according to the company.
Drilling of Oonagalabi’s primary mineralisation has been very limited over the past four decades with 21 of 22 historical holes having been drilled there prior to 1981. The most notable intersection from historical drilling undertaken 50 years ago, was 36.5 metres grading an average one per cent copper and 1.7 per cent zinc from just 1.5m depth.
Other encouraging historical intercepts were 5m going 1.26 per cent copper and 1.22 per cent zinc from 70m back in 1979 and 6m at 0.89 per cent copper from 102m in 1978.
Comet says a high proportion of mineralisation at Oonagalabi, about 125km north-east of Alice Springs, lies relatively close to the surface, potentially allowing for an early pathway to an initial mineral resource estimate through mapping combined with ground geophysics then drill testing of delineated targets.
The company suggests the mineralised Oonagalabi formation represents a similar geological setting to other known copper deposits in the region, including KGL Resources’ Jervois project.
Jervois hosts an indicated and inferred resource of 20.97 million tonnes of ore grading an average 2.03 per cent copper and 31.8 grams per tonne silver for 426,200 tonnes of contained copper and 21.4 million ounces of silver.
Two prospects have been identified at Paradise Well which sits about 10km south of Oonagalabi. Historical rock chip sampling work returned copper values of up to 8.8 per cent at the Manny target and copper-gold rock chip values going up to 6.23 per cent copper and 2.15 g/t gold at the New Paradise Well target.
Neither target has been subject to ground geophysics or drill testing and according to Comet, Paradise Well presents an opportunity to follow up historical work with a systematic program of geophysics to identify drill targets.
Silver Valley, about 300km north of the Oonagalabi, includes the Chablo prospect that yielded a stand-out assays of 554 g/t silver, 20 per cent lead, 11.2 per cent copper and 2 g/t gold from 130 historical rock chip samples.
Four outcropping lead-silver-bearing quartz veins, which have been worked by historical pits and shafts, occur within the project area.
Comet Resources Managing Director, Matthew O’Kane said: “This portfolio combines both advanced and early-stage copper, gold and base metals targets. They complement our existing copper and base metals project at Barraba in NSW and provide Comet increased exposure to copper upside, which we believe will continue to strengthen as a result of increased global infrastructure spending and the transition to clean energy.”
The company reached the agreement to acquire the NT projects from private outfit Bath Resources, who has been paid a non-refundable deposit of $50,000 for a 45-day exclusive option over the portfolio. Comet says it can elect to walk away from the transaction before the issue of any shares to Bath, but with a treasure trove of encouraging historic results to build on, that looks to be unlikely.
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By Matt Birney
