Until the drill bit hits the basement to confirm it could still be either an IOCG related feature in itself (similar to Olympic Dam, Prominent Hill, Carrapateena etc.) or a related skarn style deposit overlying the system (similar to nearby Punt Hill). Previous drilling hasn't got that deep previously (see below) so at the moment it's an educated guess.
Whilst the system will no doubt host mineralisation, it is a big target and controls on mineralisation at this stage are largely unknown. Grade will be key here and hence the risk component however all the key ingredients are there for a significant discovery. Whilst for a junior exploration company it is a high risk play, I am confident there will be quite a few eyebrows raised from some of the bigger players based on this most recent announcement and not just limited to local players (Case in point Antofagasta jumping on board to farm in on Monax's Punt Hill Project). Whilst the expenditure for IVR with regards to 3000m of DD is significant, for the bigger players it is pittance and the more de-risked the project is with follow up infill gravity surveys the more likely the company is to JV on more beneficial terms.
IVR Price at posting:
1.1¢ Sentiment: None Disclosure: Held
