PERTH-based junior explorer Southern Cross Goldfields says drilling has started at its Colreavy gold and nickel sulfide target in Western Australia’s Central Yilgarn region.
Drilling has been designed to test a 400m-long moving loop electromagnetic conductor.
According to the company, the MLEM method identifies sub-surface zones that conduct electricity.
Southern Cross said the Colreavy environment was typical of classic Kambalda and Forrestania-style nickel sulfide mineralisation.
“The identification of gossan float and sub-crop with up to 0.18% nickel, 3.84% copper, 1.98 grams per tonne gold and low lead and zinc in the up dip projection of the anomaly is highly encouraging and suggests mineralised massive sulfides may be present,” the company said.
“The top of the conductor is interpreted to be about 80m below surface, suggesting the observed surface gossans may be the weathered surface expression of ‘leakage’ anomalies of mineralised massive sulfide at depth.”
The company said the conductor was associated with a shear zone that hosted the Mistletoe gold workings approximately 2km to the south, and hence the elevated gold and copper in the gossan might also be related to primary gold and copper mineralisation.
Southern Cross said the early indicators suggested Colreavy would prove a nickel sulfide and gold-copper target.
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