Minotaur Resources' share price came under renewed pressure yesterday after the latest drilling at its Prominent Hill polymetallic discovery in South Australia's Gawler Craton failed to excite the market.
Minotaur fell 30 cents, or 14 per cent, to $1.86 after the eagerly awaited release of what proved to be mixed results from two new holes (DP003 and DP004). DP003 returned a 235-metre intersection from a depth of 400 metres that assayed 1.05 per cent copper and 0.57 grams of gold a tonne, indicating mineralisation found in the discovery hole (URN 1) extended at least 120 metres to the south.
URN 1 set the market in Minotaur on fire in mid-November when it returned a 107-metre intersection from a depth of 200 metres assaying a more impressive 1.94 per cent copper and 0.66 g/tonne gold.
DP004 was a disappointment in that it showed that copper/gold mineralisation was not present in the central portion of the southern border of the targeted gravity anomaly.
Minotaur's heavy share price fall was despite DP003 providing fresh encouragement that Prominent Hill was a big mineralised system - albeit geometrically complex - with similarities to WMC's monster Olympic Dam copper/gold/uranium mine.
Enthusiasts for the Prominent Hill discovery also note that Olympic Dam's riches were uncovered by WMC's 10th hole.
It was the announcement of the discovery hole at Prominent Hill that sent the Minotaur share price up sharply last November. A 20-cent stock before the November discovery hole, Minotaur soared to more than $3 in late January.
AXT Price at posting:
10.5¢ Sentiment: None Disclosure: Held
