- Krakatoa Resources has confirmed the prospective nature of the Belgravia Project in New South Wales
- The company believes the project and six initial targets, are highly prospective for copper-gold mineralisation
- The bulk of the resource is potentially available by open-pit mining and has a strong potential for further resource growth
- Shares are up almost 14 per cent, trading for 4.1 cents apiece
Krakatoa Resources has confirmed the prospective nature of the Belgravia Project via recent field due diligence.
The Belgravia Project is located on the western margin of the Central Tablelands Region of NSW, 230 kilometres from Sydney.
The project covers a total area of 80 square kilometres and is located in the central part of the Molong Volcanic Belt (MVB), which is part of the East Lachlan province.
The East Lachlan region forms the largest porphyry province in Australia.
Historical exploration appears to have failed, to fairly consider the regolith and tertiary basalt that obscures much of the geology.
However, the project has six initial targets that are considered highly prospective for porphyry copper-gold and associated skarn copper-gold.
The Belgravia Project contains the eastern half of the Copper Hill Igneous Complex (CHIC) which hosts the Copper Hill copper-gold deposit with global resources of 87 million tonnes at 0.32 grams per tonne of gold, with a 0.36 per cent of copper result.
It’s Copper Hill deposit contains higher-grade resources totalling 28 million tonnes at 0.56 our cent copper and 0.53 grams per tonne of gold. The mineralised system is concentrated in the upper portions and remains open at depth.
As a result, the bulk of this resource is potentially extractable by open-pit mining and has a strong potential for further resource growth through exploration.
“Having been responsible for lithological, structural, alteration and mineralisation interpretation of deposits for target generation across much of NSW and in particular the Lachlan Fold Belt, the discovery of intense albitisation and silica-saturation is highly prospective,” mining engineer Ian Cooper said.
“I have only seen this alteration intensity once before and this was at the Cadia East Mine,” he added.
Krakatoa’s share price is up 13.9 per cent, with shares trading for 4.1 cents apiece at Wednesday’s close of day.