Total
0
Shares
Xanadu Mines (ASX:XAM) - CEO, Dr Andrew Stewart - The Market Herald
CEO, Dr Andrew Stewart
Source: The Sydney Morning Herald
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Xanadu Mines (XAM) is accelerating exploration work at its Kharmagtai copper-gold project with the proceeds from a recent equity placement
  • An additional two rigs to the program, bringing the total to three, which is expected to continue through to the end of the year
  • An initial phase is currently under way, which will use extensional drilling to further understand the scale of the mineralised system at the project
  • The company announced the two-tranche financing earlier this month, with the first tranche of approximately $5.6 million already received
  • Xanadu Mines closed 2.27 per cent in the green for 4.5 cents per share

Xanadu Mines (XAM) is accelerating exploration work at its Kharmagtai copper-gold project with the proceeds from a recent equity placement.

Located 420 kilometres southeast of Ulaanbaatar, the project sits within the South Gobi porphyry copper province, which hosts a number of established porphyry deposits.

This includes the Oyu Tolgoi copper-gold operation 120 kilometres to the south, as well as the Tsagaan Suvarga porphyry copper-molybdenum development 170 kilometres to the east.

A key part of the expanded program, which is expected to continue through to the end of the year with roughly 23,000 metres of drilling, is the addition of two more diamond drill rigs, bringing the total to three.

An initial phase is currently under way, which will utilise extensional drilling to outline the mineralised system at the Kharmagtai Project. This will map the system by following broad geological and geochemical trends, allowing for a more targeted approach to drilling in the second phase.

Xanadu is also carrying out a geophysical program to develop an in-depth 3D fault model, which will allow for the further identification of high-grade mineralisation extending from known zones.

This work is based on a recently completed controlled source audio-magnetotelluric study over the Copper Hill region, which returned encouraging results.

Andrew Stewart, CEO of Xanadu Mines, said he is pleased to be accelerating drilling at the Kharmagtai Project.

"The 23,000 metres of drilling to be completed in 2020 is targeted to open-up both the tonnage and high grade potential for this project," he said.

"Our recent drilling results support interpretations that the porphyry-breccia complex at Kharmagtai has the potential to be a world class copper-gold system with similarities to other significant deposits globally," he added.

The accelerated program is supported by a recently completed two-tranche equity financing, in which Xanadu sought to raise $12 million through the issuance of up to 266.7 million new fully paid ordinary shares.

The first tranche has already been received with gross proceeds of approximately $5.6 million, and the second tranche has been schedule for shareholder approval on October 1 this year.

Xanadu Mines closed 2.27 per cent in the green for 4.5 cents per share.

XAM by the numbers
More From The Market Herald
Austral Gold (ASX:AGD) sets terms for proposed buyout

" Babylon Pump and Power (ASX:BPP) completes Ausblast purchase

Babylon Pump and Power (BPP) has completed the purchase of Pilbara Trucks, which trades under the name Ausblast.
Apollo Consolidated (ASX:AOP) reports new assay results at Lake Rebecca

" Strategic Energy Resources (ASX:SER) highlights potential at East Tennant

Strategic Energy Resources (SER) has received results that have highlighted the mineral potential of its East Tennant Project in the Northern Territory.
Kula Gold (ASX:KGD) finds copper mineralisation at Brunswick

" Kula Gold (ASX:KGD) set to raise $930k for WA exploration

Kula Gold (KGD) has received firm commitments to undertake a $930,000 placement.
Highfield Resources (ASX:HFR) - CEO, Ignacio Salazar - The Market Herald

" Highfield Resources’ (ASX:HFR) Muga Mine endorsed by Govt. study

The Government of Navarra has released an independent study endorsing the impact of Highfield Resources’ (HFR) Muga Mine.