Commences 2,450m Drilling Campaign At Red Mountain
Xanadu Mines Ltd (ASX: XAM, TSX: XAM) has confirmed shallow copper mineralisation and commenced drilling at the Red Mountain copper-gold district in Mongolia.
In its joint venture with the Japan Oil, Gas and Metals National Corporation (JOGMEC JV) Xanadu is undertaking a targeted approximately 2,450m programme at Red Mountain.
The company’s confidence has been boosted by assay results returned from a 1,000m trenching programme which confirmed additional, shallow high-grade copper mineralisation at Stairy and extending zones of mineralisation seen in historic trenches
Significant results include: o OUTR100 returns 8m @ 2.03% eCu from 136m1 o OUTR104 returns 8m @ 1.94% eCu from 4m1 •
Exploration drilling will now focus on the shallow high-grade targets identified via trenching and previous drilling.
Chief Executive Officer, Dr Andrew Stewart, said the Red Mountain district is being progressed as a standalone high-grade copper project, complementing the advanced large-scale Kharmagtai copper-gold district.
“We are very excited by shallow copper mineralisation in our surface trenching at Red Mountain,” Dr Stewart said.
“This confirms the mineralised structures are sub-vertical and up to twenty-four meters wide, potentially extending well over a kilometre. Importantly, our latest geological interpretation suggests these may be linked to a large-scale porphyry system at depth.
“The quality of Stairy and of the Red Mountain district continues to improve, laying a strong foundation for our new drilling programme.”
The Stairy prospect consists of a 1.5km by 1km zone of sheeted mineralised structures hosted within the Stairy Intrusive in the central east of the Red Mountain Mining Lease.
These structures are interpreted to be sub-vertical, up to twenty-four meters wide and can extend for over a kilometre.
Copper mineralisation at Stairy consists of bornite and chalcopyrite sulphide with quartz carbonate fill. The current geological interpretations suggest these sheeted structures may be linked to a large-scale porphyry system at depth.
The Red Mountain district is located within the Dornogovi Province of southern Mongolia, approximately 420 kilometres southeast of Ulaanbaatar and is a joint venture between Xanadu and JOGMEC, in which JOGMEC may earn up to 51% beneficial interest in the project by sole funding up to $US7.2 million in exploration expenditure over four years, commencing April 2020.
Red Mountain covers approximately 57 square kilometres in a frontier terrane with significant mineral endowment, and it has a granted 30-year mining licence. Red Mountain comprises a cluster of outcropping mineralising porphyry intrusions which display features typically found in the shallower parts of porphyry systems where narrow dykes and patchy mineralisation branch out above a mineralised stock. This includes multiple porphyry copper-gold centres, mineralised tourmaline breccia pipes copper-gold/base metal skarns and high-grade epithermal gold veins.
For further information please visit: https://www.xanadumines.com/site/content/