Maronan Silver-Lead Project
A new geological interpretation backed-up with high silver prices and a strong lead price make the Company’s Maronan silver-lead project one of the most promising silver exploration opportunities in Australia.
Exploration on Maronan has identified two separate styles of mineralisation, bedded lead-silver mineralisation partially overprinted by structurally controlled copper-gold mineralisation. The silver-lead mineralisation is of a similar style to the nearby Cannington deposit, one of the world’s largest silver and lead producing operations, while the overprinting copper-gold mineralisation can be compared with the mineralisation style at the nearby Eloise and Osborne ore bodies.
Strong silver-lead and copper-gold results from recent Red Metal drilling programs, together with the series of significant shallow intersections from historic drill programs have boosted confidence in the Maronan Project and the Company plans to evaluate this very large mineralised system with more step-out holes and targeted infill drilling.
Initial drilling in the 2013 program was targeted at the structurally controlled copper-gold mineralisation towards the northern hinge zone and intersected 13 metres at 1.6% copper with 1.0 g/t gold and 9 metres at 2.1% copper with 1.4g/t gold within a broad intersection of 115 metres at 0.8% copper with 0.5 g/t gold. Following this encouraging intersection the Company carried out detailed ground gravity and further electromagnetic surveying which has highlighted the potential of the hinge zone target.
The next phase of project evaluation commenced with a diamond drill hole at the northern hinge zone targeting the recently defined geophysical anomalies.
Red Metal’s first drill hole into the northern hinge zone target in late 2013 (MRN13002) discovered thickened horizons of strong Cannington Mine-style lead and silver mineralisation at shallow levels.
o 2.3m from 459.6m at 9.8% lead, 277 g/t silver;
Starting at a down-hole depth of just 460 metres these intersections are thicker, higher grade and at significantly shallower levels than those of the earlier drilling campaigns carried out further south by Red Metal in 2013 and 2012.
Importantly, MRN13002 is Red Metal’s first drill hole into the northern hinge zone target guided by the Company’s new geological model and the first drill hole to discover significant bedded lead and silver mineralisation in this region. These newly discovered extensions of mineralisation occur at shallow levels and have significantly expanded the geological potential of this large, under-drilled target zone.
A detailed follow-up program initially focusing on the newly discovered lead and silver mineralisation below the northern hinge zone is being implemented.
Red Metal owns 100% of the Maronan project.
South Cannington Projects: Silver-Lead-Zinc
This new group of projects seeks giant silver-lead-zinc deposits in prospective sedimentary sequences tracked southwards from the nearby Cannington silver-lead-zinc mine. Target areas were defined by processing new regional magnetic and gravity data sets and assessing the geology from Red Metal’s comprehensive historic drill hole database. Exploration titles covering targets from this interpretation were patiently secured as the ground became available. Red Metal will solicit joint venture funding for these exciting, previously untested, base metal opportunities.
NextIsa Project: Copper, Silver-Lead-Zinc
For many years geologists have speculated as to whether other prospective shale basins occur to the south of the Mt Isa basin that could have similar base metal ore potential. The Red Metal team recognized that determining the southerly trend of the bounding Mount Isa Fault was the key to seeking out these basins. Upon the release of new high resolution geophysical surveys the team moved quickly to identify this trend and secure title on what they believe is a previously untested shale basin up against the targeted Mount Isa Fault. This interpretation will now be tested in the hope of demonstrating its potential for Isa-type copper and/or silver-lead-zinc mineralisation.
Walford Creek East Copper, Silver-Lead-Zinc Project
Red Metal’s new Walford Creek East project is located 100 kilometres north of the Century Mine along the faulted northern margin to the Isa Super Basin. Red Metal are the first company to apply modern, high sensitivity electromagnetic surveying to the region targeting buried copper or silver-lead-zinc deposits similar to the giant Mount Isa deposits which are associated with conductive stratigraphy and deep penetrating basin margin faults.
Red Metal’s project covers the interpreted eastern extension of the known Walford Creek copper-lead-zinc-silver-cobalt prospect where historic drilling has intersected copper and lead-zinc mineralisation over a four kilometre long zone. Recent drilling on this adjacent prospect by Aston Metals Limited and Copper Strike Ltd returned an encouraging 17.1 metres at 1.94% copper, 0.43% cobalt, 2.41% lead, 0.71% zinc and 29g/t silver from a shallow depth which highlights the potential of the region.
An airborne electromagnetic survey was flown by Red Metal targeting major transfer faults located under shallow cover sequences about 15 kilometres east of the known Walford Creek prospect. Processing of the new survey data has highlighted significant high-conductivity targets prospective for base metal sulphide mineralisation for follow-up ground geophysics and drilling.
McArthur Basin Projects
The McArthur Basin is part of an extensive belt of Middle Proterozoic sediments which extend from the northwest region of Queensland through to the northeast region of the Northern Territory. Significant Stratiform style lead-zinc-silver deposits are known within these basins including the McArthur River (HYC), Century, Mount Isa, Hilton, George Fisher, Lady Loretta, and Walford Creek deposits.
The Company's Urapunga and Mallapunyah projects target sedimentary hosted silver-lead-zinc deposits similar to the giant McArthur River and Century Mines.
After many years of stalled negotiations with the Northern Land Council, in early 2012 the Aboriginal land owners vetoed mineral exploration access over the Urapunga project. Field access on Mallapunyah is dependent upon successful ongoing land access negotiations.