The Gawler Craton is a large stable block of Archaean to Middle Proterozoic basement sequences located within the western and northern parts of South Australia. The eastern margin, referred to as the Olympic Domain, contains a number of world class iron-oxide copper-gold ± uranium deposits and prospects including the giant Olympic Dam mine, Prominent Hill mine, Carrapateena deposit and the recent Hillside discovery.
Pernatty Lagoon Joint Venture: copper-gold
The Pernatty Lagoon project, a joint venture with Havilah Resources Limited, is located less than fifty kilometres south of the Carrapeteena copper discovery where Teck Cominco announced an impressive intercept of 905 metres at 2.1% copper and 1gram per tonne gold. Red Metal has earned more than 70% of the project. An eight hole drilling program completed in 2007 identified broad intervals of intense sericite-tourmaline alteration, broad intervals of visible low-grade lead, zinc and copper sulphides and a narrow zone of hematite breccia associated with trace amounts of bornite and chalcopyrite. These elements are consistent with halo mineralization surrounding a large copper-gold deposit and have encouraged Red Metal to continue appraisal of the Pernatty Lagoon project.
Results of drilling to date suggest magnetic targets in the Pernatty Lagoon project area are prospective for copper-gold mineralisation. Two significant magnetic targets on the project area remain untested and a third target requires redrilling with an angled hole.
Red Metal is seeking expressions of interest from major companies to progress to the next phase. View tender document (480 kb).
Ooldea-Barton Zircon Heavy Mineral Project
The Barton project covers Tertiary beach sands deposited in the Eucla Basin along the western margin of the Gawler Craton where Iluka Resources Ltd have discovered four significant zircon-rich heavy mineral sand resources, the Jacinth, Ambrosia, Tripitaka and Gulliver deposits. More recently Dominion Mining Limited discovered a large area of greater than 1% heavy mineral sand at their Barton West project, northwest of Red Metal’s Barton tenement.
Red Metal’s Barton project is joint ventured with Cristal Australia Limited, who act as manager. From first pass drilling in 2010 Cristal successfully discovered an extensive blanket of low grade, heavy mineral sand situated along the same Tertiary shore line that hosts Iluka Resources’ Mojave discovery. Cristal reported an Inferred Heavy Mineral Resource (consistent with the 2004 JORC Code), of about 285 million tonnes at an estimated grade of about 1.9% HM for the new Barton discovery. The Inferred Resource is estimated to contain about 2,600,000 tonnes of ilmenite, 460,000 tonnes of zircon, 140,000 tonnes of leucoxene and 120,000 tonnes rutile and has a low clay content averaging about 1.8%.
Cristal are encouraged by their early success and are planning additional exploration work testing for potential higher grade HM trap sites on the untested headland and embayment target immediately southwest from the Barton discovery and target opportunities along the western Ooldea shoreline trends.