AusQuest Limited advised that it has completed diamond drilling to test the previously identified down-hole electromagnetic (DHEM) anomaly at the Hamilton North prospect, part of the Hamilton Copper-Gold Project in North-West Queensland. Previous drilling at this prospect returned highly anomalous copper values within a mineralised banded iron formation (BIF) sequence in several drill-holes, highlighting the potential for copper mineralization. Drill-hole HMDD019, which was completed to a depth of 510m, intersected a thick sequence
(~80m) of banded iron formation (BIF) with strong iron alteration that coincides with the
location of the modelled DHEM target. High magnetic susceptibility (>1.0 SI units) and
specific gravity (>3.4) measurements within the BIF sequence explain the magnetic and
gravity responses that are central to this prospect.
Thin sulphide bands (pyrrhotite/pyrite) within the BIF, along with the high magnetite content,
were found to be the likely cause of the off-hole EM response that was targeted by this drill
program.
Anomalous copper values (up to 1,500ppm Cu) along with elevated cobalt (up to 480ppm
Co), tin (up to 5.8ppm Sn) and selenium (up to 12ppm Se) support the presence of a
mineralising system in the area, but no economic mineralisation was intersected. Compilation of data from all four drill-holes at Hamilton North is in progress to identify
possible vectors to better grade copper mineralisation.
Structural measurements on the core indicate that the BIF has a consistent dip to the east-
south-east, suggesting a relatively simple structural setting, although geophysical data may
indicate otherwise. The discrete nature of the magnetic and gravity responses over the
Hamilton North prospect was thought to reflect a potential structural thickening of the BIF
sequence, which may still be the case.
AusQuest's Managing Director, Graeme Drew, said the potential for higher copper grades at
Hamilton remained a real possibility, even though hole HMDD019 had not intersected
economic mineralisation.