Demetallica Limited announce assays results from its maiden drilling program at the Peake and Denison project, located 150 kilometres northeast of the Prominent Hill Mine, South Australia. The Peake and Denison project is located 750km NNW of Adelaide along the north-eastern margin of the Gawler Craton. The project tenements cover approximately 2,500km2 of the Peake and Denison Inlier.

Exploration at the Peake and Denison Project is funded by OZ Minerals Ltd. under a Farm-in and Joint Venture Agreement. OZ Minerals Ltd. can earn an initial 51% interest in the project by sole funding $4 million of exploration expenditure over three years (Stage 1). OZ Minerals Ltd. can earn an additional 19% interest by sole funding a further $6 million of expenditure over the subsequent three years (Stage 2).

Historical drilling has shown that basement rocks in the Peake and Denison Inlier have undergone sodic-calcic-iron alteration developed at broadly the same time (1520-1470Ma) as alteration related to copper-gold deposits in the Cloncurry region, indicating similar potential for large IOCG deposits. Eight priority targets were defined across the Peake and Denison Project. Three of these targets were selected for initial drilling.

Only the Mawson and Wills targets were effectively tested by drilling as the hole (WW22DD001) testing the Wentworth target encountered drilling difficulties in the cover sequence and was abandoned at 107m depth.