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Alkane inspires neighbours after major gold-copper discovery

Mining
ASX:SG1
06 October 2019 22:55 (AEST)

Alkane Resources has set the tone for explorers in Central West New South Wales after its major gold-copper discovery last month.

At Alkane’s Northern Molong Porphyry Project highlights from a drilling program included 3.28 grams per tonne of gold and 0.67 per cent copper from 419 metres.

Upon the discovery Alkane’s Managing Director Nic Earner said: “These drill results suggest a significant and exciting discovery.”

Sagon Resources has updated the market today having been inspired by Alkane’s finds. The company operates a copper-gold project in proximity of the Northern Molong Porphyry Project.

As it stands Sagon has seven tenements in the region and is funding exploration at six of these. Over the next three to six months the company advises it will direct exploration efforts to the Cundumbul and Trundle projects.

At Cundumbul previous testing intercepted high-grade molybdenum which increases its potential to find copper-gold mineralisation. However, further drilling is necessary to determine this.

The Trundle project has “extensive evidence” that there is porphyry and skarn-style copper-gold mineralisation, according to Sagon.

A drill program is set to begin in the coming months and a resource estimate is in progress.

At market close, Sagon’s share price is down 1.67 per cent today, currently sitting at six cents apiece.

Alkane’s share price has recorded another boost, up 12.68 per cent today to 80 cents apiece.

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