Argonaut Resources (ASX:ARE) strikes iron oxide copper-gold system at Murdie

• Argonaut Resources (ARE) has hit an iron oxide copper-gold system in the first drill of its current programme at the Murdie Project in South Australia
• Drill hole WLTD001, which was executed to 924 metres, was the first of a four to five-hole drill effort planned to test the West Lake Torrens gravity anomaly
• The explorer said the find confirms the prospectivity of the anomaly and the intensity of the alteration indicates the hole is 300 metres to 1000 metres from possible copper mineralisation
• Argonaut said the drill hole has been logged and the basement core will soon be transported off-site for cutting and analysis
• Argonaut Resources shares are down 20 per cent following the announcement, trading at 0.8 cents

Argonaut Resources (ARE) has hit an iron oxide copper-gold system in the first drill of its current programme at the Murdie Project in South Australia.

Drill hole WLTD001, which was executed to 924 metres, was the first of a four to five-hole drill effort planned to test the West Lake Torrens gravity anomaly, which ARE affirms represents significant volumes of high-density rock.

Argonaut said the drill hole has been logged and the basement core will soon be transported off-site for cutting and analysis.

More broadly, the explorer said the find confirms the prospectivity of the anomaly and the intensity of the alteration indicates the hole is 300 metres to 1000 metres from possible copper mineralisation.

Argonaut’s Chief Executive Officer Lindsay Owler said the results were encouraging.

“This was the first-ever drill hole into the West Lake Torrens gravity anomaly, and we have now established that the basement rocks host a prospective, hematite-rich IOCG system,” he commented.

“It is the perfect time in the commodities cycle to be drilling for large, high-grade copper deposits,” he added.

Argonaut Resources shares are down 20 per cent following the announcement, trading at 0.8 cents at 3:04 pm AEST.