Austral Resources (ASX:AR1) reports “outstanding” results from Lady Colleen, QLD

• Austral Resources (AR1) reports “outstanding” results at the Lady Colleen prospect, within its Mt Kelly operation in Queensland
• The latest results came from step-out diamond and reverse circulation (RC) drilling which returned a result of six metres at 2.95 per cent copper from 189 metres
• Austral plans to undertake further drilling and update the mineral resource estimate before it starts a scoping study to assess the potential for open pit mining at Lady Colleen
• Shares are trading 6.06 per cent higher at 17.5 cents each at 2:41 pm AEDT

Austral Resources (AR1) has reported “outstanding” results at the Lady Colleen prospect, within its Mt Kelly operation in Queensland.

The latest results came from step-out diamond and reverse circulation (RC) drilling.

Among the highlights, the company intercepted 49 metres at 1.27 per cent copper from 173 metres downhole, including a higher-grade hit of six metres at 2.95 per cent copper from 189 metres.

Austral said the results confirm the presence of a continuous high-grade core to mineralisation at the prospect, which remains open along strike and down plunge to the north-west.

It will design further drilling to evaluate the potential to extend mineralisation, with plans to release an updated mineral resource estimate (MRE) this quarter.

Additionally, Austral will undertake a scoping study to assess the potential of the Lady Colleen resource to support an open-cut mining project at Mt Kelly.

CEO Dan Jauncey said the 2022 drilling campaign was completed safely and effectively.

“Following the MRE update, Austral will commence a scoping study to evaluate all modifying factors and determine the economic potential for open pit mining at Lady Colleen,” he said.

“We look forward to advising the market with the updated MRE at Lady Colleen over the coming weeks.”

Shares were trading 6.06 per cent higher at 17.5 cents each at 2:41 pm AEDT.