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Geoscience Aust. says Redbank Copper’s (ASX:RCP) tenements prospective for base metals

Mining
ASX:RCP
12 October 2020 18:00 (AEST)

Redbank Copper (RCP) has added 1437 square kilometres to its footprint in the
highly prospective McArthur Basin of Northern Territory.

This comes after the acquisition of two exploration licences, EL 31236 and EL 31237, from private vendors.

The company will pay $20,000 for the tenements and will offer a three per cent net royalty on base metals. The tenements are currently in application which will be transferred to Redbank’s wholly-owned subsidiary, Redbank Operations.

Now, Redbank has a total landholding of 12,400 square kilometres and a strike length of over 300 kilometres which makes up its Redbank Project.

The namesake project has an existing JORC 2004 resource of 6.23 million tonnes at 1.53 per cent copper hosted within seven breccia pipes. The resource estimate doesn’t include 40,000 tonnes of ore (at two per cent copper) that has been stockpiled at surface within the Sandy Flat mining area.

This acquisition secures an extensive opportunity for the company to potentially deliver a world class project.

“We are extremely pleased to have secured these additional tenements which consolidates Redbank’s district scale position in the highly prospective McArthur Basin,” Executive Chairman Mike Hannington said.

“The world-class potential of Redbank’s portfolio has been strongly validated by the Federal Government backed ‘Exploring for the Future Program’ run by Geoscience Australia, which recently identified a trend traversing Redbank’s tenements as the most prospective region for base metals exploration in Australia,” Mike added.

The purpose of this government program is to explore Australia’s resource potential and boost investment in under-explored regions.

Significantly, Geoscience Australia invested $100 million on the first stage of the Exploring for the Future initiative which began four years ago to better understand the resources of northern Australia.

“We have a clear exploration strategy to unlock considerable value from the Redbank Project, which includes updating and potentially increasing the current copper resource, screening our extensive landholding to identify priority exploration targets and advancing our copper extraction program at Sandy Flat,” he concluded.

Moving forward, Redbank will focus on drilling at Sandy Flat to establish JORC
2012 reserve estimate on contained copper, updating Redbank’s existing JORC 2004 resource, and sampling and mapping activities across the project area.

Redbank ended the day trading a healthy 20 per cent higher for 7.8 cents.

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