Peel Mining Ltd (ASX:PEX) has updated the indicated and inferred mineral resource estimate for its wholly-owned South Cobar project around 100 kilometres south of Cobar in western NSW.
The new mineral resource estimates provide Peel with an excellent foundation to undertake mining studies and continue permitting for exploration declines.
The South Cobar project now has a global mineral resource estimate base of approximately 20 million tonnes containing 216,000 tonnes of copper, 322,000 tonnes of zinc, 151,000 tonnes of lead, 22 million ounces of silver, and 204,000 ounces of gold.
About 14 million tonnes (or 70 per cent) of the global MRE, including about 152,000 tonnes of contained copper (or 77 per cent) of copper-dominant resources, is classified as indicated.
Peel Mining Managing Director Jim Simpson said: “Peel has established a strong resource base at its South Cobar Project with a level of resource confidence to advance mining studies and permitting for exploration declines.
“The strong drill results from Mallee Bull and Wirlong over the last 18 months have translated into a significant upgrade in confidence of these copper resources, with approximately 77% of the company’s copper-dominant resources now classified as Indicated Resources, for approximately 152kt of the 197kt copper metal contained in these two copper-rich deposits.
“At Wirlong the MBX lens has delivered coherent high-grade mineralisation, and exploration drilling has confirmed it is surrounded by a broad halo of stockwork copper mineralisation, which remains open and will be subject to further exploration and definition.”
The South Cobar project comprises the Mallee Bull, Wirlong, Wagga Tank-Southern Nights, and May Day deposits.
Peel was initially attracted to the Cobar area in 2010 by the presence of world-class, high-grade, and long-life base and precious metals rich deposits as demonstrated by the CSA, Peak and Elura/Endeavor mines.