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  • Stratum Metals Identifies Large, Strong Conductor At East Menzies 0 comments
    Jun 19, 2013 1:39 AM

    Stratum Metals (ASX: SXT) has identified what it believes to be a very large massive sulphide conductor at its East Menzies Goldfields Project in Western Australia that it considers to be a highly prospective drilling target

    Managing director Martin Holland told Proactive Investors this conductor - located close to the Goodenough Mine - was "as strong as it gets".

    He said this interpretation was based on the final processed data from the HeliTEM survey flown in March, results from initial drilling, downhole electromagnetic work as well as complying the historic information.

    "While a lot of conductors found by electromagnetic work are big long bands, this is different on the basis that the body is an odd shape, making it less likely to be a simple geological horizon."

    Holland added the company was now compiling a plan of works and will commence exploration over the conductor once this is completed and the required government approvals are received.

    Independent geophysical consultant Core Geophysics had noted that hole TRIB01 intersected sulphidic carbonaceous shale (47 metres to 51 metres at 35.2 grams per tonne gold) that was likely to be the source of the strong conductor to its west.

    This implied that the non-magnetic conductor could easily represent a larger body of sulphidic carbonaceous shale that should be viewed as a priority exploration target.

    It added that open file reports show a history of localised geophysical exploration around the mine, which is being reviewed as part of the current Stratum exploration program.

    Sample assays from a recent hole at the GV-C3 conductor, one of three conductors originally identified by MLTEM, returned anomalous gold associated with stringer sulphides, similar to what was observed in the high grade mineralisation of 9 metres at 16.63 grams per tonne gold and 9 metres at 19.37g/t silver encountered in the drilling at the Goodenough area.

    This association of high grade gold and silver with sulphides in the Goodenough makes the untested very strong conductors highly prospective targets for mineralisation.

    B-Field ch30 conductors around GV-C3

    HeliTEM Survey

    Final processed data from the HeliTEM survey flown in March that was assessed with previous data has resulted in the identification of a number of strong conductors that could be massive sulphide related.

    It also shows that recent drilling, while well targeted based on available information, has not yet tested the highest strength conductors in the area.

    Notably, the bonanza grade mineralisation reported from recent drilling at Goodenough, which returned a peak result of 9 metres at 16.63 grams per tonne gold from 44 metres including 4 metres at 36.54g/t gold that in turn hosts a 1 metre at 121g/t gold interval, is associated with a 30% stringer pyrite and carbonaceous shale which gives relevance to the nearby very strong conductor as potentially part of a larger mineralised system.

    Core Geophysics added the HeliTEM survey is characterised by a complex conductivity regime with a minimal presence of conductive overburden and that the observed responses indicate the conductors are located at shallow depths.

    It also noted a band of highly conductive, weakly magnetic bodies south of Goodenough that trends for about 3,800 metres that correlate with mapped ferruginous interflow sediments.

    Previous explorers have targeted this feature from a geological perspective without the benefit of having the current geophysical data.

    Strong surficial conductivity features are observed in the southeast and northeast of the survey. While these are thought to be related to conductive overburden, subtle anomalies occur within the data which could be bedrock responses.

    The far south of the survey area is characterised by a complex set of narrow conductors that vary between a strike extensive nature to discrete, localised bodies. There is little correlation with magnetic data which further adds to their complexity.

    Data from the survey also uncovered numerous other anomalies that will require extensive and careful analysis to prioritise their exploration significance.


    Stratum Metals' clear interest in drilling the strongest conductor identified by the HeliTEM survey and other data at its East Menzies project is understandable given the bonanza drilling result from the Goodenough Mine.

    While still early days, the results considerably de-risk the proposed work on the conductor and the hint that exploration success would bring a very substantial reward to Stratum.

    Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.

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