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Breakaway Resources: copper, gold rock chip samples from Sandy Creek show extension potential

Breakaway Resources (ASX: BRW) has received high grade results from rock chip sampling at its Sandy Creek copper-gold prospect which shows surface outcrop grades of up to 14.1% copper, 20.6 grams per tonne (g/t) gold and 49.8g/t silver.

Managing director David Hutton told Proactive Investors today the results reinforce the along strike extensional potential for Sandy Creek, which is located in the heart of the world-class Cloncurry Mineral District in northwest Queensland.
 
“The results have come from a sampling of outcropping surface mineralisation that lies within an area of 125 metres of strike length and that lies immediately north of the area that we’ve currently drilled,” he said.

“So this is a new potential strike extension. It hasn’t been drilled and just on the area that’s been sampled, it suggests the potential is there for another 125 metres of strike length on top of what we’ve already defined, which is a 600 metre strike length of mineralisation.”

Nine rock chip samples were collected at the northern end of Sandy Creek, six of which were collected directly along strike from the northernmost drill hole.

Later this week Breakaway will begin diamond drilling to test down-dip of the surface mineralisation.

Hutton said the company would modify the existing program to test underneath the rock chips to try and confirm the along strike potential.

So this rig will move and test underneath these rock chip results, probably move up there within the week and then it’s probably all up about a  month long process to drill the hole, get the assay results and interpret them.


Sandy Creek Potential

Sandy Creek lies within Breakaway’s wholly owned Eloise Exploration Project, 20 kilometres west of the operating Eloise Copper Mine, which is owned by the company’s second largest shareholder FMR Investments and where mining activities recommenced in January.

Importantly, the Eloise Exploration Project has had very little copper-gold focused exploration for the last 10 to 15 years.

Hutton said Sandy Creek is a rapidly emerging copper-gold discovery. “These results have only been happening since we started drilling specifically looking for copper-gold on this project in June/July of this year,” he said. “This is a very rapidly emerging story.”


Cash Position

Breakaway Resources boosted its cash reserves to A$3.3 million after completing a $1.1 million placement earlier this month.