Southern Hemisphere Mining (ASX: SUH) is on track to deliver a maiden JORC Resource at the Llahuin Copper Project with the completion of a resource drilling program.
Highlights from the most recent results include:
- 178 metres at 0.54% copper equivalent from 106 metres;
- 54 metres at 0.54% copper equivalent from 72 metres; and
- 193 metres at 0.45% copper equivalent from surface.
Today's results support the highlights from earlier in the month, which included:
- 270 metres at 0.50% copper equivalent from 64 metres, including 130 metres at 0.60%;
- 154 metres at 0.56% copper equivalent from 106 metres, including 90 metres at 0.61%; and
- 164 metres at 0.42% copper equivalent from 227 metres, including 84 metres at 0.49%.
Southern Hemisphere drilled a total of 81 holes for 14,728 metres of reverse circulation drilling and 6,991 metres of diamond drilling at Llahuin.
With all assays from the drilling program returned, work is underway to define a maiden JORC Resource for the project. Completion is imminent.
The Llahuin project is expected to form the cornerstone of Southern Hemisphere's copper gold portfolio in Chile.
The Llahuin exploitation licenses cover an area of 7.72 square kilometres and have similar geological characteristics to Teck Resources' (TSX: TCK, NYSE: TCK) nearby 400 million tonne Carmen de Andacollo copper mine.
Southern Hemisphere Mining has completed an option agreement for the Mina San Francisco exploitation licences covering an area of 0.75 square kilometres, located about 10 kilometres from the Llahuin Amapola concessions.
The company acquired the option agreement over the Mina San Francisco licences for staged cash payments of US$505,000 (A$478,841) over a period of 24 months of which US$15,000 has been paid to date.
Apart from the work of artisanal miners, there has been no previous significant exploration activity on the property.
Mapping of the licence area has identified a breccia zone that extends 750 metres in a north to south direction and is 130 metres wide.
Southern Hemisphere Mining has begun a limited pilot drilling program at Mina San Francisco.
The company has also submitted an application for the surrounding exploration licences covering 40 square kilometres.
What is significant about these satellite areas is that they do not need standalone Resources to be of benefit to Southern Hemisphere Mining.
"With the satellite areas they don't need standalone tonnages, obviously the bulk of the tonnage is at the Llahuin porphyry," Tennant said.
"So even if a satellite project has say 10 million tonnes, it's still useful to us especially if it's high grade and it's early on in the project."