Alchemy Resources Limited (ASX: ALY) ('Alchemy') wishes to announce assay results from recent diamond drilling within the Overflow Gold and Base Metal Project in the Cobar Basin, NSW.
The two-hole diamond drill program aimed to expand the known extent of gold and base metal mineralisation down plunge to the south of previous high-grade gold intercepts1. The first hole (OFDD003) intercepted strong shearing, faulting, quartzcarbonate veining, and pyrite-sphalerite-galena mineralisation within altered sediments. Assays from this zone returned 15.8m @ 0.8g/t Au, 30g/t Ag, 1.4% Zn, 0.7% Pb from 266m, including 1m @ 2.7g/t Au, 22g/t Ag, 1.1% Zn, 0.7% Pb from 271m, and 1.1m @ 4.2g/t Au, 23g/t Ag, 2.5% Zn, 1.5% Pb from 280.7m.
The second hole (OFDD004), located a further 100m down plunge to the south of OFDD003, intercepted a wide zone of intense shearing, fracturing and fault breccia within altered sediments from 260 - 287m, however only minor quartz veining and sulphides were observed. Assays returned a best intercept of 2m @ 0.7g/t Au, 5g/t Ag, 0.9% Zn, 0.4% Pb from 284m.
The diamond drilling confirmed the extent and significance of the Overflow shear zone, whilst highlighting the complexity of structural controls on high grade shoots at the prospect. Detailed relogging of both Alchemy and historic drill core is planned in order to determine the structural controls and identify additional drill targets at depth and along strike to the north and south.
A more detailed analysis of the down hole electromagnetic (EM) survey conducted within OFDD004 highlighted a weak conductive response from 260m - 280m corresponding to the Overflow shear zone but has discounted a weak conductive response at the end of the hole as a possible early to mid-channel IP effect. The survey confirmed that the sphalerite at Overflow is not conductive and does not activate an EM response.
Contact:
Mr Leigh Ryan
Tel: +61 8 9481 4400
Email: Leigh@alchemyresources.com.au
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