Asian Battery Metals Confirms Promising Mineralisation in Phase 1 Drilling at Yambat Project
AZ9 (AZ9) Share Update September 2024 Tuesday 17th
Asian Battery Metals Confirms Massive Sulphide Mineralisation at Yambat Project
Asian Battery Metals PLC (ASX: AZ9) has announced the successful completion of its Phase 1 diamond drilling and exploration program at the Yambat Project in Mongolia. The program has confirmed significant sulphide mineralisation, promising a potential boost in mineral resources.
Instant Summary:
- Phase 1 drilling program completed with a total of 2896.85 metres drilled.
- Significant sulphide mineralisation encountered in multiple drill holes.
- OVD021 drill hole revealed an 8.8-metre massive sulphide interval.
- Mineralisation extended by 50 metres to the Southeast in OVD012.
- Strike length of mineralisation at Oval Cu-Ni prospect now exceeds 800 metres.
- High-resolution magnetics study completed; downhole electro-magnetic survey ongoing.
Drilling Program Overview
Asian Battery Metals PLC (ABM) has successfully completed its Phase 1 diamond drilling and exploration program at the Yambat Project, located in the Gobi-Altai region of Mongolia. The program, which totaled 2896.85 metres, focused on the Oval Ni-Cu and Copper Ridge Cu-Au prospects.
During the drilling, multiple mineralised intervals were intersected. Notably, drill hole OVD021 encountered a massive sulphide interval of 8.8 metres from a depth of 107.2 metres within a broader net-textured and disseminated sulphide zone. This discovery highlights the potential for high-grade mineralisation at depth.
Key Findings
Drill hole OVD009 extended the mineralisation by an additional 15 metres in depth, while OVD012 extended it by 50 metres to the Southeast. Additionally, drill holes OVD017 to OVD019 confirmed shallow mineralisation at the North Oval zone, which remains open at depth. The strike length of the drill-tested mineralisation at the Oval Cu-Ni prospect now exceeds 800 metres.
A high-resolution magnetics study has been completed, and a downhole electro-magnetic survey (DHEM) is ongoing at the Oval prospect. The data from these studies will be integrated for targeting in the next stage of drilling and exploration, planned for Q4 2024.
Geological Insights
The recent drilling work has primarily focused on defining the continuation of disseminated mineralisation in olivine-amphibole gabbro at the Oval prospect. The discovery of massive sulphide mineralisation in OVD021 suggests a significant increase in mineralisation grade at depth. Assays for OVD021 are pending, but the initial results are promising.
Gan-Ochir Zunduisuren, Managing Director of ABM, commented on the completion of Phase 1: 'The Phase 1 2024 diamond drilling and exploration program has resulted in a significant extension of mineralisation at the Oval Cu-Ni prospect. The massive sulphide intercept at OVD021 confirms the potential for high-grade ores, marking a breakthrough in our exploration efforts.'
The confirmation of massive sulphide mineralisation at the Yambat Project is a significant milestone for Asian Battery Metals. This discovery could lead to an increase in the company's mineral resources, potentially boosting its stock value. The ongoing studies and planned Phase 2 exploration in Q4 2024 will be crucial in determining the full extent of the mineralisation.
Investor Reaction:
Analysts are likely to react positively to the news of significant sulphide mineralisation, as it indicates the potential for high-grade mineral resources. However, the pending assay results for OVD021 will be closely watched, as they will provide more concrete data on the mineralisation grades.
Conclusion:
Investors should keep an eye on the upcoming Phase 2 drilling program and the results of the ongoing studies. The confirmation of massive sulphide mineralisation at the Yambat Project is a promising development that could enhance the company's mineral resource base and stock value.