Caspin Resources has delivered an upbeat assessment of its high-grade Kelpie deposit within the Bygoo tin project in New South Wales.
Caspin managing director Greg Miles said the maiden inferred resource estimate, combined with the significant upside indicated by the exploration target, showed that the wholly owned Bygoo project had the potential to become a major new tin development in Australia.
“As an open pit, mineable deposit with mineralisation from surface, the grade of the Kelpie deposit is a standout,” Miles said.
“This milestone has been achieved by leveraging the extensive legacy database, strategic drilling by Caspin, and the outstanding work by the team to understand the geological setting and therefore the potential to grow this resource much, much bigger.
“The Kelpie deposit is constrained only by drilling, with considerable room for growth as mineralisation remains open along strike and at depth. This milestone is a huge step towards demonstrating a viable mining project and provides confidence in the company’s exploration plans. We look forward to building that confidence further with metallurgical test work and drilling to extend mineralisation well beyond the current resource footprint.”
Miles added that Kelpie appeared to be a small part of a larger mineralised system, as suggested by the extensive history of mining in the area. However, there has been “almost no modern, effective exploration to test these potential extensions”.
The Kelpie deposit lies within the Wagga-Omeo zone of the central Lachlan Orogen in New South Wales. The Bygoo project surrounds the historic Ardlethan tin mine, one of mainland Australia’s largest producers of tin.
Caspin said the exploration target considered only the Kelpie deposit and its potential extensions over 1000m of strike, with scope to more than double the maiden resource.
Rock chip samples grading up to 0.82 per cent tin (Sn), together with hundreds of historical workings spread over 2km from the Kelpie deposit, demonstrated strong potential for multiple repetitions of Kelpie-style mineralisation.
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