Silver Mines Limited (ASX:SVL) has commenced a much-anticipated drilling program at its Barobalar Project near Mudgee in central New South Wales following the receipt of government approvals.
Barobalar is located 10km north-west of the company’s Bowdens Silver Project within the highly prospective Macquarie Arc that hosts several word-class mineral systems including Newcrest Mining’s giant Cadia-Ridgeway copper-gold operation.
The Project consists of a 9km-long corridor of copper, silver, lead and zinc mineralisation soil and rock chip anomalies and is prospective for several different types of mineralisation.
Silver Mines is optimistic that its exploration efforts might uncover another large copper-gold porphyry system like Cadia-Ridgeway.
The initial drilling at Barobalar has focused on targets in the southern part of the corridor including Bara Mine, Bara North, Cupola South and Cupola, which are prospective for copper-silver-lead-zinc (plus gold) polymetallic mineralisation.
During the December quarter, Silver Mines drilled eight reverse circulation holes for 1615 metres across the four prospects. The drilling isolated areas of low grade mineralisation for follow-up.
Silver Mines anticipates receiving environmental approval to undertake drilling at the Cringle prospect in Barobalar’s northern reaches, where high grade gold and silver surface samples have been collected, in the March quarter.
There are a number of other exploration targets that Silver Mines is in the process of negotiating access to with local landholders within the Barobalar project area.
The company completed a Definitive Feasibility Study on Bowdens, which is the largest undeveloped silver project in Australia and one of the largest globally, in June 2018 and is progressing an Environmental Impact Statement on the project.
A higher silver price is considered necessary before any decision is made in regards to the development of Bowdens.
This content is produced by Star Investing in commercial partnership with Silver Mines Limited. This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions
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