In addition to its 100% owned Doolgunna Project, which encompasses the DeGrussa Copper Mine, Sandfire has established a dominant ground position in the emerging Bryah Basin Volcanogenic Massive Sulphide (VMS) province in Western Australia.
The Company’s Greater Doolgunna Project, which includes areas being explored under joint venture agreement with Talisman Mining (ASX: TLM) and farm-in agreement with Enterprise Metals Limited hosts an aggregate contiguous exploration area of 4,180km2, including a strike length of more than 65km of highly prospective volcanogenic massive sulphide (VMS) lithologies. Please click here for a map of the Greater Doolgunna Project.
Much of this stratigraphy is obscured beneath transported alluvium and requires systematic aircore (AC) drilling to test the bedrock geochemistry and identify prospective areas.
The Company’s geological team, assisted by some of the world’s leading independent geological consultants, has confirmed that DeGrussa is a VMS deposit. It is well-established that this style of mineralisation generally forms in clusters and that VMS fields typically contain many clusters of deposits – often with resources totalling 40-50 million tonnes across the field or, in some cases, super-giant fields containing 100-200 million tonnes and more.
Springfield Joint Venture (Sandfire 70%: Talisman 30%)
- In June 2015, a new high-grade VMS copper-gold discovery was made at the Monty Project, located 10km east of DeGrussa. Since we discovered DeGrussa, Sandfire has remained steadfast in its conviction that the Doolgunna region has the potential to yield multiple further high-grade ore discoveries. The discovery at Monty is the first significant accumulation of high-grade copper-gold mineralisation to be identified outside of DeGrussa and represents a compelling breakthrough for our exploration team. A feasibility study has begun and the mining lease application has been lodged with the Western Australian Department of Mines and Petroleum.
Enterprise Farm-In Agreement
- In October 2016, Sandfire entered into a farm-in agreement with Enterprise Metals Limited (ASX: ENT) to earn up to 75% interest in tenements which cover 917km2 along the southern margin of the Bryah Basin and the northern part of the Yerrrida Basin.
Sandfire owns the only operating base metals processing plant in the region (the 1.5Mtpa DeGrussa Concentrator), putting the Company in an outstanding position to capitalise on new discoveries. The Company has implemented a disciplined scientific approach to exploration at Doolgunna, underpinned by an aggressive A$20 million annual exploration budget.