TG6 2.70% 18.0¢ tg metals limited

As @vezayar notes, the specifics of the TG6 story are changing...

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    As @vezayar notes, the specifics of the TG6 story are changing slightly. The story has always been that the Lake Johnston had potential to support lithium and Nickel mineralisation. With Spod intercepts confirmed, the questions are now around how big, how deep and where.

    For a while it looked like there were two robust good width seams that were near surface. There could have been 8m + 8m and perhaps more seams below. If you did have a pair of pegmatites that were 1.8km long, 400m wide and in combination 16m thick then it would have been a JORC around 31Mt. If that had remained near surface the economics around it would have been fantastic and a multi-hundred million dollar MC would have remained sensible. There's some huge lithium anomalies so that story with different dimensions and in a slightly different location may still play out.

    The lower seam is diving below weathering levels fairly quickly so is only likely to be creating the anomaly between RC16 and RC14/RC21. Something else is creating the anomaly from RC09-RC11 north, perhaps the thin upper pegmatite or another yet to be intercepted pegmaite offshoot. This has two key impacts. The first is that a number of thin seams may be creating the anomalies (negative for the share price). The second is that there could be masses of mineralised pegmatites that are below the weathering zone and not flagging as an anomaly (positive for the share price). The cause of large areas of anomalies remains unclear.

    The drill hole DD024 is likely to hit similar intercept widths and grades to RC22 because RC is still a robust exploration technique. What the DD core will do is enable TG6 to know the entry and exit angles for the pegmatite. This provides the slopes at that point. That will help with cross section drawing and understanding likely intercept depths for nearby drilling.

    Regarding drilling proposals
    Yes, following the PoW approved drilling line on RC22/RCD24 to the east would be sensible. If there were a series of 15-25m intercepts that would be a strong outcome showing there's a wide, commercial width intercept. I'd also expect a drill hole to the north of RC029 and west of RC022.

    Until a more permissive PoW is received, there is no drilling immediately to the north of RC10 / RC11 because TG6 need to drill on the approved drilling PoW lines. This currently prevents TG6 from doing the obvious drilling between the RC09 and RC22 lines (and between RC22 and RC28)

    At the depth RC028 stopped, my current guess is that it has only hit the upper pegmatite and a DD tail is needed for the main pegmatite. DD024 will help TG6 know if this the correct interpretation. This area round RC22/28 is the current value driver. If that thin upper pegmatite has thickened at depth that would be a big positive. If its confirmed to be wide, that will also be a key value driver.

    https://hotcopper.com.au/data/attachments/5847/5847096-46464cae1ac68f8d6e809fb9e6136c97.jpg
    Last edited by WhatsTheTip: 28/12/23
 
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