This is a great announcement. interesting to note each RC hole on average is only 60m, and has to get through cover. Good today that they are stepping out the resource and it is open in several directions. The ore mentioned (Malachite, azurite etc) are typically 55%+ copper content!! Supergene by its nature is the shallow stuff bubbled up from the main ore body, but of higher purity. The average mine around the world has grades of 0.6% Cu. i.e. even if the main sulphides (of much greater width) remain around 0.4-1%, the supergene layer may be enough for an economic mine just at nanadie, and they haven't found all the edges yet!
This will greatly enrich the broader sulphides below at nanadie, and possibly allow it to be mineable in its own right. Even if its not enough to make nanadie mineable in its own right, just scaping the supergene will add significantly to economics at Hollandaire. We wont know until more diamond drilling and assays come back if we have plenty under the supergene as sulphides at nanadie also, but it may not matter if they can do a shallow scoop for Holladaire and do a very high grade operation there .Either way its a positive for their strategy in terms of a broader Murchison play. nanadie supergene is the cream, Hollandaire the big glass of milk under it in my view.
Worst case, the current indicated and inferred copper currently at Hollandaire, of which we have 80% stake, is worth 400m alone. This current find will add significantly to grade, and somewhat to tonnage even with shallow open pit. our MC is 26m.
Please DYOR.
CYM Price at posting:
27.0¢ Sentiment: Buy Disclosure: Held
