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Cunyu Project

 

The Cunyu project is located on the eastern margin of the Proterozoic-aged Yerrida Basin and consists of clastic sediments intruded by Proterozoic mafic-ultramafic intrusions (Figure 4.0). The project is interpreted to be located on a similar stratigraphic horizon to the Magellan lead-zinc deposit (owned by LeadFX Inc) approximately 80 kilometres to the south. Furthermore, the Archean-aged Yilgarn Craton and in particular the Mt Keith lineament may extend under the Proterozoic basin (and into the project area) presenting some prospectivity for komatiite hosted nickel-copper-PGE type deposits.

 

It is noted that Sandfire has recently acquired significant land packages between the Cunyu Project and the DeGrussa mine site. Regional northwest trending lineaments formed during basin extensional events may provide focal points for VHMS deposit developments and may be interpreted to persist through into the project area.

The Cunyu area was historically the focus of exploration by Jubilee Mines NL. Exploration resulted in the identification of a gravity feature that sits on a major northwest-southeast trending lineament. Surface geochemistry identified a number of coincident zinc-lead and nickel-copper anomalies proximal to this feature. A single electromagnetic (EM) geophysical survey traverse over the prospect before the tenement was relinquished identified a late time conductive anomaly. These anomalies remain untested by drilling.

 

Future exploration programs may include additional electromagnetic survey traverses across the prospective area identified by previous EM survey data. If warranted, either RC or diamond drilling would be undertaken as a diagnostic test. Aircore drilling is also warranted to test the coincident surface anomalies on the western side of the prospect.

Figure 4.0 Cunyu Project Location and Geology