The Nuckulla Hill Au-Ag Project, originally consisting of three exploration licences covering 640 square km, is located approximately 115 km north-east of Ceduna in South Australia, and covers approximately 60 km strike length of the mineralised...
The Nuckulla Hill Au-Ag Project, originally consisting of three exploration licences covering 640 square km, is located approximately 115 km north-east of Ceduna in South Australia, and covers approximately 60 km strike length of the mineralised Yarlbrinda Shear Zone, extending southwards from a point approximately 35 km south of the Tunkillia gold deposit (0.8 Moz Au, 1.6 Moz Ag). Project sole owner Doray Minerals (Doray) took up the licences because it thought the exploration history of the Nuckulla Hill region had been sporadic, such that virtually no systematic exploration for gold had been carried out there since 1997, despite there having been consistent annual increases in the gold (and silver) price in subsequent years. Furthermore, the gold mineralisation that had been identified by previous explorers at Sheoak, Myall and Bimba, through exploration of only the most obvious calcrete anomalies, remained open at depth and along strike, while a number of structural targets had not been tested either by surface sampling or drilling. Consequently the region could be regarded as relatively unexplored. During the first year of the project, Doray conducted a compilation and review of all of the relevant previous exploration data for the area, and completed the acquisition across the entire project area during May 2010 of a detailed, 7797 line km and 100 m east-west flight line spaced airborne magnetic/radiometric/DTM survey, using a 40 m mean sensor height above the ground surface. The survey results highlighted a number of potential structural targets that had not been effectively tested previously by either calcrete geochemical sampling or reconnaissance drilling. During Project Year 2, Doray performed a geological field reconnaissance trip in June 2011 to ground-truth selected aeromagnetic highs, which provided visible encouragement for doing further exploratory drilling. The nature of the regolith was also assessed to help the company qualify past surface geochemical data, as a large portion of the project area is covered by NW-SE aligned sand dunes up to 10 m high. During Project Year 3, Doray applied for and was awarded PACE Discovery Drilling 2012 subsidy funds to help it drill test the Bimba prospect soil calcrete geochemical anomaly via bedrock sampling in RC holes, and also to explore along strike from it towards the north using aircore drilling. The company undertook orientation geochemical sampling along north-south lines crossing the Bimba, Myall and Sheoak prospects, with the aim of determining if other surface geochemical media (magnetic lag and vegetation litter) were able to replicate the soil anomalies defined by previous workers using calcrete. A total of 155 maglag samples and 112 vegetation litter samples were collected and sent off for laboratory assaying. During Project Year 4, the PACE programme of drilling was completed over the period June to August 2013 [see the project DPY7-12 final report held in Env 12619], when 7 inclined RC holes for a total penetration of 1106 m, plus 42 inclined aircore holes for 1877 m, were drilled. Three of the RC holes were designed to test the down dip and along strike continuity of the existing Bimba prospect identified by Equinox Resources in the mid 1990s. One of the latter company's best historic gold intercepts made here was 24 m @ 1.0 g/t Au (including 8 m @ 1.8 g/t Au) from 122-146 m. One of Doray's PACE RC holes tested for down dip continuity from this intercept. Two RC holes were planned to test a parallel structure to the west of Bimba, defined by data from Doray's 2010 aeromagnetic survey. This structure appeared to coincide with high lead anomalism (up to 1950 ppm Pb) found in historic aircore holes. Two aircore traverses were drilled by the same rig to test a large dilational shear zone north of the Bimba prospect, which Doray surmised had the potential to host significant gold mineralisation beneath transported cover. Overall, the ensuing PACE drilling project results confirmed continuity of the Bimba prospect structure, but the contained gold encountered is below economic levels (best intercept, in hole BIRC006, of 28 m @ 0.58 g/t Au from 144 m (including 16 m @ 0.72 g/t from 156 m). A regional soil geochemical sampling programme was begun, designed to sample the fine soil fraction in areas of the licences where previous explorers' calcrete sampling had proven ineffectual. The northern half of EL 4302 was the first area sampled on a 500 m x 100 m grid, with 833 x minus 75 micron soil samples assayed. The results identified three new soil gold+silver anomalies near Bimba, peaking at 5-10 x Au background, that required infill sampling at 200 m x 50 m spacing. A consultant petrologist was contracted by Doray to examine and describe 13 outcrop and historic drillhole samples. The 10 rock samples had been taken from Lake Gairdner lakeside outcrops, 2 of the drill cuttings samples came from historic aircore drillhole NH07A05, and another came from historic RC hole NHRC12 located at the Bimba prospect. The brief was to capture information relevant to understanding project-scale geology, bedrock deformation events and the nature of mineralisation. During Project Year 5, continued fine fraction soil colluvium geochemical sampling done across the project ground (2719 additional samples assayed) disclosed two promising occurrences of previously unknown surface gold anomalism located to the south and south-west of Childara Outstation, both peaking at ~8-9 ppb Au. Other work comprised rock chip sampling, calcrete soil sampling and regolith mapping performed on all seven licence areas. Late in 2013, Doray prepared a targeting process and related expenditure rationalisation memorandum, to enable future methodical, priority based exploration of the Nuckulla Hill Project. During Project Year 6, exploratory inclined aircore drilling of 94 holes on seven traverses for 4648 m was undertaken during April-May 2015 at the new Bluebush and Mulga soil gold anomalies. Beforehand, Doray had applied for and later was granted PACE Discovery Drilling Year 8 subsidy funds of A$60,000 by DSD to help it investigate these prospects [for detailed results, see the final report on collaborative drilling project DPY8-01, held separately in Env 12969]. The programme of drilling was designed to test three inferred north-south trending covered bedrock structures thought to be gold-bearing. The drill traverses were oriented east-west, with all holes drilled towards due east at -60 degrees dip. The programme achieved at least 50% coverage across these traverses, i.e. half “top to tail” sectional coverage. Cover thickness ranged from 18 m to 81 m. The bedrock consists mainly of granitic and mafic intrusive rocks. No significant assay results were returned from analysing 1200 composite 4-metre drill cuttings samples, with the gold content being low level and sporadic. Because of the very disappointing results obtained by this drilling, Doray next undertook a tenement-by tenement targeting prioritisation exercise to inform its decision to relinquish portions of project licence acreage with now perceived diminished gold prospectivity, as a way of meeting imposed exploration budget limits. No more field work occurred over the succeeding three years of project tenure, before a decision was made during October 2017 to surrender all of the project tenements [which had now become 11 in number] in their entirety.
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