Sovereign Gold Company believed that new exploration concepts and modern techniques will allow it to make new Cyprus type copper and gold discoveries in EL 7770, New South Wales.

It noted that multiple, high grade small copper deposits that of between 1 million tonnes to over 100 tonnes that originated through submarine activity are present and represent an extremely worthwhile target.

Examples of these include Trough Gully and Fishers Copper Mine from which 2,572 tonnes and 2,643 tonnes of copper mineralization were produced respectively. These targets respond well to modern airborne geophysical techniques, making it the right geological setting for a large concealed deposit.

EL 7770 also contains over 22 gold prospects including 12 in the Limbri area that could potentially be indicative of larger stratabound exhalative gold deposits. This mineralization could be derived in part from submarine exhalations that deposited the siliceous sedimentary rocks and may be more extensive if it were essentially stratabound in chert jasper and not necessarily all of small narrow vein type.

Gold grades of up to 28 grams per tonne have being obtained from samples. Virtually no exploration has been carried out in the area in over 41 years though there are several geophysical and geochemical anomalies that indicate extensions of known mineralization or new deposits to follow up. Sovereign plans to carry out surface exploration using geophysics, geochemistry and gossan search of all potential host units.

Source - Proactive Investors

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