{australien_flagge}Australian exploration company American West Metals (WKN A3DE4Y / ASX AW1) reports drill results from the Canadian copper project Storm that are likely to make many a competitor green with envy.
{australien_flagge}Australian exploration company American West Metals (WKN A3DE4Y / ASX AW1) reports drill results from the Canadian copper project Storm that are likely to make many a competitor green with envy.
This is because these are thick intersections of mineralization near surface, some of which are extremely high grade, which underpin the high continuity of copper mineralization at Storm and therefore also demonstrate the potential scale of the project located in the Canadian province of Nunavut.
American West is focusing its current drilling on the so-called 4100N zone, and says that with the results now presented it has once again expanded the volume of near-surface copper mineralization. In addition, the mineralization apparently remains open in all directions, so there is potential for further growth here. And, according to the company, the potential of the anomaly recently proven by a gravity survey at depth below 4100N has been further corroborated with the new drill data.
Peak grades of up to 8% copper drilled!
The highlight of the now published drill holes is undoubtedly SR23-13 with 1.2% copper over 29 meters thickness from only 62.5 meters depth. This includes an intersection of 3 meters with 5% copper and another 1.5 meters with 8% copper!
However, hole SR23-14 also has very strong metal grades with 1.3% copper over 25 meters from 61 meters depth, including 2.1% copper over 9.1 meters and 3.7% copper over 3 meters. Just like SR23-07 with 1.3% copper over 10.7 meters, including 4.6 meters with 2.9% copper and 1.5 meters with 6.5% of the red metal! Add to that hole SR23-09 with 1% copper over 10.6 meters including 2% copper over 4.6 meters!
It is also telling, in our view, that American West’s Managing Director Dave O’Neill, on the occasion of the release of these figures, speaks of observing thick intersections of copper mineralization in “predictable” stratigraphic horizons. Because, we believe, that bodes well for further drilling activity. Especially since O’Neill also emphasizes that there is a possibility of expanding the higher-grade zones. Already, the American West boss continues, there are signs that Storm could become a “globally significant” low-cost copper project!
To substantiate this thesis, American West intends to prove a maiden resource at Storm as soon as possible. Therefore, the holes now reported were drilled in the central part of the 4100N zone and prioritized to allow resource modelling to continue on drill intercepts with complete data sets.
The company also said that the new data from the 4100N zone has helped to further improve the understanding of the geology and mineralization processes of the Storm copper system. They would also indicate that a large-scale copper system is present within Storm, with the geology of the area having all the elements required for the process of ore formation in sedimentary rocks. In addition, American West added, there is also a distinct zonation of metal and mineralogy at Storm, which appears as a large copper-rich core that transitions laterally and vertically into thinner marginal zones of copper-iron, iron, zinc and lead – which is a strong vector for further exploration.
Also promising in our view is that these features are similar to many of the world’s major sedimentary copper systems, including deposits in the Kalahari Copper Belt and the Central African Copper Belt.
More work
Drilling within the 4100N zone is expected to continue well into the summer. American West Metals then plans to test the 2200N and 2750N zones with drilling, where the company also encountered high-grade copper mineralization near surface last year.
In addition, the Company plans to conduct diamond core drilling in the foreseeable future to test large, geophysical copper targets recently discovered with various surveys at depth below near-surface copper mineralization. At the same time, processing and process optimization studies will continue on a number of different ore types.
Conclusion: Continually very high copper grades near surface that continue in “predictable” stratigraphy and the potential for much larger deposits at depth below the 4100 zone indicate that 2023 could be a very eventful and successful year at Storm for American West Metals. Especially since there is still the potential to build a stand-alone DSO (Direct Shipping Ore) operation at Storm, which means that unlike many competitors, the company has the chance to become a producer with continuing high margins in a comparatively short time, with low investment costs.
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