Litchfield prepares to drill into heart of multi-commodity NT project

Litchfield Minerals is wrapping up earthworks at its multi-commodity Oonagalabi project in the Northern Territory and is preparing to roll in a reverse circulation (RC) drill rig late this month to probe a cluster of promising gravity, magnetic and VTEM anomalies.

Drill pads and tracks are near completion to facilitate a second-phase program of 14 RC drill holes, for a total of 3750 metres. Twelve holes are planned across a 4-kilometre strike in the Oonagalabi to VT2 corridor and two at the VT1 target. If mineralised, the company says these step-out holes could extend the Oonagalabi system to more than 10km.

Malachite was observed immediately below the collar of a previous drill hole at Litchfield Minerals’ multi-commodity Oonagalabi project in the Northern Territory. It has an estimated visual grade of about 2 per cent copper.

The company’s share price moved up about 27 per cent today - to an intraday high of 14.5 cents per share this morning after opening at 11¢. About 652,000 shares traded hands against an average 100,000 shares traded over about the past 10 trading days.

Phase one reverse circulation drilling in the June quarter returned broad copper and zinc intercepts within the Oonagalabi Formation and a new magnetite-hosted gold-bismuth-style. A 15m intercept graded 0.45 grams per tonne (g/t) gold, 0.17 per cent bismuth, 0.35 per cent copper and 0.12 per cent zinc from 50m. This was interpreted as a separate metallogenic event.

‘Each campaign at Oonagalabi reinforces our view that we are dealing with a system of genuine, potentially world-class scale.’

“The key hallmarks are lining up, robust structural architecture, pervasive alteration and mineralisation credible energy and fluid drivers, strong metal tenor and continuity, and compelling geophysical signatures,” Pustahya said.

The company says data received to date suggests a large SEDEX-style architecture, overprinted by intrusive related gold-bismuth mineralisation and alteration – a dual fingerprint consistent with mineralisation camps capable of hosting multiple mineralised domains.

The project’s Bomb Diggity cluster will be first to feel the bite of the bit. Litchfield considers Bomb Diggity to be one of the most prospective areas of the upcoming campaign. Three holes are designed to probe the core of the main magnetic zone that marries up with a high gravity response and VTEM conductor.

Interestingly, outcrops of the mineralised Oonagalabi Formation extend over 2.5km, with strong alteration overprints coincident with the geophysical cluster.

Next in the drill line-up are the VT1 and VT2 targets – the most pronounced anomalies that emerged from a recent VTEM campaign outlining potentially sulphide-laden horizons.

The remaining holes will test a clutch of additional high-priority targets with intriguing VTEM anomalies sited in favourable geological settings with evidence of surface mineralisation and alteration.

Pustahya said the upcoming drilling will be a capital-efficient, high-conviction program designed to answer the big questions quickly. It has the potential to elevate Oonagalabi into a world-class base metals discovery.

Running in parallel, Litchfield has lit up its Lucy Creek 2 project with rock chip assays grading up to 35 per cent manganese, with a clutch of elevated barium, silver, cobalt, lead and zinc results – pointing to a large hydrothermal system.

Backed by funding courtesy of the Northern Territory government and a recent capital raise, the company plans on flying high-resolution airborne magnetics and radiometrics before a first-pass RC drilling program slated for early next year, positioning Lucy Creek as a key growth pillar alongside Oonagalabi.

Litchfield recently raised $500,000, with a further $1 million set to tip into the till through a security purchase plan any day. With money in the bank and a disciplined “fail fast or succeed quickly” approach, the company is positioning Oonagalabi as a potential Tier-1 copper-zinc-gold discovery in one of Australia’s most prospective base metal belts.

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