BATHURST: Red Hill Minerals (ASX: RHI) has acquired a 1.5% net smelter royalty on Legacy Minerals’ (ASX: LGM) Thomson Project in New South Wales for $220,000, bolstering confidence in the emerging gold-copper discovery potential of the 5,500-square-kilometer site.
The Thomson Project, located west of Bourke, is targeting large-scale intrusion-related gold-copper (IRG-Cu) systems, with recent assays and historical data revealing promising anomalies. Legacy Minerals retains the right to repurchase the royalty for $6 million at any time.
Key Highlights:
– Exploration Potential: The project shares geological similarities with major IRG-Cu deposits like Winu (2.8 million metric tons of copper, 8 million ounces of gold) and Havieron (7 million ounces of gold).
– Recent Results: Drilling at the Cut-A anomaly intercepted 377 meters at 0.1 grams per metric ton (g/t) gold, including high-grade zones such as 1 meter at 3.7 g/t gold. The Cut-B anomaly yielded 1 meter at 6.73 g/t gold and 497 g/t silver.
– Strategic Move: Red Hill’s royalty acquisition expands its portfolio, while Legacy Minerals advances drilling at untested targets like the F4 anomaly.
– Joshua Pitt, Red Hill’s executive chairman, called the Thomson Project “a significant opportunity for discovery.”
– Christopher Byrne, Legacy’s CEO, noted the results align with pre-discovery indicators at major deposits like De Grey Mining’s Hemi project.
Legacy Minerals paused drilling due to flooding but plans further sampling and assays within weeks. The company holds eight other NSW projects, including the Bauloora epithermal gold-silver system under a Newmont joint venture.