Sarytogan Graphite (ASX: SGA) says it has pinpointed a significant copper-gold target during its early exploration efforts, including an aeromagnetic survey, at the company’s Baynazar exploration project in Kazakhstan.
Following the completion of the 3348 line kilometre survey, management says it highlighted its newly-named Ilken prospect. Using 100m spacing lines across the lease, the survey helped it unlock the underlying geological structures of the region and in particular, the large calderas that may indicate copper porphyry deposits.
Consequently, the prospect, which sits on the edge of the large Baynazar Caldera in the north-west of the tenement, has shown significant copper and other pathway element anomalies that could point to copper porphyry mineralisation.
The latest news comes after the company immediately deployed its exploration team based in the central Asian country after it put its foot on the 282 square kilometres of prospective Kazakhstan ground in July.
Kazakhstan is an established mining jurisdiction with excellent prospectivity for copper porphyry mineralisation. This first target generated at the Baynazar Copper Exploration Project is named ‘Ilken’ and looks very promising with a confluence of anomalies from geological observations, soil sampling and aero-mag features. Further targets are expected from the data flowing in from a further five high-priority prospect areas.
Sarytogan Graphite Managing Director Sean Gregory
The company’s latest aeromagnetic results have also backed up not only the soil sampling that was conducted previously and peaked at concentrations of up to 1180 parts per million, but also rock-chip samples picked up earlier in the year that returned values of 0.59 grams per tonne gold, 13g/t silver and 0.35 per cent lead.
Historical drilling in the region from the early 1970s has further strengthened the case, with a diamond drillhole intersecting 22m of oxidised diorites mineralised with malachite at the surface and fresh diorite, chalcopyrite, molybdenite and quartz-chalcopyrite veinlets discovered at depth. The entire hole was mineralised with copper grades ranging from 0.02 per cent to 0.1 per cent, increasing with depth.
Sarytogan’s chances of a copper porphyry system have also been bolstered by the presence of coincident copper porphyry pathfinder elements such as molybdenum, bismuth, antimony, silver and tellurium, together with observations of vuggy secondary quartz. All the signs of alteration to date indicate an active hydrothermal system – a factor often linked with copper porphyries.
All the evidence starts to make sense when coupled with the country’s geological backdrop. It sits within the massive Central Asian Orogenic Belt (CAOB) that spans as far as the Urals in the west to Mongolia in the east and is home to several multi-million-tonne copper porphyry deposits.
The company says its aeromagnetic surveys have revealed six other promising features, such as the Aurtas prospect where malachite was discovered in historical test pits and the Aminbay prospect where ancient artisanal mining was noted.
Exploration is now set to continue at the prospects, with a big push to finish soil sampling before the winter season sets in. That data, in conjunction with information from the recently-flown aeromagnetic survey, will then give Sarytogan the opportunity to refine drill targets ready for next season.
The company’s primary focus remains on its nearby graphite project and the push to bring the massive 229 million-tonne, 28.9 per cent total graphitic carbon (TGC) deposit into production.
However, during its time in Kazakhstan, Sarytogan has also spent considerable time and effort building a team with local expertise in geological and regulatory matters in that country, which has led ultimately to the decision to explore for the significant potential of untapped copper porphyry mineralisation in addition to graphite.
As part of its plan to build a portfolio of two to four copper exploration projects, management has also just locked in a second exploration license focused on copper, with more details to come once the official approval is in.
With its graphite project now starting to attract global attention and funding, Sarytogan has taken the opportunity to leverage off its newfound status and play to its twin strengths of good local savvy and government relations to pick up new copper leases that will give the company a second string to its bow.
Is your ASX-listed company doing something interesting? Contact: office@bullsnbears.com.au