The Pick News

Peel’s Southern Nights continues to impress - The Pick Online Magazine

Written by Staff Writer | Jan 23, 2018 4:07:39 PM

Results from Peel Mining’s wholly-owned Wagga Tank/Southern Nights project in western New South Wales continues to strengthen the view of a major high-grade zinc-rich mineral system discovery.

Assay results recently received from drilling undertaken prior to the Christmas/New Year break underscore the extensive and high-grade nature of zinc-lead-silver-gold mineralisation present at the Southern Nights prospect.

New high-grade zinc-lead-silver-gold intercepts returned, with best assay of 46m at 17.01% zinc, 9.57% lead, 272gpt silver, 1.22 gpt gold from 201m including 16m at 25.66% zinc, 15.01% lead, 361 gpt silver, 0.86 gpt gold from 218m; and 10m at 31.45% zinc, 16.92% lead, 590gpt silver, 3.2gpt gold from 237m.

The news saw the stock (ASX: PEX) close 9% higher today at 62c prior to reaching an intraday high of 64.5c.

Following a shutdown for the Christmas/New Year holidays, field activities have recommenced.

Drilling at Southern Nights is continuing, with two double shift diamond rigs currently working.

First-pass RC drilling at Fenceline/The Bird prospect, located ~5km east of Wagga Tank/Southern Nights, has also recently commenced, while a fourth RC/diamond rig has resumed drilling at the Wirlong prospect (JOGMEC Farm-in/JV).

In addition, 2 geophysical crews (IP and gravity) are working in the Wagga Tank/ Southern Nights area.

In-line with recent results, Peel has begun planning for a systematic resource drill-out of the Southern Nights area. First pass metallurgical testwork is also anticipated to commence over the coming weeks.