Mongalata Project
(EL 4233)
Systematic geochemical soil sampling, initially on a 1.5km by 20m grid and followed up on 80m by 20m grid, has led to the definition of a second coincident gold and copper anomaly, the Black Hill Prospect, centered over a cluster of minor surface diggings 7.3km north east of the historic Mongolata Gold Battery and approximately 7 km east of Phoenix Copper’s recent Mongolata drilling programme.
1,678 FPXRF analyses and 13 rock chip samples were taken by Phoenix Copper during the quarter and a 1.5km long, north north west trending rock chip and soil anomaly containing values up to 0.6 g/t Au and 0.16 % Cu was defined. The historical records indicate that the Black Hill workings produced 11.25 tonnes for 33g.
The anomaly overlies a subcropping zone of quartz carbonate veining in the Watervale Sandstone unit of the Neoproterozoic Saddleworth Formation. The veins are rich in iron and copper oxides and in iron and copper sulphides, pyrite and chalcopyrite. The zone is anomalous where it outcrops and slightly anomalous where it subcrops and is interpreted to continue for a further 7.5 km undercover along strike to the north.
Another zone of interest is the Cox sandstone on the eastern limb of the Baldina anticline about 7km east of the Mongolata Line and 2km west of the Black Hill trend.
Unlike the previous drill sites at Mongolata, this site is accessible from an existing track and is situated in gently undulating to flat ground and is conducive to initial low cost RAB drilling.
A programme of RAB drilling is being planned for the near future.
Historical Project Information
Covering approximately 66km2, the Mongolata Project (Western Portion of EL 3164) is approximately 15km northeast of Burra. The Mongolata Project hosts the main part of the Mongolata goldfield which also extends north into the eastern portion of the North Burra Tenement, EL 3716.
The Mongolata goldfield lies within a structurally arcuate portion of the Adelaide Geosyncline called the Nackara Arc which is host to the majority of South Australia’s largest reef and alluvial gold fields. Hosting not only the Mongolata goldfields but also the Waukaringa and Wadnaminga goldfields the Nackara Ark is reported to have produced 6,344kg of gold.
Records of mining suggest that the gold content of the Mongolata area is extremely nuggety, with reports of specimen pieces of gold within quartz veins weighing up to 6kg. The goldfield was worked for 24 years until the Government battery was closed in 1954. This closure is reported to have been for political and state reasons, not due to exhaustion of the gold reserves in the area. Small scale mining by syndicates and prospectors has continued to the present time.
Phoenix Copper believes there are excellent opportunities within the Mongolata Project. A high priority will be to evaluate the potential for small gold deposits which can be mined quickly to provide short-term cash flow.
