Australian Gold and Copper Ltd reports strong assay results from its accelerated aircore drilling program at the Achilles Shear Zone, extending the known mineralisation footprint by at least 1.2 kilometres. With $15.7 million cash on hand, the company is poised for further exploration and resource definition.
- 280 of 310 planned aircore holes drilled at Achilles Shear Zone
- Assay results from first 81 holes reveal significant geochemical anomaly extending 1.2 km south
- Notable shallow oxide gold and base metal intersections reported
- Planning underway for follow-up RC drilling targeting deposit extensions and oxide potential
- Company holds $15.7 million cash and appointed new non-executive director
Exploration Momentum Builds at Achilles
Australian Gold and Copper Ltd (ASX: AGC) has accelerated its exploration efforts at the Achilles Shear Zone within the prolific Cobar Basin in New South Wales. The company has completed 280 of a planned 310 aircore (AC) drill holes, totalling approximately 10,000 metres, as part of a large-scale program aimed at expanding the footprint of its Achilles gold-copper discovery.
Initial assay results from the first 81 holes have revealed a strong and coherent geochemical anomaly extending at least 1.2 kilometres south of the known mineralisation. This anomaly, characterised by elevated levels of gold, silver, lead, zinc, copper, and pathfinder elements such as antimony and bismuth, suggests the mineralised system could be significantly larger than previously understood.
Encouraging Shallow Mineralisation and Base Metals
Complementing the regional AC program, a separate seven-hole drill campaign targeting shallow oxide mineralisation above the Achilles deposit has delivered notable results. Highlights include a 30-metre intersection grading 0.7 g/t gold and 23 g/t silver from 16 metres depth, with higher-grade intervals within this zone. Additionally, shallow base metal intersections in fresh rock, including copper, lead, and zinc, were identified, underscoring the polymetallic nature of the deposit and its potential for resource growth.
The geometry of the oxide mineralisation, interpreted as a product of weathering processes, shows widening near-surface zones that could be amenable to open-pit extraction methods. These findings provide a compelling case for further drilling to delineate the oxide resource and test continuity between mineralised zones.
Next Steps: RC Drilling and Geophysical Surveys
Building on the positive AC results, Australian Gold and Copper is preparing for a substantial reverse circulation (RC) drilling program. This next phase will target deeper extensions of the Achilles deposit as well as the oxide potential identified near surface. Applications for drilling permits are currently with NSW Resources, with drilling expected to commence shortly.
Meanwhile, the company has completed a helicopter-borne VTEM geophysical survey and a drone magnetics survey along the Achilles Shear Zone and adjacent prospective areas. These surveys aim to identify conductive anomalies and magnetic highs that may indicate sulphide mineralisation, guiding future drill targeting. Results from these surveys are pending and eagerly anticipated by the market.
Corporate and Financial Position
Australian Gold and Copper remains well funded with $15.7 million in cash at the end of the March quarter, supporting its aggressive exploration agenda. The company reported exploration expenditure of approximately $1 million during the quarter, reflecting its commitment to advancing the Achilles project.
In a strategic move to bolster its board expertise, AGC appointed Mr Pan (Joe) Yang, CEO of Geozen Resources, as a non-executive director. Mr Yang brings extensive experience in strategy, finance, mergers and acquisitions, and operations, which could prove valuable as AGC progresses towards resource definition and potential development.
Outlook for the South Cobar Projects
With a diversified portfolio of 100% owned tenements in the Central Lachlan Fold Belt, including the South Cobar, Moorefield-Ootha, and Gundagai projects, AGC is strategically positioned to explore for high-grade gold-copper deposits. The company’s focus on the Achilles Shear Zone, supported by systematic drilling, geophysical surveys, and metallurgical test work, sets the stage for a maiden JORC Mineral Resource estimate anticipated in the second half of 2025.
While assay results for the majority of aircore holes remain pending, the early data and ongoing exploration activities suggest that AGC’s Achilles discovery could evolve into a significant new mineralised system in the Cobar Basin, attracting investor interest and industry attention.
Bottom Line?
As Australian Gold and Copper advances its Achilles exploration, upcoming drilling and assay results will be pivotal in defining the project's scale and economic potential.
Questions in the middle?
- How will the pending assay results from the remaining 199 aircore holes influence the overall resource model?
- What insights will the forthcoming VTEM and drone magnetics survey results provide for targeting deeper mineralisation?
- How might metallurgical test work outcomes impact the feasibility and processing strategy for the Achilles deposit?