Blockade Mine Acquisition Hinges on Drilling Success for Larvotto
Larvotto Resources has secured an exclusive option to acquire the historically mined Blockade Mine in Mt Isa, Queensland, with plans for a targeted drilling program to validate and expand known copper mineralisation. This move could pivot Larvotto’s Mt Isa project from exploration to development.
- Exclusive option to acquire Blockade Mine surrounded by Larvotto’s Mt Isa tenements
- Historical high-grade copper mineralisation confirmed by prior drilling
- Upcoming six-hole, ~1,500m RC drilling program to validate and extend mineralisation
- Acquisition involves staged payments including $400,000 exploration option and $1 million mining lease
- Potential for near-term copper production if drilling confirms resource potential
Strategic Acquisition in Mt Isa
Larvotto Resources Limited (ASX, LRV) has taken a significant step to strengthen its foothold in the Mt Isa copper belt by securing an exclusive option to acquire the Blockade Mine (ML 90027). This granted mining lease, covering 152.7 hectares, is strategically enveloped by Larvotto’s existing tenements, positioning the company to potentially consolidate a regional hub-and-spoke operation in northwest Queensland.
The Blockade Mine has a rich history of small-scale mining dating back to the early 1900s, initially for high-silica flux material and later for high-grade copper ore. More recent drilling between 2010 and 2011 confirmed the presence of deeper sulphide copper mineralisation, dominated by chalcopyrite and pyrite, which remains largely unexploited below the oxide cap.
Validating Historical Data with New Drilling
Larvotto plans to commence a six-hole reverse circulation (RC) drilling program totaling approximately 1,500 metres. This campaign aims to validate historical drilling results, test extensions along the known mineralised fault system, and explore potential parallel structures. The mineralisation is open in all directions and has only been tested to depths of around 100 metres, suggesting significant upside potential.
Managing Director Ron Heeks emphasised the strategic importance of Blockade, noting that successful drilling could transform Larvotto’s Mt Isa project from a greenfield exploration story into a near-term copper development opportunity. The company’s dedicated Mt Isa exploration team reflects its ongoing commitment to unlocking the region’s copper potential despite recent focus on its Hillgrove Antimony-Gold Project in New South Wales.
Commercial Terms and Future Prospects
The option agreement includes a $400,000 payment in cash or shares to continue exploration and development rights, with the ability to purchase the mining lease for $1 million. Should Larvotto move to production, a deferred consideration capped at $10 million becomes payable, aligning vendor interests with project success.
The upcoming drilling results, expected in the first quarter of 2026, will be pivotal. Positive outcomes could lead to resource modelling and further step-out drilling, setting the stage for potential development. The Blockade Mine’s geology, characterised by fault-controlled, continuous copper mineralisation, offers a compelling target for Larvotto’s growth ambitions.
Broader Portfolio Context
Larvotto’s portfolio spans several promising projects, including the Hillgrove Antimony-Gold Project in NSW and the Eyre multi-metals project in Western Australia. The Blockade acquisition option complements these assets by enhancing Larvotto’s exposure to copper, a metal critical to the energy transition and industrial demand.
As Larvotto advances its due diligence drilling, the market will be watching closely to see if Blockade can deliver on its promise as a near-term copper producer within the prolific Mt Isa region.
Bottom Line?
Larvotto’s Blockade option could mark a turning point, but drilling results will be the true test of its copper ambitions.
Questions in the middle?
- Will the upcoming drilling confirm sufficient mineralisation to justify acquisition?
- How might Larvotto finance the staged payments and potential development costs?
- What impact could Blockade’s development have on Larvotto’s overall project timeline and valuation?
