Cannindah Resources has uncovered a significant new high-grade Southern Shoot at its Cannindah Breccia copper-gold deposit, expanding the known mineralised system well beyond current resource boundaries and offering fresh exploration upside.
- Southern Shoot delivers 44m @ 2.78% CuEq
- High-grade mineralisation extends over 100m strike and 200m depth
- Two distinct ore shoots identified within Cannindah Breccia
- Mineralisation remains open to the south and at depth
- Ongoing drilling supported by strong funding position
Discovery of a New High-Grade Southern Shoot
Cannindah Resources (ASX:CAE) has confirmed a major growth zone at its flagship Cannindah Breccia deposit with extensional drilling revealing a previously unrecognised Southern Shoot. This new ore shoot boasts impressive intersections including 44 metres at 2.78% copper equivalent (CuEq), featuring 2.30 g/t gold and 0.69% copper from 214 metres downhole. Another notable intercept includes 26 metres at 1.54% CuEq from 260 metres. These results not only extend the high-grade mineralisation but also surpass grades and widths in the current Mineral Resource Estimate (MRE), highlighting the Southern Shoot as a key driver for resource expansion.
The Southern Shoot is now defined over more than 100 metres of strike and exceeds 200 metres in vertical extent, with mineralised widths often surpassing 100 metres. Crucially, it remains open to the south, suggesting considerable potential for further growth. This discovery complements the Northern Shoot, already captured within the existing MRE, confirming the Cannindah Breccia hosts multiple high-grade ore shoots within a mineralised system exceeding 600 metres in length and roughly 100 metres wide.
Structural Insights Unlocking Resource Potential
Drilling has revealed that structural flexures and changes in dip orientation within the breccia control the localisation of high-grade mineralisation. These flexures act as traps concentrating copper and gold, challenging previous assumptions that economic mineralisation was strictly controlled by the diorite–sediment contact. This expanded structural understanding significantly broadens the prospective footprint of the Cannindah Breccia system.
Surface expressions of these ore shoots manifest as broad, low-grade mineralised halos, providing valuable vectors to target deeper, higher-grade zones. The company is prioritising strike testing of fertile breccia structures south of the current resource, with low-grade surface halos indicating potential ore shoots at depth. This targeting strategy is already guiding ongoing and planned drilling campaigns.
Ongoing Drilling and Robust Funding Position
The 2026 drilling program has completed 17 reverse circulation (RC) holes out of a planned 33, with results received for 15 holes confirming continuity and expansion of the Southern Shoot. Cannindah is advancing both RC and diamond drilling to systematically test resource extensions along strike and at depth, supported by a healthy cash position following recent capital raises.
This momentum builds on earlier campaigns that identified encouraging intercepts such as 94 metres at 1.11% CuEq and 54 metres at 1.61% CuEq in the Southern Shoot area, underpinning expectations for a substantial resource upgrade. The company’s structural model and drilling density have been critical in delineating these ore shoots, setting the stage for further resource definition and potential scale-up.
With mineralisation demonstrated to depths exceeding 1,000 metres downhole and a current MRE of 14.5 million tonnes at 1.09% CuEq, Cannindah’s exploration upside remains significant. The company’s Managing Director Cameron Switzer emphasised the potential for multiple high-grade shoots along an extended mineralised corridor, reinforcing the strategic importance of the Southern Shoot discovery.
Regional Context and Project Overview
Located 90 kilometres southwest of Gladstone in Queensland, the Mt Cannindah project comprises nine mining leases and two exploration permits. The Cannindah Breccia deposit is part of a broader hydrothermal system with multiple copper, gold, and molybdenum occurrences. Historical mining and recent exploration have established a strong foundation, with the current drilling campaign aiming to unlock the full potential of this structurally complex and mineralogically diverse system.
Recent coverage has highlighted the company’s expanded drilling program with new breccia outcrops mapped 400 metres south of the resource boundary, reinforcing the Southern Shoot’s growth potential and the broader exploration upside at Mt Cannindah. Cannindah’s aggressive exploration strategy and robust funding underpin its capacity to advance these targets aggressively.
These developments follow the company’s recent expanded drilling program and sit alongside its ongoing deep diamond drilling campaign targeting the Southern Porphyry system, illustrating a multi-pronged approach to resource growth across the Mt Cannindah project.
Bottom Line?
Cannindah’s discovery of a high-grade Southern Shoot reshapes the resource landscape at Mt Cannindah, but the true scale and economic impact hinge on upcoming drilling and resource updates.
Questions in the middle?
- How will the Southern Shoot discovery influence the next Mineral Resource Estimate update?
- Can the structural model reliably predict additional high-grade shoots along the extended corridor?
- What metallurgical characteristics might impact the recoveries and economics of the newly identified zones?