Daly Resources Finds New Clues for Batten Zinc Drilling
Daly Resources has begun systematic soil sampling at the Hot Spring zinc target in the Northern Territory, using surface geochemistry to refine drill locations ahead of maiden diamond drilling. The target lies along the same structural corridor as the HYC and Teena zinc deposits, although no mineralisation has yet been identified at Hot Spring.
- Soil sampling begins across the Hot Spring zinc target
- Target lies along the HYC and Teena structural corridor
- Results will test for concealed mineralisation signatures
- Environmental approval for Hot Spring drilling is in place
- Regional target review adds to Daly’s exploration pipeline
Daly Resources Limited (ASX:DLY) has started soil sampling at Hot Spring, a high-priority zinc target within its 100%-owned Batten Project in the Northern Territory. The program is designed to identify a surface geochemical signature that could help pinpoint concealed zinc-lead mineralisation before the company commits to maiden diamond drilling.
Soil Survey Targets Concealed Zinc System
Samples are being collected at 100-metre intervals along lines 400 metres apart across the interpreted growth-fault zone, adjoining concealed sub-basin and existing airborne electromagnetic responses. Daly will assess the results for coherent zinc, lead and other pathfinder anomalies, with the stated aim of sharpening drill-hole positions rather than making an immediate resource claim.
Hot Spring sits on the western continuation of the structural corridor hosting the McArthur River Mine, also known as HYC, and the Teena deposit. HYC is located about 20 to 30 kilometres east of the target, while Teena is about 8 kilometres west of HYC. Both deposits are regional analogues outside Daly’s tenure, and the company cautions that the historical estimates and geochemical results cited for them have not been independently verified.
Batten Model Built Around Fault-Bounded Sub-Basin
Daly’s exploration model centres on a growth fault that may have created accommodation space for a thicker package of prospective stratigraphy, including the Barney Creek Formation mapped at Hot Spring. Airborne electromagnetic data indicates increased conductivity in the overlying Lynott Formation, but the company says the EM anomaly itself is not a direct drilling target. Instead, it is interpreted as evidence of possible stratigraphic thickening and structural complexity.
The company is applying the same broad geological architecture seen at Teena, where historical soil work identified a multi-element anomaly associated with mineralisation at depth. Executive Chairman Mike Edwards said a coherent response at Hot Spring would strengthen Daly’s concealed sub-basin and growth-fault model, while environmental approval for drilling has already been secured. Daly also said remaining approvals are still being progressed, meaning the path from soil results to drilling is not entirely complete.
The 1,124-square-kilometre Batten Project covers part of the Batten Fault Zone, less than 90 kilometres southwest of Borroloola. Alongside the Hot Spring work, Daly has engaged specialist consultants for a regional review aimed at refining existing targets and building a prioritised exploration pipeline. The company points to zinc prices trading near four-year highs amid tightening global supply, but the immediate investment catalyst remains the quality of the soil results and whether they produce a drillable anomaly.
Bottom Line?
Hot Spring has moved from geological theory to target definition, but the next meaningful test will be whether the soil data produces a coherent anomaly strong enough to justify drilling.
Questions in the middle?
- Will the soil program identify the multi-element footprint Daly is seeking?
- Which faults and sub-basin margins will ultimately be selected for maiden diamond drilling?
- How quickly can the company complete the remaining approvals and move from target definition to field testing?
