Xtract Resources upbeat on latest drilling at Racecourse

Xtract Resources updated the market on Thursday on the second hole in the first phase of diamond drilling at the Racecourse Mineral Resource on the Bushranger porphyry copper-gold exploration project, in the Lachlan Fold Belt of New South Wales, Australia.

The AIM-traded firm said drilling of the hole had continued to 405 metres out of a planned hole depth of about 750 metres.

It said hole BRDD-21-002 was angled at -80 degrees, and was offset from strike, with the aim of crossing through the down-plunge extension of the deposit at depth.

Weak-to-moderate copper mineralisation and bedrock alteration was first noted in the hole at a depth of about 130 metres within the hanging-wall margin of the deposit, and reportedly became more pronounced from 340 metres, as the hole approached the main porphyry target zone.

“The rig was moved from the first down-plunge hole and commenced drilling on the current hole on 23 January,” said executive chairman Colin Bird.

“The new hole was sited offset from strike to intersect the deposit at a target depth of about 450 to 500 metres.

“We are currently cutting through a wide zone of geological alteration and low to moderate grade copper mineralisation lying above the main zone.”

At 1543 GMT, shares in Xtract Resources were down 8.33% at 4.4p.