BHP Reports New Early Stage Copper Find Near Olympic Dam

- November 28th, 2018

BHP has discovered a potential new iron oxide-copper-gold mineralized system 65 kilometers southeast of its Olympic Dam operation.

Through a copper exploration program, BHP (ASX:BHP,NYSE:BHP,LSE:BLT) has discovered a potential new iron oxide-copper-gold (IOCG) mineralized system 65 kilometers southeast of its Olympic Dam operation in South Australia.

According to the company’s Tuesday (November 27) release, four diamond drill holes covering 5,346 meters intersected copper, gold, uranium and silver mineralization in IOCG style.

Assay results show downhole mineralization intercepts that range between 0.5 and 6 percent copper with associated gold, uranium and silver.

 

BRAND NEW! Take Advantage Of Silver On The Rise Before It's Too Late

   
PROMISING Stock Picks! EXCLUSIVE Interviews! JUST RELEASED Trends!
   
Everything You Need To Watch The Dollars Come Pouring In!
 

BHP explains that its exploration efforts are at an early stage, and that there isn’t enough information currently to assess the size, quality and continuity of the mineralized intersections.

Nevertheless, the news has ignited excitement among companies working near BHP’s discovery. Cohiba Minerals (ASX:CHK), which owns the Minerals Horse Well exploration license adjacent to the find, saw its share price double after the announcement, and has said it will speed up exploration in the area.

Other smaller stocks whose share prices benefited from the announcement include Argonaut Resources (ASX:ARE) and Aeris Resources (ASX:AIS), which together hold the Torrens copper project.

Going forward, BHP will evaluate and interpret the reported results, and is planning an additional drill program docketed to start in early 2019.

The company has been targeting South Australia’s Stuart Shelf as part of what it calls a “focused global program” that also includes Ecuador, Canada, Peru, Chile and the Southwestern US.

As part of its efforts to replenish its resource base through copper and oil assets, the company also recently increased its stake in SolGold (TSX:SOLG,LSE:SOLG) in October from 6.1 percent to 11.2 percent.

 

Introducing Our NEW Gold Outlook Report

   
BURSTING With Exclusive Information Not Found Anywhere Else. Don't Get Left Behind!
Grab Your FREE Gold Report Today!
 

SolGold, the majority owner and operator of the Cascabel porphyry copper-gold project in Ecuador, issued 100 million shares to BHP through the subscription agreement.

The move came just a month after BHP gained its first interest in SolGold through acquiring Guyana Goldfields’ (TSX:GUY) 6.1-percent stake in the company for US$35 million.

It’s worth noting that fellow major miner Rio Tinto (ASX:RIO,LSE:RIO,NYSE:RIO) may have made a copper discovery in Western Australia. The company has not confirmed the news, but did recently increase its exploration licenses in the area.

BHP’s share price closed at AU$30.87 on the ASX on Tuesday after the announcement, up 1.39 percent. The company’s share price took a small hit on Wednesday (November 28) when it closed at AU$30.61, down 0.84 percent.

Don’t forget to follow us @INN_Resource for real-time news updates!

Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.

  Life Science and Healthcare Investing in 2020 report cover

Coronavirus:
An Overview for Investors

 
COVID-19 continues to impact world markets. Get INN’s overview of coronavirus investing.
 

Get the latest Australia Investing stock information

Get the latest information about companies associated with Australia Investing Delivered directly to your inbox.

Australia Investing

Select None
Select All

Leave a Reply