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Demetallica hits even more copper and gold at Jericho

Wed 13 Jul 22, 11:39am (AEST)
Gold Copper 4 Exploration
Source: iStock

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Key Points

  • Assay results for 5 RC holes include strong copper-gold coincident grades at the Matilda shoot
  • Results for first two diamond drill runs at Jumbuck shoot support evidence of mineralisation at depth
  • Further assay data pending for the J1 lode, comprising both Matilda and Jumbuck; 14 RC holes at J1 still to go

Demetallica (ASX:DRM) has been met with market disinterest today, possibly ahead of the USA’s inflation data release, despite posting promising results. 

The company highlights today assay data for six drill holes (four RC and two diamond rig) both sunk on-site the company’s J1 lode acreage at Jericho.

The J1 lode contains two prospects, the Matilda and Jumbuck shoots respectively. 

Evidence of high grade copper present 

Investor information service Undervalued Equity notes that high grade copper (Cu) is anything over 1.5%; whereas mid-grade covers a range between 0.5% - 1.5%. 

Demetallica reports RC drill core equivalents today of: 

  • 16m @ 1.94% Cu 

  • 15m @ 1.73% Cu

  • 8m @ 1.54% Cu

  • 9m @ 1.07% Cu 

And diamond drill rig cores from the Matilda Shoot hole, at the J1 lode, of:

  • 5.55m @ 2.31% Cu 

  • 7.2m @ 2.01% Cu 

Continued points of interest for investors 

Back in early July, the company’s share price was up 5% in morning trade when initial RC results proved the existence of high-grade copper. 

At that time, the company noted its current mineral resource estimate is only based on a 2.2km strike length, whereas targets across both J1 and J2 lodes comprise a total of 3.7km. 

Investors would be well placed to keep a keen eye on Demetallica’s intentions to upgrade its resource(s) in the coming weeks and months. 

Demetallica joined the ASX in May this year after raising $15m in its IPO.

Investor interest in the company is clear, given the company’s listing was oversubscribed even as markets experienced the first waves of inflation shocks. 

A no nonsense look at Demetallica's acreage with activity clearly labellled
A no nonsense look at Demetallica's acreage with activity clearly labellled
Demetallica was a Market Index client at the time of publishing. All coverage contains factual information only and should not be interpreted as opinion of financial advice.

 

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Written By

Jonathon Davidson

Finance Writer

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication. Email Jon at [email protected].

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