ArgonautArgonautArgonautArgonaut
  • About Us
    • Business Model
    • Regulation
    • Community
    • Jason and the Argonauts
    • Disclaimer and Disclosure
    • COVID-19 Visitor Requirements
  • Corporate Finance
  • Stockbroking & Research
    • Stockbroking
    • Research
    • Best Execution Policy
    • Administration Forms
    • Open an Account
  • Special Situations
  • News
    • Latest News
    • Morning Notes
    • Latest Research
  • Contact
    • Careers
      • Advisers
      • Graduate Program
      • Internship Program

Argonaut Map Insights – Cobar Region, NSW

    Home Latest Research Argonaut Map Insights – Cobar Region, NSW
    NextPrevious

    Argonaut Map Insights – Cobar Region, NSW

    By Wendy McEvoy | Latest Research | 0 comment | 2 July, 2021 | 0

    Argonaut Limited

    The Cobar Basin and surrounding areas have been mined for base and precious metals over 140 years. Cobar style deposits are typified by modest scale ~2-5Mt sulphide lenses containing variably abundant high-grade copper, lead, zinc, gold and silver. Recent recoveries in metal prices have reinvigorated production and exploration activity in the region.

    Cobar is home to several active operations the most notable of which being Glencore’s CSA Mine (45ktpa Cu & 431kozpa Ag), Aurelia’s [AMI] Peak Mine (61koz Au & 214koz Ag, 9kt Cu, 13kt Pb & 10kt Zn) and Aeris Resources’ [AIS] Tritton Mine (23ktpa Cu). Both Sandfire’s [SFR] Endeavor Mine (~44ktpa Zn & 24ktpa Pb) and Manuka’s [MKR] (~2Mozpa Ag) operations remain suspended. Explorers with significant Resources in the region include Peel Mining [PEX] who controls the Mallee Bull, Wagga Tank and Wirlong deposits, and Helix Resources [HLX] with the Collerina and Canbelego deposits.

    Recent geophysics driven exploration success for AIS at the Constellation prospect (AIS 10/6/21) seems likely to yield a modest scale resource of  ~1.5% Cu which will eventually provide feed for the Tritton operation. HLX’s recent success at Canbelego (70% HLX|30% AIS) has included some impressive hits including 14m at 4.2% Cu (HLX 23/06/21) that is likely to improve the historic 1.5Mt at 1.2% Cu Resource. HLX have recently completed detailed VTEM over key project areas that may lead to additional high value discoveries.

    With mine permitting becoming increasingly onerous perhaps deposit owners will look towards alternate development strategies. Most major undeveloped deposits are within trucking distance of existing operations. Consider for example, the addition of a flotation circuit to the Wonawinta plant for treatment of sulphide ore from PEX’s undeveloped sulphide resources. Likewise, HLX’s deposits would likely find a home at AIS’ Tritton operation, but could also be trucked to competitor plants.

    While none of the following companies are formally covered, we see particular investment opportunity in junior explorers such as HLX, TLM and ALY with low market capitalisations and high-quality ground positions. The discovery of even a single high grade Cobar style deposit has the potential to generate significant shareholder value. We think improvements to electrical geophysics made in the last decade are likely to drive these discoveries.

    To access the full report please log in under the Client Area at the bottom of this page.  

    Argonaut’s Client Area allows you to view delayed share prices, access Argonaut’s wealth of Research as well as create custom portfolios and set up company watch lists.

    If you would like to access our research please contact us to create an account.

     

    No tags.

    Related Posts

    • Ramelius Resources (RMS) – Post Breaker

      By Wendy McEvoy | 0 comment

      We are tipping a resurrection of reputation with a good run of surplus cash flows for the rest of FY23 and into FY24, putting Ramelius in position to start developing post 2025 mine plans withRead more

    • GR Engineering (GNG) – Establishing A New Base

      By Wendy McEvoy | 0 comment

      Performances over the last four halves have been well ahead of those over the rest of the last decade. We expect this to establish a new, higher base for GNG, as its enhanced reputation andRead more

    • New Research – Sovereign Metals (SVM) – Kasiya Site Visit Insights

      By Wendy McEvoy | 0 comment

      We recently visited Sovereign Metals’ (SVM) giant Kasiya rutile and graphite project in Malawi. Development of Kasiya would be transformational for both SVM and the nation. Beyond the immediate financial benefits, Malawi would become aRead more

    • New Research – Global Lithium – Manna Study Dissection

      By Wendy McEvoy | 0 comment

      GL1 has reported the results of a Scoping Study for the Company’s flagship Manna project. While the study’s financial model generates an impressive Pre-tax NPV, in our view, the use of US$2,500/t sale price forRead more

    • Red 5 Ltd (RED) – # Reportcredits

      By Wendy McEvoy | 0 comment

      We have had to go back and revise up our expenditure estimates again. Sell recommendation retained. To access the full report please log in under the Client Area at the bottom of this page.  Argonaut’sRead more

    NextPrevious

    Recent Posts

    • 22/03/2023 – Morning Note
    • Ramelius Resources (RMS) – Post Breaker
    • 21/03/2023 – Morning Note
    • GR Engineering (GNG) – Establishing A New Base
    • 20/03/2023 – Morning Note

    Archives

    • About Us
      • Business Model
      • Regulation
      • Community
      • Jason and the Argonauts
      • Disclaimer and Disclosure
      • COVID-19 Visitor Requirements
    • Corporate Finance
    • Stockbroking & Research
      • Stockbroking
      • Research
      • Best Execution Policy
      • Administration Forms
      • Open an Account
    • Special Situations
    • News
      • Latest News
      • Morning Notes
      • Latest Research
    • Contact
      • Careers
        • Advisers
        • Graduate Program
        • Internship Program
    Argonaut

    Argonaut | The Natural Choice in Resources.
    © 2022 Argonaut.

    Corporate Finance
    Stockbroking & Research
    Contact Us

    Argonaut | Perth

    Level 30, Allendale Square, 77 St Georges Terrace Perth, WA, 6000 Australia

    clientservices@argonaut.com

    ABN 72 108 330 650

    Argonaut | Login

    Client Area Help
    Register for Access to Client Area
    Privacy Policy
    Financial Services Guide 
    Website Disclaimer

    Copyright 2022 | Website ⚡ by Start Digital