Drilling will resume at Syndicated Metals’ emerging Lillymay satellite deposit in North Queensland early in the New Year targeting significant extensions to the high-grade mineralization identified following completion of a maiden mineral resource estimate.

The latest geological interpretation of the Lillymay mineralization suggests that it could comprise multiple shoots of high-grade plunging copper mineralization with similarities to the flagship Barbara copper-gold deposit. Lillymay is 4km south-west of Barbara and forms part of the Barbara Copper-Gold Joint Venture Project.

The maiden inferred resource of 225,295 tonnes grading 2.33% copper for 5250 tonnes of contained copper, represents a first step for the Barbara Joint Venture towards establishing a regional copper resource inventory outside the Barbara deposit itself with potential to contribute high-grade feed to an operation at Barbara.

The updated mineral resource estimate is based on 18 RC drill holes. The estimate has been completed in accordance with the guidelines of the JORC Code (2012 edition).

Syndicated’s managing director Andrew Munckton said the maiden JORC mineral resource estimate for Lillymay was based on the successful drill programs completed at the emerging satellite deposit during 2014. “With an average grade of 2.33%, Lillymay represents a potentially valuable source of high-grade material that could contribute to an operation at Barbara.

“Importantly, the mineralization remains open in all directions and there is excellent potential to significantly expand the resource next year with a third round of drilling to extend the mineralization along strike in the near-surface, open pittable environment as well as targeting extensions down-dip and down-plunge of the higher grade sections of both the Western Lode and Eastern Lode mineralization.

“The completion of this estimate enables us to move forward with planning follow-up drilling for early 2015. “It also provides a solid foundation for assessment of the Lillymay mineralization as a potential contributor to the mining inventory for the Barbara project and feasibility study.

“We have maintained our exploration target for this deposit of 0.4-0.8 million tonnes @ 2-3% copper based on the drilling results encountered to date and extension of the mineralization to 600 metres of strike to a depth of 150 metres below surface which will be assessed in the next round of drilling.”