The Peel Mining Ltd (ASX: PEX) share price shot 11% higher today on the back of a market update about the miner's Wirlong site. Peel shares are swapping hands for 25 cents apiece at the time of writing.
Peel Mining is a western New South Wales mineral explorer. The company is focused on developing large-scale and high-grade base metal deposits in the Cobar Superbasin.
Peel Mining holds an approximate 27% shareholding in Saturn Metals Ltd (ASX: STN), a junior gold exploration company that has built a portfolio of assets in the Western Australian Goldfields region.
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Peel Mining share price soars upon copper announcement
Prior to the Peel Mining share price shooting up, the company reported very strong copper mineralised intercepts at its 100% owned Wirlong deposit.
In today's announcement, Peel highlighted the mineralisation discovered is consistent with and supports the company's geophysical and geological modelling. The modelling involves the application of an electromagnetic conductor plate and a revised structural model.
Peel Mining managing director Rob Tyson commented:
These drillholes continue to demonstrate very high copper tenors, akin to those seen in previous drilling. The results highlight Peel's opinion of the potential of Wirlong as we push towards a maiden mineral resource and emphasise our desire to become Cobar's next copper-dominant base and precious metals mining Company.
A summary of Peel Mining's Wirlong project
The Wirlong Copper discovery is located approximately 70km south-southeast of Cobar. Mineralisation at Wirlong has been defined from near-surface to a depth of more than 600 metres below surface.
As mentioned by Tyson, the company has initiated efforts to establish a copper-rich maiden mineral resource at Wirlong. The resource definition program for this project consists of approximately 11,000 metres of drilling and is anticipated to be completed in the June quarter of 2021.
The next steps for the maiden resource are preliminary metallurgical testwork, ore sorting trials, along with resource modelling and estimation and a scoping study.
The Peel Mining share price has fallen 6.25% over the past six months. On current prices, the company has a market capitalisation of $80.3 million.
