PRX-NTGS Capstan Collaboration Drilling Program Stratigraphic Drilling 2018

Abstract

The Capstan Prospect is located on EL 31291, part of Prodigy Gold's (PRX) Bluebush project 700km NW of Alice Springs. The Bluebush area is located within the Paleoproterozoic Tanami - Granites Orogen (GTO) which takes its name from the Tanami Region within which it is located and spans the broader Northern Territory and Western Australia. The large magnetic anomaly at Capstan has long been flagged as possibly analogous to the 'Dead Bullock' stratigraphic succession which hosts the Callie gold deposit. There is no diamond drilling in the Capstan area and very limited, if any outcrop. An extensive veneer of Quaternary cover along with very limited outcrop (just 2%) has limited the ability to reliably correlate geology across the Tanami Region. Understanding of the geology and specifically the stratigraphic succession is one of the keys to unlocking the Tanami Region due to the strong stratigraphic control to mineralisation and the ability to be able to effectively target undercover. Very little understanding of the Dead Bullock Formation that hosts the world class Callie deposit exists outside of Dead Bullock Soak. With the lack of outcrop, strategically placed diamond drill holes can be used to assist with delineating and understanding the geology in areas under cover. To accelerate the understanding and definition of the project, a proposal was submitted to The NT Geological Survey (NTGS) for co-funding for two diamond holes for approximately 850 metres. Prodigy's submission was successful and co-funding up to $101,635 was awarded for the Capstan drilling programme. These diamond holes were the first diamond core generated from Capstan and provided high quality information at this early exploration stage accelerating the understanding of the project. The NTGS-Prodigy collaborative Diamond Drilling Program succeeded in completing two diamond drill holes for a total of 938.4m at Capstan. Drilling successfully intersected the Dead Bullock Formation, and confirmed the source of the bedrock anomalism defined in aircore drilling. The results are very encouraging, with similar stratigraphic elements intercepted as documented at the Callie Gold Mine. The anomalism delineated in AC drilling is associated with a series of quartz-porphyry intrusions. The understanding gained from the diamond drilling has given confidence in the regional exploration model, with the new data allowing its refinement. The high quality data generated is in the process of being integrated into the CSIRO - Prodigy geochemical and stratigraphic study and will drive further exploration and further stratigraphic understanding in the region. Prodigy intends to integrate the RC drilling completed at Capstan utilising the co-funded diamond holes as the framework to create a composite drill section across the Capstan area. It is recommended continuing the framework drilling and that additional stratigraphic drilling is completed across the Bluebush area. Integration of the soon to be released Tanami airborne magnetics survey data (March 2019) can be used in parallel with gravity data to map out sedimentary basins. Using this additional data further diamond drilling can target the contact of the Killi Killi and the Dead Bullock Formation testing for the Schist Hill Iron Member (SHIM), host to numerous deposits at Callie. Further drilling is required to target the magnetic sediments interpreted as the Auron beds in BLDD002. The key goal is to determine if the intermediate sediments which host the Callie Laminated Beds are spatially located across the Tanami or restricted to sub-basin domains and whether the new released magnetics integrated with gravity data can be used to assist in mapping out these areas undercover.