Lucapa Diamond Company (ASX: LOM) has achieved significant results from the first geophysical survey conducted in 25 years at its Merlin diamond project in the Northern Territory, utilising advanced exploration technology.
A preliminary review of the electromagnetic (EM) survey data revealed two large, highly conductive base metal targets, prompting the company to plan follow-up ground-based geophysics to further define these targets.
A second phase of survey data processing is in progress, aimed at identifying new kimberlite and additional base metal targets.
Results are expected to be released by the second quarter of the year. Lucapa’s managing director, Alex Kidman, emphasized that the results come from an area previously untouched by modern geophysics technology, located just 50 kilometres from the world-renowned McArthur River zinc-lead mine.
The recent helicopter-borne time-domain EM survey, covering 234 square kilometres, included the Merlin mineral lease and surrounding exploration licence.
The survey identified base metal targets along structures in sediments with geology similar to that of the McArthur River deposit, one of the largest zinc and lead mines globally.
The McArthur River mine produces over 250,000 tonnes of zinc, 1.2 million ounces of silver, and 50,000 tonnes of lead annually.
Lucapa believes the Merlin area’s geology is highly prospective for similar types of base metal deposits, making it an ideal location for EM surveys due to the limited conductive cover across most of the tenements.
The company plans to continue modelling the geophysics data to better define the identified targets and hopes to uncover potential deposits that were missed by previous operators.
Using the Xcite time-domain EM technology, known for its industry-leading resolution, Lucapa can conduct detailed depth investigations from near surface to approximately 500 meters, with sampling conducted every 50cm along the line.
