Lycaon Resources Ltd. announced the results of a helicopter electromagnetic survey (HEM) covering 216 line-kms over the Gnewing Bore gold-silver and nickel-copper project (Gnewing Bore Project) in the Kimberley region of Western Australia. The XCITE airborne electromagnetic survey was carried out by New Resolution Geophysics Australia Pty Ltd. (NRG) on behalf of Lycaon over the central portion of the Gnewing Bore Project area. The primary objective of the survey was to explore for conductive, well developed sulphide bodies that may represent high grade, copper-gold mineralisation or Ni-Cu±PGE mineralisation. The XCITE system was selected in order to provide higher resolution survey information to a depth of ~250-300m. A total of 216 line kilometres of XCITE AEM survey data have been acquired over one contiguous block area within tenement E80/5508. XCITE AEM surveying is believed to be an effective regional exploration tool for conductive, well developed sulphide mineralisation assuming that the near surface conductive cover conditions are limited. At this stage five primary XCITE target anomalies have been identified - GB1, GB2, GB3, GB4 and GB5. Lycaon will continue to review and assess the new survey results. The defined anomalies will be field checked and, if warranted, ground-based EM surveys and follow-up drill testing will be undertaken. The Gnewing Bore Project is approximately 28km to the northwest of the Halls Creek townsite, within the Kimberley Region of Western Australia. Halls Creek is situated 347km south of Kununurra and is readily accessible via the sealed Great Northern Highway. The Project has generally good outcrop and easy access via stations tracks on the Moola Bulla pastoral lease.
The Gnewing Bore Project has experienced limited exploration to date, with work focusing on the area surrounding a prominent north-northwest-trending, 50m long, significant gossanous outcrop consisting of brecciated quartz material and iron oxides after sulphides. Historical rock chipsamples have returned up to 5.10 g/t Au and 105g/t Ag. A small historical drilling program
returned a best result of 8m @ 0.52g/t Au from 12m from a hole drilled beneath the gossan, indicating a wide mineralisation system could be present. There remains significant potential down dip and along strike to test for high-grade mineralisation in fresh rock, which warrants further drilling. The Gnewing Bore Project represents a hydrothermal/epithermal gold-silver target, containing some low-level copper anomalism which appears primarily shear controlled. Historic work highlights high-tenor gold grades plus supporting silver and copper grades in the rock chip samples, with a lack of decent exploration work to sufficiently test the target's potential. Subject to regulatory approvals, the gold-silver-copper quartz outcrop at Gnewing Bore Prospect
offers a drill-ready target for Lycaon. The drilling of the Gnewing Bore Prospect is the top priority followed by other nickel-copper targets identified in the remainder of the tenure during the ongoing geophysical, geochemical and geological review.