Cannindah Resources – High-Grade Trenching Confirms “Pencil Porphyry” Potential at Mt Cannindah
- Noel Ong
- 1 day ago
- 6 min read
Announcement
Cannindah Resources Limited (ASX: CAE) has reported standout trenching results from the Southern Target Zone (Appletree–Dunno) at Mt Cannindah, Queensland (Figure 1). The work outlines a 500 m × 100 m corridor of high-order Cu-Au-Mo geochemistry coincident with IP chargeability and magnetic highs—and crucially, an untested target at the lowest topographic level within the mining leases, consistent with a preserved porphyry system.
Figure 1: Location of the Appletree–Dunno prospect areas (source: CAE)
Highlights - Searching for Porphyry
High-grade, broad trench intercepts (open-ended):
61 m @ 1.08% CuEq (0.94% Cu, 0.22 g/t Au, 141 ppm Mo) from 0 m (AT_T01)
46 m @ 0.64% CuEq (0.52% Cu, 0.19 g/t Au, 98 ppm Mo) from 0 m (AT_T02)
51 m @ 0.42% CuEq from 0 m (AT_T03)
58 m @ 0.35% CuEq from 0 m (DNO_T01)
(CuEq includes Cu, Au, Ag; Mo not yet included pending recovery data; several trenches end in mineralisation).
Mineralised intrusives identified: Appletree trench channel samples from intrusive phases average 0.52% Cu, 0.08 g/t Au, 141 ppm Mo (n=28), supporting a “pencil porphyry” model.
Layered geophysical + geochemical support: A strong IP chargeability anomaly is modelled ~200 m below surface and is coincident with a magnetic high directly under trench mineralisation.
Untested discovery setting: Appletree and Dunno have never been drill-tested; RC scout drilling to ~250–320 m is scheduled as the rig moves on from breccia resource drilling.
Scale upside vs. known resource: The trenching lies within the Southern Target (up to 1.5 km strike footprint); together with the Eastern Target (up to 1.7 km × 0.4 km on the Kalpowar Fault), these areas represent the larger porphyry system footprint beyond the current breccia resource (14.5 Mt @ 1.09% CuEq).
Chairman Mr. Michael Hansel commented:
“As the understanding and potential of this mineral system continues to evolve, our Mt Cannindah Project continues to deliver exceptional results. The recent recognition of the significance of these trench results is testament to the potential of this project. Our most recent update includes the recognition that this target is located at the lowest topographical elevation within the granted Mining Leases. It is clear that the topographic level has a significant impact in relation to the exposure level of this system. These results verify the pencil porphyry concept and bode well for the development of other preserved porphyry systems in higher elevations (RL’s – relative levels above sea level) beneath other high-order geological, geochemical, and geophysical anomalies.”
Project Context (Mt Cannindah)
Mt Cannindah hosts multiple Cu-Au-Mo occurrences adjacent to the Triassic Monument Intrusive Complex, with deposit styles including porphyry-related breccias, skarns, stockworks, and late-stage Au-As veins.
Figure 2: Location of Mt Cannindah Project (source: CAE)
Current Resource (Cannindah Breccia): 14.5 Mt @ 1.09% CuEq
(Measured/Indicated/Inferred) With copper, gold, and silver credits, mineralisation remains open along strike north and south and at depth.
Conclusion (Geology & System)
Preserved porphyry signature: Fine-grained dyke-like intrusives, upper-level alteration, pyrite veinlets/disseminations, and quartz micro-fractures/disseminations—all typical of upper porphyry levels—are recorded at surface.This supports vertical continuity potential beneath trenches.
Vectoring to a “pencil” core: The 500 m × 100 m intrusive-skarn corridor with strong Cu-Au-Mo geochemistry overlies coincident IP + magnetic highs—a classic vector to a compact, higher-grade “pencil porphyry” centre.
System scale remains largely untested: Historical drilling around Southern/Eastern targets is mostly shallow (30–60 m; only several holes to ~200–300 m). Deep testing akin to porphyry vertical extents (>1,000–1,800 m) has not been undertaken outside the breccia area.
Near-Term Work Program & Catalysts
RC scout drilling to test below the trench corridor (~250–320 m), targeting the coincident IP/magnetic response under Appletree–Dunno.
Ongoing surface geochem/rock-chip work to the east of current lines, where soil anomalism remains open.
Breccia resource extensions (north/south and at depth) to add scale and potentially improve project economics alongside metallurgy options (e.g., HydroFloat).
Why This Matters
Grade × width at surface with open-ended trenches is uncommon this early in a porphyry target and provides direct drill vectors.
The system-scale footprint (Southern + Eastern targets) significantly exceeds the current resource envelope (~5% of interpreted system explored), preserving Tier-1 style upside if a compact high-grade core is confirmed.
Untested depth beneath a strong IP + magnetic overlap makes the incoming scout holes technically pivotal.
Detailed Trench results include:
Table 1: Appletree - Dunno Trench Results
All four trenches (AT_T01, AT_T02, AT_T03, DNO_T01) terminated while still above the >500 ppm Cu cut-off—so each remains open—and DNO_T02 also stays open to the northeast (see Figure 3).
Figure 3: Location of the Appletree and Dunno trench’s (source: CAE)
Samso Concluding Comments
These trench results simplify the picture. Mineralisation at surface, continuous above threshold, and coincident geophysics give a clean vector for first-pass drilling. All this makes good geological sense, but it does not do much more for investors.
For investors, the question is now “depth and is there continuity,” not “is there something here?” The scout holes beneath the trench corridor will answer that. Grade × width at surface is encouraging, but drill metres decides the value.
Remember the pathway: verify the target below the trenches, follow the system down-plunge, then frame scale and metallurgy. Each step de-risks the story; none can be skipped.
As always, DYOR and keep your senses on. Porphyry targets are notorious for being expensive, and it always takes a long time to materialise. Do your own work, read the source figures and tables, and keep position sizes sensible until the drill bit speaks.
Projects like these are good to have on your watch screen, and it is always good to be prepared to get on these stories if the facts are piling up and making convincing evidence for a position.
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