Highlights

• Recent detailed geological mapping of the Project area has identified numerous potentially mineralised structures at surface in addition to the known vein structures intersected in the 2008 drilling campaign
• Visible gold observed in artisanal workings (see Figure 1 below)
• Access and drilling agreements have been reached with local stakeholders
• Environmental experts visit to the Project area as part of the drilling permitting process identified no matters of sensitivity that would affect the permitting process
• Drilling permit applications will be submitted shortly once documentation is completed, with approval expected approximately 60 days thereafter

Comet Resources Limited (Comet or the Company) (ASX:CRL) is pleased to provide an update on progress at the Santa Teresa Gold Project (the “Project”) in Baja California, Mexico. A comprehensive mapping campaign of historical drill collars, shafts and artisanal workings has been conducted over the Project area by consultant geologists Minera Cascabel. The mapping process identified numerous narrow vein structures at surface, which are in addition to the known vein structures targeted in the 2008 drilling campaign.

Matthew O’Kane, Managing Director of Comet Resources, stated “I am very pleased with the progress at the Santa Teresa Gold Project. Interminco and Minera Cascabel have done a good job of arranging access to the Project site with the local stakeholders and have then wasted no time in completing the initial field survey, detailed geological mapping and a review of the historical drill core. I am looking forward to receiving the results from the samples sent for assay, and also the completion of the permitting process for drilling.”

Several samples were collected during the survey process and forwarded to ALS Chemex in Hermosillo where they will be prepared for assaying at ALS Chemex in Vancouver. Visible gold was observed in a recent sample from a 25cm wide working (see Figure 1 above).

Minera Cascabel also conducted a thorough review of the historical drill core from the 2008 diamond drilling program. Twenty seven (27) samples have been cut from old core which will also be sent to ALS Chemex for multi spectrum analysis. This will assist in determining the mineralogy of the gold deposit. A strong association of the gold with pyrrhotite has been noted in inspection of the historical drill core, with a significant magnetic signature. This suggests that a ground magnetics programme may be a useful tool to assist us to better define targets for the upcoming drilling campaign. To test this thesis a small ground magnetics survey will shortly be conducted over areas of known high grade mineralisation to determine if a magnetic signature coincides with high grade intersections from the 2008 drill campaign.

Project manager Interminco have also relocated the core shed to a cost effective premise within the local village. Interminco have also reached agreements for surface access and exploration drilling with the landowners and community. Subsequently, environmental experts visited site as part of the drilling permitting process and identified no matters of sensitivity that would affect the permitting.

Drilling permits will be submitted shortly once final documentation is completed. Approval is expected within approximately 60 days thereafter, unless delayed by Covid related staff reductions at government offices. A diamond drilling campaign is being planned based on the historical drilling results combined with the information obtained from field work done to date by Interminco and Minera Cascabel. Water in old artisanal workings will be used for the drilling campaign. The workings will then be pumped out, mapped and sampled, which will yield additional information on the location of the mineralised vein structures underground.

Preliminary investigations are also under way to assess the timing and process for the permitting and mining of a small underground exploration shaft that would allow underground drilling platforms to be established.

This announcement has been authorised by the Board of Comet Resources Limited.

For further information please contact:

MATTHEW O’KANE
(08) 6489 1600
[email protected]
cometres.com.au
Suite 9, 330 Churchill Avenue Subiaco WA 6008
PO Box 866 Subiaco WA 6904

About Comet Resources

Santa Teresa Gold Project (Mexico) The Santa Teresa Gold Project is comprised of two mineral claims totalling 202 hectares located in the gold rich El Alamo district, approximately 100 km southeast of Ensenada, Baja California, Mexico; and 250 km southeast of San Diego, California, USA. The Project is prospective for high grade gold. In addition to the two claims of the Project, two additional claims totalling a further 378 hectares in the surrounding El Alamo district are being acquired from EARL

Barraba Copper Project (NSW) The 2,375ha exploration licence that covers the project area, EL8492, is located near the town of Barraba, approximately 550km north of Sydney. It sits along the Peel Fault line and encompasses the historic Gulf Creek and Murchison copper mines as well as the Four Mile Lode. The region is known to host volcanogenic massive sulphide (VMS) style mineralisation containing copper, zinc, lead and precious metals. Historical workings at Gulf Creek produced high-grade copper and zinc for a short period around the turn of the 19th century, and this area will form a key part of the initial exploration focus.

Springdale Graphite Project (WA) The 100% owned Springdale graphite project is located approximately 30 kilometres east of Hopetoun in south Western Australia. The project is situated on free hold land with good access to infrastructure, being within 150 kilometres of the port at Esperance via sealed roads.   The tenements lie within the deformed southern margin of the Yilgarn Craton and constitute part of the Albany-Fraser Orogen. Comet owns 100% of the three tenement’s (E74/562 and E74/612) that make up the Springdale project, with a total land holding of approximately 198 square kilometres.

Forward-Looking Statement

This announcement includes forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning Comet Resources Limited’s planned exploration programs, corporate activities and any, and all, statements that are not historical facts. When used in this document, words such as “could,” “plan,” “estimate,” “expect,” “intend,” “may”, “potential,” “should” and similar expressions are forward-looking statements. Comet Resources Limited believes that its forward-looking statements are reasonable; however, forward looking statements involve risks and uncertainties and no assurance can be given that actual future results will be consistent with these forward-looking statements. All figures presented in this document are unaudited and this document does not contain any forecasts of profitability or loss.

No New Information

To the extent that this announcement contains references to prior exploration results and Mineral Resource estimates, which have been cross referenced to previous market announcements made by the Company, unless explicitly stated, no new information is contained. The Company confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcements and, in the case of estimates of Mineral Resources that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed.

Original Article: https://mcusercontent.com/2fca36b6963d9ac563567f99e/files/a329e3f1-7fc3-46cc-b669-48a45b9b0d53/Santa_Teresa_Gold_Project_Update.pdf