• Geophysical magnetic inversion interpretation indicates deep-seated target 1 km south east of Plomosas Mine
• Geochemical vectoring using pathfinder elements support the theory of the deepseated target
• Additional mineral targets may be present within a zoned mineralised system around this and other possible intrusives, as exemplified by the Au + Cu vein systems mined around the Plomosas mine.
• Regional exploration work to commence shortly to test anomalies.

Consolidated Zinc Limited (ASX:CZL) is pleased to provide an update on the continued processing and analysis of geophysical surveys completed over the Plomosas Project in Mexico during the December 2016 quarter (ASX announcement 25 January, 2017). Geophysical surveys acquired both gravity and airborne magnetics data and these datasets coupled with geological mapping and widespread sampling have identified numerous co-incident targets for follow-up.

Recent analysis including reprocessing and inversion of the magnetic data shows a 3km wide, complex magnetic anomaly centred 1.5km to the SE of the mine. It is caused by the response from shallow weakly magnetic sediments that appear superimposed on the response of a deeper source.

An inversion of the data indicates a deep magnetic body that starts at a depth of about 700m, but is likely centred much deeper (1300m). This could represent an intrusive body and heat source for a larger hydrothermal system (Figures 1-4).

This anomaly is located where earlier interpretations of magnetic data by North Exploration Ltd in May-June 2000 suggested a near vertical, large magnetic body estimated to be 600mbs, existed around 476740E 3215940N. 

While its location and nature may have implications for ongoing exploration the exact nature of this feature remains to be confirmed. However, the possible presence of a fault controlled mineralised intrusive in this location on a basin margin could explain the origins of mineralising fluids through the Plomosas mine area. 

CZL is currently investigating the potential of geochemical vectoring, using pathfinder elements to determine whether a geochemical signature will assist in targeting drillholes in the Carola South area and also indicate whether a vector proves the presence of a deep-seated intrusive as indicated by the geomagnetic anomaly to the south.

This may explain the localised increase in background Cu values observed in recent channel sampling within the Carola South drive by CZL and the occurrence and zonation of high grade gold-copper vein systems in the district.

There are numerous such vein systems near Plomosas within CZL’s tenements and many have been mined in small scale operations. 

One such working exploited the narrow veins of the Chona prospect, 5km NW of the Juarez mine portal, where sampling of the veins returned assays of up to 5.18% Cu and 10.4 g/t Au (in 2007) and 8.37 g/t Au and 2.45% Cu (2006). The vein was reported to return values of 2% to +5% Cu with Cu values increasing to the NW (Figure 3).

Other veins include the nearby 2m wide Enriques Vein, where rock chip assays up to 2.00% Cu and 0.21 g/t Au were obtained in 2007. While the tonnage potential of the Chona-Enrique system is probably limited, this and other similar mined veins in the district may provide guides to more opportunities. 

Consolidated Zinc Managing Director Will Dix commented “This new interpretation represents yet another opportunity for the Company to aggressively push exploration. It’s exciting to think that there are potentially significant extensions to the Plomosas mineralisation further along strike to the south and also the opportunity to review the prospectivity for copper and gold mineralisation within the project area”.

Yours faithfully,