Barkly Project drilling unearths high-grade gold and copper, igniting hopes of economic boom in Tennant Creek

There are hopes a revived mining industry in the Barkly will deliver a much-needed boost for struggling towns.

TEST results from Tennant Minerals’ copper and gold Barkly Project prospect, about 20km east of Tennant Creek, have ignited hopes of an economic revival in the town to match the resources boom of the 80s and 90s.

Tennant Minerals’ latest drill results show high-grade gold as well as the previously identified high-grade copper resource.

Released Tuesday, the test results from the Barkly Project’s Bluebird prospect show an intersected mineralisation over 63m at 2.1 per cent copper and 4.6 grams of gold per tonne.

In a note to the Australian Stock Exchange, Tennant Minerals chairman Matthew Driscoll said the results were “stunning”.

“The latest drilling results from Bluebird are stunning. Not only have we continued to intersect thick, high-grade copper, but we have also discovered a distinct high-grade gold shoot within the broader mineralised zone with spectacular intersection grades of up to 38.5 grams per tonne gold,” he said.

Exploration at the Bluebird interest at Tennant Minerals' Barkly Project

“We have really only scratched the surface at Bluebird, with the copper-gold discovery zone still completely open to the west and below 200m depth.

“In addition to Bluebird, we have identified at least another 12 untested magnetic/gravity targets with a similar signature to Bluebird along the 5km Bluebird geophysical corridor.

“It is an exciting time for the company and its shareholders as we await the remaining results from our latest drilling program at Bluebird and define additional new drilling targets along the 5km corridor to continue building and expanding this significant new high-grade copper-gold discovery.”

Shareholders reacted to the results with the company’s share price surging from 3.9 cents to 4.9 cents – but the big winners could be businesses in Tennant Creek, who stand to benefit from a potential new mining boom.

Businessman Kevin Rowland, owner of Kevin Rowland Auto Electrical and Air Conditioning, said while he and many others in the town are adopting a ‘wait and see’, the town’s prospects are looking up.

“The last good project Tennant Creek had was the pipeline to Tennant Creek,” he said. “There’s talk of a railway from Tennant Creek to Mt Isa which would be the best thing if it happened.

“We need the industry because we’re losing our mechanics, engineers we’re losing everything.”

The Chariot gold mine was the last to close near Tennant Creek back in 2005 but prospectors believe there are multiple resource opportunities around the town to match massive projects like the Warrego Mine which employed thousands of people over 30 years before closing in 1989.

Ricky Postrak, owner of No Worries Gardening Service in Tennant Creek

Tennant Minerals’ technical Adviser Jon Dugdale said the strong showing in Bluebird could be just the start.

“Bluebird is one ore body, but we’re now seeing signs there could be several of these things,” he said.

“One thing from the exploration game is that sometimes you find something you don’t expect. While we have to rely on what’s been found before in Tennant Creek before who knows, this one might be even better.

“Bluebird is the first one being tested. We’re going to phase two drilling at the moment that will be the next stage and there are another dozen targets with similar geology and gravity.”

Mr Dugdale said it’s expected decisions around moving to development phase could be about 18 months away and if successful, could generate upwards of 300 jobs.

All of this is good news for No Worries Gardening Service owner Ricky Postrak, who has previously worked in mining and knows its value to the town.

“It will help everyone if it goes ahead,” Mr Postrak said.

“The more people who come to town the more landscaping and plants they’ll need. It would definitely be a big boost. I’ve been here 40 years and watched and Warrego close. It had a massive impact.”

Tennant Mining, a separate company which owns a number of gold-bearing prospects around Tennant Creek including Nobles Nob, Juno Mauretania and Chariot, has bought the El Dorado Motel in Tennant Creek ahead of a ramp-up in operations.

Meanwhile the local council is planning and preparing for a surge in growth.

Emma Bradbury, chief executive of Barkly Regional Council, ran and engineering and mine maintenance business in Queensland and said it’s an exciting time for Tennant and the Barkly.

Chief executive of Barkly Regional Council Emma Bradbury

“This is really an exciting time ahead for the Barkly Region,” she said.

“We’re committed to being ready and being able to engage with partners across the region and with all the businesses,” she said.

“With all these businesses and mines looking to come to town to extract resources, we’re keen to make sure the benefits are localised, long-term and enduring.

“We want long term sustainable partnerships with business and enterprise coming to the region but we also want to see the benefits of that investment localised and enduring because we want to see a long term, sustainable environment and social benefits.”

Originally published as Barkly Project drilling unearths high-grade gold and copper, igniting hopes of economic boom in Tennant Creek