Cannindah Resources Limited (ASX: CAE) (“Cannindah” or “the Company”) announced a major exploration breakthrough at its flagship Mt Cannindah Project in central Queensland, delivering substantial high-grade gold and copper intersections from the first deep reverse circulation (RC) drilling program at the Southern Porphyry Target.
The announcement marks a significant step forward for the Company, reinforcing Mt Cannindah’s potential to host a large-scale, high-quality copper–gold porphyry system at depth. The latest results underscore Cannindah’s disciplined exploration strategy and arrive against a strong market backdrop for both gold and copper—two commodities central to global investment demand, technological innovation and the energy transition.
Figure 1: Location map of the Mt Cannindah Project in central Queensland [Cannindah Resources Limited]
Major High-Grade Intersection Confirms Porphyry Potential
The standout result from the program came from drill hole 25CRC016, which returned:
- 28m @ 1.15% CuEq from 298m to end of hole
(including 1.25g/t Au and 0.11% Cu)
Importantly, the hole ended in mineralisation, indicating the system remains open at depth. Cannindah interprets this intersection as the upper or outer halo of a potentially significant gold-rich copper porphyry system.
Managing Director and CEO Mr Cameron Switzer said the result represents a pivotal moment in the Company’s understanding of the Southern Target.
“To delineate a porphyry system with a surface footprint in excess of 2,000 metres by 800 metres and now deliver clear evidence of high-grade mineralisation sends a clear message that our exploration strategy is delivering,” Mr Switzer stated.
Figure 2: Location map highlighting the drill target areas, with emphasis on the Southern Target [Cannindah Resources Limited]
Geological Indicators Strengthen Exploration Model
The high-grade interval in 25CRC016 is hosted within a feldspar porphyry intrusive phase, a key geological indicator of fertile porphyry systems globally. Logging also revealed increasing gold values downhole—an important signal of precious metal zonation within the broader copper system.
According to the Company, elevated gold-to-copper ratios can indicate gold-rich intrusive phases, which often correlate with higher-margin mineralisation in porphyry deposits.
Mr Switzer noted that these geological markers validate Cannindah’s technical conclusions.
“The recognition of high-grade mineralisation associated with intrusive dykes and increasing metal zonation confirms that our targeting approach is technically sound and aligned with successful discoveries made by major mining groups,” he said.
Figure 3: Cross-sectional view illustrating drill hole 25CRC016 alongside historical drilling, clearly demonstrating increasing grade strength with depth. [Cannindah Resources Limited]
Scout Drilling Delivers Clear Grade Vectors
Results from additional drill holes further strengthened confidence in the Southern Porphyry Target. Notably:
- 25CRC013 returned:
- 46m @ 0.28% CuEq from 18m
- 90m @ 0.33% CuEq from 184m
- Including 6m @ 1.67% CuEq from 218m
- 25CRC012 returned:
- 56m @ 0.16% CuEq from 152m
These results demonstrate the development of grade shells and metal vectors, with increasing copper tenor to the south and at depth. Such vectors are widely used by major miners to target high-grade zones within large porphyry systems.
Cannindah highlighted that similar exploration inputs have underpinned discoveries at globally significant projects such as Cadia Ridgeway and Northparkes.
Figure 4: Cross-sectional illustration of drill holes 25CRC012 and 25CRC013, where drilling results clearly define grade shells trending southward, with interpreted CuEq shells extending between the holes. [Cannindah Resources Limited]
A Growing Target with Scale and Depth Potential
The Southern Porphyry Target now boasts a surface footprint exceeding 2,000m by 800m and remains open to the south and at depth. The Company has completed nine RC drill holes to depths of up to 320m, with assays pending for five additional holes.
Key attributes of the Southern Target include:
- High-order soil anomalies in copper, gold and molybdenum
- Coincident IP chargeability anomalies up to 110mV/V
- Evidence of skarn and porphyry-style mineralisation at surface
- An Exploration Target of 64–114kt CuEq from near-surface zones
Cannindah believes the Southern Target represents the upper levels of a much larger copper–gold–molybdenum system that will require drilling beyond 1,000 metres to fully evaluate.
Figure 5: Isometric summary view illustrating the overall geometry and extent of the Southern Target. [Cannindah Resources Limited]
Strategic Timing Amid Strong Gold and Copper Fundamentals
The announcement comes at a time when market fundamentals for both gold and copper remain compelling. Gold continues to play a unique role as a store of value, investment asset and industrial metal, with global demand nearing 5,000 tonnes per annum. Supply growth remains constrained, increasing by only around 1.5% annually, providing long-term support for prices.
Copper, meanwhile, sits at the heart of the global energy transition. Its unrivalled electrical and thermal conductivity makes it indispensable for renewable energy systems, electric vehicles, charging infrastructure and data centres powering artificial intelligence. Below are a few roles of Copper in the global economy:
- Energy Transition Core: Essential for climate neutrality, with renewable systems requiring 6x more copper than traditional ones.
- E-Mobility Driver: Electric vehicles contain 80 kg of copper, quadruple the amount used in internal combustion engines.
- Grid Infrastructure: Unrivalled conductivity makes it the foundation for stable power grids and EV charging networks.
- Tech Necessity: Copper is critical for the electronics industry, accounting for 14% of global consumption.
- AI Catalyst: Data centres rely on copper for high-density power delivery and cooling systems to manage intense AI heat loads.
Against this backdrop, Cannindah’s growing exposure to both metals enhances the strategic significance of the Mt Cannindah Project.
Figure 6: Role of Gold and Copper in the global economy
Planned Work and Ongoing Momentum
Cannindah will continue to aggressively explore the Southern Porphyry Target, with further deep drilling planned to test the system at depth and along strike. The Company also awaits assay results from the remaining five RC holes, which may further upgrade the scale and quality of the discovery.
Mr Switzer emphasised that disciplined capital deployment and geological insight will guide the next phase.
“This project probably represents the best copper–gold opportunity in Australia outside of the majors. Cannindah will continue to apply good geology and targeted investment to unlock its full potential,” he said.
Investor Outlook
Cannindah Resources Limited (ASX: CAE) recorded a strong daily share price increase, rising 26.67% to $0.057. This sharp upward move reflects heightened investor interest following the Company’s latest high-grade gold–copper drilling announcement, signalling growing market confidence in the Mt Cannindah Project’s exploration potential.
Share Price Performance (ASX: CAE):
- Last price: $0.057
- Daily change: +26.67%
- 1 week: +42.50%
- 1 month: +16.33%
- 2026 YTD: +18.75%
- 1 year: +61.49%
- vs sector (1 year): +18.40%
- vs ASX 200 (1 year): +55.34%
Market capitalisation: approximately $58.8 million
Figure 7: Cannindah Resources stock performance in the last 6 months [ASX]
With a growing copper–gold system, strong technical validation and exposure to commodities critical to global economic and technological trends, the Company appears well positioned for continued news flow and exploration-driven value creation.
