High-Grade Rock Samples Position Diablo Resources for Strategic Drill Program at Phoenix Copper Project
Diablo Resources Ltd (ASX:DBO) has unveiled compelling results from its recent rock sampling program at the Phoenix Copper Project in Utah-Colorado, USA, establishing three high-priority drill targets for its maiden drilling campaign scheduled for Q3 2025.
Premium Real Estate in a World-Class Copper District
The Phoenix Copper Project by Diablo Resources Ltd occupies a strategic position along strike from the producing Lisbon Valley Copper Mine (LVCC), which hosts a substantial 740Mlb copper resource. This prime location within the Lisbon Valley Mining District provides Diablo with an outstanding exploration footprint covering 5,840 acres (23.6 km²) across two claim blocks.
Recent exploration work has yielded exceptional results across three key prospects:
Trenton Prospect: Outstanding Copper Values
- Peak values of 7.71% copper and 37 g/t silver
- Average of 2.53% copper across rock samples
- 7 of 11 samples returning greater than 1.0% copper
- Mineralisation extends over several kilometres along interpreted fault trend
Fair Dinkum Prospect: Consistent High-Grade Results
- Peak values of 2.76% copper and 92 g/t silver
- Average of 1.12% copper across rock samples
- 7 of 13 samples exceeding 1.0% copper
- Mineralisation visible over 100 metres of outcrop
Philadelphia Prospect: Previously Reported Strong Results
- Results from this third priority target area have already been disclosed in previous announcements
"We have gone from project acquisition to submitting drill permits in under six months, a great result and a testament to the exploration team's commitment and focus," commented CEO Lyle Thorne.
Structural Controls Drive Mineralisation Potential
The Phoenix Copper Project by Diablo Resources Ltd targets a similar geological setting to the neighbouring Lisbon Valley Copper Mine, focusing on structural and stratigraphic controls that host copper mineralisation.
At the Trenton Prospect, a 3,000-metre long, semi-continuous copper anomaly has been identified using handheld pXRF surveys, associated with the East Bounding Fault (EBF) and hanging wall sandstones. This structural corridor appears highly prospective for hosting significant copper mineralisation.
Similarly, at Fair Dinkum, exploration has targeted the easterly extension of the high-grade copper Whundo project, which hosts the nearby Flying Diamond Copper deposit. Here, copper mineralisation outcrops over 100 metres of strike along and adjacent to the fault before disappearing under cover.
Understanding Sediment-Hosted Copper Deposits
Sediment-hosted copper deposits like those targeted at the Phoenix Copper Project by Diablo Resources Ltd typically form when copper-bearing fluids migrate along structural pathways and precipitate within favourable host rocks. These deposits often occur in sedimentary basins containing oxidized, hematite-bearing sandstones and reduced carbonaceous units.
The project's geological setting within the Paradox Basin provides ideal conditions for this deposit style, with:
- Structurally controlled fault systems acting as fluid pathways
- Favourable host rocks including Dakota and Burro Canyon sandstones and conglomerates
- Proximity to proven economic copper mineralisation at Lisbon Valley
This style of mineralisation can form large, economically significant copper deposits with consistent grades and straightforward metallurgical characteristics, making them attractive mining targets.
What are sediment-hosted copper deposits?
Sediment-hosted copper deposits represent a major source of global copper production. These deposits form in sedimentary rock sequences where mineralised fluids have moved through porous rocks and deposited copper minerals along specific horizons or structural features.
Key characteristics of these deposits include:
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Formation in sedimentary basins: They typically occur within large sedimentary basins that formed millions of years ago.
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Structural controls: Faults and fractures provide pathways for mineralising fluids.
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Favourable host rocks: Specific rock types such as sandstones, conglomerates, and carbonaceous shales provide ideal chemical environments for copper deposition.
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Economic importance: These deposits can be large, with consistent grades and relatively simple metallurgy.
At the Phoenix Copper Project, Diablo Resources Ltd is targeting copper mineralisation in Dakota and Burro Canyon formations, which have demonstrated their capacity to host economic copper deposits in the Lisbon Valley district.
Clear Path to Maiden Drilling
Diablo Resources Ltd has already submitted drill permits to the Bureau of Land Management for all three prospect areas at the Phoenix Copper Project, positioning the company for its maiden drilling program anticipated in Q3 2025. The drilling will target the high-priority zones identified through the recent exploration work.
The company's systematic approach has rapidly advanced the project from acquisition to drill-ready status in less than six months, demonstrating efficient project execution and focused targeting. This approach resembles Dynamic Metals' first phase drilling methodology, which has proven successful in other exploration contexts.
Investment Perspective: Strategic Position in a Proven Copper District
Diablo Resources offers investors exposure to a compelling copper exploration opportunity with several key advantages:
1. Location Advantage
The Phoenix Copper Project's position along strike from an actively producing copper mine in the Lisbon Valley Mining District provides geological validation and proximity to established infrastructure.
2. High-Grade Surface Results
The exceptional copper grades from surface sampling (up to 7.71% Cu) suggest strong mineralisation potential that will be tested in the upcoming drill program. Furthermore, these results are comparable to drilling success with high-grade gold seen in other regions.
3. Multiple Target Areas
With three distinct high-priority prospects already identified, Diablo has built a pipeline of exploration targets that could support sustained discovery potential.
4. Clear Timeline
The scheduled Q3 2025 drilling program provides investors with a near-term catalyst that will test the project's true potential.
5. Experienced Management
CEO Lyle Thorne brings technical expertise and leadership to the project, with results demonstrating efficient exploration execution.
What makes the Phoenix Copper Project significant for investors?
The Phoenix Copper Project by Diablo Resources Ltd represents an opportunity to gain exposure to copper exploration in a tier-one jurisdiction with high-grade surface results and imminent drilling. The company's strategic land position along strike from a producing copper mine significantly reduces the exploration risk.
With copper prices strengthening on growing demand from electrification and renewable energy sectors, junior explorers with quality projects in safe jurisdictions are attracting increased attention from investors.
Diablo's rapid progress from project acquisition to drill-ready status demonstrates management's ability to execute efficiently, while the consistently high-grade surface samples across multiple prospect areas suggest strong potential for discovery success. In addition, the company's approach aligns with successful exploration strategies seen at Aruma Resources' copper potential projects.
As the company advances toward its maiden drilling program in Q3 2025, investors have a clear timeline for news flow that could substantially re-rate the stock upon successful results.
| Prospect | Peak Copper (%) | Peak Silver (g/t) | Average Copper (%) | Samples >1% Cu |
|---|---|---|---|---|
| Trenton | 7.71% | 37 g/t | 2.53% | 7 of 11 |
| Fair Dinkum | 2.76% | 92 g/t | 1.12% | 7 of 13 |
| Philadelphia | Previously reported | Previously reported | Previously reported | Previously reported |
How does the Phoenix Copper Project compare to similar exploration projects?
The Phoenix Copper Project distinguishes itself through several key attributes:
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Proximity to production: Located along strike from an operating copper mine with established resources.
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High-grade surface samples: Initial sampling has returned grades significantly above the average for many comparable exploration projects.
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Multiple target areas: Three distinct prospects provide diversification of exploration potential.
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Rapid advancement: The project has progressed from acquisition to drill-ready status in under six months, demonstrating efficient execution.
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Geological setting: The sediment-hosted copper deposit model is well-understood and has produced numerous economic operations globally.
These factors position the Phoenix Copper Project by Diablo Resources Ltd as a compelling opportunity in the junior copper exploration sector, with near-term catalysts that could significantly enhance shareholder value. The project shows similar promise to Firetail Resources' Skyline copper expansion in terms of potential for growth and development.
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