Cannindah Resources (ASX:CAE) said it has identified "significant" resource expansion potential at the Cannindah breccia copper-gold deposit of its Mt Cannindah project in Queensland, according to a Wednesday Australian bourse filing.

The company said some historical holes within the current mineral resource estimate (MRE) envelope have incomplete assay data, highlighting the opportunity to potentially upgrade the MRE, while additional outcropping host-rock breccia has now been mapped for about 400 meters along strike to the south of the 600-meter envelope.

Several historical diamond drill holes located up to 550 meters south of the southern mineral resource boundary were never sampled despite containing visual breccia and sulphides, and have now been sent for analysis, the filing added.

The company will drill an additional 17 holes for 3,500 meters to test high-priority resource growth targets, with an updated MRE planned following completion of the current drill program.