Alliance Resources Keeps Drill Spinning Across Project Portfolio
THE INSIDE STORY: Alliance Resources (ASX: AGS), as operator of the Wilcherry Joint Venture in South Australia, completed a RC drilling program on the Zealous tin-base metals, Telephone Dam zinc-lead-sliver, and Weednanna gold prospects.
Alliance Resources (51%) and Tyranna Resources (ASX: TYX) (49%) entered the Wilcherry JV in 2016, when the latter wanted to concentrate on its Jumbuck project, but did not want to divest totally from the quality 1,200 square kilometres of tenements, which are considered prospective for gold and base metals.
The Zealous tin-base metals prospect was identified as a first-order conductive target via a helicopter-borne electromagnetic (HEM) survey during December 2016 and confirmed by a high-powered moving loop electromagnetic (MLEM) survey completed in March 2017.
The previous drilling at Zealous between 2012 and 2014 intersected sizeable tin grades, including:
12ZLRC007
20 metres at 1.29 per cent tin from 42m;
13ZLDH001
12.3m at 1.1 per cent tin from 119m; and
13ZLRC001
10m at 1.23 per cent tin from 128m.
The first two RC drill holes (SW hole and NE hole) of the recent program encountered deep regolith consisting of kaolinite (clay) and very fine sand.
However, the southern hole failed to reach target depth and the northern hole entered the top of the target zone but failed to reach final target depth.
Alliance completed a total of 366m before suspending the RC drilling to source a diamond drilling rig to further test the prospect, which commenced early July.
The company’s attention then turned to the Telephone Dam zinc-lead-silver prospect, moving the RC rig from Zealous.
At Telephone Dam, the southernmost and shallowest planned hole was completed to 210m.
The company decided not to RC drill two planned northern holes at Telephone Dam, instead electing to diamond drill the relatively untested northern conductor once the remaining holes at Zealous are completed.
Results from the diamond drilling program at Telephone Dam are expected in late August to early September.
The RC rig was then moved to the Weednanna gold prospect where 25 holes were drilled (17WDRC025 to 17WDRC049).
Final results from RC drilling at Weednanna are anticipated to be available by mid-August, hopefully for presentation at Brisbane Mining 2017.
Drilling results achieved at Weednanna and reported to date, intersected bonanza gold grades, including:
17WDRC003
49 metres at 6.3 grams per tonne gold from 45m, including 21m at 10.7g/t gold from 48m;
17WDRC011
10m at 6.8g/t gold from 79m, including 3m at 15.5g/t gold from 81m; and
17WDRC012
2m at 61.1g/t gold from 167m.
Alliance Resources’ project portfolio stretches beyond SA and includes the Nepean South nickel-gold project in Western Australia’s Eastern Goldfields.
A large new gold anomaly was recently identified at Nepean South, which the company was quick classify as being, “significant in terms of the indicated size and location”.
The Nepean South project is located southwest of Coolgardie and is considered prospective for both komatiitic-hosted nickel sulphide deposits and greenstone-hosted orogenic gold deposits.
Results from recently-conducted phases of auger soil sampling defined a coherent gold in soil anomaly greater than 7.5ppb gold, measuring approximately 3,000m east to west by 1,500m north to south, located to the north of a previously defined (southern) anomaly.
The recent gold in soil sampling results are of higher tenor than results previously returned from the area, with anomalous samples from all soil sampling now determined to range between 8 and 15ppb gold and highly anomalous samples greater than 15ppb gold.
The results included 79 highly anomalous samples, returning peak results of 108ppb gold, 44ppb gold and 41ppb gold.
The two highest grade samples recorded are positioned more than 500m from a tenement boundary.
Alliance has interpreted these results to demonstrate the highly anomalous samples form two strong clusters in the central to eastern part of the overall anomaly.
The company outlined its next phase of exploration to be carried out at the Nepean South project will be infill auger soil sampling in the north of the survey area, enabling it to better define the distribution of gold as a vector towards primary gold mineralisation.
A 396-sample program is proposed using a 50m by 50m spaced grid.
This work will conclude auger soil sampling at the Nepean South project and provide targets for aircore drill testing.
Alliance Resources Limited (ASX: AGS)
…The Short Story
HEAD OFFICE
Suite 3
51 – 55 City Road
Southbank, VIC, 3006
Ph: +61 3 9697 9090
Email: info@allianceresources.com.au
Web: www.allianceresources.com.au
DIRECTORS
Ian Gandel, Tony Lethlean, Steve Johnston