Alloy Resources Drills High-Grade RC Gold Results

THE DRILL SERGEANT: Alloy Resources (ASX: AYR) has recently completed exploration drilling activities at the Horse Well gold project Joint Venture.

Alloy Resources Horse Well JV (Alloy 51%: Doray Minerals Limited 49%) is located in the north-east goldfields of Western Australia adjacent to Northern Star’s Limited’s Jundee Gold Mine.

Alloy is currently sole funding exploration to earn up to 60 per cent in the Joint Venture.

A program totalling fourteen holes for 1,877 metres were completed at Warmblood, Filly SW and Dusk til Dawn prospects with the aim to test concepts for extensions and orientations of higher grade zones within known mineralised areas.

The RC drilling conducted at Warmblood confirmed high-grade shoot development at depth, returning:

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14 metres at 8.38 grams per tonne gold from 57 metres downhole (mdh), including 4m at 20.08g/t gold from 67 mdh and 3m at 10.05g/t gold from 89 mdh; and

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15m at 5.34g/t gold from 83 mdh, including 7m at 10.25g/t gold from 85 mdh.

The drilling also confirmed a northern extension to the high-grade Filly SW zone, including:

1m at 18.15g/t gold from 61 mdh.

The one-kilometre long Warmblood–Filly SW mineralised zone is open to the north and south and at depth.

At Filly SW there is a defined Inferred Mineral Resource of 85,000 tonnes at 8.24g/t gold.

Mineralisation was not closed off to the north where historic air-core drilling had intersected 4m at 43.6g/t gold and not been followed up.

Five RC holes, ACDR011-015, were drilled for 1,183m and 776 samples at the Dusk til Dawn prospect in the northern part of the Horse Well JV project.

Alloy Resources explained the results did not confirmed the concept of the target being a potential high-grade mineralised structure and further review is required to define the controls on higher grade gold mineralisation.

“The results at Warmblood and Filly SW confirm that the Horse Well JV area has potential for high grade gold mineralisation, and that this can occur over extensive strike lengths,” Alloy Resources executive chairman Andy Viner said in the company’s announcement to the Australian Securities Exchange.

“Our interpretation suggests the mineralisation style can be narrow and in ‘poddy’ very high-grade shoots related to the Celia Shear system and needs tight targeted drilling.

“Within the project The Celia Shear has numerous prospects from soil anomalies to drill anomalies that demonstrates the significant exploration potential over a 60-kilometre strike length.”