Ausgold continues gold mineralisation along strike at Dingo

THE DRILL SERGEANT: Gold and copper exploration play Ausgold announced the latest drilling results it has received from the Dingo ore body, located within the Western Corridor of the Katanning gold discovery in Western Australia.

 The returned results come from the southernmost lines of Ausgold’s first-pass RC drilling program at Dingo.

The company said the results have confirmed the continuation of gold mineralisation to the south and along strike of this ore body.

It also said they indicate that the gold mineralisation at the Dingo deposit remains open along strike in both directions as well as at depth.

Highlights from the drilling program include:

– 11 metres at 4.15 gram per tonne gold from 107m, including 1m at 8.38g/t gold from 108m and 1m at 21.00g/t gold from 113m;

– 20m at 2.69g/t gold from 79m, including 1m at 8.44g/t gold from 90m;

– 20m at 2.42g/t gold from 86m, including 2m at 8.55g/t gold from 98m;

– -22m at 2.30g/t gold from 121m, including 1m at 18.89g/t gold from 129m and 1m at 12.21g/t gold from 132m; and

– 19m at 1.67g/t gold from 105m.

An initial interpretation of these results has led Ausgold to form the opinion gold grades may increase as drilling continues south along this ore body.

“Significantly, these holes also intersected quartz veining, which appears atypical of the mineralisation encountered to date by Ausgold at the Dingo and Jinkas ore bodies,” Ausgold said in its announcement.

“It is the presence of these quartz veins that may explain the high-grade core present within the latest drill results.”

The company has subsequently commenced a follow-up drilling program at Dingo designed to further delineate the southern extension of this ore body.

A series of deep holes will also be completed at Dingo to test the depth continuation of this deposit down to 400 metres.

“This is another set of very positive results from our Katanning gold discovery which clearly indicated that in addition to gold mineralisation at Dingo continuing to the south, there is also a very strong indication that the grades are also increasing heading south,” Ausgold chief executive officer, Benjamin Bell said in the announcement.

“We continue with our drilling on the ground with two drills presently at Olympia and one at Dingo and we expect to be in receipt of two additional RC rigs and one diamond core drill in the coming weeks to further increase our pace on the ground.”

A drilling program is currently underway at Katanning, focusing initially on two key mineralisation structures.

The first is known as the Western Corridor, which hosts the Dingo, Jackson and Lone Tree prospects.

The second is the Eastern Corridor hosting the Olympia, Jinkas, Neighbours and Fraser prospects.

Ausgold plans to drill at least 70 to 80 holes per prospect. The program has been designed to assist the company in determine geology, gold mineralisation and orientation of higher grade lodes, which will allow better targeting of important structures at depth within the mineralised corridors.

“A resource delineation drilling program of the Jinkas ore body comprising over 100,000m of RC drilling will test the continuation of this deposit to depths of 500 metres below the surface and the strike extension of this ore body to 1.5 kilometres is anticipated to commence once the additional RC and diamond core drill rigs arrive on site next month,” Ausgold said.

“Ground geophysical surveys (detailed ground magnetics and induced polarisation) at the Jinkas and Dingo gold deposits are also currently in progress aimed at furthering the Company’s ability to identify high-grade lodes within its extensive tenement package.”