THE BOURSE WHISPERER: Blackham Resources (ASX:BLK) has reported a Resource Estimate for the M3 deposit at the company’s Matilda gold project.
The M3 deposit is estimated to contain 755,000 tonnes at 1.7 grams per tonne gold for a total of 42,000 ounces of gold.
The combined Matilda project estimate has grown to 23 million tonnes at 1.9g/t gold for 1.4 million ounces of gold.
“The M3 deposit is crucial to unlocking the value of the Matilda project due to its strategic position between the larger deposits of M1 and M4,” Blackham Resources explained in its ASX announcement.
Blackham’s revised gold resources at the Matilda Gold Project are summarised below:
Source: Company announcement
Resources at the Matilda Mining Centre have now reached 682,500 ounces of gold, which Blackham claims has consolidated its position as the largest gold endowment within the Matilda project.
The company expects to be able to increase this further expected when the M8 deposit and other prospects are estimated.
The completion of the M3 resource has also highlighted that lodes from M1, M2, M3, M4 & M5 deposits are part of a large mineralised system (Figure 1).
Matilda Mining Centre showing combined resource models and drilling targets. Source: Company announcement
“Within this system there are a number of areas with little or no drilling that if tests prove successful, may provide additional resources as well as a positive impact on the mining economics around these deposits,” Blackham said.
“As the company shifts its focus towards development, priority will be given to improving the confidence of resources and ultimately converting resources into reserves.”
Blackham will commence a 3,000 metres RC drill program next week to focus on infill and extension zones around the M1, M3 and M4 deposits.
The company and the drilling contractor have agreed 50 per cent the drilling contract will be paid in Blackham shares.
“The company is delighted with the recent growth of the Matilda project,” Blackham said.
“In less than 12 months the resources have grown over 350 per cent.
“The Resource base is now sufficient to consider development options which would see the company become a producer in the near-term.”