Blackham Resources Confirms Wiluna Pit Potential

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THE DRILL SERGEANT: Blackham Resources (ASX: BLK) is currently conducting Reserve Definition Drilling at the East and West lodes at the company’s Wiluna gold operation I Western Australia.

Blackham Resources intends using Ore Reserves identified by this drilling as the basis for a Stage 2 expansion study aimed at growing production at Wiluna beyond 200,000 ounces of gold per annum.

Blackham commenced a program of RC and diamond drilling in February targeting the Wiluna open pits to extend mineralisation and improve the confidence level of the Mineral Resources from Inferred to Indicated.

The first assay results have been received for a portion of this program.

Drilling targeting the Central Zone intersected broad zones of moderate to low grade mineralisation with higher grades associated with northwest striking lithological contacts.

All the mineralisation in the Central Zone is outside the current Mineral Resource and will be included in the next resource update.

Broad mineralised intercepts include:

WUDD0004
53.3 metres at 1.5 grams per tonne gold from 132m, including 37m at 1.84g/t gold from 148m;

WUDD0005
50m at 1.14g/t gold from 19m, including 12m at 1.31g/t gold from 17m, 11m at 1.7g/t gold from 50m and 5m at 1.61g/t gold from 64m.

WURD0031
43.2m at 1.4g/t gold from 142m, including 5m at 1.94g/t gold, 9m at 1.56g/t gold, 1.5m at 3.42g/t gold, 12m at 1.68g/t gold and 10.2m at 1.96g/t gold; and

WURC0208
29m at 1.29g/t gold from 121m, including 8m at 1.27g/t gold from 121m and 14m at 1.89g/t gold from 136m (End of hole).

Infill drilling targeting the East and West lodes has also continued to confirm continuity of mineralisation.

Highlights from the West Lode include:

WUDD0001
28m at 3.78g/t gold from 38m, including 4.2m at 13.3g/t gold and 3.4m at 8.5g/t gold;

WUDD0002
18m at 1.84g/t gold from 204m, including 0.6m at 13.7g/t gold; and

WUDD0003
9m at 1.53g/t gold from 117m, 7m at 6.53g/t gold from 146m, including 4.1m at 9.98g/t gold and 18m at 6.72g/t gold from 160m, including 6m at 15.2g/t gold.

Blackham is planning to install an additional 1.5 million tonnes per annum milling capacity in addition to the recently refurbished 1.7 million tonnes per annum oxide circuit.

This would take total capacity to approximately 3.2 million tonnes per annum across the oxide and sulphide circuits, all located at the Wiluna processing hub.

“The latest Wiluna drill results when combined with our mining studies, suggest a large East West open pit with strong grade 1.5 kilometres long, 600 metres wide and 230 metres deep to feed an expanded Wiluna gold plant, Blackham Resources managing director Bryan Dixon said in the company’s announcement to the Australian Securities Exchange.

“Mining studies are aimed at feeding half the planned throughput from the open pits and half from the underground.

“The latest drilling results give us extra confidence we can sustain a 200,000 ounce per annum operation with a long mine life.”

Email: info@blackhamresources.com.au

Website: www.blackhamresources.com.au