Calidus Resources Identifies 1,000 metre strike Mineralisation from Surface at St George Shear

THE DRILL SERGEANT: Calidus Resources (ASX: CAI) received results from drilling underway at the company’s Warrawoona gold project, located in the Pilbara of Western Australia.

Calidus Resources indicated the resource infill and extension program is being carried out with an aim to expand the current resource to underpin a pre‐feasibility study in 2019.

As part of this program, Calidus is testing high priority targets including the St George Shear that it considers to have potential to increase the Warrawoona resource.

According to the company. wide spaced RC drilling of the St George Shear prospect approximately 150 metres from the current 654,000 ounce Klondyke resource has demonstrated the potential to rapidly add ounces to its resource base.

Latest results include:

8 metres at 3.9 grams per tonne gold from 0m, including 1m at 11.3g/t gold from 0m;

11m at 1.53g/t gold from 28m; and

6m at 2.27g/t gold from 88m;

“Our exploration program continues to deliver strong results and highlights the significant discovery potential proximal to the existing Klondyke resource,” Calidus Resources managing director Dave Reeves said in the company’s announcement to the Australian Securities Exchange.

“The shallow intersections highlight the near surface gold potential across the St George Shear structure and it’s potential to enhance the economics of any potential future development at Klondyke.

“This initial set of results from our first line of broad‐spaced holes across the St George Shear validates the geological targeting model and further boosts our confidence in the potential of the regional shear structures to deliver results.

“We will undertake further drilling within this identified 1,000 metre zone with an aim to bring St George into our global resource.

“We have just commenced RC resource upgrade drilling at the Copenhagen deposit as well as a diamond drill program testing an 800-metre-long continuous high‐grade structure lying at the base of the current Klondyke pit design.

“With three drill rigs now in operation we look forward to reporting results on a regular basis.”