De Grey Mining Encounters Hemi Extensions

THE DRILL SERGEANT: De Grey Mining (ASX: DEG) continues to grow the Hemi gold discovery at the company’s Mallina gold project in Western Australia.

The latest extension to Hemi has come at the Aquila zone by way of further wide, high-grade intersections.

Mineralisation at Aquila remains open at depth along a strike length of 850 metres.

Drilling completed by De Grey to date has demonstrated the overall scale and dimensions of the shallow gold mineralisation across the combined Aquila, Brolga and Crow gold system remains open and currently extends over 1000m in width, 850m in strike and 300m in depth.

The company is currently undertaking step-out extension drilling across all three deposits to extend the limits of mineralisation and to assess the potential for a large tonnage, low strip ratio open pit mining scenario.

Latest results from Aquila include:

139.5 metres at 0.7 grams per tonne gold from 103.89m;

113m at 0.8g/t gold from 70m;

27m at 2.7g/t gold from 152m;

13.4m at 3.5g/t gold from 266.67m;

2m at 2.5g/t gold from 168m; and

22m at 2.4g/t gold from 131m.

“The scale and dimensions of the near surface mineralisation at Hemi continues to impress,” De Grey Mining technical director Andy Beckwith said in the company’s announcement to the Australian Securities Exchange.

“The size of Hemi continues to grow with every drill program and we are also confident that additional new discoveries will be made along this prospective corridor.”





Bellevue Gold Upgrades Deacon Lode Resource

THE DRILL SERGEANT: Bellevue Gold (ASX: BGL) released infill drilling results from the company’s Bellevue gold project in Western Australia.

Bellevue Gold indicated the results would contribute to an anticipated maiden Indicated Resource at the project.

The company reported the results to include “exceptionally high-grade intersections”, achieved at the Deacon lode, where the Inferred Resource now contributes 410,000 ounces at 12.3 grams per tonne gold of the total Inferred Resource at Bellevue of 2.2 million ounces at 11.3g/t gold.

Results highlighting high grades and continuity of the Central area at Deacon, include:

5.3 metres at 54.5 grams per tonne gold from 650.9m;
1.5m at 168.8g/t gold from 651.7m, including 0.5m at 499.1g/t gold;
2.5m at 49.2g/t gold from 527.8m;
10.3m at 10.7g/t gold from 566.9m;
4.3m at 9.1g/t gold from 701.9m;
2.6m at 10g/t gold from 626m;
1.64m at 48g/t gold from 640m; and
3.3m at 22.5g/t gold from 618.1m.

Additional drilling carried out on the Bellevue Peripheral Lodes (Tribune, Viago, Bellevue), returned:

2m at 64.4g/t gold from 609.1m;
2.9m at 36.5g/t gold from 168.6m;
2.4m at 14.4g/t gold from 124.8m;
0.3m at 1,169.1g/t gold from 100m;
5.6m at 7.5g/t gold from 90.4m; and
1.5m at 89.8g/t gold from 424.1m.

“The extremely high grades and the continuity of the mineralisation augur very well for both the upcoming Resource upgrade and the project’s economics,” Bellevue Gold managing director Steve Parsons said in the company’s announcement to the Australian Securities Exchange.

“The Deacon lode is emerging as a repeat of the adjacent Bellevue deposit, which was well-known for its extensive high-grade mineralisation.

“The mineralisation at Deacon is also characterised by consistent free visible gold and high pyrrhotite percentages.”

Bellevue Gold is now working towards dewatering the existing underground mine to provide access to the underground infrastructure for drilling and eventual development.

Geotechnical, metallurgical and mining studies are also well underway.

“Drilling from underground will enable us to drill at twice the pace and significantly less cost than drilling from surface,” Parsons continued.

“Underground access will also allow us to explore the deposit from different drill positions.

“There is more than $200 million worth of underground development within the 28 kilometres of underground workings and this infrastructure is expected to play a key role in minimising capital costs and lay the pathway for a low level of capital intensity to bring the deposit back into production.”





Auteco Metals Drilling at Pickle Crow Gold Project

THE DRILL SERGEANT: Auteco Minerals (AUT.ASX) has commenced its first diamond drilling program at the company’s Pickle Crow gold project in Ontario, Canada.

Auteco Minerals indicated the program is to target shallow high-grade gold targets the company identified during recent technical work at the project.

The initial exploration program is to consist of 5,000 metres of diamond drilling and is the first systematic exploration conducted at the property in more than 50 years.

Auteco explained the drilling is designed to follow up on multiple high-grade, shallow gold targets within the top 300m that lie outside historically defined resource areas.

“This is an exciting time for the company as we commence the first systematic exploration on the project since the mine closed in 1966 after successfully producing 1.5 million ounces of gold at 16 grams per tonne gold,” Auteco Minerals executive chairman Ray Shorrocks said in the company’s announcement to the Australian Securities Exchange.

“Exploration activities are proceeding in line with 2020 field objectives with maiden drilling targeting high-grade, walk-up drill targets designed to bring new resource areas into JORC compliance.

“In addition, Auteco is working to deliver a maiden JORC 2012 compliant resource for the Pickle Crow mine area.

“This resource will be focussed on the high-grade underground mineable mineralisation at the Pickle Crow deposit that was the focus of profitable mining from 1935 to 1966.

“The Auteco technical team are active in the field, working to prioritise the multiple drill-ready, high-grade gold targets across the 320 square kilometres Pickle Crow gold project area through ongoing geological, structural and geophysical reviews during the current field season.”





Emmerson Resources Commences Drilling at Kiola Gold-Copper Project

THE DRILL SERGEANT: Emmerson Resources (ASX: ERM) has commenced a diamond drilling program at the company’s Kiola gold project in New South Wales.

Emmerson Resources intends to drill a minimum 2,000 metres of diamond drilling to test targets within the 15 square kilometres Kiola Geochemical Zone (KGZ) – an area the company considers highly anomalous gold-copper and historic workings.

No previous deep drilling has been carried out in the area previously, despite strong indications of gold-copper mineralisation from surface.

Kiola is in a good neighbourhood, sitting within the Molong Belt, which hosts the recent Boda copper-gold discovery of Alkane Resources and Newcrest’s Cadia-Ridgeway deposits.

Emmerson ranks the Kiola project highly amongst the company’s expansive portfolio of early stage gold-copper projects.

Recent work has confirmed that the KGZ contains attributes associated with world class porphyry gold-copper mineralisation and is divided into a northern area centred on the Nasdaq skarn, and a southern area around the South Pole, Kiola and Right Hand Creek mine.

Activities have involved around 15-line kilometres of Induced Polarisation (IP) geophysics collected in late 2019 that reinforced the depth potential of the target areas, particularly when combined with the geochemistry, age dates, intrusion fertility plots and geology and taking into account the limited exposure of the Ordovician stratigraphy due to soil cover.

The current diamond drill program is to consist five holes and is expected to be completed in late June 2020 with assay results in August 2020.

The program will in part be co-funded by the $100,000 New Frontiers Cooperative Drilling grant from the NSW Government.

“We are pleased to commence drilling at Kiola after implementing a number of measures to mitigate COVID19 health risks in accordance with state and national protocols,” Emmerson Resources managing director Rob Bills said in the company’s announcement to the Australian Securities Exchange.

“We remain committed to protecting our employees, contractors and surrounding communities and look forward to drill-testing a variety of gold and copper targets across the project area.

“Stage 1 drilling at Kiola will test priority targets within the Kiola Geochemical Zone, a approximate 15 square kilometres area of elevated gold and copper geochemistry, historic copper workings, and skarns that contain gold, copper and zinc.

“There has been no deeper drilling within the zone to test for the source of the gold and copper mineralisation.”






St George Mining Commences Major Mt Alexander Drill Program

THE DRILL SERGEANT: St George Mining (ASX: SGQ) has commenced a multi-rig drill program at the company’s Mt Alexander project, located in the north-eastern Goldfields of Western Australia.

This program is to include reverse circulation (RC) drilling across a range of nickel-copper sulphide targets and diamond drilling testing new conductive features identified by magnetotelluric (MT) and audio-magnetotelluric (AMT) surveys completed earlier this year.

St George explained the new conductive targets are located deeper than the current extent of drilling and believes they have potential to deliver new nickel-copper sulphide discoveries.

RC drilling has already started and will focus on testing shallow targets at the Fish Hook and West End Prospects, as well as completing the resource definition drilling at the high-grade Stricklands deposit.

“We are excited to be commencing this highly anticipated drill program at Mt Alexander,” St George Mining executive chairman John Prineas said in the company’s announcement to the Australian Securities Exchange.

“The shallow deposits discovered to date confirm that the mineral system at the Cathedrals Belt hosts outstanding mineralisation with high grades of nickel, copper, cobalt and platinum group metals.

“The MT survey completed this year has confirmed the presence of conductive features beyond the current extent of drilling.

“This new data is a significant breakthrough in exploration at Mt Alexander.

“It has provided a blueprint to the structural framework of the mineral system that will guide our drilling of the deeper targets.

“In addition to drilling these deep conductive targets, we are excited to begin the first ever drilling at the Fish Hook prospect.

“With a high-order soil anomaly coupled with EM anomalism and interpreted ultramafic intrusives, this drilling has the potential to deliver another greenfields nickel sulphide discovery.

“We are also pleased that this drill campaign will include the resource definition at the shallow Stricklands deposit.

“With high-grade mineralisation starting 30 metres from surface, we believe Stricklands can support a low capital cost, high-margin mining operation that we can fast-rack to development.”




Middle Island Resources Racks-up Further Encouraging Sandstone Drill Results

THE DRILL SERGEANT: Middle Island Resources (ASX: MDI) has continued its run of encouraging results from a Phase 1, reverse circulation (RC) drilling program recently completed at the company’s 100 per cent-owned Sandstone gold project in the central goldfields of Western Australia.

Middle Island Resources conducted the Phase 1 RC program, focussing on open pit targets at Sandstone.

The company has subsequently tested around 14 gold deposits and prospects, all within four kilometres of its 100 per cent-owned gold processing plant and the majority on permitted Mining Leases.

The latest results came from 1m assays derived from drilling at the Twin Shafts deposit and Tailings South prospect, along with eight remaining assay results from the Two Mile Hill deposit.

These included an extended intercept of 22m at 1.42g/t gold at the Two Mile Hill deposit, providing further confidence of deepening of the optimum open pit and, therefore, the associated gold processing inventory.

Drilling at the southern extremity of the Twin Shafts deposit identified a modest grade mineralised extension that will still be estimated and included as a maiden Mineral Resource for assessment in Sandstone’s feasibility study update.

Middle Island noted that the proximity of the Twin Shafts mineralised extension to the existing in-pit tailings storage facility means that mining may expand the tailings capacity and waste generated by that mining may be used for a planned tailings dam lift and/or expansion, providing an economic benefit in addition to potential mill feed.

Results relating to the remaining 44 holes of the Phase 1 RC drilling program are anticipated to be compiled and released next week.

These results relate to Sandstone’s Shillington and Goat Farm deposits, the Ridge prospect, and the G2 & G3 gravity targets.

“Given the extraordinary success of the 2020 Sandstone drilling campaign to date, identifying a fifth new deposit was always going to be a stretch,” Middle Island Resources managing director Rick Yeates said in the company’s announcement to the Australian Securities Exchange.

“Despite the anticipation, we are unable to do so on this occasion, but Phase 1 RC drilling results from the remaining deposits and prospects are still being received and compiled.

“Despite this, the revised intercept of 22 metres at 1.42 grams per tonne gold in MSRC304 at Two Mile Hill is extremely encouraging, particularly given its disposition relative to the $2,500 per ounce optimum pit shell.

“While extension of the Twin Shafts deposit to the south is of limited superficial significance, Twin Shafts is not included in the existing Mineral Resources and it will be estimated as part of the updated study.

“The mineralised extension’s proximity to the existing tailings storage facility means that mining may expand the tailings capacity and waste generated by mining may be appropriate to use for a planned tails dam lift and/or expansion, providing an economic benefit in addition to potential mill feed.”

Middle Island recently reported a $4 million capital raising that was brough about by the success of the company’s recent drilling campaign that identified four new deposits.

Requiring a much-expanded Phase 2 RC drilling program in order to bring these new deposits into an Indicated Mineral Resource classification for consideration as Ore Reserves in the updated feasibility study, Middle Island is set to commence a Phase 2 RC program by engaging an additional drill rig.





Red 5 Exercises Acquisition Option Over Cables and Mission Deposits

THE BOURSE WHISPERER: Red 5 Limited (ASX: RED) has exercised an option to complete the acquisition of the Cables and Mission gold deposits in Western Australia.

Red 5 described the acquisition as strategic, given that the “bolt-on” deposits are located around ten kilometres north of the company’s Darlot gold mine.

Red 5 explained the acquisition forms part of a multi-strand strategy to expand the Darlot Mineral Resource base, which includes ongoing near-mine and regional exploration as well as consolidation of strategic opportunities.

Before completing the acquisition of the Cables and Mission deposits, Red 5 carried out due diligence and confirmatory Reverse Circulation (RC) drilling to validate historical drilling and determine the potential of the Cables and Mission deposits.

Confirmatory Reverse Circulation drilling by Red 5 confirmed the mineralisation with best intercepts of:

7 metres at 5.7 grams per tonne gold;

4m at 14.7g/t gold; and

5m at 3.7g/t gold.

The Cables and Mission transaction follows Red 5’s recently announced acquisition of the Great Western gold deposit.

“The acquisition of the Cables and Mission deposits represents another strategic low-risk opportunity to continue growing the company’s Resource base in the area surrounding the Darlot gold processing plant,” Red 5 managing director Mark Williams said in the company’s annooucnement to the Australian Securities Exchange.

“The acquisition includes a JORC 2004 Inferred Resource which we plan to upgrade to JORC 2012 compliance, while at the same time commencing exploration activities aimed at testing the broader potential of the tenements, which are located in close proximity to our existing Darlot operations.

“Significantly, the rock units hosting the Cables and Mission deposits are similar to those that host the Centenary orebody, which has been mined for many years from underground at Darlot.

“The Cables and Missions transaction follows the recent acquisition of the Great Western gold deposit, both of which are planned to provide additional sources of ore feed for the Darlot processing plant in the coming years.”





Dreadnought Resources Raises Ilaara Drilling Funding

THE DRILL SERGEANT: Dreadnought Resources (ASX: DRE) is set to commence drilling activities at the company’s Illaara and Rocky Dam gold and VMS projects near Kalgoorlie in Western Australia.

Dreadnought Resources is primed for the drilling to test nine high-quality gold and VMS targets at Illaara and Rocky Dam following a placement, raising $500,000 at 0.4 cents per share.

Drilling will commence at Illaara on the Rodney, Warspite, Bismarck and Reindler’s VMS targets, all of which Dreadnought has identified to contain outcropping gossans and conductive EM plates.

Drilling will then proceed to Metzke’s Find to infill 250m of strike beneath the deepest workings associated with a 15 degree bend in the mineralised structure where previous drilling intersected 2m at 6.8g/t gold and 4m at 1.9g/t gold.

Once this drilling has been completed, Dreadnought will undertake additional target definition work within the Illaara Central Corridor, Metzke’s Corridor and Rocky Dam followed immediately by additional RC drilling scheduled for July/August 2020.

“Dreadnought, in its first 12 months of operations, has been extremely active, with over 80 per cent of its funds going into the ground,” Dreadnought Resources managing director Dean Tuck said in the company’s announcement to the Australian Securities Exchange.

“Dreadnought has acquired and consolidated significant landholdings over prospective under-explored terrain and defined thirty drill ready targets while drilling nine previously defined targets.

“This funding will be used specifically to test nine of our highest ranked targets commencing in late May 2020.”





Kin Mining Encounters Further Shallow Gold at Cardinia

THE DRILL SERGEANT: Kin Mining (ASX: KIN) reported assay results from recently completed drilling programs from the company’s 100 per cent-owned Cardinia Gold Project (CGP) near Leonora in Western Australia.

Kin Mining’s recent activity consisted Reverse Circulation (RC) drilling at the Cardinia Hill prospect and air-core (AC) drilling at the Helens East and Helens South prospects, all considered to be key emerging regional target areas at CGP.

The company said the new results build on previously announced shallow gold results and continue to highlight the potential to identify strong zones of new mineralisation at Cardinia.

New assays include:

Cardinia Hill RC

7 metres at 2.44 grams per tonne gold from 117m and 5m at 1.21g/t gold from 13m;

4m at 0.86g/t gold from 14m; and

1m at 1.07g/t gold from 48m.

Helens South AC

4m at 4.29g/t gold from 12m;

8m at 1.8g/t gold from 4m;

4m at 1.13g/t gold from 28m; and

4m at 1.09g/t gold from 12m.

Kin declared the results at Cardinia Hill have confirmed the presence of several mineralised lodes with significant downdip extent, with shallow mineralisation now defined over a total strike length of 500 metres.

The Helens South AC results confirmed the presence of mineralisation beneath soil anomalies, in areas without any great historical workings and limited historical exploration.

“The recently completed Phase 2 RC and AC drilling program has already given us a significant insight into the enormous untapped exploration potential at the Cardinia Gold Project, with results still outstanding for almost two-thirds of the drilling,” Kin Mining managing director Andrew Munckton said in the company’s announcement to the Australian Securities Exchange.

“The program was designed to follow up new discoveries made at Cardinia Hill, Comedy King and Lewis East in December last year and to commence first-pass air-core drilling on a number of other targets in the immediate Cardinia area.

“The results so far have reinforced our belief that Cardinia is a significantly mineralised area, worthy of considerable additional drilling and exploration in the coming months.

“So far in Phase 2, several new zones of mineralisation have been discovered at Helens South and Helens East to complement the Phase 1 discoveries.

“Cardinia Hill is shaping up as a significant new discovery with grades achieved so far that are significantly higher than those reported previously across the broader Cardinia Gold Project.

“While the assay results in CH20RC020 and CH20RC021 are not spectacular, they have confirmed the geological continuity of the mineralisation over at least 500m of strike length.

“Logging of follow-up RC drill holes CH20RC034 to CH20RC041 all showed strong alteration and sulphide mineralisation and we are looking forward to receiving these assay results.

“We have little doubt that Cardinia Hill will become a key area of exploration focus for us over the coming months.

“At Helens South and Helens East, air-core drilling has so far defined several new zones of mineralisation down to approximately 30 metres (the depth of penetration of the AC drill) which are co-incident with gold-in-soil anomalies generated from the recently completed Auger drilling program.

“This gives us confidence that the systematic approach we have adopted towards exploration at Cardinia is yielding good results and has put us on a clear pathway to make further significant discoveries.

“Further RC and AC drilling has been completed at Comedy King, Lewis East and Faye Marie.

“The company has approximately 3500 samples being analysed at the laboratory presently, and we are looking forward to reporting these results to the market as they are received.”





Carawine Resources Hits Big Gold Numbers at Hill 800

THE DRILL SERGEANT: Carawine Resources (ASX: CWX) announced new results from recent drilling at the Hill 800 gold-copper prospect within the company’s 100 per cent-owned Jamieson project in northeast Victoria.

Carawine Resources conducted drill hole H8DD022, targeting the down-dip and southern strike extent of Hill 800 mineralisation, which extend mineralisation at depth, with increased gold grades.

Assays from H8DD022 returned:

67 metres at 2.94 grams per tonne gold, 0.1 per cent copper from 231m (cut to geological boundaries), including 48m at 0.89g/t gold, 0.1 per cent copper from 231m (0.3g/t Au cut-off); and

11m at 13.9g/t gold, 0.2 per cent copper from 287m (0.3g/t gold cut-off), including 2m at 74.8g/t gold, 0.4 per cent copper from 290m (1g/t Au cut-off).

“Hill 800 remains open to the south, and at depth, with these latest results establishing a zone of extremely high gold grades within a broad, lower grade gold-copper mineralised system,” Carawine Resources managing director David Boyd said in the company’s announcement to the Australian Securities Exchange.

“We will now commence further technical studies including petrology, multi-element geochemistry and three-dimensional modelling to evaluate the next steps for Hill 800, which may include additional extensional drilling and/or deeper drilling to search for its interpreted porphyry source.

“Drill hole H8DD023 tested the first of several magnetic anomaly porphyry targets in the Hill 800 region, with the results giving us confidence that we are on the right track in our search for a copper-gold porphyry system at Jamieson.

“The results from this hole and those from drill hole H8DD021, which also returned similar porphyry-related signatures, will be further examined and factored into our planning for the resumption of exploration activities at Jamieson later this year.

“The company will now focus on advancing exploration at its Paterson and Fraser Range projects in Western Australia, where our Joint Venture partners have indicated drilling and geophysical programs are planned to commence later this quarter.

“Carawine will also advance its 100 per cent-held tenements in the Fraser Range and Paterson provinces, with target generation activities already in progress.”