De Grey Mining Achieves Encouraging Results at Withnell

THE DRILL SERGEANT: De Grey Mining (ASX: DEG) announced new RC and diamond drilling results at the Withnell gold deposit, part of the company’s Pilbara gold project in Western Australia.

De Grey Mining explained Withnell is currently the largest deposit (6.37 million tonnes at 1.8 grams per tonne gold for 377,300 ounces) within the project area.

It is the only deposit along an immediate six-kilometre trend that has been drilled below 100 metres depth.

Gold mineralisation is hosted by the 60km long, east-west trending regional scale Mallina Shear Zone.

De Grey said the latest high-grade drilling results it achieved at Withnell continue to enhance the resource potential.

Results include:

LODE 1 (West)

5m at 7.8 grams per tonne gold from 43m, including 2m at 14.95g/t gold;
2m at 11.14g/t gold from 61m, including 1m at 20.6g/t gold;
8m at 20.11g/t gold from 168m, including 4m at 38.5g/t gold; and
4m at 5.93g/t gold from 188m.

LODE 1 (East)

5.47m at 4.57g/t gold from 293m.

LODE 2

16m at 4.21g/t gold from 94m, including 1m at 29.3g/t gold.

LODE 4

8m at 3.62g/t gold from 100m; and
4m at 16.4g/t gold from 240m.

“These drilling results are extremely encouraging,” De Grey Mining chairman Simon Lill said in the company’s announcement to the Australian Securities Exchange.

“We have set an initial resource target of two million ounces by the end of 2019 and we believe Withnell and Toweranna provide a clear runway toward that number.

“Drilling is advancing at both deposits with two rigs operating, so there will be a steady stream of exploration results in the forthcoming months.”

 

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Website: www.degreymining.com.au