De Grey Mining Continues Resource Definition and Extensional Drilling at Brolga
THE DRILL SERGEANT: De Grey Mining (ASX: DEG) has carried out Resource definition drilling at the Brolga and other zones at the Hemi gold deposit as part of a DFS of the company’s Mallina gold project in Western Australia.
De Grey Mining conducted the drilling to increase the amount of JORC Indicated Resources within pit designs for inclusion in the Production Schedule and Reserve of the definitive feasibility study (DFS) it currently has underway.
The Brolga zone was identified in the scoping and prefeasibility studies as an early production source for the project.
Shallow new resource definition results include:
HEDD035
50 metres at 5 grams per tonne gold, including 21m at 7.5g/t gold from 37m; and
HMRC311
12m at 5.4g/t gold from 72m, including 3m at 17.6g/t gold from 72m.
Deeper new resource definition results include:
HERC603D
38.4m at 3g/t gold from 220.8m; and
HMRC299D
37m at 2.2g/t gold from 214.7.
De Grey explained the Resource definition drilling allows more of the Brolga Resource to be classified as JORC Indicated mineralisation thus increasing potential Reserve for the DFS while providing increased confidence in the project’s projected cashflow from early production sources.
“New resource definition drilling results at Brolga confirm the consistency of mineralisation throughout the deposit and enhance the Stage 1 starter pit,” De Grey Mining general manager exploration Phil Tornatora said in the company’s ASX announcement.
“We have seen high-grade results in shallow and deeper drilling.
“The deeper, high-grade results both extend mineralisation and continue to confirm the underground potential at the Hemi deposits.
“The new results will be incorporated in an updated resource estimate for the DFS currently in progress and scheduled for completion mid-2023.
“Resource definition drilling at the Hemi deposits is nearing completion.
“Exploration will now focus on exploration aimed at making new discoveries and increasing resources, in both the Hemi district and Regional areas of the Mallina gold project.”
TO READ THE FULL ANNOUNCEMENT: CLICK HERE