Gold Road Resources confirms deep high-grade gold at Gruyere
THE DRILL SERGEANT: Gold Road Resources (ASX: GOR) has confirmed the interpreted trend of the company’s Gruyere gold deposit after receiving results from a deep diamond drill hole and up‐dip wedge, which tested the extension of the southerly plunging internal high‐grade zone.
The company explained the high‐grade zone it has referred to, is a coherent zone of mineralisation approximately 25 to 30 per cent higher grade than the current Gruyere Resource average grade.
The parent hole, 16GY0330, intersected 87.57 metres at 1.66 grams per tonne gold from 736.82 m within a mineralised porphyry intersection of 172.39m at 1.27 g/t gold from 652 metres.
The wedge, 16GY0330‐W1, was drilled up‐dip of the parent hole and intersected 85m at 1.53g/t gold from 699m within a mineralised porphyry intersection of 146m at 1.38g/t gold from 638m.
Gold Road declared the results to have confirmed the southerly plunge of the higher grade mineralisation within the Gruyere deposit.
The two latest holes, 16GY0330 and 16GY0330‐W1, intersected the deposit at a similar vertical depth earlier hole 15GY0107 (123m at 1.79g/t gold from 659m) and extended the strike of the high‐grade zone by 175m to the south.
Gold Road said the grade and width encountered is consistent with its expectations.
Gold Road completed a Conceptual Mining Study in 2015, assessing the potential for underground development at Gruyere using bulk mining methods.
From that study the company has determined that the grades and widths it has observed in this latest drilling, along with the previously intersected higher grade mineralisation have the potential to support large‐scale, sub‐level cave, mining operations.
Gold Road indicated it will be undertaking a high-level underground review during the December 2016 quarter to determine if further drilling is warranted to infill and extend the identified higher grade shoot to an Inferred Resource level.
Should it be able to present a compelling case, the company said it would be likely to commence the necessary diamond drilling required during the 2017 calendar year.
“Hole 16GY0330 and the accompanying wedge, 16GY0330‐W1, successfully confirmed our interpretation of a high‐grade zone at depth,” Gold Road Resources executive director – Exploration & Growth Justin Osborne said in the company’s announcement to the Australian Securities Exchange.
“We are excited that our staged drilling program has again confirmed that there is the real potential to identify a large scale underground Resource, which we will be assessing during the remainder of 2016.
“If we embark on further drilling in 2017, the target would be a resource capable of supporting a bulk underground mine, which could significantly add to the profitability and life of the already robust Gruyere operation in excess of the current 12 years.”
Email: perth@goldroad.com.au
Website: www.goldroad.com.au