Matsa Resources Completes Maiden Red Dog Resource

THE DRILL SERGEANT: Matsa Resources (ASX: MAT) released a Mineral Resource for the company’s 100 per cent-owned Red Dog project, located near Laverton in Western Australia.

Matsa Resources declared the JORC 2012 Code-compliant Red Dog Mineral Resource estimate of 368,000 tonnes at 2.2 grams per tonne gold for 26,300 ounces of gold with the majority of ounces (94%) sitting in the Indicated Category.

The company explained the resource estimate has been reported at a 0.5g/t gold lower cut-off and has not been constrained within a resource pit shell.

The Red Dog project is located 25 kilometres west of the company’s Fortitude gold project where trial mining is underway.

The Resource estimate follows recently completed RC drilling at Red Dog with results including:

6 metres at 155 grams per tonne gold from 6m, including 1m at 921g/t gold from 7m;

11m at 2.59g/t gold from 5m;

14m at 1.97g/t gold from 3m;

6m at 4.57g/t gold from 13m;

8m at 3.23g/t gold from 22m;

8m at 3.11g/t gold from 4m;

10m at 2.31g/t gold from 8m; and

8m at 2.56g/t gold from 11m.

“In order to determine the economic potential of the Red Dog gold project, Matsa is conducting pit optimisations, metallurgical testing and mining studies,” Matsa Resources said in its ASX announcement.

“A Native Vegetation Clearing Application was completed and submitted to DMIRS late in 2017 in order to speed up potential mining timeframes.

“Matsa considers the Red Dog project has the potential to be a near term mining opportunity with Matsa’s Fortitude mine infrastructure only 25 kilometres to the east and the Red October camp and accommodation infrastructure only 20 kilometres to the north.”