Middle Island Resources Defines New Gold Target at Sandstone
THE DRILL SERGEANT: Middle Island Resources (ASX: MDI) recently completed interface (palaeo-surface) aircore geochemical drilling at the company’s Sandstone gold project in central Western Australia.
Middle Island informed that the drilling had confirmed the Tailings South gold target, situated just 800 metres from its 100 per cent-owned Sandstone gold processing plant.
The Tailings South target was one of five targets tested or refined as part of an aircore drilling program completed in January 2020.
The Tailings South gold anomaly was identified beneath eight to 15m of transported cover, and comprises a 600m-long eastern element and a 300m-long western element, both of which are north trending, consistent with the interpreted major structural orientation.
Middle Island has interpreted the anomaly to be associated with a series of folded banded iron formations (BIFs) dislocated by faulting.
Tailings South will be the last prospect to be tested as part of the company’s current 12,300m Phase I reverse circulation (RC) drilling program, of which around 11,000m has been completed with all assay results pending.
“Once all Phase I RC results have been received and compiled, a planned Phase II RC drilling program, comprising a notional 3,000 metres, will be undertaken to infill and upgrade any Inferred Mineral Resources identified by the Phase I work to an Indicated Mineral Resource classification,” Middle Island Resources said inits ASX announcement.
“This will be undertaken simultaneously with a notional 800 metres of oxide diamond coring of new deposits to provide additional bulk density data, along with material for further metallurgical, geotechnical and waste classification testing, where required.”
“Additional Mineral Resources derived from the entire planned 17,900 metres drilling campaign will be applied to the pre-feasibility study (PFS), which is in the process of being updated.
“The PFS update is planned to be completed in mid-2020, informing any subsequent Sandstone gold project recommissioning decision.”
Middle Island explained the outcome of the updated PFS will inform a Sandstone gold project recommissioning decision, the timeframe for which is estimated to be five months.
The company has an aggressive and systematic Sandstone 2020 exploration and gold development program planned set against a background of record gold prices and considerable local M&A activity, with recent takeover offers made for Spectrum Metals and Alto Metals at notable premiums.
Email: info@middleisland.com.au
