THE BOURSE WHISPERER: Musgrave Minerals (ASX: MGV) has entered into an Option Agreement to acquire the non-alluvial gold rights to the Mainland project, located within the boundaries of the company’s Cue gold project in Western Australia’s Murchison goldfields.
Musgrave Minerals mentioned that the Mainland project covers a portion of the company’s prospective Break of Day and Lena Gold Corridor.
The Mainland project comprises a group of seven contiguous prospecting licences covering an area of approximately 837 hectares.
Alluvial gold was first discovered at Mainland in 1893 with several recorded historical mines situated in the project area, the two largest having been the Mainland Consols and Eureka mines.
Musgrave Minerals explained that historical drilling has been intermittently undertaken on selected prospect areas between 1960 to 2003.
The company has commenced compiling historical data, which it expects will enable further assessment and target generation.
“This opportunity consolidates Musgrave’s holding of the prospective Break of Day/Lena gold corridor adding another four kilometres of prospective strike in this exciting gold district,” Musgrave Minerals managing director Rob Waugh said in the company’s announcement to the Australian Securities Exchange.
“The Mainland project area has a long history of alluvial gold production accompanied by historical high-grade basement gold production.
“The project has seen very limited basement drilling and modern exploration as it has been largely held by various prospectors focussed on alluvial mining for many years.”