Southern Gold to Commence Drilling at Bonanza Zone

THE DRILL SERGEANT: Southern Gold (ASX: SAU) is set to commence a diamond drilling program on the Bonanza Zone, within the company’s 100 per cent-owned Deokon project in South Korea, having secured land access and regulatory approvals.

Southern Gold explained the drilling would be a first pass scout program initially to test the Bonanza Zone outcrop and will involve close spaced drilling to determine the currently unknown true width of the mineralised zone and quantify representative gold and silver grade.

The initial program will involve four diamond drill holes, three of which are designed to intersect around 25 metres below the identified outcrop at around 40m apart, with a fourth planned to intersect the structure at depth, approximately 50m below surface.

A second drill pad along strike is also planned to follow with stage 2 holes.

The Bonanza Zone is part of the Golden Surprise Trend that Southern Gold claimed discovery of in July 2019.

At that time the Bonanza Zone returned a peak of 32.4 grams per tonne gold and 1,095g/t silver in outcrop and 78.6g/t gold and 13,000g/t silver in float.

“We are extremely pleased to have secured the required approvals in a timely manner in order to drill the first program into the compelling target at Bonanza Zone this year,” Southern Gold managing director Simon Mitchell said in the company’s announcement to the Australian Securities Exchange.

“Our 100 per cent-owned Deokon project with bonanza grade gold and silver on surface, including visible native silver in hand specimen, is a genuine ‘walk-up drill target’, which has never been tested before.

“Deokon is an exciting project and is just one part of the enormous exploration potential that is unfolding in South Korea.”

Other recent work in South Korea has included a maiden diamond drilling program at the Beopseongpo project, involving four holes for 653.63m at Lotus North and three holes at Hand of Faith for 556m, totalling 1,209.63m of drilling.

Southern Gold anticipates final assays during November at which point the company said it would will summarise the program in more detail.

“At Beopseongpo we are highly encouraged by the intersection of the target structure at the Hand of Faith target, including multiple wide intercepts of epithermal quartz veins,” Mitchell said.

“We now await the assays but are already planning the next stage of drilling there, including at Golden Palm where we have sampled high grade gold on surface.

“Beopseongpo continues to evolve as a high-quality project of exceptional scale.”