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Ausgold Drilling Intercepts High-Grade Gold

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THE DRILL SERGEANT: Ausgold (ASX: AUC) reported the latest assay results from a Reverse Circulation (RC) drilling campaign underway at the company’s 100 per cent-owned Katanning Gold Project (KGP) and surrounding tenement position in Western Australia.

Ausgold is conducting the drilling campaign with three main objectives in mind:

1) De-risk areas within the existing KGP mineral resource which are expected to comprise mining inventory in the early years of project operations.
2) Add to the existing resources at the KGP; and
3) Generate new gold mineralisation potential in the regional prospects surrounding the KGP.

Drilling at the Dingo target intersected zones of high-grade gold mineralisation, returning intercepts including:

BSRC1794
10 metres at 10.55 grams per tonne gold from 42m, including 2m at 50.57g/t gold from 43m;

BSRC1800
22m at 2.16g/t gold from 117m, including 14m at 3.03g/t gold from 123m; and

BSRC1793
11m at 2.8g/t gold from 49m, including 6m at 4.82g/t gold from 52m.

“The grade and width of the results from Dingo is particularly encouraging,” Ausgold executive chairman John Dorward said in the company’s ASX announcement.

“While Dingo has traditionally contributed a modest amount to the resource inventory at Katanning, these high-grade and shallow intercepts indicate the potential for a more meaningful contribution to the overall project from Dingo.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Ausgold Raises $38M to Fast Track KGP Development

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THE BOURSE WHISPERER: Ausgold has raised $38 million to accelerate development of the company’s 100 per cent-owned Katanning Gold Project (KGP) in Western Australia.

Ausgold reported it has received firm commitments totalling $38 million in a two-tranche placement to institutional and sophisticated investors.

The company indicated the funds raised will primarily be used to underpin ongoing work programs at the 3.04 million ounce KGP through to a Final Investment Decision (FID), including the completion of the Definitive Feasibility Study (DFS), settlement of freehold land acquisitions, continuation of regional exploration and the provision of working capital as well as to fund the redemption of unsecured loan notes issued by the company.

The raising received strong demand from large institutional investors from UK, Europe and North America and was heavily supported by contributions from key existing shareholders.

Ausgold’s newly appointed executive chairman John Dorward was a notable contributor committing to subscribe for $1 million under the Institutional Placement, subject to Ausgold obtaining shareholder approval for the purpose of the ASX Listing Rules.

“This landmark capital raising will underpin the completion of key work programs at the Katanning Gold Project, which will position Ausgold for a pivotal phase of growth,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“We are now completing the final elements of the Definitive Feasibility Study for the project development, which will be delivered in the second half of this year.

“Funding also enabling the company to complete the acquisition of key farming properties that cover the main orebody and infrastructure areas.

“Further project de-risking will include a program of grade control drilling and the placement of orders for long-lead items for the project development.

“Exploration along the 17 kilometres KGP mine trend and thirteen drill ready regional targets will aim to deliver the multi-million-ounce potential at Katanning.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

 

Ausgold Gold Intercepts Further Expand KGP Potential

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THE DRILL SERGEANT: Ausgold (ASX: AUC) announced new gold hits from the company’s 100 per cent-owned Katanning Gold Project (KGP) in Western Australia.

Ausgold’s latest drilling results follow the recent release of a Pre-feasibility Study (PFS) which demonstrated strong economics for the KGP that was backed up by a maiden 1.28 million ounce Ore Reserve.

The company explained the new drilling at the KGP is designed to add to the near-surface Resource and further expand the scale of the current Ore Reserve.

Reverse circulation (RC) drilling of 41 holes targeted gold mineralisation within the KGP that intercepted several zones of gold mineralisation both at depth and near-surface.

High-grade extensions to the Jinkas lode identified further potential beneath the current optimised pits, with drill results including:

BSRC1535
4m at 17.05 grams per tonne gold from 207m, including 2m at 33.86g/t gold from 208m; and

BSRC1537
7m at 6.99g/t gold from 133m including 2m at 23.3g/t gold from 133m.

The company expects near-surface mineralisation intercepted within the Central Zone will extend beyond the current Resource adding high-grade mineralisation within multiple zones of gold mineralisation.

Results include:

BSRC1473
8m at 2.04g/t gold from 8m, including 5m at 2.96g/t gold from 10m; (Jackson)

BSRC1476
5m at 2.98g/t gold from 31m, including 2m at 6.82g/t gold from 34m; (Jackson)

BSRC1531
8m at 1.83g/t gold from 31m, including 2m at 6.26g/t gold from 37m; (Jinkas)

BSRC1473
5m at 2.59g/t gold from 36m, including 3m at 3.8g/t gold from 38m; and (Jackson)

BSRC1521
8m at 1.5g/t gold from 92m, including 2m at 4.33g/t gold from 96m (White Dam)

“Ausgold is clearly demonstrating the potential of the Katanning Gold Project with the recent PFS delivering a large 1.28 million ounces Ore Reserve and these high-grade results from new drilling,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“It is pleasing to continue this momentum with near surface high-grade gold intersected as well as expanding the depth potential which remains open.

“Both add to the significant multi-million-ounce Resource potential of the project.

“The KGP is now shaping up to be one of the largest free-milling undeveloped gold projects in Western Australia.”

 

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold Delivers 1.28 Million Ounces Maiden Ore Reserve at Katanning

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THE DRILL SERGEANT: Ausgold (ASX: AUC) reported a maiden Ore Reserve by way of a completed Prefeasibility Study (PFS) for the company’s 100 per cent-owned Katanning gold project in the south-east of Western Australia.

Ausgold said the PFS had confirmed a 1.28 million ounce Maiden Ore Reserve at the Katanning gold project while highlighting the project as one of the largest undeveloped free-milling open cut gold projects in Western Australia, with low capital costs and substantial scope to increase the total scale of this project in the near term.

“Ausgold is now positioned firmly on the path to becoming Australia’s next mid-tier gold producer with the Katanning Gold Project delivering a large 1.28 Million Ounce Ore Reserve with excellent financial metrics demonstrating low cost, low technical risk, and a high-margin operation,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“High-grade ores identified early in the mining schedule deliver, over the first six production years, 126,000 ounces of gold on average per year and help to generate $555 million of after tax free cashflow to the project over this period.

“This early cashflow generation facilitates an early payback of the estimated $225 million of pre-production capital after 21 months, sets up an impressive IRR of 40.7 per cent and supports a debt-equity funding model.

“This initial Ore Reserve confirms the company’s robust understanding of the Katanning gold deposit and further supports our thesis that this represents the foundation of an excellent mine operation with clear upside potential.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold and Cygnus Gold Strike Stanley Farm-in Agreement

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THE BOURSE WHISPERER: Ausgold (ASX: AUC) and Cygnus Gold (ASX:CY5) have inked a Farm-in Agreement regarding the latter’s Stanley gold project, located 25 kilometres northeast of the former’s 100 per cent-owned Katanning gold project in Western Australia.

Under the terms of the agreement, Ausgold has the right to earn up to an 85 per cent interest in the project over three years by spending:

$500,000 over 24 months to earn 51 per cent; and
A further $250,000 in the final 12 month period to earn an additional 34 per cent interest.

The Stanley gold project comprises two exploration licences E70/5131 and E70/4787 covering approximately 233 square kilometres of the northern Katanning Greenstone Belt.

Past drilling at the project has intersected gold grades of note.

Six advanced drill-ready targets, including those adjacent to Ausgold’s extensive ground position, have previously been identified by way of recently collected geophysics, geochemistry and drilling activities.

Ausgold considers the project’s a large, mineralised strike length demonstrates potential for large scale discovery in a relatively underexplored region.

“The Farm-in Agreement with Cygnus adds a district-scale option that supports our ambition to establish a multi-million-ounce Resource position at Katanning,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement

“The greater Katanning area is under-explored and based on previous work, we see no reason why the region cannot host additional Katanning central zone high-grade style discoveries.

“Ausgold has already established a 1.84 million ounces Resource at Katanning and is well funded to leverage this experience to unlock the potential of the broader Katanning district.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold Intercepts New Central Zone High-Grade Gold

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THE DRILL SERGEANT: Ausgold (ASX: AUC) provided an update of exploration activities at the company’s 100 per cent-owned Katanning Gold Project (KGP) in Western Australia.

Ausgold is currently advancing a multi-rig drill program at Katanning focused on high value targets it has identified in the Central and Southern Zones.

A total of 17,631m of RC and diamond drilling has now been completed with new drilling within the Central Zone targeting the near surface gold mineralisation within the Jackson and White Dam lodes with results including:

BSRC1285
6 metres at 4.79 grams per tonne gold from 48m, including 3m at 9.08g/t gold;

BSRC1349
4m at 5.47 g/t gold from 42m; and

BSRC1334
5m at 3.43 g/t gold from 23m.

“We are now over halfway into our 30,000 metres campaign, with these results from new drilling intercepting near surface gold mineralisation which is higher-grade than previously reported in the current Resource,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“Drilling in the Jackson and White Dam lodes has targeted a number of gaps in the current Resource drilling which included the old tailings dam and the southern portion of the Jackson area historically seeing only wide spaced drilling.

“These higher-grade results will feed into a further Resource upgrade now planned for Q2 CY2022 and will increase the proportion of Measured and Indicated Resource in this new model.

“The position along the footwall of the Central Zone will also add further potential Reserves for the KGP.

“The drilling program is moving ahead and continues to target key areas within the Central and Southern Zone as we progress towards the planned April Resource upgrade and the Maiden Reserve in June following the completion of Prefeasibility Studies.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold to Commence Drilling Campaigns at Katanning Gold Project

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THE DRILL SERGEANT: Ausgold (ASX: AUC) is steeling itself, preparing for some serious drilling activity to commence at the company’s 100 per cent-owned Katanning Gold Project (KGP) in Western Australia.

Ausgold anticipates the upcoming activity to build on the project’s existing 1.54 million ounce gold Resource.

A program of eight diamond drill holes is currently underway targeting key Resource areas within the Central and Southern zones that is expected to be completed soon.

This drilling is designed to support metallurgical and geotechnical studies at the KGP that are supporting feasibility studies targeted for early CY2022.

The company is also analysing over 18,500m of drilling results in existing Resource areas within the Central and Southern zones that are to be incorporated into a further Resource update aimed for Q1, CY2022.

A large-scale reverse circulation (RC) multi-rig drill campaign is scheduled to begin late October and continue through to early CY2022 with the primary focus on high-grade targets outside the existing Resource within the Central and Southern zones that were identified as part of over 18,500m of RC and diamond drilling completed since April.

But wait, there’s more. Ausgold plans a regional exploration program of 2,500m of auger and 30,000m of aircore drilling to test 12 high priority gold and PGE targets across its regional ground.

High-priority gold targets, including the Nanicup Bridge, Bullock Pool, Mutters and Burong targets, will be tested.

As well, a follow-up program will test potential identified earlier in the year at Woodanilling, including 1.3 per cent copper and 12.6g/t silver with elevated gold, zinc bismuth, cadmium, cobalt, titanium and zinc.

“Ausgold is at an exciting transition point heading into a large-scale drilling campaign where we are focused on our ambition for a multi-million-ounce Resource which will support a significant mining operation at the KGP,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“I look forward to a highly active summer period as we continue to build out scale at Katanning.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold Extends Mineralisation at Katanning South

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THE DRILL SERGEANT: Ausgold (ASX: AUC) reported on recent drilling undertaken in the Southern Zone at the company’s 100 per cent-owned Katanning gold project in Western Australia.

The company explained its current focus is on the potential for a larger scale Resource through drilling the Southern Zone, which includes the Rifle Range, Dingo and Lukin areas along a total strike length of eight kilometres.

These areas have demonstrated promising early results, which include extensive and broad zones of high-grade gold mineralisation showing the potential to expand the scale of the total gold Resource at the KGP

The recent drilling delivered extensive and broad zones of gold mineralisation, including:

BSRC1229
11m at 1.89 grams per tonne gold from 59m, including 6m at 2.98g/t gold (Dingo)

BSRC1228
12m at 1.29g/t gold from 75m including 5m at 2.11g/t gold (Dingo)

BSRC1148
3m at 0.5g/t gold from 42m, 3m at 1.18g/t gold from 129m, 3m at 0.39g/t gold from 149m and 1m at 1.8g/t gold from 156m (Lukin)

BSRC1149
4m at 0.67g/t gold from 111m and 2m at 0.64g/t gold from 168m (Lukin)

“The early results from the Southern Zone continue to show promise, with drilling returning widespread and significant zones of high-grade mineralisation,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“This early view supports our thesis that there is potential to further expand our existing 1.54 million ounces Resource significantly to the south.

“We also continue to scale up, with the appointment of an experienced exploration manager, as we commence diamond drilling in both the Southern and Central Zones that will support upcoming geotechnical and metallurgical testing.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold Raises $11.25M to Advance Katanning Gold Project

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THE BOURSE WHISPERER: Ausgold (ASX: AUC) announced commitments from institutional and sophisticated investors for a share placement to raise $11.25 million.

Ausgold indicated the raising, at 4.5 cents per share, would fund continued exploration and Resource expansion drill at the company’s 100 per cent-owned Katanning gold project in Western Australia.

The company received strong demand for the Placement from institutional and sophisticated investors, corner stoned by Dundee Goodman Merchant Partners, which will increase its interest in Ausgold from 7.1 per cent to 9.9 per cent.

“The company is pleased with the level of support we have received from our cornerstone investor Dundee Goodman and from existing and new investors,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“This placement of $11.25 million now enables Ausgold to progress through a transformational period.

“With the release of the upgraded KGP Resource of 1.54 million ounces at a grade of 1.25 grams per tonne gold, we have a meaningful foundation that underpins our ambition to unlock the scale of the Katanning Gold Project.

“Our new geological model and exploration plan in a whole of belt play is designed to add further high-grade Resource ounces.

“It is an exciting time to be an Ausgold shareholder.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com

 

Ausgold Upgrades Katanning Gold Resource to 1.54Moz

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THE DRILL SERGEANT: Ausgold Limited (ASX: AUC) announced a substantial upgraded JORC 2012 Mineral Resource estimate for the company’s 100 per cent-owned Katanning Gold Project (KGP) in Western Australia.

The new Resource totals 1.54 million ounces of gold and represents a 28 per cent increase in total contained ounces and a 14 per cent increase in grade, from the company’s previous Resource estimate released in 2019.

Ausgold explained this assessment was undertaken from the Central Zone Resource area, which extends along a 4.5km strike length.

This Resource area includes the stacked Jinkas, White Dam, Olympia and Jackson lodes.

The total Resource includes the Dingo and Datatine deposits which remain unchanged from the 2019 estimation.

“The new Resource has added 338,670 ounces, an increase of 28 per cent to the previous Resource Estimate with an increased overall grade of 14 per cent which now stands at 1.25 grams per tonne gold and is underpinned by a very low discovery cost of $15 per ounce,” Ausgold managing director Matthew Greentree said in the company’s ASX announcement.

“The upgraded Resource also incorporates over 31,000 metres of new drilling and is based on an improved geological model that has substantially increased the Measured and Indicated Resource to over 72 per cent of total ounces.

“In addition, we now for the first time report a high-grade underground Resource.

“The new geological model highlights clear extensions of gold mineralisation which remain open at depth.

“There has been limited drilling below a depth of 250 metres, which provides meaningful potential to further expand the underground potential Resource.

“This Resource upgrade provides critical mass to the KGP and supports Ausgolds strategy to develop ae standalone mining operation focused on the Central Zone.

“Importantly, it also shows the exploration potential within the Resource areas and regionally to significantly increase the scale of the Katanning Gold Project with targeted exploration.”

 

TO READ THE FULL ANNOUNCEMENT: CLICK HERE

 

Email: info@ausgoldlimited.com

 

Web: www.ausgoldlimited.com