150,000t at 15 g/t with potential for growth: Mt Malcolm drilling to define maiden gold resource at Golden Crown
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Mt Malcolm has defined an exploration target of up to 150,000t at 15 g/t at the Golden Crown prospect, one of the centrepieces of its strategy to build a shallow, high-grade resource that will deliver sustainable gold production.
The 275km2 Malcolm project consists of several, mostly contiguous tenements in the mineral-rich Leonora region that have – for the first time – been consolidated under one single owner.
The area is regarded as a Tier 1 gold province, with numerous multimillion ounce mines currently operating in the district.
After extensive internal planning, Mt Malcom Mines (ASX:M2M) is now progressing a two-fold strategy with a focus on shallow, high-grade gold deposits to realise early cash flow via shallow mining.
Meanwhile, the company will continue to advance the medium term development at the emerging flagship Calypso gold discovery.
Golden Crown is located within the Malcolm Dam prospect area, one of nine areas that make up the company’s namesake project.
It was a significant historical gold producer that yielded more than 1,720oz at an average grade of 29 g/t gold.
The prospect was historically mined and subject to comparatively minor exploration by companies such as Jubilee Gold Mines, North Ltd and Melita Mining which collectively drilled a limited number of closely spaced shallow holes testing the lode for extensions to gold mineralisation.
Mt Malcolm followed up on this historical drilling with two rounds of reverse circulation drilling in 2021 and early 2022.
Notable results from the historical and company drilling were:
Since then, the company has spent several months compiling and reviewing exploration data to define a geological model for Golden Crown that indicates shallow plunging ore shoots which coincide with a new zone.
It has also delineated an exploration target of between 120,000t and 150,000t grading from 10-15 g/t gold for the prospect.
Mt Malcolm has now designed a closed-spaced RC drill program to enable the estimation of a resource at Golden Crown.
This will be based on results from the upcoming drilling, historical drill intercepts and mining head grades as well as dimensions of the multiple mineralised envelopes.
Success at the drill bit in this campaign will be hugely significant as Golden Crown is the first of several key prospects earmarked for model review and drill planning as part of the company’s strategy to cumulatively build a high-grade resource base over the next two years.
This in turn seeks to deliver on the goal of developing a sustainable production base from shallow mining opportunities.
Mt Malcolm notes that a lamprophyre dyke intersected in hole 22GCRC012 bodes well for upgrading the prospectivity of Golden Crown beyond a small high-grade deposit as there is a close spatial association between lamprophyres and many significant gold deposits in the Eastern Goldfields.
Furthermore, a coarse-grained feldspar-phyric rock intersected in the deeper drilling demonstrates a core of Mg-chlorite and haematite alteration with an outer zone of disseminated magnetite.
This potentially represents a biotite/hornblende granodiorite and an important oxidising agent in the precipitation of gold at Golden Crown.
Future exploration will investigate the significance of this proposed magmatic system and understand the potential for upscaling the target.
This article was developed in collaboration with Mt Malcolm Mines, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.