Arika Resources’ drilling has returned a thick, high-grade gold assay that highlights Pennyweight Point as a significant discovery. Pic: Getty Images
Mining
Special Report: Final assays from maiden reverse circulation drilling at the Pennyweight Point prospect has delivered Arika Resources the prize of a thick 14m high-grade intersection grading 15.48g/t gold from 46m.
Along with other juicy intersections such as 33m at 3.35g/t gold from a down-hole depth of 22m and 33m at 2.63g/t gold from 85m, the new results confirm the continuity and quality of mineralisation at the prospect within the Yundamindra gold project near Leonora, WA.
Importantly for Arika Resources (ASX:ARI), Pennyweight Point is now emerging as a significant high grade gold discovery with an extensive zone of shallow, sub-horizontal oxide/supergene mineralisation above a strongly developed, high grade primary bedrock structure.
This zone of high-grade mineralisation has been defined over a strike of over ~150m and remains open along strike and at depth.
Yundamindra is just 65km southeast of Leonora, placing it in close proximity to a number of mills and easily accessible by road. This includes the Gwalia and Mount Morgans process plants operated by Raleigh Finlayson’s Genesis Minerals (ASX:GMD).
“The primary objectives of this first campaign at Pennyweight Point were to validate historical results and to identify bedrock gold mineralisation beneath shallow historical indications,” managing director Justin Barton said.
“These objectives have been achieved, with Phase 1 being bookended by spectacular results – the first hole of the program returned 30m at 3.86 g/t gold (YMRC069) and the last hole returned 14m at 15.48 g/t gold (YMRC077).
“The Yundamindra gold project sits in the heart of a world class gold province, surrounded by multimillion-ounce producers and remains significantly underexplored.
“The results to date continue to support our belief that Yundamindra has the potential to host significant gold mineralisation. A comprehensive review and interpretation of results is ongoing, and we look forward to the next phase of follow-up drilling to commence shortly.”
Earlier this month, the company raised $3.3m through a share placement to accelerate drilling at the project.
Maiden drilling at Pennyweight Point consisted of 23 RC holes totalling 2238m that validated and extended historical intersections within the near surface oxide/supergene zone.
It also successfully identified a thick zone of high-grade gold mineralisation hosted within a well-defined, highly altered and quartz veined shear zone extending at depth within fresh mafic rock.
ARI is currently preparing to carry out follow-up drilling at Pennyweight Point, which will begin once approvals are received, and the rig secured.
It is also awaiting assays for 10 holes drilled at the Landed at Last prospect while compilation of regional-scale geophysical data is underway to enable comparison of the tectono-stratigraphic setting at Yundamindra with neighbouring deposits.
Other surveys being considered to provide more precise mapping of faults and shears on a localised scale, which will help focus ongoing exploration, include ultra-detailed magnetics and gravity, and sub-audio magnetics.
This article was developed in collaboration with Arika Resources, 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.
