Drill results hint that something big is coming for Black Cat’s Coyote gold resource
Black Cat’s upcoming resource update for the Coyote Gold Operation in WA is shaping up to be one to look forward to as drilling continues to identify high-grade gold mineralisation.
Recent drilling of the hinge zone of the Coyote Anticline, dubbed the Axial Core Zone, has extended mineralisation about 25m updip from Kavanagh towards Speedy, increasing the company’s confidence that the two resources may merge within this untested zone.
Notable results are 1.2m grading 39.33 grams per tonne (g/t) gold from 400.4m and 1m at 63.7g/t gold from 410.6m.
Adding further interest for Black Cat Syndicate (ASX:BC8), drilling has also extended mineralisation about 50m downdip from Kavanagh with a top hit of 4.46m at 7.71g/t gold from 496.84m.
The results not only validates the company’s new geological model, it also extends Kavanagh both up and down dip, while demonstrating the growth potential of the high-grade resources within the Axial Core Zone.
And there’s more kibble on its plate with two diamond holes intersecting quartz veining in a previously untested area east and below Kavanagh, which complement previously reported bonanza results such as 1m at 114g/t gold from 388m.
“These results are significant as they validate our new geology model and have demonstrated the high-grade growth potential of Kavanagh and the wider Coyote Central system into areas previously considered to be less prospective,” managing director Gareth Solly said.
“Two more diamond holes down plunge to the east of Kavanagh and an additional two RC holes completed between Kavanagh and Speedy have intersected quartz veining with assays pending.
“RC and diamond drilling is ongoing with additional holes testing the shrinking gap between and beyond Speedy and Kavanagh.”
The resource update for Coyote Central is on track for completion in the current quarter and will include these significant results.
Black Cat’s successes at Coyote are certainly encouraging given that it was acquired just a couple of months back from Northern Star Resources.
While the project has an existing resource of 267,000oz at 10.4g/t gold, this is based on the previous geological model focussed on the steeply-dipping South Limb of the Coyote Anticline that now looks to be out of date (if not outright wrong).
Mineralisation at Kavanagh and Speedy is now believed to be hosted within the Axial Core Zone rather than the South Limb, a model that drilling continues to validate.
Drilling is ongoing with 20 holes targeting the Axial Core Zone completed to date, all of which intersected quartz veins in interpreted positions.
This article was developed in collaboration with Black Cat Syndicate, 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.