Gateway’s Gidgee gold resource has serious growth momentum

Gateway’s boom exploration over the last 18 months inside the famed Murchison gold district has delivered a near 90% increase in resources – to nigh on 450,000oz – at its flagship 1000 sq km Gidgee project.

This includes new resources at the Evermore and Achilles North/Airport deposits as well as upgrades to the Montague-Boulder deposit – most of which is shallow oxide mineralisation above a depth of 100m – meaning it’s likely to be easily accessible and cheap to process.

Gateway Mining (ASX:GML) has also defined a maiden Indicated resource of 743,000t grading 3.4 grams per tonne for 81,000oz of contained gold, which is at a high enough confidence to support mine planning.

There is also potential for further growth at the 67,000oz Evermore deposit due to the wide spacing of the initial drilling, while work on an updated Whistler resource will begin early next year.

“This is an excellent result for our shareholders and marks a really important step towards unlocking the broader potential of the Gidgee project,” managing director Mark Cossom said.

“The overall Mineral Resource has increased by 87% to 449,000 ounces, now spans four deposits and includes a high-grade Indicated Resource of 81,000 ounces at 3.4g/t. This compares with the previous all-Inferred Resource of 240,000 ounces across two deposits.

“This updated Resource provides a strong foundation for what continues to emerge as a compelling value proposition at Gidgee,” Cossom added.

“Importantly, it represents a stepping-stone towards what we believe will emerge as a very significant shallow resource inventory at Gidgee at very attractive grades.”

He pointed to recent shallow, high-grade results – of up to 8.6g/t – from drilling at the Julias target just 3km from Montague-Boulder and Evermore as an example of the near-term potential to further increase resources through focused drill programs.

Exploration drilling

Gateway has also recently completed a reverse circulation drilling program over the Julias and Kashmir targets.

Drilling at Julias was designed to follow-up on recently released aircore results at this emerging zone of shallow, high-grade oxide gold mineralisation.

Meanwhile, Kashmir drilling was aimed at following up on RC drilling completed at this target last year, which is located directly along strike of Horizon Gold’s (ASX:HRN) 204,000oz Howards deposit.

Samples from this drill program have been submitted for assay, with results anticipated in

January 2022.

Preparations are also well advanced for a series of drill campaigns starting in February 2022 which include an aircore program to advance several early-stage targets and RC drilling at the Monarch target, which is located immediately east of Kashmir.

This article was developed in collaboration with Gateway Mining, 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.