GBM, Novo hit the high-grades at their Malmsbury gold project

GBM has intersected a significant, high-grade gold zone at its Malmsbury joint venture project in Victoria with Canada’s Novo Resources.

Notable results from the first three holes received to date are 14m at 6.1 grams per tonne (g/t) gold from 120m, 10m at 4.9g/t gold from 173m and 4m at 8.6g/t gold from 188m in MD16; and 7.8m at 3.6g/t gold from 32.2m at MD13.

Assays received to date have confirmed the high-grade shoot potential and splay features on the Leven Star resource and extension potential for the Missing Link Reef.

GBM Resources (ASX:GBZ) added that hole M17 had intersected altered, quartz-veined, and sulphide-bearing Missing Link Monzogranite from a depth of 204m to 269m, confirming the presence of a steep, east-dipping elongate body that widens at depth.

This validates the potential for an intrusion-hosted and/or intrusion-related gold system to be present at Malmsbury.

The Missing Link Monzogranite target has now been defined over 340m of strike and ~40m width while remaining completely open at depth.

Further assays are pending and there’s still 25% of the diamond drilling to go, meaning plenty of potential for the company to find more gold.

“It is exciting to finally get assays from the drilling and we are encouraged by these initial results at the prospective Malmsbury Project with our JV partner Novo Resources Corp,” managing director Peter Rohner said.

“We are looking forward to completing a safe and environmentally sound drilling program and receiving the final assays before regrouping for a second phase of drilling late in 2022 or early 2023.”

Upcoming plans

The company has just completed and has another diamond hole to complete on the Drummond North Field to test between the historical Queens-Egyptian and O’Connor’s reefs.

These holes aim to test the down-dip continuity of the high-grade reefs and constitute the final holes of GBM’s Phase 1 drill program at Malmsbury. In the Drummond North Field, approximately 76,000 ounces at +18 g/t Au of production was recorded from O’Connor’s and Queens Birthday mines from old records.

Drilling will be completed in the current quarter with assays anticipated across this and the next quarter.

GBM is also planning to carry out an induced polarisation survey to help define sulphide rich granite-related targets and disseminated sulphide haloes around the gold reef target and a second phase of drilling in 2022-23.

Other plans include further expansion of systematic soil geochemistry, mapping and rock chip sampling.

This article was developed in collaboration with GBM 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.