Another day, another explorer kicks the tyres of a historic gold project. This time it’s Silver Mines’ (ASX:SVL) Tuena project in NSW, a series of historic hard-rock and alluvial gold mines worked between the 1850s and early 1900s.

Tuena was the site of a mid-1800s gold rush Silver Mines says, with the cluster of historic workings extending over a 6km by 4km area.

They were high grade, of course. Old records show that the Lucky Hit mine, for example, produced at grades above 60 grams per tonne (g/t). Anything above 5g/t is generally considered high grade.

The company picked up the project in financial year 2017 but it was never a major focus. Recently though, it has expanded its “area of interest” in the Tuena area with a further 634sqkm of exploration ground under application:

The Company is targeting large gold deposits analogous, perhaps, to Regis Resources’ (ASX:RRL) nearby 2.3 million ounce McPhillamys Gold Deposit.

But instead of rushing in, drill rigs blazing, Silver Mines is being pretty methodical about the whole thing.

Following an extensive soil sampling program, the company is currently planning an airborne magnetic and radiometric survey covering the entire project. The company will then plan the first round of exploration drilling on this project. Exciting times.

READ: Silver — is this the start of a new bull run?

LISTEN: The Explorers Podcast with Barry FitzGerald: Silver Mines


In other gold news today:

$10.24 million market cap Alt Resources (ASX:ALT) could be making money from small scale mining very soon.

The WA-based explorer has signed a non-binding agreement with private contractor Blue Cap Mining to develop the 30,096oz Tim’s Find prospect – part of the much larger Mt Ida project.

30,000oz x $2150/oz gold price = ~$64.5million in revenues. Potentially.

“In the current high gold price environment, developing Tim’s Find into small-scale mining operation with the potential to generate free cash is a logical step for Alt and in line with the corporate strategy to become a gold producer and provide non-dilutive working capital for the company,” chief exec James Anderson says.

“The planned mining operation is reasonably uncomplicated with Tim’s Find being located on a granted mining lease, the ore is oxide and at surface in a planned shallow open pit environment with a reasonable grade.”

READ: Alt Resources accelerates Bottle Creek gold project purchase, early stage mining plans