Golden hits for Golden State Mining
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Special Report: Golden State Mining is ‘buoyed’ following completion of maiden drill program at Yule South.
The first gold hits have been discovered from only a tiny fraction of land holding within the Mallina Basin with exploration was set to ramp up within the Yule South region.
Golden State Mining (ASX: GSM) is poised to start phase two of the drilling program at the beginning of October, after the first phase delivered positive results from the initial five target areas.
The final results summarised from 199 holes drilled at the Yule South project have revealed multiple +100 parts per billion (ppb) gold intersections as well as broad zones of hydrothermal alternation and quartz veining.
The latest findings are consistent with earlier results, which showed the presence of anomalous gold-arsenic assay values and revealed the potential for large mineralised systems, prompting follow-up exploration.
Golden State managing director Michael Moore believed the findings showed strong potential within an area that had previously been considered unresourceful.
“The aim of this initial phase was to establish the credentials of GSM’s extensive ground holding in the Mallina Basin which totals 715sqkm and to that end we have very much succeeded,” he said.
“The significance of the results from this first pass reconnaissance program at Yule South should not be underestimated. This once dismissed and misunderstood region is now establishing itself as a premier destination for gold exploration as well as other significant minerals.”
With the positivity generated from the phase-one program, Golden State Mining wasted no time in undertaking the ‘exciting next phase of exploration’, which includes two additonal Yule South targets, plus four as yet untested targets at the Yule North project.
The targeted aircore strategy undertaken by Golden State Mining produced evidence of gold mineralisation across all five target areas, with two in particularly providing notable results.
Target 1 had a best intercept of 4m at 2.3 grams per tonne (g/t) from 99m, including 1m at 7.6g/t from 99m which indicates a potential gold mineralised structural corridor.
Target 5 had a best intercept of 19m at 91 ppb gold from 46m, including 4m at 350 ppb gold from 58m, occurring in a quartz diorite intrusive rock.
Both target areas are considered high priority for further exploration.
Elsewhere, Target 2 had uncovered a substantial 800m x 1400m high arsenic gold anomaly across multiple drill holes, and drilling at Target 3 intersected another diorite intrusive with coincident arsenic anomaly.
“We have observed broad zones of potentially gold-related hydrothermal alteration and delineated an interpreted gold bearing structural corridor at Target 1. In addition, we have intersected mineralised intrusives at Targets 3 and 5 and outlined a large arsenic anomaly at Target 2,” Moore noted.
Phase-one drilling has advanced the understanding of the interpreted lithologies, metamorphic grade and structural environment, and revealed encouraging alteration assemblages at Yule South. The new knowledge is set to be utilised as part of follow-up drilling within the greater Yule project area.
Target Areas Identified Within Phase 1 Drilling
Although previously considered to be unprospective, the Yule South project had shown it’s exciting potential, with geology comparable to nearby areas hosting the highly successful Hemi project.
The next phase of reconnaissance drilling will consist of 10,000-15,000m of aircore drilling, with plans to focus on additional gold target areas at Yule South and the Sholl Shear Zone at Yule North. Results from this drilling are anticipated to be released in December 2020.
“We have only tested a tiny fraction of our landholding and are buoyed by our first gold hits,” Moore said.
Golden State Mining is perfectly positioned and well-funded to actively explore the region via multiple exploration phases throughout the remainder of 2020 and into 2021.
This article was developed in collaboration with Golden State 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.