Has Great Southern Mining just discovered another Mt Carlton?
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Special Report: Great Southern Mining says it has intersected the edges of a massive, Mt Carlton-like gold-silver-copper system in North Queensland.
In February, junior explorer Great Southern Mining (ASX:GSN) discovered a new intrusive related gold system (IRGS) at its Edinburgh Park project in North Queensland.
Great Southern calls this region ‘elephant country’ – an area where miners and explorers go hunting for company making tier 1 deposits.
Edinburgh Park is about 20 km from the highly profitable Mt Carlton gold mine, owned by major miner Evolution Mining.
Mt Carlton, one of the highest-grade open pit gold mines in the world, will produce up to 105,000oz in FY19 at an all-in sustaining cost of between $670 and $720 per ounce.
That’s industry leading stuff.
Fresh drilling at Great Southern’s new discovery, called Rocky Ponds, has intersected significant zones of mineralisation including gold up to 0.2 g/t, silver up to 49.7 g/t, and copper up to 0.44 per cent.
These low-grade hits are a halo or ‘signpost’ which can reveal the presence of something much higher grade. Further planning for follow-up exploration has already begun.
Great Southern executive chairman John Terpu says this drilling has intersected the edges of a mineralised system resembling Mt Carlton.
And he would know, because Terpu was intimately involved in the initial Mt Carton discovery as former managing director of Conquest Mining.
“We have only just scratched the surface of this system when you consider the depths of gold mineralisation in other breccia systems such as Mt Wright and the Welcome breccia pipes,” he says.
“The exploration results are highly encouraging for the potential existence of a well-developed high sulphidation gold-silver-copper deposit.“
It is now a case of understanding more about the controls on mineralisation, mineralogy and looking at other analogues to the orebody, says Terpu.
“We are busy planning detailed mapping and geophysics programs in the second half of 2019 to delineate more structures and understand the size potential of the system.”