If you liked Gascoyne’s last Gilbey’s North gold hit, you’re gonna love this new one

Gascoyne seems determined to make monster gold intercepts at its Gilbey’s North prospect, though its record-breaking strike makes its previous hit seem positively modest.

So just how big are we talking, here?

Try 59m grading 12.5 grams per tonne (g/t) gold from a down-hole depth of 139m which includes an eye-popping intersection of 13m at 51.1g/t gold in hole DGRC1110 that was drilled on a westerly-striking extension of the prospect.

That this intercept confirms a substantial new high-grade lode discovery is just icing on the cake for Gascoyne Resources (ASX:GCY).

DGRC1110 is one of a series of holes which were drilled to test the possible true width, orientation and extent of the newly named Never Never lode, which is part of the recently discovered Gilbey’s North extension to the Gilbey’s mineralised system.

With previous intercepts also returning high-grade hits – including 54m at 6.56g/t gold from 116m (DGRC0971) – Never Never is looking to be an incredibly significant find for the company especially since it remains open.

Gascoyne is, understandably, excited

“It’s not every day that you see results like this in the WA gold sector and we are incredibly excited by the potential of this newly discovered lode system on the western edge of the Gilbey’s North discovery,” managing director Simon Lawson said.

“Finding a northerly extension to the main Gilbey’s system was itself a major discovery coup for Gascoyne earlier this year. Being situated right in front of the mill and at a time when the Company and its loyal investors needed some vision for the future, our team and our aggressive drilling strategy came through.

“To then back that up and discover a completely different style of consistently thick and very high-grade gold mineralisation in the Never Never Lode – an ore body style that has immense potential – is a remarkable achievement by our exploration team and has the potential to reshape our future very quickly.”

He added that while he had personally been a part of some major stories such as Jubilee Mines’ $3.1bn takeover by Xstrata, the genesis of Silver Lake’s Daisy Milano mine, and the rise of Northern Star Resources from its origin at the Paulsens gold mine, he had never seen consistent grades and thicknesses come from a new target like this.

Small wonder then that the company has one reverse circulation and one diamond drill rig chasing up the Never Never lode.

Gascoyne gold — North-South cross-section through the “Never Never” lode showing the location of holes DGRC1099, DGRC1106 and DGRC1110. Pic: Supplied

Double Drilling

The monster intercept in DGRC1110 is situated at the same depth as the DGRC0971 intercept to the east but critically intersects the Never Never lode at a 90-degree angle which confirms the consistent width, orientation and tenor of gold mineralisation at that depth.

Meanwhile, the deepest Never Never intercept to date is 32m at 8.58g/t gold including 14m at 16.4g/t gold in hole DGRC1026, which was returned from 30m below DGRC0971 and DGRC1110.

Northward “volume validation” holes are now being completed and will be included in the database for the maiden Gilbey’s North resource estimate that is due for release late this month.

This article was developed in collaboration with Gascoyne 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.