Magnetic stretches Lady July North target length to 4.6km

Following some high-grade drilling results at its Lady Julie project in WA, Magnetic has extended its footprint by purchasing tenement P38/4170.

The newly acquired 80 hectares hosts numerous gold intersections within a 700m length including:

13m at 2.08 g/t from 66m;
11m at 1.05 g/t from 48m;
11m at 1.64g/t from 97m, and
3m at 6.25g/t from 51m.

It’s a sensible step, as two NS thrust zones that pass through the western edge of the tenement are the same ones that contain the company’s 36m at 3.6 g/t from 32m hit in Lady Julie North, 2km to the south.

This addition expands Magnetic’s (ASX:MAU) prospective target length to 4.6km.

Potential for large-scale shallow deposits

Managing director George Sakalidis is confident that the HN9 Project area (encompassing HN5, HN6, HN9 and Lady Julie) has potential for large-scale shallow deposits.

He puts this down to the project being “only 15km NW of the Granny Smith Operations owned by Gold Fields Australia and only 10km NE of the Jupiter Operations owned by Dacian Gold Ltd and 35km north of the Sunrise Dam deposit owned by AngloGold Ashanti Ltd.”

Acquisition provides upside

“The acquisition of P38/4170 provides good upside to the extensive 4.6km long Lady Julie North Target with many significant intersections present including 13m at 2.1 g/t from 66m in RFRC014 and 11m at 1.6 g/t from 97m, and the adjoining two NS thrusts which contain the intersection of 38m at 3.6 g/t from 32m in MLJRC162,” Sakalidis said.

“In addition, the acquisition of P38/4126 provides a near surface thrust zone that contains numerous workings and has a significant 1m at 58.5 g/t intersection down dip.”

The company also bought tenement P38/4126, which has been mainly used by prospectors looking for nuggets and it contains multiple historical workings that lie along a NS thrust zone – which is only 500m west of the HN9 deposit.

“We completed some drilling just to the east of this tenement and we were targeting the NS thrust that passes through P38/4126 at depth and we intersected a high-grade zone with1m at 58.5 g/t from 91m in MHNRC1010,” Sakalidis said.

Drilling underway

Sakalidis said a drilling program of 110 holes totalling 10,310m is in progress – mainly covering Lady Julie North 1, 2, 3, Lady Julie Central, HN9, HN5 West and HN9 Thrust 3 areas.

“A detailed soil program is also being carried out looking for repetitions of these anomalous targets over an expanded combined target length of 4.6km,” he said.

“Further analysis of the extensive 6km long NS thrusts is being planned to include both shallow RAB and or soil geochemistry to help outline any other anomalous gold areas that have not been previously assessed.”

This article was developed in collaboration with Magnetic 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.