Marmota hits thick, high-grade gold close to surface at Aurora Tank

Marmota reports hits of 50 g/t gold at Aurora Tank
The project already features a slew of outstanding high-grade intersections
Company aiming for open-pit mining via low-cost heap leach

Special Report: Marmota has reported new high-grade assays close to surface – up to 50g/t gold – at its Aurora Tank gold deposit in South Australia.

Previous drilling at the project had already returned multiple +100g/t intersections close to surface, including an outstanding 217g/t strike, with 8m at 20.6 g/t gold reported just last month.

Notably, the company already has 300,000oz of open-pittable gold resources across Greenewood, Mainwood and the larger Campfire Bore and Golf Bore deposits, before Aurora Tank is even added to the pile.

The aim of this program was to close several sections that remain open in all directions to enable the company to complete an open-pit design.

And Marmota (ASX:MEU) says the program “significantly exceeded expectations”, finding rich, thick high-grade gold to the south, much closer to surface than expected.

The detailed 1m fire assays from 90 hole program revealed multiple high-grade intercepts including:

1m at 50 g/t (from 32m downhole) in Hole 24ATRC075 (7m at 14 g/t);
1m at 34 g/t (from 43m downhole) in Hole 24ATRC030 (3m at 12 g/t);
1m at 29 g/t (from 22m downhole) in Hole 24ATRC014 (8m at 10 g/t);
1m at 28 g/t (from 41m downhole) in Hole 24ATRC044 (2m at 16 g/t); and
1m at 23 g/t (from 36m downhole) in Hole 24ATRC075 (7m at 14 g/t).

Schematic section through Southern Zone showing new high-grade extensions. Image: Supplied by MEU

Possibly the most profitable zone yet

The company says the new expanded zone to the south is likely to be one of the most profitable zones of the whole deposit, with thick, high-grade intersections and little cover to remove.

“Everything is coming together for Aurora Tank: high-grade intersections, predominantly close to surface, with excellent metallurgy, making Aurora Tank amenable to low-cost, low-capex, open-pit heap leach methods,” MEU chairman Dr Colin Rose said.

“The metallurgical testwork is about to complete – and as soon as that is done, we progress to resource work, open-pit design and PFS … all underpinned by surging gold fundamentals.”

The precious metal is typically held as a ‘safe-haven’ asset in times of economic turmoil. And the gold price is currently hovering around US$2,700, close to last month’s record highs of almost US$2,800, which came ahead of the US election results.

That’s a fair sight higher than the price of ~US$1,200 since the company first started work at the deposit just a few years ago.

This article was developed in collaboration with Marmota, 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.