Gold explorer Matsa Resources is focused on advancing its Lake Carey project in the Eastern Goldfields of WA – and has big aspirations to grow the resource to above 1 million ounces.

The project comprises the Fortitude, Fortitude North, Devon, and Red October prospects with the mineral resource estimate at 11,207,000 tonnes at 2.4 g/t gold for 874,000 ounces.

This doesn’t include the Fortitude North prospect, but the company is confident that determining a maiden resource – and adding it to the Lake Carey resource – will be on the cards soon.


Fortitude North exploration underway

Exploration has already kicked off, and drill testing to date at Fortitude North has supported a potential 378,990 ounces at 2.53g/t to 600,000 ounces at 3.8g/t gold in the exploration target.

 Previously reported intersections at the prospect include:

  • 47m at 2.55g/t from 42m;
  • 26m at 1.95g/t from 58m;
  • 8m at 3.02g/t from 106m;
  • 4m at 13.63g/t from 79m; and
  • 17m at 3.4g/t from 73m.

Matsa Resources (ASX:MAT) is now planning infill drilling and considers Fortitude North highly prospective, especially because it could include the Fortitude deposit further south – indicating a large potentially mineralised trend.


All the hallmarks of a significant system

Matsa executive chairman Paul Poli said that while it’s still early days, “Fortitude North displays all the hallmarks of a significant system.”

“The drilling so far, has outlined a substantial mineralised position only 6km from the favoured location for a new mill at Fortitude to service our Lake Carey project,” he said.

“With only 21 holes in this system so far, we need more drilling to get this into a resource and commence mining studies.

“Successful drilling here, could lead to a substantial new deposit which can be complementary to our existing resource base of 874,000 ounces.”

The company says there are several targets at Lake Carey that remain lightly explored, which it considers opportunities for further growth.

Matsa Lake Carey
Lake Carey Gold Project and Tenement package colour coded by hubs: Red October (red) Fortitude (yellow) Lake Carey North (pink) Devon (blue) Lake Carey South (orange) Lake Carey Central (green).


Lake Carey processing plant plans

Matsa has also commenced studies into building a wholly owned gold processing plant at Lake Carey which will service all its deposits.

The plant would deliver $55.4 million of cash surplus servicing Fortitude across the first 22 months, as well as $40.75 million of cash surplus servicing Devon across the first 12 months.

At circa $20m market capitalisation, Matsa is one of the most competitively valued gold explorers.



Matsa Resources share price today:


This article was developed in collaboration with Fresh Equities, 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.