MinRex off to the races with 323,900oz maiden resource at Spring Gully
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Junior explorer MinRex Resources is off to the races at its gold projects in the East Lachlan Fold Belt, announcing a maiden resource estimate for the Spring Gully deposit.
MinRex Resources (ASX: MRR) has built an enviable position in the world-class exploration district in southern NSW, primarily at its Sofala project.
Having made the move into the region in 2020, the maiden inferred resource of 9.48Mt at 1.06 g/t Au for 323,900oz of gold is a big landmark for the company with a vast array of milestones set to be hit over the next few months.
Incredibly, the resource is based purely on historic drilling, and with no systematic drilling at Spring Gully in 27 years it is not a leap of the imagination to think that could grow with RC drilling now being planned.
The resource was interpreted from 69 angled RC and diamond drill holes completed over 1993 and 1994 for 6,984m of core, with a cut-off grade of 0.7g/t.
“We are pleased to have completed MinRex’s first maiden JORC resource over the Spring Gully Gold Prospect,” MinRex CEO Pedro Kastellorizos said.
“This is the first step in bringing valuable assets to the market with excellent potential to increase the resource in the upcoming months.
“Furthermore, our technical team believe the Spring Gully deposit has substantial potential for more resource growth along strike and depth and are currently planning the first systematic drilling programme since 1994.”
That perspective is backed up by some pretty revealing historical survey data, which has been sent to Perth for reinterpretation by Core Geophysics.
The Spring Gully system is interpreted to be 1.6km long by 650m wide and open at strike and depth.
It also has two strong chargeability targets to the northwest and southeast of the resource, and MinRex has identified the potential “feeder zone” for the gold-bearing hydrothermal fluids at Spring Gully approximately 250m below the known mineralisation.
“The priority target zone shows potential as the source of the gold-bearing hydrothermal fluids depositing the gold mineralisation at Spring Gully. All targets will be tested by RC drilling,” Kastellorizos said.
Spring Gully is the first of MinRex’s deposits to get the resource estimate treatment but it will certainly not be the last.
Surface Hill, Wiles and Mt Pleasant all have resources in the works over the coming months, alongside resource extension drilling at Spring Gully and RC drilling at the Queenslander gold prospect.
“Our resource growth focus has already identified multiple prospect areas of significant mineralisation within the MinRex project portfolio which can be accelerated into the company’s resource inventory,” Kastellorizos said.
“The company is now well positioned and aims to deliver increasing value for all shareholders by targeted systematic exploration programmes and bringing further projects to a resource status.”
This article was developed in collaboration with MinRex 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.