Musgrave on the fast track to larger, higher-grade resource as Big Sky continues to deliver
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Resource drilling at Musgrave’s Big Sky deposit has not only uncovered new gold zones outside of the already nearly 1Moz resource at the broader Cue project, but it has also demonstrated strong potential for a higher-grade resource.
Musgrave Minerals’ (ASX:MGV) Cue gold project in WA’s Murchison already hosts some of the highest-grade structures in Australia. But further drilling at the Big Sky deposit has shown several of these new holes host grades above the current resource.
New hits above the current resource grade featured broad, high-grade, and near-surface intercepts of 18m at 5.4 grams per tonne (g/t) gold from 31m, including 1m at 70.2g/t from 33m; 18m at 4.4g/t from 20m, including 5m at 14g/t from 33m; and 8m at 7.8g/t from 18m.
Meanwhile, the intercepts that extended gold mineralisation beyond the resource boundary included 4m at 20.9g/t from 19m, 3m at 10.1g/t from 95m, 7m at 2.8g/t from 34m, 1m at 17.7g/t from 37m, and 1m at 20.3g/t from 52m.
Managing director Rob Waugh said the latest results from infill and extensional resource drilling at Big Sky confirmed the potential of the system to host higher grade zones and improved the confidence in the geological continuity of the deposit.
“A significant number of these new drill holes host mineralised intervals well above the average resource grade of the deposit,” he said.
“This is the first phase of a larger program at Big Sky with further drilling due to commence following completion of the current program at White Heat-Mosaic.
“This drilling will continue to focus on the top 120m of the Big Sky deposit with the aim to convert a significant portion of the near-surface mineralisation to the greater confidence indicated resource category.”
These new results bode well for driving Musgrave’s gold war chest at the Cue project well past the milestone 1Moz mark.
The total resource inventory right now stands at 12.3Mt at 2.3g/t for 927,000oz of contained gold.
That includes the Break of Day High-Grade Trend, which is one of Australia’s highest grade near-surface structures currently hosting 982,000oz at 10.4g/t for 327,000oz, and the Moyagee Western Trend containing 9.8Mt at 1.7g/t for 541,000oz.
These latest results also mark a significant step forward for Musgrave’s goal of de-risking the near-surface gold mineralisation at Big Sky to include in the ongoing pre-feasibility studies.
Musgrave says development works are progressing well, with preliminary optimised resource shells aiding in the company’s resource conversion and follow-up drill planning as it continues to de-risk the project and move forward on the development pathway.
Metallurgical sampling, guided by the optimised resource shells, at the Big Sky and White Heat-Mosaic deposits has started, with preliminary gold recovery results expected in November.
Environmental analysis is underway with the recent completion of a project approvals GAP analysis providing focus on required test works and surveys for the remainder of the year.
Musgrave has also applied for a mining lease over Big Sky.
This article was developed in collaboration with Musgrave Minerals, 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.