Shallow high-grade intercepts from the latest program continue to confirm the New Cross Fault discovery. Pic: Getty Images
OzAurum defines high-grade gold over 400m strike at Mulgabbie
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- A short AC program has confirmed consistent mineralisation over 400m in strike length
- The drilling has also refined targets for RC drilling
- AC and RC drilling is planned as soon as rigs become available
Special Report: Goldfields explorer OzAurum Resources is confident it has an exciting gold find on its hands at Mulgabbie North after the latest round of aircore drilling defined the high-grade nature of the New Cross Fault discovery over 400m.
The company received 1m interval gold assay results from the recently completed 32-hole aircore drilling program, which was designed to refine targets for the next stage of reverse circulation drilling.
Shallow gold results were delivered including 6m at 1.54g/t to End of Hole gold from 31m, 4m at 1.66g/t gold from 41m and 2m at 1.58g/t gold from 19m, confirming the company’s exploration model along the Relief Shear.
Several drillholes also ended in significant mineralisation, suggesting further potential at depth.
Situated about 1.3km south of previous drilling, OzAurum (ASX:OZM) reckons the New Cross Fault discovery enhances the overall prospectively of the 260,000oz Mulgabbie North project.
Limited historical drilling
Mulgabbie North sits about 2km adjacent of Northern Star Resources (ASX:NST) ~3.5Moz Carosue Dam and boasts similar rocks.
Over 38 years ago, limited RC drilling in the area intersected gold mineralisation that was never followed up.
More recently in 1998, Gutnick Resources drilled a wide spaced vertical drill hole program with one vertical rotary air blast hole intercepting gold mineralisation.
While work is ongoing to unlock new discoveries at the underexplored project, a 260,000oz resource at 0.7g/t Au has already been defined.
A heap leach feasibility study is currently underway with potential JV partner Line Hydrogen and BIM Metals to assess a trial pit and heap leach operation to bring the project into near-term production and deliver early cash flow.
Three clearly identified faults
OZM managing director and CEO Andrew Pumphrey said the small AC program not only helped the company refine targets but confirmed that high-grade mineralisation was found north of the main cross fault.
“From these results and out ongoing interpretation of the area, we now have identified three faults each clearly offsetting the stratigraphy by around 30 metres,” Pumphrey said.
“Fieldwork has also revealed a north-south fault, and quartz vein set that also strikes north-south and dips steeply back to the east – this geological complexity, typical of WA Goldfields deposits, suggests we could be onto a potentially exciting gold discovery.”
Follow up aircore and RC drilling will be undertaken as soon as rigs become available.
The new Cross Fault target is on the Relief Shear some 2km south of the 260,000oz Mulgabbie resource – also on the Relief Shear.
This article was developed in collaboration with OzAurum, 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.
