Phase 2 drilling kicks off as Greenstone turns Burbanks into a sizeable gold centre
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The drills are back out at Burbanks as Greenstone Resources gets a Phase 2 drilling campaign under way in efforts to yet again increase the Mineral Resource Estimate (MRE).
In the first week of July Greenstone Resources (ASX:GSR) announced it had made a whopping 68% increase to Burbank’s MRE to 6.1Mt @ 2.4 grams per tonne (g/t) gold to 465,567oz of contained gold (indicated & inferred) on the back of an additional 10,000m of its Phase 1 drilling campaign.
Now it’s back targeting high-grade trends beneath the historic mining centre with an initial 10 holes, which are part of the broader 15,000 metre Phase-2 drill campaign targeting down dip and along strike extensions to known high-grade gold lodes in largely the upper 500m.
Historic intercepts include 4.7m @ 462.1g/t Au from 244.0 metres at hole BBUD329, 3m @ 24.7g/t Au from 167m at hole BBRC299 and 3m @ 11.0g/t Au from 353m at hole NBD001.
The high-grade trends remain open beneath the Burbanks Mining Centre which historically produced 324,000oz @ 22.7g/t from largely the upper 140m, which Greenstone MD and CEO Chris Hansen says remains largely underexplored with further extensions at depth supported by limited drilling and underground sampling.
“This next phase of exploration at Burbanks will be targeting the high-grade extensions beneath the historic mine workings, which remain open from shallow depths,” Hansen said.
“The exploration strategy at Burbanks for the past 18 months has been focused on near-surface resource additions to provide the critical mass required for the future resumption of operations.”
Hansen says the company has had a long-standing conviction for the validity of the Burbanks gold project, with the total gold endowment now exceeding 850,000oz in the upper ~300m (including historic production of 421,000oz @ 10.9g/t) after Phase 1 exploration.
“Importantly, with only ~30% of the mineralised horizon above 500m tested to date, there is significant potential for future growth which will be tested as part of the Phase 2 drill campaign currently under way,” Hansen said.
“The strategic significance of Burbanks cannot be understated, there are only seven ASX-listed high-grade preproduction gold projects in Australia, with Burbanks being the only project located within the epicentre of the Australian gold mining industry.
“The project is surrounded by a network of existing infrastructure, including processing plants, grid power, and sealed roads, all of which will serve to expedite our path to sustainable commercial production.”
This article was developed in collaboration with Greenstone 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.