Special Report: That newly-discovered gold system immediately adjacent to Saturn Metals’ 685,000oz Apollo Hill resource is getting larger – and there’s no end in sight.
When Saturn (ASX:STN) listed last year, it was working on the theory that the Apollo Hill project’s namesake deposit was just one part of a much larger gold system.
That theory is proving correct.
After boosting the existing resource 36 per cent to 685,000oz in November, Saturn announced plans to do step-out exploration drilling to find more gold; mostly to the north and south along the mineralised fault line.
But in May this year, Saturn hit a brand new, higher grade target immediately east of the Apollo Hill resource.
That 13m at 5g/t gold intersection (including 4m @ 9.8g/t), just 74m from surface, was one of the best ever reported at Apollo Hill.
Anything above 5 grams per tonne is usually considered high grade.
It represented the start of a new direction for the deposit – literally and figuratively – and its future resource growth potential.
Since that discovery, the stock is up 90 per cent to about 40c per share.
Today, Saturn has reported even more intersections to the east, which confirms the potential for a mammoth parallel gold system immediately adjacent to the existing Apollo Hill resource.
Fresh assays included 4m at 9.31g/t gold from 51m, inside a larger 10m section grading 4.82g/t Au from 45m.
We’re talking about thick, high grade and very shallow gold mineralisation defined over 800m in length.
These new results also demonstrate continuity of mineralisation down plunge on “several stacked mineralised lodes”, Saturn says.
Mineralisation is known to “window” at surface and has currently been defined to a depth of only 70 vertical metres.
This new system is open at depth, down plunge and along strike – which means it is only just starting to develop.
And to reiterate; all these intersections sit outside the current mineral resource of 20.7 million tonnes grading 1g/t gold for 685,000oz.
A program of 5000m of extensional drilling is planned for September to maintain momentum on this rapidly developing zone, Saturn managing director Ian Bamborough says.
“The new results have provided additional confidence and clarity in the scale of opportunity in the hanging-wall lodes at Apollo Hill,” Bamborough says.
“We look forward to following up on the clear exploration potential with further drilling planned in September.
“Work has commenced on our next resource upgrade with the results anticipated in the coming two months.”
>>NOW WATCH: 90 Seconds With… Ian Bamborough, Saturn Metals
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This story was developed in collaboration with Saturn Metals, a Stockhead advertiser at the time of publishing.
This story does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.