Strickland’s near-surface gold zone is the cherry on top of its Milrose project
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Drilling has granted Strickland more good news with the intersection of a coherent zone of at-surface laterite gold mineralisation at its Milrose project in Western Australia.
The shallow gold zone, which is within 10m of surface and directly above the existing Milrose North resource, was first identified by historical drilling that defined a coherent zone of +1 gram per tonne (g/t) laterite gold mineralisation over at least 300m of strike.
Strickland Metals (ASX:STK) says its initial 84-hole shallow reverse circulation drilling program to define the extents of this mineralised laterite horizon returned results such as 5m at 3.6g/t gold from 3m, 4m at 3g/t gold from 4m and 5m at 2.4g/t gold from 4m.
A second phase of RC drilling will be completed later this year to assist with defining a first pass laterite gold mineral resource.
Chief executive officer Andrew Bray said the intersection of the shallow, laterite gold mineralisation could be very valuable in any development scenario as it represents an opportunity for quick, upfront cash flow.
“The company believes there is potential for repeats of this style of shallow mineralisation along strike, which may further enhance the economics of any future feasibility studies,” he says.
“With respect to the broader project, the company received a number of initial assays in a relatively short period of time, as previously announced to the market.
“The turnaround time appears to have slowed considerably, with a large number of critical assays remaining outstanding. The company has been advised that the backlog should be cleared towards the end of June, however results may still be received earlier.”
The definition of the shallow laterite gold resource follows on the company noting earlier this year that drilling at the project – located just 30km from Northern Star Resources’ (ASX:NST) large Jundee gold operation – continues to highlight an emerging large gold system.
Northern extension drilling intersected the same primary lode 50m to the north of the current resource area, while the first hole targeting depth extensions returned an 8.1m intersection at 14.6g/t gold from 215m within a broader mineralised envelope.
Additionally, the banded iron formation unit in the footwall continues to be a key marker horizon for the main interpreted ore zone. This is encouraging given that the BIF unit extends for about 13km.
Milrose currently has a resource of 6Mt at 1.8g/t gold for 346,000oz of contained gold.
This article was developed in collaboration with Strickland Metals, 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.