Sultan is dialling in on those high-grade gold targets at Lake Grace
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Special Report: Sultan Resources has returned to the field with a ground gravity survey aimed at identifying priority gold targets at its Lake Grace project for follow-up drilling.
The survey will cover almost 20km of the prospective gold trend at Lake Grace, which includes the Challenger prospect, and will provide detailed geological information on the dense, mafic gold-hosting rock types.
Sultan (ASX:SLZ) managing director Steve Groves told Stockhead that gold-hosting rocks are denser than the surrounding rock and would show up as “warm” colours in a gravity survey.
This approach has been used successfully at the neighbouring Katanning and Tampia deposits.
“We know where our gold mineralisation is. We have a big blob of low-grade gold, but we need to find the high-grade bits,” he said.
“We are hoping that the survey will map out structural positions that are potentially hosting the high-grade gold – that’s where we will look to drill next.”
Groves added that the style of mineralisation at Lake Grace appears very similar to that seen at Ramelius Resources’ (ASX:RMS) 700,000 ounce Tampia and Ausgold’s (ASX:AUC) 1 million ounce Katanning deposits, which is unsurprising given that Sultan’s project is located between them.
“Both these deposits aren’t very high-grade, but they have numerous high-grade sections in them that make them economic,” he said.
Lake Grace is located about 250km south of Perth within a region that is enjoying active exploration by the likes of Gold Road (ASX:GOR).
Sultan’s recent drilling at the Challenger was the first such program in 25 years and proved up evidence of a “very significant gold-mineralising system”.
Read more: Sultan has uncovered “very significant gold-mineralising system” at Challenger
Sultan Resources gets out of the blocks with some ‘excellent’ drilling results at its unexplored Lake Grace gold project