Surefire chases thick gold hits that spurred share price up 2150%

Special Report: Surefire is wasting no time in following up the discovery of thick gold mineralised zones at its Yidby gold project that was responsible for its skyrocketing share price in 2020.

2020 was a year most want to forget thanks to the unforgiving COVID-19 pandemic, but for Surefire Resources (ASX:SRN) it was the year it made a game-changing discovery that sent its share price up 2150 per cent.

Surefire Resources (ASX:SRN) share price chart:

Maiden drilling at the Yidby gold project in WA late last year delivered Surefire better results than it could have hoped for — wide zones of mineralisation that included high-grade sections close to surface and that were better than historic drilling results.

The first eight of 20 holes returned top hits like 56m at 1.97 grams per tonne (g/t) gold from 44m, including 4m at 14.47g/t from 76m; and 40m at 3.01g/t from 24m, including 4m at 26.57g/t from 52m.

To put that into context, anything above 5g/t is generally considered high-grade, but even at the current high gold price, grades of 1-2g/t can also be economic, particularly if the mineralisation is hosted within wide zones close to surface.

Surefire will now test extensions to those thick gold mineralised zones which remain ‘open’ down dip and along strike/down plunge to the north and south.

‘Open’ just means the company hasn’t found the edges of this potentially very large system yet.

Surefire will very shortly start a 6000m, 40-hole reverse circulation drilling program to extend the Yidby Road gold mineralisation, with strong potential for a substantial shallow resource to be defined.

Multiple mineralised zones occur across a 400m wide corridor at Yidby Road that

may continue to the Cashens Find structure, a further 500m to the northeast.

“We are looking forward to re-starting the drilling program at Yidby Road, aimed at expanding and defining this significant new gold discovery,” Surefire managing director Vladimir Nikolaenko said.

“This next stage of drilling will target immediate extensions of the exceptionally thick and relatively high-grade gold zones both at depth and along strike to the northwest and southeast.

“We will also be testing the other gold bearing structures within this wide corridor of gold

mineralisation, that may continue for up to 5km within the Surefire tenements.”

The Yidby project spans 113.77sqkm of prospective greenstone terrain within the extremely fertile Yalgoo-Singleton Greenstone Belt.

It is located 40km from the mining centre of Payne’s Find (71,000oz) and is surrounded by major mines and deposits such as Golden Grove, Mt Gibson (87,000oz), Rothsay (485,000oz), Kirkalocka (1 million oz) and Minjar (1.1 million oz).

This article was developed in collaboration with Surefire 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.