Visible gold drives Zenith to drill deeper at Red Mountain
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Special Report: The first phase of diamond drilling at Zenith’s Red Mountain project in Queensland has intersected visible gold, sparking a push to drill deeper.
Results from the most recent two holes extended the high-grade gold zone to 180m with mineralisation, which is associated with base metal stringer veins, remaining open at depth.
Notable intersections with visible gold were 1m at 8.6 grams per tonne (g/t), 1m at 10.4g/t and 0.8m at 4.2g/t at the end of the hole.
Zenith Minerals (ASX:ZNC) added that new initial 1m resample results such as 1m at 5.1g/t gold and 1m at 3.1g/t gold from previous reverse circulation holes had confirmed previous 4m composite results.
“The confirmation of extensive visible gold and strong gold grades in what we believe to be the upper levels of a breccia pipe system will now lead us to push the drilling program to explore much deeper – that is below the 180 vertical metre level,” Executive Chairman Peter Bird.
“Red Mountain is a maiden discovery by Zenith and is located within a very prospective and proven region. We anticipate that drilling at the Red Mountain project will definitely continue in a series of phases well into CY2021.
“Our key objective with this project is to define something of significant value.”
He added that Zenith had a busy exploration schedule in 2021 with drilling planned for Red Mountain, the large volume, low-grade gold mineralisation at Split Rocks in WA and the Devlin Creek base metals – particularly copper – asset.
Red Mountain is in the Auburn Arch province in southeast Queensland, lying about halfway between Auris Minerals’ (ASX:AUR) Cracow gold mine and Evolution Mining’s (ASX:EVN) 2.5Moz Mt Rawdon gold mine.
It is believed to be potentially analogous to Mt Rawdon and the 1.2Moz Mt Wright deposits.
Zenith notes that gold mineralisation at Mt Wright occurs within both brecciated rhyolite and granite close to the margin of a rhyolite breccia pipe in a geological setting very similar to that at Red Mountain.
The form and shape of the Mt Wright ore body is that of a sub-vertical pencil like body with mineralisation having a strike length of only 200m but vertical extent of over 1.2km.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.