Zenith drilling outlines potential size of its Red Mountain gold project
Link copied to
Special Report: Zenith has now outlined mineralisation over about 300m of strike at its Red Mountain project in Queensland after drilling returned more very wide gold hits.
The top result is a wide 108m envelope of gold mineralisation grading 1.1 grams per tonne (g/t) that includes higher grade zones of 4m at 4.6g/t gold from 48m, 7m at 2.6g/t gold from 61m and 8m at 3.9g/t gold from 100m.
Zenith Minerals (ASX:ZNC) says the gold mineralisation outline on the western flank of the vent structure remains open at depth and along strike to the south where recently completed reverse circulation (RC) holes have been logged as intersecting similar rock types and alteration to that hosting gold mineralisation.
“These new results provide further encouragement at Red Mountain. Both the high tenor of gold as well as the wide lower grade gold attest to a large mineralising system,” chief executive officer Mick Clifford said.
“We know that the Mt Wright gold mine that we are using as an exploration analogue only had a very limited strike length of 200m but had amazing vertical continuity of over 1km.
“As drilling progresses at Red Mountain, particularly with diamond core, the overall orientation of the gold mineralisation will become clearer.”
Gold assays are pending for a further six RC holes including the first two holes drilled on the northeastern flank while silver results are pending for 21 holes.
The company is also assessing options such as mobilising a diamond drill rig to accelerate activities.
Near-surface gold mineralisation
Previous results from Zenith’s drilling to date at Red Mountain have outlined a zone of high-grade, near-surface gold mineralisation in a steep easterly dipping zone hosted by altered granitoid rocks.
Notable results are 12m at 8.9g/t gold from 68m including 4m at 25.9g/t gold, 13m at 8g/t gold from surface and 10m at 2.7g/t gold from surface.
While there is still much work to carry out, the company believes that mineralisation at Red Mountain is analogous to the 1.2moz Mt Wright deposit, also in Queensland.
This article was developed in collaboration with Zenith Minerals, 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