Zenith expands portfolio with new NSW gold project
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Special Report: Zenith Minerals (ASX:ZNC), a proven Tier 1 project finder, now has an option to acquire the advanced Jackadgery gold project in northern NSW.
Zenith has multiple drill programs in the works for the exciting Red Mountain and Split Rocks gold projects — but it also likes to ensure it has a “fertile pipeline” of new gold and copper project opportunities.
Jackadgery contains several small historical workings, with ‘trench sampling’ back in the 1980s returning a 160m zone grading 1.2 grams per tonne gold that includes higher grade intervals such as 5m at 18g/t gold and 5m at 7.1g/t gold.
Zenith says it will be the first company to test beneath the surface trench area. In fact, there has been no prior drilling anywhere on the property.
Drilling is expected to begin in the last quarter of 2020, subject to the revision of an existing drill permit.
This will consist of an initial ‘fence’ of drill holes to test beneath the wide zone of near surface gold mineralisation outlined by trenching and surface rock chip channel samples.
“Adding another advanced gold play to the project portfolio is a testament to the company’s project generation skills, providing investors with further first-rate gold exploration exposure in a region with proven gold endowment,” managing director Mick Clifford said.
Zenith is required to pay an initial $10,000 and complete a 300m drill program to secure the option and may make a one-off cash payment of $100,000 to secure a 90 per cent interest in the project.
Historical workings at Jackadgery comprise several shallow shafts sunk in the 1870’s and two later, large areas of surface gold sluicing.
Besides the trenching work which was carried out in 1983-85, chip channel samples have also been taken across individual quartz veins immediately northwest of the trench that returned an average of 5.6g/t gold while samples from veins in an area southeast of the trench averaged 0.8g/t gold.
More recent exploration activity by the vendors include an induced polarisation geophysical survey over the trench area that defined a sub-surface chargeability and resistivity high zone that is coincident with the area of alluvial gold workings and gold rich quartz stockwork veins identified in the trench.
Zenith notes that the available data is consistent with intrusion related gold systems.
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.