Alto Metals (ASX:AME) has secured new mining leases over the Bull Oak and Indomitable camps at the Sandstone Gold Project in Western Australia.
The first of the new leases (M57/663) covers the current Bull Oak mineral resource of 1.9 million tonnes @ 1.1 grams per tonne (g/t) gold for 65,000 ounces, alongside extensive historic workings and additional felsic intrusions in the surrounding area.
Alto Metals, which has a market capitalisation of $23.81 million, considers the area to have “significant” targets for further potential resource growth.
The second lease (M57/665), at Indomitable Camp, covers gold mineralisation intersected in drilling at the Cessna prospect, which the company expects may convert to a mineral resource with further drilling.
Additional priority targets identified within the expanded mining lease include a surface geochemical anomaly coincident with gold nuggets recovered from prospecting activity and several historical drilling intercepts that require follow-up drilling.
CEO Matthew Bowles says with fieldwork about to resume at the Lightning and Vanguard prospects, the company is pleased with securing the new mining leases.
“Importantly, securing these mining leases further derisks the Sandstone Gold Project and complements our strategy to maintain optionality for future development scenarios,” Bowles says.
Fieldwork is restarting shortly in preparation for first-pass reverse circulation drilling, as well as step out drilling at Bull Oak.
Alto Metals is a gold explorer which owns the Sandstone Gold Project that lies in the east Murchisons area of Western Australia.
Write to Aaliyah Rogan at Mining.com.au
Images: Alto Metals
