Black Cat Syndicate (ASX:BC8) reports near-mine exploration drilling is ongoing and testing several resource extensions and geophysical targets at the Main Zone of its Paulsens Gold Operation in Western Australia.
The $177.42 million market capitalisation company says this work includes ongoing drilling of the up- and down-plunge extensions to the Main Zone, ongoing drilling targeting additional gabbro veins and lateral extensions to the identified veins, and the drilling of several targets and extensions to known lodes in the untested Hanging Wall Zone.
Further, Black Cat says it is testing for extensions along strike and up-dip of the near-surface Apollo lode to the north of the main underground workings, as well as drilling the Paulsens repeat, parallel to and below the mine workings.
This news comes after the company announced that recent exploration results indicate the Main Zone does not pinch out and continues down-plunge from the current resource for at least 175m.
Black Cat says with further drilling, this extension has the potential to materially add mine life or increased production rates to a recently completed restart study.
Recent drill results from the Main Zone, include hole PGEX23018 with 2.62m @ 8.10g/t Au from 101.30m, including 0.92m @ 5.53g/t Au from 101.3m and 0.47m @ 33.4g/t Au from 103.45m; and hole PGEX23030 with 0.48m @ 145g/t Au from 119.80m and 1.32m @ 6.19g/t Au from 129.61m.
Commenting on the recent drill results, Black Cat Syndicate Managing Director Gareth Solly says: “This is our most significant drill program since listing 2018. The results are extremely encouraging and show the strong growth potential at Paulsens.
Extending the Main Zone down plunge by up to 175m opens up potential to extend mine life and/or production rates from the zone that has produced about 1 million ounces to date.
“This is our most significant drill program since listing 2018″
None of this has been included in our recent restart study and is all upside. Importantly, the Main Zone remains open down-plunge and has unfinished business up-plunge.
In a mine that has delivered 1,000 ounces per vertical metre, finding another 175m of plunge extension is significant to both Paulsens and more broadly for Black Cat.”
The Paulsens Gold Operation is wholly owned by Black Cat and covers 1,250km-square of ground.
Black Cat Syndicate is an ASX-listed multi-operation gold producer that controls 3 wholly owned operations, including the Paulsens Gold and Coyote Gold operations and the Kal East Gold Project.
Black Cat Syndicate had $16.7 million cash at hand at the end of March 2023 following the completion of a $17 million placement, as stated in its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Black Cat Syndicate Ltd
