Gascoyne Resources (ASX:GCY) has completed an updated Mineral Resource Estimate (MRE) for the Never Never Gold deposit within its wholly owned Dalgaranga Gold Project in Western Australia.
The company reports the updated MRE, which was prepared during June and July 2023, now sits at 3.38 million tonnes (Mt) @ 5.85g/t Au for 721,200 ounces, comprising 2.57Mt @ 7.64g/t Au for 630,100 ounces in underground resources and 1.27Mt @ 2.24g/t Au for 91,100 ounces in constrained open-pit resources.
Commenting on the updated MRE, Gascoyne Resources Chief Executive Officer (CEO) and Managing Director Simon Lawson says: “The substantial upgrade, which has seen the contained ounces from the previous MRE more than double, has been achieved at an average discovery cost to date of just A$13/oz.
This shows the enormous value that can be created with cost-effective and targeted exploration. The other standout feature of this updated MRE is the phenomenal endowment of the orebody.
The underground component of Never Never averages 1,590 ounces per vertical metre over a short strike length with favourable geometry. For all underground miners out there, that should equate to very profitable mining in the future — particularly given that 1,000oz per vertical metre is generally seen as a strong benchmark for underground mines.
“For all underground miners out there, that should equate to very profitable mining in the future”
That said, our immediate focus remains on adding more high-grade ounces, with 1 rig starting this week and an even more expansive phase of surface drilling utilising up to 3 rigs set to commence in August.
This drilling will target strategic extensions of Never Never itself, the newly defined high-grade Ink prospect adjacent to Never Never and, perhaps most importantly, commence testing a series of shallow Never Never ‘look-alike’ targets we have identified along strike to the north and south of the deposit.”
Announced drill results from Gascoyne’s 2023 drilling campaign have been included in the updated MRE, which demonstrates a ‘significant’ gold endowment for the Never Never deposit.
Gascoyne Resources is a gold company currently undergoing a ‘restructure and repositioning’ as an advanced exploration company. The company’s Dalgaranga Gold Project is located 65km northwest of Mt Magnet in the Murchison District of Western Australia.
Write to Aaliyah Rogan at Mining.com.au
Images: Gascoyne Resources Ltd
