Golden Mile Resources (ASX: G88) announced that the first phase AC drilling program on the Benalla Gold Trend at its Leonora East Gold Project in the North-Eastern Goldfields of WA has identified multiple intersections of gold mineralisation across two mineralised structures.
The company said that the results along two mineralised structures may represent continuations of Kin Mining’s neighbouring East Lynne and Collymore Trends.
Significant intersections include 12m at 1.03g/t Au from 40m including 4m at 2.52g/t Au; and 8m at 1.28g/t Au from 28m including 4m at 2.44g/t Au.
G88 said that there is a potential 7km combined strike of trends within tenement area.
The company announced that the drilling will commence next week to test undrilled target BGT1, which is a 1km long auger geochemical anomaly.
Leonora East project
The Leonora East Gold Project is located 30 km east of Leonora and 230 km north of Kalgoorlie in Western Australia.
The project covers over 40 kilometres of strike and is composed of two sub-project areas – the Monarch Gold Trend (MGT) in the north and Benalla Gold Trend (BGT) in the south.
The MGT covers the eastern contact of the Mertondale Shear Zone with the basement granites and represents a poorly tested but extensive gold bearing structure extending over more than 16 km of strike.
The BGT is located adjacent to the Cardinia gold camp, where Kin Mining NL had defined a number of gold deposits with a total Measured, Indicated and Inferred gold resource of 372,000 oz Au in a similar geological terrane to the Company’s project area.
The Company’s previous geochemical auger sampling over the BGT had identified four priority targets – BGT1, BGT2, BGT3, and BGT4.
AC drilling at BGT
The company had recently commenced the first phase aircore (AC) drilling program on the Benalla Gold Trend (BGT).
This maiden drilling program tested three of the four priority targets identified by the Company’s previous geochemical auger sampling over the BGT.
G88 said that the principal focus of the first phase of AC drilling was auger geochemical targets BGT2 and BGT4, identified by the Company’s previous geochemical auger sampling, with gold-in-soil results of up to 371ppb and 374ppb Au respectively. These targets lie along strike to the southeast of Kin Mining’s emerging East Lynne gold trend.
The company said that a total of 60 AC holes were drilled along 7 drill fences across the two targets BGT2 and BGT4, with an additional 12 holes drilled along a line across BGT3 to partially test target BGT3. Samples were collected as 4m composites and assayed for gold by 50g fire assay.
Results from Golden Mile’s recent airborne magnetic survey had shown a magnetic anomaly associated with the BGT2 target area. The company said that this magnetic feature appears somewhat similar to the magnetic anomaly seen associated with mineralisation at Kin Mining’s Cardinia Hill prospect.
Golden Mile has now reported the assays from the maiden AC drilling program at BGT.
Multiple broad, shallow intersections of gold mineralisation
The company announced that the assay results from the program at BGT identified multiple intersections of gold mineralisation across two mineralised structures that could represent continuations of Kin Mining’s neighbouring East Lynne and Collymore Trends.
G88 said that the assay results from the program highlight a number of significant intersections of gold mineralisation that appear to define a mineralised trend over approximately 900m strike length.
Target BGT2 returned the best intersections with holes BTAC026 and BTAC027 yielding 12m at 1.03g/t Au from 40m, including 4m at 2.52g/t Au from 40m, and 8m at 1.28g/t Au from 28m, including 4m at 2.44g/t Au from 28m, respectively.
At target BGT3, which sits of a separate parallel trend to targets BGT2 and BGT4, drill hole BTAC070 intersected 4m at 0.42g/t Au from 4m depth at the end of a line.
All significant intersections of gold mineralisation at BGT are noted below.
The company said that the mineralisation is associated with a felsic volcanic unit, within an assemblage of andesite and basalt, intermediate to mafic volcanics. G88 said that Quartz veining, disseminated pyrite, and potassic alteration was observed associated with the felsic volcanic unit, near the contact with the surrounding andesite. The company said that an increased depth of weathering was also encountered along the mineralised trend. Golden Mile noted these factors can be associated with mineralisation at Kin Mining’s neighbouring Cardinia project.
Share Café Webinar
Golden Mile Resources announced that it will present at Share Café hosted webinar – Micro/Small Cap “Hidden Gems on Friday 16 October 2020 commencing 12:30 AEDT.
What’s next?
Golden Mile announced that a second phase of AC drilling is scheduled to commence next week at BGT after the completion of drilling at the Company’s Darlot Project. This second phase will complete the remaining undrilled holes at the partially drilled target BGT3 and then test the completely undrilled target BGT1.
The company announced that the main focus of the second phase of drilling will be to test target BGT1, a geochemical auger anomaly of up to 387ppb Au, with a strike length of over 1km, which lies along trend from target BGT3.
G88 said that after the completion of the second phase of AC drilling, a review of necessary next steps will be undertaken. The company said that the identified mineralised structures will likely be targeted with a systematic RC percussion drilling program to determine the full extent and gold grade of these structures.
Golden Mile also noted the use of IP in defining similar sulphide hosted mineralisation at the neighbouring Cardinia Project.