Greenstone Resources (ASX:GSR) has delivered further ‘high-grade’ gold results from reverse circulation (RC) drilling at its flagship Burbanks Gold Project in Western Australia.
The results, generated from an ongoing 10,000m phase one drilling campaign at the Burbanks Gold Project continue to reaffirm the ‘high-grade’ nature of the Burbanks Mining Centre, with gold (Au) grades returning up to 35.50g/t Au.
The company says these results have been returned outside of the existing JORC 2012 Mineral Resource Estimate (MRE) and have identified multiple ‘high-grade’ parallel structures, which indicate potential for further resource growth.
Greenstone notes these structures are located adjacent to both the current JORC 2012 MRE and JORC 2012 exploration target.
Key results include hole BBRC384DA with 1.49m @ 12.40g/t Au from 335m including 0.59m @ 26.30g/t Au from 335.9m; hole BBRC382D with 1.50m @ 10.56g/t Au from 166.2m; and hole BBRC406D with 0.90m @ 16.99g/t Au from 215.6m including 0.35m @ 35.50g/t Au from 216.2m.
Drilling has been conducted to target unclassified mineralisation outside of the existing resource in order to support the recent JORC 2012 exploration target range of 3.3-3.6 million tonnes @ 2.0 to 2.8g/t Au for 230,000oz of contained gold.
This exploration target is reported to be entirely separate from the contiguous Mineral Resource Estimate (MRE) of 3.4Mt @ 2.5g/t Au for 277,547oz, and does not include over 2km of largely untested strike potential.
Speaking on the results, Greenstone Resources Chief Executive Officer (CEO) and Managing Director Chris Hansen says: “The current phase one drill campaign continues to exceed our expectations with drilling continuing to reconcile with the JORC (2012 Exploration Target. Importantly, these most recent results have also served to identify several zones of mineralisation which are parallel to the main zone of mineralisation and are outside of the current Exploration Target.
The phase one campaign remains on schedule for completion later this month, and following the receipt of all assay data, an updated Mineral Resource Estimate (MRE) will be undertaken for Burbanks, with the updated MRE expected in late-May 2023.
“Importantly, these most recent results have also served to identify several zones of mineralisation which are parallel to the main zone of mineralisation and are outside of the current Exploration Target”
Outside of Burbanks, we continue to work closely with our joint venture partner at Mt Thirsty in relation to an ownership consolidation and initial public offering (IPO) of the Mt Thirsty project, principally aimed at providing our shareholders with a clear distinction between our base metal and precious metal projects.
With two drill rigs now on site at Burbanks, and phase two and phase 3 drilling scheduled to begin in April, we look forward to testing the true geological potential of Burbanks and keeping the market updated on a regular basis.”
The company also notes in order to expedite the completion of drilling a second multi-purpose drill rig has been mobilised to site following Greenstone entering into a $500,000 drill for equity agreement with United Drill Services.
This agreement with United allows Greenstone, at its election, to satisfy up to 70% of the drilling costs invoiced by United for the second drill rig through the issue of up to 20 million fully paid ordinary Greenstone shares or the cash payment of $500,000. Shares will be issued at $0.025 per share.
Following the completion of drilling it is reported Greenstone’s focus will shift to the northern extension in order to follow-up on ‘high-grade’ drill results received at the end of 2022.
It is believed this northern extension will form a core component of the latter two phases of drilling to be undertaken post the completion of phase one drilling, with all phases serving to test the true geological potential of the Burbanks project across the entire 5.5km of strike of the Burbanks Shear Zone.
With drilling still ongoing, Greenstone Resources announces phase one drilling is scheduled for completion by late-March 2023.
Greenstone Resources is an ASX-listed gold exploration and development company focused on exploring its flagship Burbanks project in WA. The project is located about 9km southeast of the township of Coolgardie and comprises the Burbanks Mining Centre, as well as over 5km of the highly prospective Burbanks Shear Zone, which represents one of the most historically ‘significant’ gold producing structures within the Coolgardie Goldfield.
Images: Greenstone Resources Ltd
