Helix Resources (ASX:HLX) has flagged more opportunities to make further gold discoveries at the Muriel Tank Gold Project in New South Wales, with new rock chip and mapping results.
The $13 million market capitalised company is aiming to define drilling targets at the project via extensional and infill auger drilling that is currently in progress. Assays from this program are expected in November 2024.
Helix is also preparing for a follow-up reverse circulation drilling program, while mapping and rock chip sampling continues.
From the current mapping campaign, 106 rock chip samples returned assays with 16 of those recording greater than 0.5 grams per tonne (g/t) gold.
Helix reports the ‘highest grade’ gold assays are from blue quartz veins, including 17.92g/t gold at the Mitchells prospect and 12.97g/t gold at the Golden Horseshoe prospect.
Managing Director Kylie Prendergast says these latest gold results demonstrate the upside potential of Muriel Tank.
“The historical goldfield is a sizable 5.5km by 1.5km area and previous drilling was very patchy — in many cases it intersected underground stopes so we don’t believe it was effective,” Prendergast says.
“We look forward to rolling out the drill rig at Muriel Tank to commence the first steps of a systematic exploration program for new gold mineralisation.
“In addition to Muriel Tank, Helix is advancing several priority targets in its pipeline which we believe have potential to deliver new copper and gold discoveries. All of these assets reside in the highly endowed Cobar region close to established operations and processing facilities.”
Most of the prospect areas have pathfinder element anomalies, including arsenic, bismuth and lead at Golden Horseshoe. The company says the pathfinder element associations may suggest hydrothermal zonation.
Further work is in progress to assess the potential for geochemical vectors to high-grade gold mineralisation.
Meanwhile, after a five-year hiatus, field prospecting and mapping resumed earlier this year and identified numerous north-northwest trending structures hosting quartz veins and quartz breccia.
Helix says these include a distinctive blue quartz which is believed to contain the highest gold grades.
While most of the structures are associated with the historic workings, some are outside of previously worked areas, including mapped extensions of outcropping prospective quartz veins at the Russel’s, Fettler’s-Butler’s and Mitchells prospects, and a newly defined zone of sub-parallel quartz veins at Brown’s Hope South.
The company notes due to the presence of alluvial cover in the area, it is not known how many vein outcrops continue along strike under cover.
Reverse circulation drilling is also progressing at the Bijoux prospect, within the Western Group Tenements. Helix expects to update the market on its geological observations once the program is completed. Assays will follow shortly thereafter.
Muriel Tank is a historic goldfield with recorded production of more than 400 tonnes at 15g/t gold from shallow workings up to 30m deep. The gold mineralisation at the project is hosted within sub-vertical shear zones up to 4m wide containing quartz veins and quartz breccias up to 2m thick.
Helix Resources is a copper-focused explorer that holds a ground position of 3,300km2 located proximal to copper and gold producing operations.
Write to Aaliyah Rogan at Mining.com.au
Images: Helix Resources
