Kalamazoo Resources (ASX:KZR) has outlined a new underground exploration target for the Peake deposit within the Ashburton Gold Project in Western Australia.
The deposit currently hosts a resource estimate of 210,000 ounces of gold @ 3.4 grams per tonne, while Peake’s new underground exploration target of 1.7–2.6 million tonnes @ 3.4–5 g/t adds a further 240,000–380,000 ounces of gold, for a combined potential of 450,000–590,000 ounces.
Kalamazoo says the additional growth potential of the Peake deposit extends the Ashburton mine life and, when combined with the resource estimate, confirms ‘strong upside’ for resource expansion at depth and along strike.
The company describes the deposit as “materially under-drilled”, while mineralisation has been defined over 1.8km of strike and only 200m vertical depth within the greater Shinkansen Trend, which extends 4.5km.
Executive Director Ben Ackerman says the company is excited to share its next growth stage following Mt Olympus.
“Peake is a high-grade vein system that has been outlined over 1.8km in strike extent across the previously mined Peake open pit,” Ackerman says.
“Peake hosts a current mineral resource of 210,000 ounces at 3.4g/t open at depth and along strike. Peake is located along one of five regional mineralised trends defined from prior surface geochemical surveys and only shallow drilling, which are highly prospective for growth of new oxide and sulphide resources.
“The newly defined Peake underground exploration target of 1.7–2.6 million tonnes @ 3.4–5.0g/t gold for 240–380,000 ounces gold (mid-point 310,000 ounces) provides further potential to this prospective deposit, for a potential of 450,000–590,000 ounces gold when combined with the current mineral resource.”
CEO Andrew McDougall says the company is “rapidly advancing work programs to build a pipeline of growth and life extension projects” to release full value.
“Ashburton’s full mineral endowment potential is ours to be realised,” McDougall says.
“The Mt Olympus Project is advancing through PFS (Prefeasibility Study) to be the cornerstone investment at Ashburton for Kalamazoo.”
Kalamazoo Resources is an Australian explorer focused on advancing its portfolio of gold and base metals projects, including the Ashburton Gold Project.
Write to Maddison Elliott at Mining.com.au
Images: Kalamazoo Resources
