Lefroy Exploration (ASX:LEX) has reviewed its drilling database and resource model, which highlight the considerable resource growth and exploration upside of the Mt Martin Underground Gold Mine in Western Australia.
The $32.89 million market capitalisation company reports the data validates an indicated and inferred resource of more than 500,000 ounces of gold (8.7 million tonnes @ 1.79g/t Au) and is reported to JORC 2012 standards.
Based on drilling below the existing open pit at Mt Martin, the review has highlighted ‘significant’ potential for resource growth.
‘High-grade’ gold intercepts include drillhole AUZD003 with 12m @ 6.65g/t Au from 318.6m; and drillhole MUG33 with 33.15m @ 3.82g/t Au from 0m, including 10.35m @ 5.12g/t Au from 0m, and 3.95m @ 6.38g/t Au from 28.4m.
All drillholes are prefixed and underground, as the mine was an underground operation in the late 1980s and early 1990s.
Lefroy says these results highlight ‘high-grade’ mineralisation close to the existing pit shell including within the east lode, up to 350m deep from surface.
These results have not been followed up for a decade owing to changes in ownership of the project over that time, according to Lefroy.
Further resource validation and expansion drilling is currently being planned in the company’s next phase of activity at Location 45. Lefroy plans to complete detailed structural and geological models to better understand the controls on mineralisation, as a first step in drill targeting.
Lefroy also plans to conduct a resource definition and extension drilling program at Mt Martin. Stage one will include targeted infill drilling to deliver additional shallow resources for open pit mining.
Following stage one, the company will focus on deeper drilling to materially increase mineable resources, both open cut and underground.
Concurrent with these programs, Lefroy will continue discussions with nearby gold mills and operators, regarding toll milling of ore sourced from Mt Martin.
Commenting on the resource growth and potential, Lefroy Exploration Managing Director Wade Johnson says: “Mt Martin has a long history of exploration and gold production but has not been subject to detailed analysis nor drilling for over 10 years.
It is remarkable to now have such an asset in the portfolio with over 500,000 ounces of gold endowment in the Kalgoorlie-Kambalda sphere, which has been left untouched for so many years.
Since obtaining all mineral rights to Location 45 this year, the Lefroy team has audited a large volume of historical gold exploration data that tells us Mt Martin presents a considerable value-add to Lefroy’s growing metals portfolio in the Kalgoorlie-Kambalda region.”
Lefroy Exploration is a Western Australian exploration company, focused on advancing and growing its gold and critical minerals assets. The company has a diverse portfolio of ‘high-quality’ projects, including its namesake project in Western Australia.
As of 30 June 2023, the company had $442,000 cash reserves at hand and no debt, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Lefroy Exploration
