Lunnon Metals (ASX:LM8) plans to compare pending assay results with the remainder of its gold portfolio to ensure the ‘highest’ priority opportunities are advanced as swiftly as possible.
The $50.10 million market capitalisation company is awaiting results from a first-pass gold exploration drilling program across its Thelma, Lady Herial, and Hustlers prospects, as well as diamond and reverse circulation (RC) drilling conducted at the Paringa West prospect.
Follow-up drilling will be carried out where warranted, once detailed litho-structural logging is complete and all of the assays have been returned and interpreted.
Lunnon also announced today (13 March 2024) a first-pass target test at its Foster-Baker Project, which returned several ‘significant’ gold results, including 6m @ 3.02 grams per tonne gold, 2m @ 24.49g/t Au, and 3m @ 4.78g/t Au.
While Lunnon is completing a Preliminary Feasibility Study (PFS) at Foster-Baker and has paused nickel drilling, the company is targeting gold prospects on the project’s tenements.
The company aims to potentially deliver near-surface gold mineralisation that may be amenable to open pit mining in the short to medium term.
Managing Director Edmund Ainscough says the start of this year has been a ‘perfect’ time to test ‘high-ranking’, early stage targets, as well as advance the company’s understanding of the gold potential in the area.
Lunnon adds there is a ‘substantial’ gold anomalism present at Foster-Baker, which sits between 2 regionally ‘significant’ gold camps, the Victory-Defiance Complex and the Argo-Athena-Hamlet camp, both hosted on Gold Fields’ (JSE:GFI) tenements.
Ainscough says: “Having advanced the Baker nickel deposit from discovery to ore reserves in under 18 months, our site and technical teams have a proven track record in capitalising opportunities swiftly.
As with our nickel mineral resources, the gold prospects in the Foster area are all hosted on granted mining leases, and with a nearby gold plant owned by our major shareholder which has potential spare capacity, the Lunnon Metals team will seek to pursue these exciting gold prospects as quickly, but just as diligently, as they did Baker.”
A Mineral Resource Estimate (MRE) update for Foster South is due for completion shortly, which will be followed by an initial MRE for the 40, 50, and 60 surfaces at Foster mine.
Foster Baker is considered to be an ‘important’ and emerging opportunity within the company’s Kambalda Nickel Project in Western Australia.
Lunnon Metals is a mineral resources explorer which owns 2 prospective Western Australian projects with a focus on nickel sulphide exploration and discovery.
As of 31 December 2023, the company had $27.173 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Lunnon Metals
