Medallion Metals (ASX:MM8) is accelerating drilling at its Harbour View deposit within the Kundip Mining Centre in Western Australia after intersecting a new sulphide lode outside of the existing resource.
The junior explorer, which has a market capitalisation of $78.3 million, says 3.5m of semi-massive to massive sulphides have been intersected 85m in the footwall of the main Harbour View lode position.
Visually the hole displays semi-massive to massive pyrite-chalcopyrite mineralisation from about 181m downhole (150m below surface) and is located beneath the main lode zone.
Medallion says the intercept is significant because it is the first hole drilled in the area and has uncovered a potential new lode position not previously observed and outside of the currently modelled resource.
Managing Director Paul Bennett says to push the hole over 80m beyond the main lode based on the geology observed is a credit to the Medallion team’s technical capability and willingness to take informed risks.
“It’s a behaviour we encourage and it has certainly paid off in this instance where a significant new mineralised lode appears to have been identified outside the current resource envelope,” he says.
“The results are further evidence we are just scratching the surface of this significant mineral system which has plenty more upside to deliver to our shareholders from ongoing drilling.”
Medallion is now planning to undertake follow-up drilling to test the lode extension potential.
A second rig is being mobilised to site with drilling to include extending existing drill holes that are proximal to the new lode position and pushing further into the footwall.
The Kundip Mining Centre is part of Medallion’s flagship Ravensthorpe Gold Project, which hosts a resource of 1.46 million gold equivalent ounces @ 2.5 grams per tonne.
Medallion says it is well advanced through a 15,000m drill program to grow the high-grade sulphide underground resource at the Kundip Mining Centre in terms of both size and confidence.
A reverse circulation drill rig has completed around 10,000m of drilling and has now de-mobilised from site. A diamond drill rig began drilling in late December 2024.
Medallion expects to complete the full 15,000m program by April 2025, with an updated underground resource to follow in the first half of year.
Hole DD24KPMET003 is now being logged and will be cut and sampled in the coming days, with assays likely to be received in April.
Medallion says it does not plan further drilling from this hole given the difficulties establishing the wedge above the Harbour View main zone.
The company is a gold and copper-focused mining company working towards becoming a producer in Western Australia.
Write to Angela East at Mining.com.au
Images: Medallion Metals
