Medallion Metals (ASX:MM8) has uncovered a new sulphide lode outside of the mineral resource at the Gem deposit, part of the Kundip Mining Centre in Western Australia, following completion of a drilling program.
As part of the planned 15,000m reverse circulation and diamond drilling program — which is largely complete — 6.7m of semi-massive to massive sulphides has been intersected in the footwall of Gem.
The assay results are expected to be received next month.
Medallion, which has a market capitalisation of $128.38 million, adds that drilling also intersected the new sulphide occurrence 320m below surface and 60m into the footwall of the main mineralised zone of Gem.
Visually, the hole displays semi-massive to massive pyrrhotite-chalcopyrite mineralisation and is part of a broader 70m zone of elevated alteration and sulphide abundance.
The company says there is a potential opportunity to apply downhole electromagnetic geophysics as a targeting tool for potential lode extensions.
Given the potential upside the new sulphide lode represents, Medallion is evaluating potential next steps, including drilling new holes and extending proximal holes to the new lode position.
Managing Director Paul Bennett says the intercept is further evidence the company is only scratching the surface of the mineral system.
“Credit to the team’s technical capability and willingness to take informed risks which looks to have identified a significant new mineralised lode outside the current resource,” Bennett says.
The 15,000m drilling program aims to grow the size and confidence of the sulphide underground resource at the Kundip Mining Centre.
A reverse circulation drill rig has completed 11,000m of drilling to date, while a diamond drill rig has completed 3,000m of drilling.
Medallion notes an updated resource estimate is anticipated to be released in June 2025.
The Kundip Mining Centre, which is the focus of Medallion’s Ravensthorpe Gold Project, comprises numerous mineralised structures which have sustained varying levels of exploration and mining activity over their history.
Medallion Metals is an advanced copper and gold explorer with projects in Western Australia. The company is focused on developing its Ravensthorpe Project located 550km southeast of Perth.
Write to Aaliyah Rogan at Mining.com.au
Images: Medallion Metals
