Golden State Mining Limited (ASX: GSM) has announced an update on the status and mineral potential of its Yule Project in WA.
The Yule Project is located ~13km north west of De Grey’s Hemi discovery. De Grey Mining Limited had recently announced a potentially major gold discovery in the Pilbara Craton.
It may be noted that the Yule Project consists of 702 km2 of ground granted and under application and captures a significant portion of the Pilbara Craton. This highlights its potential for gold discovery.
Golden State reported that its drilling is planned to commence in early Q2 2020.
The Yule project is located between 45km and 65km southwest of Port Hedland in the northern Pilbara region of Western Australia.
The project has four exploration licences for a total of 656 km2 comprising the granted Yule North tenement E47/3508, the Yule South tenements E47/3503 and E47/3507, and the recently applied for Yule East tenement E 45/5570.
17 priority gold, base metal, and rare earth element target areas have been identified in Yule project.
Significance of De Grey Mining results
De Grey Mining had recently announced high-grade drill results for its virgin greenfields discovery, Hemi prospect. Significant intersections included 24m @ 7.5g/t Au from 126m, and 24m @ 4.2g/t Au from 36m.
The Yule Project is located ~13km north west of De Grey’s Hemi discovery, highlighting a significant potential for gold discovery at Yule.
New exploration license E47/4343
GSM reported that an additional exploration license application covering additional prospective ground to the east of the current Yule North tenement has been submitted bringing the total Yule project area (granted and applications) application to 702km2.
This license area not only provides an extension of the Boodarie Greenstone Belt within the Sholl Shear Zone but also a similar geological setting as the recently discovered Hemi Prospect within the Mallina Formation.
Boost for Yule exploration programs
GSM reported that the De Grey Mining results are especially relevant to GSM’s planned Yule exploration programs, which are targeting similar geological settings within the Mallina Basin.
Golden State Mining’s targets include Hemi-style host – Hydrothermal emplaced gold in regional structures and intrusives; Altered metasediments (Mallina Formation) and structures ‘squeezed’ between interpreted nested granite plutons; and Tightly folded greenstone/ultramafic sequences parallel to regional structures.
The company said that the targeting has focused on untested major and secondary structures on GSM’s ground which have potentially acted as a fluid pathway for gold mineralisation.
AC drilling at Yule
GSM reported that the inaugural gold focused Aircore drill program consisting of 4000 metres will focus on four key target areas, Target 1 to 4. They are as follows.
Target 1: Interpreted greenstone/ultramafic sequence tightly folded and parallel to the regional structure.
Target 2: Interpreted greenstone sequence proximal to Yule River shear zone.
Target 3: Magnetic contact zone – possible greenstone units or altered Mallina Basin sediments.
Target 4: Alteration meta sediments and structures ‘squeezed’ between nested granites plutons.
Drilling to commence in two months
The company reported that this AC drill program is expected to commence in April 2020.
GSM said that some of the key interim targets are on track. This includes heritage survey scheduled to commence 25 February 2020; drill contractor selection currently underway; and final statutory approvals expected early March 2020.
Golden State’s Managing Director, Michael Moore said: “We are very excited by the recent De Grey drilling results which underpins our commitment to gold exploration and discovery in this very prospective and underexplored region of the Pilbara Craton.
Golden State now has 702 km2 of ground granted and under application and this will be a focus for exploration and drilling in early Q2 2020. We already have several high priority gold targets for drilling up at Yule (refer to ASX announcement dated 20 December 2019) and in light of De Grey’s recent discovery we are currently expanding on our exploration programmes and look forward to updating shareholders on this shortly.”