Superior Resources Limited (ASX: SPQ) announced that the first assays from Stage 2 drilling at the Company’s Steam Engine Gold Deposit in Queensland delivered spectacular results up to 184 g/t Au at Steam Engine Gold Project.
Significant hits reported from approximately 30% of total samples from Stage 2 program included 5m @ 38 g/t Au from 49m incl 1m @ 184 g/t Au from 51m; and 7m @ 20.6 g/t Au from 54m incl 1m @ 135 g/t Au from 55m.
SPQ said that the results, together with an earlier reported ounce per tonne intersection, identify a very high-grade ore shoot with potential to materially increase total ounces at Steam Engine Lode.
The company said that the stage 2 drilling results would be incorporated into the planned Pre-Feasibility Study, after the expected finalisation of the Scoping Study in early February 2021.
Drilling at Steam Engine
The company had commenced 2020 Stage 2 drilling program at the Steam Engine Gold Deposit on November 11 and concluded on 12 December 2020.
The program was intended to extend high-grade zones identified during the first campaign beyond the current Mineral Resource; identify new high-grade extensions at both the Steam Engine and Eastern Ridge lodes; and upgrade low-grade zones within the current Resource envelope.
The program comprised a total of 40 RC drill holes for a total of 3,055 metres and was a combination of exploration aimed at increasing the Mineral Resource and additional infill drilling aimed at increasing the Measured and Indicated Resource categories.
The company has now announced the results from the first 15 of 40 reverse circulation (RC) drill holes drilled in the Stage 2 program representing approximately 30% of the samples submitted from the program.
SPQ reported that spectacular results were reported from two drill holes, 5m @ 38 g/t Au from 49m (SRC077) incl 1m @ 184 g/t Au from 51m; and 7m @ 20.6 g/t Au from 54m (SRC076) incl 1m @ 135 g/t Au from 55m.
Other significant results from first batch of assays included 15m @ 2.3 g/t Au from 33m (SRC067) incl 3m @ 7.5 g/t Au from 43m; 17m @ 2.0 g/t Au from 22m (SRC069); 10m @ 2.0 g/t Au from 36m (SRC071) incl 5m @ 3.0 g/t Au from 37m; 7m @ 2.2 g/t Au from 34m (SRC072) incl 4m @ 3.5 g/t Au from 34m; and 13m @ 1.9 g/t Au from 48m (SRC079) incl 3m @ 3.7 g/t Au from 57m.
Not part of revised MRE
The company said that the results from Stage 2 drilling are not factored into the December 2020 Revised Mineral Resource Estimate of 1,600,000 tonnes @ 2.2 g/t Au for 112,000 ounces.
SPQ said that stage 2 drilling results would be incorporated into the planned Pre-Feasibility Study, which will commence immediately after expected finalisation of the Scoping Study in early February 2021.
High-grade ore shoot
The company said that the significant very high-grade ore shoot mineralisation encountered in holes SRC076 and SRC077 from the Stage 2 program, together with an earlier reported ounce per tonne intersection (reported in drill hole SRC034 of approximately 1.5 ounces per tonne (47.5 g/t) from 7 metres downhole, within an intersection averaging 14 metres @ 4.9 g/t from 0 metres downhole), identify a very high grade ore shoot with potential to materially increase total ounces at Steam Engine Lode.
The company said that the remaining 25 holes were designed to extend the mineralisation envelope at the Steam Engine and Eastern Ridge Lodes and identify additional high grade ore shoots. Results for these holes are yet to be received.
The company announced that further work would include additional exploration drilling programs for the Steam Engine Project, including the associated nearby Dinner Creek prospect.
SPQ said that additional work for the pre-feasibility phase of the Steam Engine deposit would include Metallurgical studies; Geotechnical studies; Toll treating negotiations; Preliminary mining and rehabilitation planning; and Preliminary environmental studies.
Superior’s Managing Director Peter Hwang said: “We are very pleased to have met one of the objectives of the Stage 2 program in the first batch of Stage 2 assays, which was to identify new high-grade ore shoots in the Steam Engine Lode. Infill drilling from the Stage 1 program showed potential to convert a large low-grade zone to high grade.
The spectacular grade intercepts reported from these two holes together with an ounce and a half-grade intercept reported in September 2020, confirm the presence of a very high grade ore shoot.
We will also be developing a maiden Mineral Resource Estimate at the Wyandotte Copper Deposit and targeting other copper prospects at the Greenvale Project. With copper and nickel being the predominant mineral endowment at Greenvale, the large Big Mag prospect will also be in our sights.”