Yandal Resources Ltd (ASX: YRL) has announced a highly encouraging update on the RC drilling at its Ironstone Well gold project in Western Australia.
The company reported that the shallow RC drilling at the Flushing Meadows gold deposit returned one of the best downhole intercepts to date.
Significant intercepts include 5m @ 5.84g/t Au from 33m including 1m @ 21.06g/t Au from 33m; and 9m @ 5.14g/t Au from 41m including 3m @ 11.55g/t Au from 42m.
The company said that a 10,000m drilling program will be commenced as part of open pit mining feasibility study work streams including Resource and Reserve definition, grade control simulation, metallurgical, geotechnical, and hydrogeological studies.
Ironstone Well gold project
The company’s 100%-owned Ironstone Well gold project is located near Wiluna in the Yandal Greenstone Belt of Western Australia.
Important prospects of the Ironstone Well gold project and adjacent Barwidgee gold projects include Flushing Meadows, Flinders Park, Quarter Moon, Oblique, and Rosewall prospects.
Flushing Meadows is located 60km south-east of the mining town of Wiluna and is within close proximity to a number of gold development projects and operating mines
Drilling at Flushing Meadows
The company had commenced reverse circulation drilling at the Flushing Meadows prospect in to expand and upgrade the initial Mineral Resource Estimate and to support open pit mine development activities at the prospect. The drilling was completed in the December Quarter 2019.
The company has now reported further 1m sample assay results from the RC drilling, which includes gold assay results from 16 RC holes for 1,542m, reported above a 0.50g/t Au lower cut-off grade.
High-grade results
The company announced that the shallow RC drilling returns one of the best downhole intercepts to date. This includes 5m @ 5.84g/t Au from 33m including 1m @ 21.06g/t Au from 33m; and 9m @ 5.14g/t Au from 41m including 3m @ 11.55g/t Au from 42m (hole YRLRC187).
Other significant intercepts include 6m @ 4.39g/t Au (49m) incl. 2m @ 9.78g/t Au (49m) incl. 1m @ 14.54g/t Au (49m) from hole YRLRC0169; 1m @ 3.23g/t Au (29m) from hole YRLRC0168; 1m @ 2.17g/t Au (59m) from hole YRLRC0190; 1m @ 2.17g/t Au (32m) and 1m @ 6.59g/t Au (48m) from hole YRLRC0171; 1m @ 2.35g/t Au (20m) from hole YRLRC0173; and 1m @ 8.07g/t Au (36m) from hole YRLRC0189.
Updated MRE for Flushing Meadows in late 2020
The current JORC Code 2012 MRE for the Flushing Meadows deposit was compiled in September 2019 by BM Geological Services Pty Ltd with the geological database supplied by Yandal Resources. The mineral resource summary above 0.5g/t Au lower cut-off grade is as shown below.
The company said that an upgraded MRE is planned for completion in September Quarter 2020 and will include all prior drilling, including new infill RC drilling (to upgrade Inferred Resources to Indicated Resources) and close spaced grade control simulation RC drilling planned for the June Quarter 2020.
Future plans
The company announced that a close spaced RC drilling program will be designed to reduce assay data density in a number of key mineralised areas of the MRE both above and below the standing ground water table. The aim of the program is to improve confidence in modelling parameters, grade estimation, and grade continuity.
YRL said that diamond drilling is also planned to provide high quality geological and density data for further Resource, metallurgical and geotechnical studies to assist with open pit mine design and processing parameters.
The company said that independent consultants will be awarded contracts for the completion of suitable geotechnical, groundwater, and surface water studies to support the Feasibility Study in the March Quarter 2020.
YRL said that the key exploration and development activities planned during the March and June Quarters include commencing regional Air-core drilling at the Barty, Flushing Meadows North, Oblique, Quarter Moon, and Barwidgee Shear Zone prospects; finalizing design for infill and grade control simulation RC drilling and diamond drilling at Flushing Meadows; completing Gordons project Air-core and RC drilling; and commencing all Flushing Meadows Feasibility Study workstreams.
Management comments
Yandal Resources’ Managing Director; Mr. Lorry Hughes said: “These high-grade results from shallow depths are encouraging and continue to demonstrate the potential to define an economically robust open pit mine.
Drilling will resume at the prospect shortly to provide essential geological data for a feasibility study and submission of a Mining Proposal to the Department of Mines, Industry, Regulation, and Safety.
The majority of the drilling will be RC to infill areas likely to be included within an open pit design, including a program of close spaced “Grade Control Simulation” holes aimed to improve confidence in modelled grade and continuity.
Work on a number of other activities to support development has also commenced including stakeholder engagement, environmental assessment, new tenement applications and discussions with third party processing facilities.
We expect to submit the Mining Proposal in the December Quarter 2020”.