Intermin Resources Limited (ASX:IRC) has intersected high-grade gold of up to 27.7 g/t at Lady Irene and Yunndaga prospects within its Menzies Gold Project in the Eastern Goldfields of WA.
On February 2, 2019, the Menzies and Goongarrie project areas were returned to Intermin on a 100% basis after the execution of a Deed of Termination and Settlement with Eastern Goldfields Limited.
The company has also increased its landholding in the region to more than 120 kilometres with low-cost acquisitions and has applications for 12 new prospecting licence and one exploration licence.
The current mineral resource estimate at Menzies stands at 2.42 million tonnes at 2.2 g/t for 171,300 ounces.
Intermin Resources managing director Jon Price said: The Menzies and surrounding region has a proud and rich history of gold production from the first discovery in the1890s and is one of the few remaining mining provinces to experience a resurgence in modern deeper exploration and mining activity in the current gold price environment.
The latest results demonstrate the potential of the area to deliver high margin open cut and underground mines and we look forward to the next phase of development in the region.
Recent drilling, which comprised one shallow RC hole at Lady Irene and three diamond tail holes to an average of 200 metres at Yunndaga returned high-grade gold assays including:
39.3 metres at 4.27 g/t from 159 metres including 10 metres at 5.73 g/t from 160 metres and 12 metres at 7.68 g/t from 184 metres;
3.95 at 7.51 g/t from 124 metres including 0.6 metres at 27.7 g/t from 128 metres; and
0.5 metres at 10.6 g/t from 143 metres, 1.6 metres at 1.47 g/t from 158 metres and 1.1 metres at 6.30 g/t from 162.5 metres
Targeting depth extensions below historic mines
The project is within the Eastern Goldfields province of the Archaean Yilgarn Craton and the greenstone belt divides the project into a western section.
This sequence consists of a lower ultramafic formation to the west overlain by meta-sedimentary rocks which are overlain by mafic intrusive and extrusives to the east.
Drilling at lady Irene targeted depth extensions below the historical open pits mined in the 2000s and which produced around 6,500 ounces at 4.5 g/t to 50-metre depth.
At Yunndaga drilling tested depth extensions and repeat structures beyond the historical open cut and underground mines that produced 335,000 ounces including 271,000 ounces grading 16 g/t from the Yunndaga underground mine.
The company is preparing an EIS co-funding application for deep drilling at Yunndaga, Lady Irene, Selkirk, Lady Harriet and Big Babe with drilling focusing on the discovery of deep-low tonnage and high-grade ore underneath the historical mining areas.
Intermin will follow-up on its 2016 Menzies auger program by testing several targets outside the Menzies mineralised corridor exploring new grass-roots targets and pursue consolidation opportunities in the region.
This article provided by NewsEdge.