These prospects had returned significant intersections of gold and base metals mineralisation in 2016.
The historic mining area at Moline has strong synergies with PNX’s Hayes Creek Project, where the company recently completed a preliminary feasibility study (PFS).
The PFS confirmed a strong potential to establish a low-cost, high-margin zinc and precious metals mine.
PNX’s aim is to delineate high-value gold and/or base metals deposits at Moline which can be treated through the proposed Hayes Creek processing plant, or through other milling infrastructure in the region.
James Fox, managing director, commented: “PNX’s exploration team have generated a number of compelling targets within our large exploration tenure in the Pine Creek region.
“The results of this drill program at Moline are keenly anticipated given the high-grade gold and base metals mineralisation that was intercepted in the 2016 programs”
Drill program details
Drilling is underway at the School Prospect where previous drilling by PNX intersected significant gold mineralisation less than 50 metres below the historical pit.
A further four holes are also planned to test a new target at Redback which is located immediately along strike from the School Prospect.
In addition to the 15 holes to be drilled at the Moline Project, PNX is finalising approvals to drill 15 holes at the Cookies Corner Prospect within its Burnside Project.
PNX’s focus is on its four projects located in the Pine Creek Region, 180 kilometres south of Darwin.
- Hayes Creek Project (flagship);
- Burnside Project;
- Moline Project; and
- Chessman Project.
The Burnside, Moline and Chessman Projects form part of PNX’s farm-in agreement with a subsidiary of Kirkland Lake Gold Ltd (TSE:KL).
PNX currently holds a 51% interest (excluding uranium) in these project areas, covering circa 1,700 square kilometres in the Pine Creek region of the Northern Territory.
The company has proceeded to the second stage of the farm-in whereby it can increase its interest in each of the tenements to 90% (excluding uranium) with expenditure of $2 million by 15 December 2018.
Circa $1 million of this has been already spent.