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WPG Resources looks to add gold ounces to Tarcoola

During FY2017, the company produced 50,882 ounces of gold from its combined mining operations of Challenger and Tarcoola in South Australia
WPG Resources looks to add gold ounces to Tarcoola
Results from drilling at the Warrigal Prospect have also been received

WPG Resources Ltd (ASX:WPG) is preparing a number of reverse circulation drilling programmes to add resources to the open pit gold operation within the 100%-owned Tarcoola mining lease located in South Australia.

Ore is currently trucked 165 kilometres by road from the Tarcoola open pit gold mine to the mill at the 100%-owned Challenger Gold Mine.

The company plans to capitalise on a number of exploration opportunities as a result of increased understanding of geological controls as mining advances in the Perseverance Pit.

READ: WPG Resources’ Wayne Rossiter talks growing gold guidance in Proactive Q&A Sessions™

Near-pit targets include Morning Star, Forgotten Prince and SW Eclipse.

Other exploration targets within the mining lease to be drilled include Wondergraph, Lonely Heart, Genie Bar, Lady Luck and Pirate Patch.

Near-pit targets

At Morning Star, 1,200 tonnes of ore was recently mined and processed at 4.48 g/t gold.

Whilst it is within the confines of the pit design, mineralisation lies outside of resource.

A historical drill hole that lies outside the pit design but along strike of the mineralisation returned 6 metres at 13.56 g/t gold from 53 metres.

The Forgotten Prince target lies on the contact between the granite and the Tarcoola Formation sediments and is either related to a basal thrust or the northern limb of the anticline.

At SW Eclipse, historical drill logs suggest an argillic zone with evidence of mineralisation.

A number of historical gold intersections require closer spaced drilling with the aim of resource inclusion.

Other targets

Other exploration targets at Tarcoola with proposed reverse circulation drilling include:

- Wondergraph: Drilling planned to infill and extend to the southwest;
- Lonely Heart: Drilling planned to follow up on an historical rotary air blast (RAB) hole intersection of 4 metres at 36 g/t gold from 8 metres;
- Genie Bar: Conglomerate-Granite contact with elevated gold in soils and coincident northwest structures interpreted from ground magnetics;
- Lady Luck: Conceptual similar setting to Wondergraph, except overlies Lady Jane Diorite, and has coincident interpreted north-south structures; and
- Pirate Patch: 7 metres at 4.21 g/t gold from 1 metre trench samples.

Assays received for five holes from Warrigal

A seven-hole reverse circulation programme designed to test the large Warrigal induced polarisation anomaly has been completed with 1,256 metres drilled.

Assays have been returned for holes 17WARC001-005 with peak result to date returning 3 metres at 10.11 g/t gold including 2 metres at 14.84 g/t gold.

Pending any significant final results, exploration focus will shift from Warrigal to the many other prospective areas on the mining lease.

Background

WPG owns a number of assets including two producing gold mines all located in the Gawler Craton region of South Australia.

- Challenger gold mine (100%);
- Tarcoola gold mine (100%);
- Tunkillia gold project (100%); and
- Western Gawler Craton JV (~28%).

The Challenger gold mine is WPG’s flagship asset and the company is in the process of trying to extend the mine life through exploration and development of the Challenger Deeps area.

A mill expansion study is underway and drilling programs continue at the gold mine.

View full WPG profile View Profile

WPG Resources Ltd Timeline

Newswire
November 28 2017

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