The 97-metre intersection at 3.1 g/t gold starts at 59 metres downhole and continues to the end of the hole, where 8 metres at 4.8 g/t was recorded.
It is the thickest intersection returned to date from Cameron Well with a second hole also returning a 49.3-metre intersection from 96 metres at 2.6 g/t.
Maiden resource is imminent
Results from these holes will be incorporated into a maiden resource estimate for the prospect, which is due by the end of this month.
Dacian Gold executive chairman and CEO Rohan Williams described the thickness of the results as exceptional with the high grades also being important.
“The more we drill at Cameron Well, the more we believe we are onto something very substantial,” he said.
“There is clearly more work to do, but it is increasingly apparent that Cameron Well has the potential to become our third production hub at Mt Morgans.”
The mineral estimate will form part of a Dacian strategy to increase the project’s resource base and extend its mine life.
Williams said the drilling results followed a period of strong performance at the operation which has set its sights on producing 200,000 ounces a year.
Production ramp-up in progress
The company’s maiden first quarter for gold production was June 2018, when 34,155 ounces were produced, in line with its 30,000‐40,000 ounce guidance.
“Our production ramp-up is well on track, with the project meeting guidance for the June quarter,” Williams said.
“We are now well positioned to meet production guidance for FY2019.”
The company is set on ramping up to commercial production this calendar year and delivering 180,000‐210,000 ounces for the 2019 financial year.