Stonewall Resources Ltd’s (ASX:SWJ) follow-up diamond drilling at the Theta Hill project is continuing to deliver impressive results, including 1 metre at 126 g/t gold from 33.1 metres and 1 metre at 17.9 g/t gold from 10 metres.
Positive trench results have been received from the DG4 area at Theta Hill as well, with 38 metres at 1.28 g/t gold.
The company is expecting a third drilling rig to arrive at Theta Hill to complement the recent work to delineate a maiden open-cut resource.
READ: Stonewall Resources upgrades gold resource to over 5 million ounces
Stonewall managing director Rob Thomson said: “The resource evaluation work at Theta Hill, whilst being challenging due to difficult ground conditions, continues to deliver very positive grades and confirms the thesis of shallow, widespread gold mineralisation at this location.
“The recent focus on the DG’s, particularly DG4, should add to the ultimate ounces which form part of the mineral inventory we are currently targeting to underpin a resumption of gold production at the project as soon as possible.”
READ: Stonewall Resources raising $5 million to advance gold reserve drilling in South Africa
The company had entered into a share subscription agreement last week with a global investment house to raise $5 million to complete the reserve drilling at Theta Hill and Vaalhoek.
Theta Hill and Vaalhoek are part of Stonewall’S TGME gold project in South Africa, where the company is progressing towards its goal of restarting gold production at the earliest opportunity.
DG4 area of Theta Hill to add to existing resource
Following the resource upgrade announced on May 1, a further upgrade is due following completion of the current work program at Theta Hill.
A maiden resource on DG4 is pending evaluation of the data and calculations from drilling planned during May 2018.
The DG4 area of the Theta Hill project is strategically located within 700 metres of the existing and fully permitted TGME processing plant and tailings dam.