Drilling will test high-grade gold targets over a 2-kilometre strike extent and will follow-up historical intersections including 15.2 metres at 59.88 g/t gold from 139 metres.
Any gold mineralisation defined at Fountain Head may complement the proposed development of the Hayes Creek zinc-gold-silver project.
Drill assay results expected to be released from early July.
PNX’s managing director James Fox said: “Following up these high-grade gold intersections has been a priority for PNX and now that the Fountain Head acquisition has been finalised we are very pleased to have commenced drilling.
“This drill program is aimed at testing the potential for significant economic gold mineralisation where the Fountain Head lodes are interpreted to represent the near-surface expression of a much larger and previously overlooked gold system.
“We look forward to receiving assay results from early July”
Program to comprise 27 holes
Drilling will initially comprise of 27 reverse circulation (RC) and diamond holes for 2,700 metres and will be completed within two months.
In addition to drilling at Fountain Head, PNX has identified a pipeline of additional prospects within its NT exploration tenure.
It is obtaining the required approvals to drill a further six gold and base metals exploration targets at the Burnside and Moline projects during 2018.
The aim of the proposed regional exploration program is to identify additional economic mineralisation with the potential to complement and enhance the Hayes Creek development project.