Matsa Resources Limited (ASX:MAT) has verified the high gold grades found at the Fortitude North prospect of its Lake Carey Gold Project, with resampled assays from aircore drilling returning up to 1 metre at 19 g/t gold.
Resampled assays of the highest grade intercept in one hole also returned 8 metres at 5.14 g/t gold from 76 metres, including 2 metres at 15.6 g/t.
These were within a broader 26-metre intersection grading 1.95 g/t across its length from 57 metres to the end-of-hole.
The company said permitting for follow-up reverse circulation drilling was underway at the prospect.
Matsa said given its encouraging results from the aircore drilling, it would launch a reverse circulation drilling program at Fortitude North this quarter.
The company plans to start its campaign as soon as permits are received and a drill rig is available.
Matsa will also start aircore drilling for the first time in the lake area of the prospect found along the Bindah Fault near Sunrise Dam Gold Mine to determine the extent of bedrock gold mineralisation open to the south.
The company also plans to start mining gold another of its deposits, Red Dog, this quarter and recently completed a trial mining operation at Fortitude, 5 kilometres south of Fortitude North.
Matsa’s decision to mine Red Dog was taken with the intention of injecting about $5.4 million cash into the company over the next three months.
The company is conducting studies to judge the viability of opening a full-scale open-pit gold mine at Fortitude.