EganStreet Resources Ltd (ASX:EGA) has hit bonanza gold grades in diamond drilling outside the current resource of its wholly-owned Rothsay Gold Project in Western Australia.
Assay results from the 16-hole resource extension program confirm that Rothsay’s high-grade mineralisation extends to the south and at depth on the Woodley’s and Woodley’s East shears, respectively.
Highlighted intersections include: 2 metres at 116.9 g/t gold from 264 metres, including 0.3 metres at 776 g/t; and 2.63 metres at 57.2 g/t from 185.1 metres, including 0.5 metres at 216 g/t and 0.48 metres at 66.3 g/t.
The results will be included in Rothsay’s upcoming revised mineral resource estimate.
EganStreet managing director Marc Ducler said the company was continuing to pursue opportunities to grow its gold inventory while also completing final-phase permitting and advancing funding discussions and pre-development activities.
He said: “The diamond drilling program targeting southern extensions of the two main gold-hosting structures, the Woodley’s and Woodley’s East shears, has been very successful.
“With all of the assay results now to hand, work will begin shortly on an updated mineral resource.”
The drilling program was designed to target the Woodley’s shear extension up-dip and to the south of an offset of the lode interpreted from magnetics.
A further 200 metres of strike has been added to the south of the known mineralisation, which will be confirmed with the mineral resource estimate.
Woodley’s East was tested outside its known mineralisation and the bonanza hit of 776 g/t indicates the mineralisation is high-grade and the ore body is open at depth.
READ: EganStreet Resources’ high-grade results likely to add to 401,000 ounce gold bounty at Rothsay
Ducler added: “We are also about to commence a major new 5,000 reverse circulation (RC) drill program targeting mineralisation beneath the historical Orient open pits, where we believe there is excellent potential to define additional mineralised positions.
“Historical drilling completed in this area some 30 years ago returned spectacular intercepts of 2 metres at 84.12 g/t gold, including 1 metre at 145.9 g/t, and will be followed up as part of the impending drilling program.
“In the meantime, the permitting process is now entering its final stages with the last two applications for approval now submitted to the Department of Water and Environmental Regulation (DWER) and the WA Department of Mines, Industry Regulation and Safety (DMIRS).”
Drilling at Orient will initially consist of 65 RC holes.
DMIRS has approved EganStreet’s project management plan for Rothsay while both the mining proposal and works approval and licence application have been submitted to the DMIRS and DWER, respectively.