These tenements include a substantial portion of Sipa Resources Ltd (ASX:SRI) and Newmont Exploration’s historical Woodline project and fully incorporates the Theofrastos prospect (now referred to as the Redmill project).
Interestingly, these companies have spent circa $2.6 million on exploration on Redmill.
Current projects and applications
The tenement applications (if granted) will take Nelson’s landholding in this highly prospective area from 150 square kilometres to about 450 square kilometres.
Nelson’s new works programs will include follow up and evaluation of the previous exploration in the area.
The Redmill project is defined by a 6-kilometre by 2-kilometre gold-in-calcrete anomaly.
The mineralised system is thought to be hosted in granitoid and micro diorite with variable degrees of deformation.
Notably, previous reverse circulation drilling (27 wide-spaced holes) consistently intersected a zone of altered rocks with disseminated sulphides.
Highlight results include:
10 metres at 1.3 g/t gold from 64 metres;
14 metres at 0.25 g/t gold from 50 metres; and
19 metres at 0.17 g/t gold from 126 metres.
The company recently received strong gold results from three prospects at its Yarri project, including a bonanza grade of 69.9 g/t.
Reverse circulation drilling returned high-grade intersections from the three prospects tested - Wallaby, Gibberts and Great Banjo.
Woolshed Well tenements relinquished
Nelson has relinquished its Woolshed Well tenements after determining that these are non-core assets and are not likely to deliver any value to the company.