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Alkane Resources Ltd

Alkane Resources drills evidence of material mine life extension

Very promising drill results have been returned from the Roswell and San Antonio prospects.

Tomingley open pit gold mine
Drilling continues with another 50,000 metres to be complete

Alkane Resources Ltd (ASX:ALK) has drilled broad, shallow high-grade gold intercepts 3-4 kilometres south of Tomingley Gold Operations (TGO) in New South Wales.

The results which feature 24 metres at 5.08 g/t gold from 78 metres show potential for material project life extension and a potential return to open pit mining.

This 12,000-metre reverse circulation (RC) program tested the gold resource potential of the Roswell, San Antonio and El Paso prospects.

Drilling has confirmed significant gold mineralisation at San Antonio over a strike length of 800 metres and Roswell of 350 metres – both remain open along strike and at depth.

Another 50,000 metres now to be drilled

An additional 3,000 metres of drilling is in progress to test the 300 metres untested strike between them.

This smaller program will be followed by about 50,000-metres of resource definition drilling at the San Antonio and Roswell prospects.

Meanwhile, assays are pending for the El Paso prospect, with reporting expected in May.

READ: Alkane Resources posts half-yearly revenues of $52 million as Tomingley gold production moves underground

Alkane’s managing director Nic Earner said: “It is clear from the breadth and grade encountered in the latest drilling that these are the most significant exploration results in the Tomingley region since the initial discoveries by Alkane over 10 years ago.

“These results are reminiscent of the discovery holes of the deposits that then became our Tomingley Gold Operations.

“With our processing plant, which is currently treating stockpiles and is soon to be processing underground material, only 4kms away, we will be expediting the drilling and development of these ounces to capture value for shareholders as quickly as possible.”

Quick facts: Alkane Resources Ltd

Price: $0.42

Market: ASX
Market Cap: $242.1 m
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Alkane Resources set to add to golden bounty at Tomingley

Alkane Resources Ltd (ASX:ALK) managing director Nic Earner updates Proactive Investors on a significant near-mine exploration target defined at the Tomingley Gold Operations (TGO) in Central West NSW. This target is between 15.8 and 23.8 million tonnes at a grade ranging between 1.7 to...

on 11/7/19

2 min read