While the Gruyere Gold Mine is held in a 50% joint venture, Gold Road owns 100% of its surrounding exploration tenure, most notably the Southern Project Area (SPA).
Drilling from the Yaffler South prospect within the SPA has produced 11 metres at 5.94 g/t gold from 74 metres, 12 metres at 3.40 g/t gold from 116 metres and 12 metres at 2.71 g/t gold from 59 metres.
The results come from a 13-hole program following up an anomaly identified by aircore and RC drilling in 2017 and 2018.
A follow‐up RC and diamond drill program is planned to commence in the December 2019 quarter.
Gold Road’s executive director of exploration & growth Justin Osborne said: “The high‐grade results from Yaffler South demonstrate the benefit of good geological work and persistence.
“This prospect was first identified in 2016 during the previous South Yamarna Joint Venture and it is only recently that we have had opportunity to complete targeted bedrock drilling based on sound geological re‐interpretation and funding availability.
“The high‐grade shear zone and favourable dolerite geology are very encouraging first‐pass indicators supporting immediate follow‐up programs.
“These results confirm the Southern Project Area as the area of greatest prospectivity and will remain our priority exploration project.
Drilling at Gruyere nearly complete
Diamond drilling is near‐complete at Gruyere, which aims to enable the conversion of Inferred Resources to Indicated Resources to support optimisation of the mine plan and the placement of mine infrastructure
Osborne added: “Drilling at Gruyere has intersected the expected mineralisation below the current Reserve pit shell providing confidence that the Gruyere JV will be able to extend the current Indicated Resource.
“We look forward to the assay results from the remaining 14 holes of this program in support of an update to the Mineral Resource estimate scheduled for 2020.
“Improved resource confidence will allow future assessment of mining options and potential optimisation of the mine plan at Gruyere to benefit both JV partners.”
Northern portion shows growth potential
Significant widths at higher than the average resource grade have been intersected in the northern portion of the Gruyere resource.
Latest assays include 36 metres at 2.44 g/t gold from 282.8 metres, 45 metres at 1.80 g/t gold from 270.1 metres and 73 metres at 1.80 g/t gold from 288.6 metres.
Notably, these results are all located beyond the current Ore Reserve pit design, and may result in future growth of the Mineral Resource and Ore Reserve in this area.
Gold Road confirmed last month that it expects Gruyere to produce 75,000 to 100,000 ounces of gold for calendar 2019.