Rox Resources Limited (ASX:RXL) (FRA:RR3) added up to 16% during intraday trading after unveiling its best results ever from drilling at the Youanmi joint venture gold project with Venus Metals Corporation Limited (ASX:VMC).
Western Australian company Rox reported the highest grades seen so far in its drilling program at the project, 480 kilometres northeast of Perth.
High-grading intersections at the unmined area Youanmi South, southeast of the Main mine area, included 12 metres grading 12.7 g/t gold from 80 metres and another 12 metres in a different hole grading 8.5 g/t from 44 metres.
Standout intersections from Youanmi South, which has similarities to the Main Lode style, also included 4 metres grading 11.2 g/t from 110 metres and 4 metres grading 7.6 g/t from 76 metres, in two additional holes.
The company is also drilling at Plant Zone, and said the target “continues to define shallow, potential ‘baseload mill feed’ with new results showing continuations to shallow mineralisation.”
Intersections from three holes at Plant Zone included: 4 metres grading 5.6 g/t from 24 metres; 30 metres grading 1.0 g/t from 96 metres, in a depth continuation; and 14 metres grading 1.7 g/t from 70 metres in another depth continuation.
Rox believes Plant Zone could potentially host bulk tonnage mineralisation from surface.
Stockwork mineralisation in Youanmi granite is an exploration focus for areas such as Plant Zone.
Sheared greenstone and granite contact at places such as Main Lode Shear Zone are another focus, in addition to unmined dilational jogs and shears outside Main zone in zones such as Commonwealth.
Historical mining took place at Main zone and other old workings.
Youanmi South “potentially substantial”
Rox managing director Alex Passmore highlighted a new zone of mineralisation at Youanmi South for investors.
The trained geologist and former broker said: “Following on from the release of initial results earlier this month these results confirm the new zone of mineralisation at Youanmi South as potentially being substantial.
“We are continuing to delineate this zone with RC drilling and look forward to updating the market as further results are available.
“Drilling at the Plant Zone prospect, a granite stockwork style of mineralisation continues to add scale to the overall project resource.”
Resource work comes next
The company focused on results and newsflow has drilled 900 metres at the flagship project it picked up earlier this year.
It plans to continue its reverse circulation (RC) drilling campaign into October 2019 then start additional resource estimation work at the project.
The company believes its understanding of controls on Youanmi mineralisation has improved markedly with its latest results and hopes to translate this into a “strong resource”.
Youanmi currently hosts a 1.19 million-ounce JORC-compliant resource grading 2.97 g/t gold.
JVs house the project
The company has partnered with Venus Metals for the project, which is housed in four separate joint ventures held by the companies.
These are the Youanmi Gold Mine project OYG JV reported on today, and the Venus JV, Youanmi JV and Currans Find & Pincher JV.
Rox has a 50% stake in the main Youanmi mine venture, OYG JV, which it can take to 70% by spending $2 million on exploration and shelling out a further $3 million of investment funds.
The company’s securities gained 0.2 cents, or 8% by mid-afternoon, to rest at 2.7 cents.