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Rox Resources and Venus Metals on the move after hitting bonanza grade gold at Youanmi JV

Shallow reverse circulation drilling of a laterite target at the OYG JV south of the Youanmi plant has returned 5 metres at 125.68 g/t.

Rox Resources Limited - Rox Resources and Venus Metals onrise after hitting bonanza grade gold at Youanmi JV
Visible gold in RC chips from hole MLRC020 at Youanmi

Rox Resources Limited (ASX:RXL) and partner Venus Metals Corporation Limited (ASX:VMC) have risen today after returning a bonanza gold grade of 5 metres at 125.68 g/t in drilling at the Youanmi Gold Project.

Shallow reverse circulation (RC) drilling testing a laterite gold target at the OYG JV to the south of the Youanmi plant has returned high grades.

The 5-metre intersection from surface included 2 metres at 311.46 g/t from 2.5 metres, which in turn included 1-metre 591.89 g/t from 3 metres and 0.5 metres at 1058.49 g/t from 3 metres.

Shares increase

Venus Metals is up more than 5% to 20 cents while Rox, which, manages the joint venture, has been up more than 26% to an intra-day high of 2.4 cents.

Rox managing director Alex Passmore said, “We are very pleased to report these high-grade results and look forward to reporting further results from drill testing down-dip and to the north of this position.”

Average grade of around 1.5 g/t

The laterite zone appears to have an average grade of around 1.5 g/t gold and thickness of about 2 metres and is continuous from historical drilling at the airstrip over an area of about 280 x 100 metres.

Drill hole MLRC020, the northern-most line of the drill plan, returned extremely high gold grades with plentiful visible gold present in RC chips.

The area to the north is yet to be tested by drilling.

Visible gold

Although weathered, drill chips from the high-grade interval suggest that the host rock is strongly altered granite with abundant vein quartz.

On this basis, Rox’s current interpretation is that the gold is from a primary source, rather than from supergene upgrading effects.

Visible gold presents as nuggets up to 2-3 millimetres in size which are intergrown with translucent quartz that the company is interpreting to be vein quartz.

While early-stage, these results are considered highly encouraging.

In historical records there is reportedly free-milling gold mineralisation present within the Youanmi granite to the east of the Main Lode Shear Zone.

One such area is a gold lode developed in the footwall to the Main Lode, towards the northern end of the Main pit.

Mining records from pre-1942 describe this as the Peru Reef, a narrow sub-vertical north-trending quartz vein with a mineralised strike length of about 100 metres.

Production figures were not recorded, however, the grade is reputed to have averaged greater than 60 g/t from near-surface workings.

Immediate follow-up drilling

Encouraged by these results, the JV partners have planned a series of holes to test down dip of MLRC020 and to the NNW along strike.

Given the shallow nature of the mineralisation encountered, a series of costeans will also be dug across the interpreted strike of mineralisation seen in MLRC020 to assist in geological mapping and to provide channel samples for assay.

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