Musgrave Minerals Ltd (ASX:MGV) (FRA:6MU) has hit further strong near-surface gold at the new Starlight discovery of Break of Day deposit within the flagship Cue Gold Project in WA, including 85 metres at 11.6 g/t from 7 metres.
Drilling continues to confirm the Starlight discovery and the strong near-surface high-grades in multiple individual lodes with all intercepts being outside the existing 199,000-ounce Break of Day resource.
Shares have been more than 11% higher in early trade to 53.5 cents.
The company has received assay results for a further eight reverse circulation (RC) drill holes from the current program.
“Stunning gold results”
These have prompted the company’s managing director Rob Waugh to say: “Starlight continues to produce stunning gold results in near-surface drilling.”
Within the 85-metre intersection was 8 metres at 99.0 g/t from 7 metres and this also included 3 metres at 254.2 g/t from 8 metres.
Other impressive results within the 85-metre hit were 4 metres at 45.5 g/t from 38 metres and 6 metres at 9.4 g/t from 86 metres.
Further highly encouraging results from the eight holes are:
- 68 metres at 5.9 g/t from 21 metres, including 8 metres at 48.5 g/t from 21 metres which also included 1-metre at 300.4 g/t from 22 metres;
- 9 metres at 10.7 g/t from 52 metres, including 6 metres at 15.7 g/t from 52 metres; and
- 6 metres at 32.3 g/t from 61 metres, including 1-metre at 163.3 g/t from 62 metres.
To date, a total of 45 RC holes of a planned 59 holes have been completed with assay results received for 39 holes.
Three diamond drill hole tails and one twin hole have been completed to date with assays pending.
Prospect location plan.
Drilling at Starlight is continuing, with a focus on infilling and extending the high-grade gold mineralisation intersected to date.
This work will also continue to test for new lodes within the Break of Day and Lena system following the discovery of the new White Light lode 75 metres south of Starlight.
Waugh said: “Further RC drilling is underway to infill and extend the Starlight mineralisation with the aim of completing a JORC resource update late in Q3 2020.
“Drilling is continuing with two rigs on-site and we are confident we can extend Starlight and the new White Light lode and make significant new discoveries in the belt.”
Diamond drilling is underway to test the depth extent of the Starlight lode below 200 vertical metres.
Cue Project location plan and tenure.
Additional drilling on the newly discovered White Light lode at Break of Day will start next week.
Starlight and White Light mineralised gold lodes lie proximal to the existing Break of Day resource within separate southeast-northwest parallel mineralised zones about 75 metres apart.
The current resource estimate for the Cue Gold Project totals 6.45 million tonnes at 3.0 g/t for 613,000 ounces.
As well as the Break of Day resource of 868,000 tonnes at 7.2 g/t, the Cue project also includes the Lena deposit of 4.3 million tonnes at 2.3 g/t for 325,000 contained gold ounces and this is 130 metres to the west.
At the Evolution Mining Ltd (ASX:EVN) JV over the Lake Austin portion of Cue Project, the partner has approved the FY20-21 budget and the phase-2 follow-up aircore drilling of high-priority gold targets is scheduled to begin in late July 2020.