Alto Metals Ltd (ASX:AME) has received further high-grade gold results from infill and step-out reverse circulation (RC) drilling beneath Lord Nelson open pit within the Sandstone Gold Project in Western Australia.
Results have been received from five further holes of the initial 1,500-metre drilling program targeting high-grade primary gold mineralisation beneath the Lord Nelson pit, which remains open down plunge.
Best results are 28 metres at 3.1 g/t gold from 228 metres, including 12 metres at 5.0 g/t from 244 metres which also included 4 metres at 11.3 g/t gold from 244 metres in hole SRC184; and 12 metres at 1.6 gold from 140 metres.
Shares have been as much as 30% higher to 11.5 cents after reach a new 12-month high of 15 cents on Monday.
Managing director Matthew Bowles said: “The drilling at Lord Nelson continues to deliver impressive results from both below the current pit and near-surface, along strike.
“We are particularly encouraged by the extent of mineralisation from SRC184, which demonstrates not only does Lord Nelson continue to carry high-grade gold beneath the pit, but there is also huge scope to increase the tonnages.
“These results, in addition to the latest shallow results from 200 metres south of the pit, continue to support our long-held view that Lord Nelson is part of a much larger gold system.”
Results outside resource
These infill drill holes followed up on previous results announced on April 22, 2020, which demonstrated the continuity of thick zones of gold mineralisation at depth including:
- 17 metres at 3.5 g/t from 200 metres, including 4 metres at 11.6 g/t from 211 metres and 1-metre at 25.5 g/t from 214 metres; and
- 16 metres at 5.2 g/t from 240 metres, including 3 metres at 13.5 g/t from 240 metres.
Additional high-grade mineralisation, including these latest results, is outside of the current resource estimate for Lord Nelson and awaits closer spaced drilling.
Alto’s current JORC 2012-compliant inferred resource estimate for Lord Nelson is 1.82 million tonnes at 1.9 g/t for 109,000 ounces which forms part of the total global indicated and inferred resource for the Sandstone project of 6.2 million tonnes at 1.7 g/t for 330,000 ounces.
These new results continue to highlight the likelihood of Lord Nelson being part of a much larger scale gold system open along strike, down-dip, and down-plunge.
Alto’s Sandstone Gold Project covers more than 800 square kilometres and comprises the vast majority of the highly prospective and under-explored Sandstone Greenstone Belt.
A further 8,500 metres of the planned first stage RC drilling will re-commence in early August to test additional repeat shallow gold lode targets along the Lords’ corridor, mineralisation below the Lord Nelson Pit and multiple other targets.
Additional follow-on RC drill programs are planned to begin upon settlement of the institutional portion of the recently announced entitlement offer.
The planned drilling will include:
- Infill and extension drilling both along strike and at depth at Lord Nelson;
- Testing of additional repeat lode targets in the Lords’ Camp area;
- Follow-up drilling at other prospects including Bulchina South and Vanguard and Indomitable Camps; and
- Multiple other regional targets within the 800 square kilometres Sandstone Gold Project area.