Chalice Gold Mines Limited (ASX:CHN) has been up to 34% higher today on strong new drill results from Gonneville Intrusion at the Julimar Project in WA, which have extended three high-grade platinum group elements (PGE)-nickel-copper-cobalt +/- gold zones.
Chalice managing director Alex Dorsch said: “This is an exciting step-change in our ongoing exploration program at Julimar in that the new results highlight the potential for material growth in the high-grade zones we have identified to date.
“The recent results from drilling in the G1, G3 and G4 zones confirm that these zones host exceptionally high-grade mineralisation and remain open.
“The new 40-metre wide interval of matrix, minor massive and disseminated sulphides in the G1 Zone is 80 metres down-dip from one of our best high-grade intersections in JD003, which suggests that the zone may be widening and it remains open down-dip to the west.”
Shares have been as much as 34% higher today to a new record high of $1.46 and closed at $1.35.
New drill intersections from the G1 Zone include:
- 31 metres at 3.3 g/t palladium, 0.7 g/t platinum, 0.4% nickel, 0.2% copper, 0.03% cobalt from 76 metres, including, 13 metres at 5.8 g/t palladium, 1.5 g/t platinum, 0.7% nickel, 0.4% copper, 0.04% cobalt from 83 metres (JD010);
- 30 metres at 2.8 g/t palladium, 0.3 g/t platinum, 0.4% nickel, 0.1% copper, 0.03% cobalt from 164 metres, including 6.4 metres at 6.3 g/t palladium, 0.5 g/t platinum, 1.0% nickel, 0.4% copper, 0.07% cobalt from 167.3 metres (JD006);
- 9 metres at 5.7 g/t palladium, 1.1 g/t platinum, 1.1% nickel, 1.5% copper, 0.06% cobalt from 103 metres;
- 9.2 metres at 4.6 g/t palladium, 0.7 g/t platinum, 0.3% nickel, 0.1% copper, 0.02% cobalt from 200.8 metres;
- 5 metres at 3.4 g/t palladium, 0.7 g/t platinum, 1.1% nickel, 3.3% copper, 0.07% cobalt from 46 metres;
- 9 metres at 2.7 g/t palladium, 0.6 g/t platinum, 0.6% nickel, 0.3% copper, 0.04% cobalt from 63 metres; and
- 40-metre interval of visually logged matrix, minor massive and disseminated sulphides from 224 metres suggesting that the G1 Zone is widening down-dip to the west.
G4 Zone target horizon
Drilling at the high-grade PGE-copper-gold dominant G4 Zone intersected mineralisation in two new holes over 300 metres apart.
Results included 25.7 metres at 3.9 g/t palladium, 2.3 g/t platinum, 0.7 g/t gold, 0.2% nickel, 0.8% copper, 0.02% cobalt from 418.1 metres, including 6.7 metres at 10.6 g/t palladium, 7.7 g/t platinum, 1.3 g/t gold, 0.2% nickel, 1.0% copper, 0.02% cobalt from 426 metres.
Dorsch said: “The recently discovered PGE-copper-gold dominant G4 Zone, announced in early July, has also been intersected in two, potentially three new holes and we now believe this could represent an entirely new target horizon along the footwall contact of the Gonneville Intrusion with potential for further growth.
“The key takeaway is that we are rapidly expanding the core of high-grade, high-tenor sulphide mineralisation within these three zones, confirming the significance of the Gonneville discovery.”
Assays are pending for a further 25 completed drill holes - 3 diamond and 22 RC.
Gonneville Cross Section
Chalice is fully-funded to continue its accelerated 3-rig program at Julimar with around $50 million in cash and investments.
Ongoing and planned activities at Julimar include:
- RC drilling – around 20,000-metre phase two RC drill program is underway utilising two rigs;
- Diamond drilling – a diamond drill rig continues to step-out from known high-grade zones and test new DHEM targets;
- EM Geophysics (DHEM and ground EM) – DHEM continues to play a key role in identifying potential high-grade targets for follow-up drilling and will be completed on all diamond holes and selected RC holes; and
- Metallurgical test-work – a preliminary program is underway on four ore types - massive, matrix, disseminated and oxide.
Among the many companies keeping a close watch on the progress of Chalice are neighbours Oakdale Resources Ltd (ASX:OAR) Cassini Resources Ltd (ASX:CZI) and Lithium Australia NL (ASX:LIT) and Australian Vanadium Ltd (ASX:AVL).
The latter two are partners in the Coates Joint Venture, Cassini Resources has the Yarawindah Brook Project and Oakdale has recently completed acquiring the Crown PGE-Nickel-Copper Project.