Calidus Resources Limited (ASX:CAI) has received further positive drilling results which support its strategy to grow the inventory, production and mine life at its Warrawoona Gold Project in Western Australia.
The growth strategy involves the definition and development of gold deposits within trucking distance of Warrawoona.
The drilling programmes were designed to follow up on initial results1 testing the potential for Blue Spec East to host a shallow Mineral Resource which would be amenable to open pit mining and the possibility for Marble Bar to contribute to high-grade ore.
Results from the latest drilling campaign confirms these mineralised zones are within 20m of the surface, with several intercepts encountered less than 10m below surface.
These results clearly demonstrate that there is the prospect of additional mine life at Blue Spec beyond the current Mineral Resource,” Managing Director, Dave Reeves, said.
“The results highlight the potential to increase the production profile at Warrawoona and improve the economics of the Blue Spec Project.
“At Marble Bar, the follow-up drilling programme has returned some higher grades than the initial drilling program. The results show that high-grade parts of the quartz reef are open down-dip and along-strike to the north.
“The original programme was curtailed owing to extreme heat, so the along-strike potential to the south is yet to be tested. These results will be followed up with further drilling to test the potential for high-grade ore feed to processing plant at Warrawoona which is only 25km away.
“The latest results at both areas, along with the recent discovery at Felix only 5km to the west of Blue Spec, contributes to the potential for a strong growth pipeline.”
Planned programmes
Initial follow-up work at Blue Spec East includes preliminary metallurgical testing of ore-grade RC samples and a small program of diamond drilling to provide samples for further metallurgical work, physical property testing, and geotechnical and structural information.
At Marble Bar, follow-up work will include drilling southern extensions of the reef that were not drilled in November 2022 owing to the extreme weather, and closer spaced drilling in selected areas to determine the geometry of high-grade ore shoots.