The Pick News

Chalice continues golden run of drilling success at Pyramid Hill - The Pick Online Magazine

Written by Staff Writer | Dec 19, 2019 11:31:47 AM

Chalice Gold Mines Limited (ASX: CHN) has continued its run of drilling success at the Pyramid Hill Gold Project in the Bendigo region of Victoria with the discovery of several new gold zones.

Assays have now been received for a total of 22 AC drill holes for ~2,600m from the maiden air-core (AC) drilling campaign at Ironbark North Target, with results including 20m @ 0.85g/t Au from 102m to end-of-hole, including 8m @ 2.0g/t Au.

Chalice’s Managing Director, Alex Dorsch, said the Ironbark North results continue an encouraging, ongoing drilling campaign at Pyramid Hill.

“Following on from the exciting results at the Karri Target announced last week and at the Ironbark Target announced in November, we have now upgraded a third target on our district-scale project in as many months,” Mr Dorsch said.

“The Ironbark North Target was recognised as a second prominent magnetic anomaly in the Ironbark area, where an initial line of drill holes intersected the first mineralised diorite intrusion in Q2 2019.

“The Ironbark North Target has now delivered the highest-grade gold mineralisation intersected at the project to date of 8m @ 2.0 g/t, which has reinforced the potential of these diorites to host significant gold discoveries.

“While there are direct comparisons to be made with the high-grade diorite related gold deposits of the historic Walhalla-Woods Point Goldfield east of Melbourne, the two Ironbark diorite intrusions have a substantially larger footprint and we are very encouraged by the fact that both targets show strong evidence of gold mineralisation at this early stage of drilling.

Given the prolific high-grade nature of the Bendigo Zone and the lack of exploration in the undercover region, our three key targets now present a rare opportunity for gold discoveries under shallow cover in Australia.

“The multiplier effect of several potential discoveries at our 100%-owned Pyramid Hill Gold Project is now becoming apparent, given that Chalice controls a large land position surrounding our key targets. Our strong financial position and significant technical expertise in-house positions the company exceptionally well for the systematic exploration program ahead.”

The Ironbark North Target is located ~1.5km north-west of the Ironbark Target. It is the second diorite intrusion discovered by Chalice and lies under 50-80m of Murray Basin cover.

Mr Dorsch said the company’s 25,000m Phase 2 reconnaissance AC drill program at the Ironbark, Karri and Beech Targets continues in the Muckleford Area.