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Staff Writer

De Grey Mining Ltd (ASX:DEG) continues to grow its world class Hemi gold discovery in the Pilbara Region of Western Australia.

Current drilling at the Diucon and Eagle Zones has extended Hemi mineralisation to approximately 3.5km east-west from Brolga to Eagle, with all zones remaining open.

Managing Director, Glenn Jardine, said the Diucon and Eagle results continue to demonstrate the potential to rapidly and cost effectively add to the gold endowment at Hemi.

These recent results at Diucon and Eagle confirm the presence of a large mineralised system in the west of Hemi. Both zones remain open to the west toward Antwerp. Diucon and Eagle represent another step change to the gold endowment at Hemi,” Mr Jardine said.

“Extensional RC drilling is currently being conducted on 160m spaced sections and 80m spaced collars on section. This drilling has demonstrated 900m and 600m strike lengths respectively at Diucon and Eagle with significant grades and widths downhole.

“Mineralisation remains open along strike and at depth with multiple stacked lodes in places. RC drilling is also being conducted in places at 80m line spacing to confirm continuity of mineralisation.

“RC drilling to determine the overall scale along strike continues and diamond drilling of potential down dip extensions is expected to commence during the quarter.”

Diucon and Eagle are located immediately to the west of Crow and present a potential geological link between the Crow intrusion to Antwerp. The gold mineralisation at Diucon and Eagle shows similar alteration and sulphide development as seen at the adjacent deposits of Aquila, Brolga, Crow and Falcon.

Both zones remain open and provide substantial potential to rapidly and cost effectively increase the gold endowment of Hemi with continued drilling.

Strike extensions are currently being tested with RC drilling at both zones at 160m line spacing and 80m hole spacing. Definition drilling has recently been conducted on an 80m line spacing at Diucon and has returned outstanding results. These results include the identification of high grade near surface mineralisation extending further to the south of previously intersected mineralisation at Diucon.

Broad zones of gold mineralisation have been identified in 160m line spacing and 80m hole spacing at Diucon. Drilling continues to the west and at depth.

A combination of definition drilling and extensional drilling was recently conducted at an 80m line spacing on section 28800E.

Strong mineralisation was intersected on section 28800E between previously drilled sections 28720E and 28880E. Results include:

  • 26m @ 1.6g/t Au from 69m and 18m @ 2.2g/t Au from 126m in HERC475
  • 4m @ 3.5g/t Au from 61m and 11m @ 0.8g/t Au from 169m and 2m @ 12.6g/t Au from 187m and 19.0m @ 4.4g/t Au from 194m and 17m @ 5.7g/t Au from 282m ending in mineralisation in HERC476
  • 46m @ 1.7g/t Au from 203m ending in mineralisation in HERC477

In addition, mineralisation has been extended in the south of Diucon on section 28800E where 14m @ 21.2g/t Au from 50m was intersected in HERC477. This mineralisation is 80m along strike from the previously announced 35m @ 2.0g/t Au from 83m in HERC458 and 20m @ 4.9g/t Au from 201m in HERC460.

Mineralisation remains open to the west and may plunge below sediments intersected in previous aircore drilling on section 28720E. Extensions will be tested with further RC and diamond drilling.

Mineralisation at Eagle currently extends for approximately 600m along strike and remains open to the north, west and at depth.

Additional drilling results at Eagle have been received on section 28240E.

Drilling has intersected 61m @ 2.6g/t Au from 116m in HERC480. Mineralisation in HERC480 is located approximately 80m beneath shallow high-grade mineralisation comprising 36m @ 6.9g/t Au from only 40m downhole in HERC470.

The geological interpretation of the magnetic data and aircore drilling suggests the Eagle intrusion may also extend to the north, providing added potential.

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