Focus Minerals (ASX: FML) has announced a significant increase in the JORC 2012 Mineral Resource Estimate for the Karridale gold deposit, part of the company’s 100%-owned Laverton Gold Project in Western Australia.
The update has been compiled from drilling completed in the September 2019 quarter to target the central part of the Karridale resource.
This updated Karridale Mineral Resource is reported to 180m depth from surface using 0.6g/t Au cut-off and comprises:
- Indicated Resource: 14.4 Mt @ 1.39 g/t Au for 644,000 ounces – increase of 317%
- Inferred Resource: 2.3 Mt @ 1.32 g/t Au for 99,000 ounces – 81% inferred resource converted
- Total Resource: 16.7 Mt @ 1.38 g/t Au for 742,000 ounces – increase of 10% The Mineral Resource is reported on a dry tonnage basis.
Karridale is one of several significant deposits and prospects across Focus’ Laverton Gold Project, which covers a 507 square kilometre parcel of highly prospective tenements on the outskirts of the Laverton township, in the north-eastern Goldfields.
CEO, Zhaoya Wang, said the 10% increase in estimated Inferred and Indicated Mineral Resources at Karridale was compiled from 40m x 40m infill drilling programme of the central part of the resource.
Mr Wang said the closer-spaced drilling converted all inferred resources within the targeted area to indicated status and resulted in a 5% improvement in grade.
Indicated Resources at Karridale have increased by more than 300%, or 498,322 ounces, at a cost of $3.30 per Indicated ounce.
The mineral resource at Karridale continues to grow and improve with each drilling programme, at a low cost of $24 per ounce that represents tremendous value for Focus’ shareholders.
“The Karridale resource remains open in all directions, with substantial under-drilled and unclassified blocks yet to be targeted.
“The large increase in Indicated Resource at Karridale improves our confidence that this project can underpin both Stage 1 and later Stage 2 open pit operations at Laverton.”
Various companies have drilled at Karridale in the past 40 years. However, only holes drilled by Focus since 2013 are used in this mineral resource update. A total of 299 drill holes were used, comprising 270 reverse circulation (RC) holes for 53,491m and 29 diamond holes with an RC pre-collar (RCDD) for 10,631m.
Karridale is spread across four mining tenements 2km south of the Focus-owned Burtville Open Pit. Tenements M38/8 and M38/1281 are wholly owned by Focus.
M38/73 and M38/89 are held under the Merolia Joint Venture between Focus Minerals (Laverton) Pty Ltd and GSM Mining Company Pty Ltd (a wholly owned subsidiary of Gold Fields). Substantial expenditure by Focus in 2018 and 2019 continues to dilute GSM from its 2017 updated interest of 8%.
Karridale has been historically mined as part of the Burtville mining centre. Gold was discovered in the area in 1897, resulting in the formation of the township of Burtville (pop. 400 early 1900s). Between 1899 and 1922, there was recorded production of 6,315 tonnes at 80.6 g/t from the mining centres of Karridale, Roscommon and Bonds Find.
The most extensive historic workings on the deposit were the Karridale/Boomerang Mines, where between 1900 and 1905 1,628 tonnes of ore were mined to produce 4,882 ounces.
