Greenstone Resources Limited (ASX:GSR) has drilled further high-grade intercepts, and sighted visible gold, in recent exploration activities at its flagship Burbanks Gold Project in Western Australia.
Managing Director and CEO, Chris Hansen, has confirmed the Phase-1 drill campaign is now complete, with these most recent results continuing to reaffirm the high-grade and continuous nature of the Burbanks Gold Project.
The Burbanks Gold Project is located on a granted mining lease just nine km south of Coolgardie and is supported by a network of existing infrastructure including grid power, sealed roads and several neighbouring toll treatment plants, all of which will serve to expedite any future production decisions. Importantly, according to Greenstone, Burbanks remains the only high-grade (>2.5g/t) resource greater than 250,000 ounces (measured, indicated & inferred) within 100km of Kalgoorlie that is not already in production.
These most recent results form part of the recently completed 10,000 metre Phase-1 drill campaign principally targeting unclassified mineralisation outside of the existing resource, this unclassified mineralisation also serves to define the recent JORC (2012) Exploration Target range of 3.3-3.6Mt at 2.0-2.8g/t Au for 215,000 – 330,000 ounces of contained gold
This Exploration Target is entirely separate from the contiguous Mineral Resource of 3.4Mt @ 2.5g/t gold for 277,547 ounces (Table 2) and does not include over 2.0km of largely untested strike potential.
Three successive phases of drilling have been designed to test the true geological potential of the Burbanks Gold project across the entire 5.5km strike of the Burbanks Shear Zone and down to a depth of ~500 metres.
- Phase 1: 10,000m campaign targeting unclassified mineralisation defined by the Exploration Target (complete)
- Phase 2: 15,000m targeting down dip and along strike extensions of known mineralised lodes (underway)
- Phase 3: 25,000m targeting greenfields targets and extensions down to 500 metres (pending)
The Phase-1 drill campaign has continued to exceed our expectations, serving to confirm the continuity of mineralisation outside of the existing mineral resource as well as identifying multiple high-grade parallel structures,” Mr Hansen said.
“Following the recent completion of the Phase-1 campaign we are very excited to take stock of these results as part of the resource update which is currently underway and expected for release in early-June. With Phase-2 already underway, targeting the down-dip extensions of known high-grade lodes, we are looking forward to testing the broader mineralised strike horizon of the Burbanks Shear Zone over the coming months.
“The high-grade nature of Burbanks should not be understated, as over the past ten years since 2012 the average open pit grade has declined 16% to 1.29g/t Au3, whereas Burbanks has subsequently joined an exclusive list of ASX listed Australian gold projects with a resource grade >2.5g/t.
“Unlike a number of other Australian gold projects, Burbanks is located in the epicentre of the Australian gold industry, surrounded by a network of existing infrastructure, including processing plants, grid power and sealed roads. Serving to lower capital intensities and expedite our path to sustainable commercial production.
“Outside of Burbanks, the updated scoping study for Mt Thirsty continues on schedule following the recent 146% increase in the Co-Ni-Mn resource. The Joint Venture partner at Mt Thirsty continue to work closely in relation to an ownership consolidation and Initial Public Offering (IPO) of the Mt Thirsty project, principally aimed at providing our shareholders with a clear distinction between our base metal and precious metal projects.
