Labyrinth Resources Limited (ASX:LRL) is ramping up exploration at its Comet Vale gold-copper-nickel project in Western Australia and Labyrinth Gold Project in Canada.
Both exploration programmes are aimed at creating value for shareholders by testing the known extents and growing the Resources at the respective projects.
The Comet Vale drilling programme is the first genuine surface exploration undertaken at the project for 15 years. This is despite the project hosting extensive high-grade gold and copper mineralisation and strong evidence of nickel laterite.
Labyrinth has recently completed a full review of the geology and known mineralisation and carried out an initial phase of on ground mapping. This process highlighted the significant potential but under-explored nature of the project.
Work during the current exploration phase will include an updated JORC 2012 mineral resource estimate (MRE) for the Sovereign trend gold system which includes the Sand Queen, Sand Prince and Princess Grace lodes, with the existing MRE reflecting work completed in 2011 under the NI43-101 instrument and adapted to JORC 2012 in 2018 without any significant exploration works conducted.
To support the MRE, a 1,500m reverse circulation drill program will be conducted to test for extensions to the known lodes as well as gathering important geotechnical data.
We are about to embark on two significant exploration programmes, both of which are aimed at extending known high-grade gold mineralisation,” Chief Executive, Matt Nixon, said.
“This drilling has the potential to create substantial value for shareholders because we are testing for extensions to known lodes and infill drilling in areas outside of the current Resource where we know there is a strong prospect of mineralisation”.
Comet Vale
Comet Vale is on the eastern limb of a regional-scale, north-south trending anticline: the Goongarrie-Mt Pleasant Anticline.
The Sovereign trend of gold deposits is made up of multiple quartz veins across 1.3km of strike hosted within the Missouri Basalt. The deposits have been exposed to minimal drilling over the past 15 years and the veins remain open to the north and south as well as at depth.
Mining has occurred on the deposits sporadically for over 100 years with historic production recorded as 245,000t for 185,000oz.
Mineralisation is hosted within quartz veins with visible gold common as well as being associated with pyrite, sphalerite and galena. The highest grades are correlated with the vein being in contact with porphyry intrusions creating easily identifiable down-plunge drill targets.
Labyrinth Gold Project
Planning is underway for a drill programme that is designed to grow the maiden 500,000oz JORC 2012 Resource released by the company in the September 2022 quarter. Interrogation of the MRE has shown that there is significant scope to grow the inferred resource by targeting areas that were originally excluded due to lack of drill density.
Drilling is designed to infill the resource at depth between the current resource and the high-grade drill results that were released as part of the initial surface drill programme, plus shallower, near mine mineralisation.
With the predictable nature of the lodes and already defined downdip extensions, this programme is aiming to grow the resource in an efficient and cost-effective manner.