Lunnon Metals Limited’s (ASX: LM8) first pass target testing returns multiple significant gold results in exploration activities at its Foster-Baker (FBA) project, an important and emerging opportunity at its Kambalda Nickel Project (KNP) in WA.
The nickel drilling programme at the FBA has reached a natural hiatus. As previously communicated, deeper extensional drilling of the company’s nickel Mineral Resources will be most effectively undertaken from underground in the future, once Baker and Foster are in production.
As the company completes its Preliminary Feasibility Study (PFS) for Foster and Baker, and awaits the 3D seismic interpretation at the Long South Gap, the company is taking the opportunity to test select high ranking gold exploration targets with a diamond drilling (DD) and reverse circulation (RC) program.
Initial results have now been received, with the significant intercepts recorded.
The company is targeting gold prospects on its tenements at FBA that can potentially deliver near-surface gold mineralisation that may be amenable to open pit mining in the short to medium term whilst the size and scale of any discovery is more fully investigated, particularly at depth.
Managing Director, Edmund Ainscough, said there is substantial gold anomalism present at the FBA which is located between two regionally significant gold camps, the Victory-Defiance Complex and the Argo-Athena-Hamlet camp.
"To hold a portfolio of tenements between two of St Ives’ great gold mining areas, Victory-Defiance and Argo-Hamlet-Athena is a standout opportunity for Lunnon Metals,” Mr Ainscough said.
“The start of 2024 has been the perfect time to test a suite of high-ranking early stage targets and advance our understanding of the potential for gold in this area, having reached a natural pause in our surface nickel program whilst we await results from the PFS for Foster and Baker.
“Having advanced the Baker nickel deposit from discovery to Ore Reserves in under 18 months, our site and technical teams have a proven track record in capitalising on opportunities swiftly.
“As with our nickel Mineral Resources, the gold prospects in the Foster area are all hosted on granted mining leases, and with a nearby gold plant owned by our major shareholder which has potential spare capacity, the Lunnon Metals team will seek to pursue these exciting gold prospects as quickly, but just as diligently, as they did Baker.”
