Red 5 Limited (ASX: RED) is preparing to kick-off commence an important new programme of exploration and resource drilling to test a series of priority gold targets located within an economic trucking radius of its Darlot Gold Mine in Western Australia.
Managing Director, Mark Williams, said the programme will test gold targets located at the Cables and Mission and Great Western gold deposits which are both subject to recent Option Agreements, the Taranaki Trend, the Ockerburry Project and the Darlot Project tenements.
The upcoming programme will comprise 7,800m of Reverse Circulation (RC) and 3,300m of diamond drilling (DD), for a combined total of 11,100m.
“The new regional surface drilling programme at Darlot is an important addition to our already expanded drilling programme for FY2020 – which includes a previously announced budget of 120,000m of planned drilling across the King of the Hills and Darlot assets,” Mr Williams said.
The addition of over 11,000m of surface exploration and resource drilling reinforces our commitment to delivering growth through exploration.
“Following the recent Option Agreements for two ‘bolt-on’ resources at Great Western and Cables and Mission as part of the Darlot Mining Hub Strategy, we now have an expanded pipeline of exciting targets to test within an economic trucking radius of the Darlot Mill.
“These programmes have the potential to quickly grow our resource base, make new discoveries and provide us with further targets for future follow-up.
“This multi-pronged strategy is consistent with our objective to meaningfully increase the mine life of the Darlot Operation – as part of our overall target of having two long- life, high-quality gold production centres operating in parallel as the cornerstone assets of a multi-asset, mid- tier gold producer.”
Red 5 recently announced an Option Agreement for the Great Western deposi, which is located wholly within Mining Lease M37/54 and has a reported JORC 2012 compliant Mineral Resource totalling 709,000 tonnes at an average grade of 2.72g/t Au for 62,000 ounces of contained gold.
As part of its due diligence process for this potential acquisition, Red 5 is planning to drill test the Mineral Resource with three RC and three diamond holes.
