Ausgold is uncovering fresh growth opportunities at its Katanning gold project (KGP) in Western Australia as drilling continues to strengthen confidence in the mine’s early years.
New drilling has returned a series of thick, high-grade intercepts across the project, including 26m at 3.03 grams per tonne (g/t) gold, 10m at 3.78g/t gold and 9m at 3.67g/t gold. The results form part of a broader campaign aimed at growing KGP’s existing 2.44-million-ounce resource and 1.33-million-ounce reserve.
“The KGP continues to deliver exciting drill results, with this fifth announcement from the ongoing drilling campaign demonstrating progress across multiple fronts, including resource growth, enhanced confidence in the existing resource model, and the advancement of a pipeline of satellite opportunities,” Ausgold executive chairman John Dorward said.
The latest results come as Katanning moves closer to production. More than 56,000m of drilling has now been completed as part of the current campaign, with another 25,000m set to begin this month to tighten drill spacing across the first two years of planned mine life.
A review of more than 31,000m of infill drilling has also strengthened confidence in the project’s geological model, with more than 80 per cent of results returning grades above those predicted by the existing resource model. Extensional drilling at the Jinkas and White Dam-Jackson lodes has meanwhile intersected mineralisation beyond the current resource envelope, highlighting opportunities for future growth.
“The formal review of in-fill drilling has confirmed the robustness of the existing resource model and highlighted opportunities for improvement, while extensional drilling continues to demonstrate the scale and continuity of the Katanning mineralised system beyond the current resource envelope,” Dorward said.
Elsewhere on the project, deep drilling at Datatine, about 4km north of the Central Zone, intersected 9.5m at 2.44g/t gold from 512m, prompting underground mining studies to assess the potential for a future underground operation.
Regional exploration is also gathering pace. At the Nanicup Bridge prospect, located 40km south-east of KGP, drilling confirmed multiple mineralised lodes extending for at least 1km of strike, with the prospect emerging as a potential satellite resource to complement Katanning as it advances towards production.
“With a further 25,000m of drilling about to commence, Ausgold remains focused on systematically growing and advancing the Katanning gold project as we progress towards development.”
Subscribe to Australian Mining and receive the latest news on product announcements, industry developments, commodities and more.
