Gascoyne Resources has flagged the potential of extending the life of the Dalgaranga gold project in Western Australia following positive drilling results.
The company speculated that the boost in mine life could come if further drilling shows similar success.
Gascoyne completed reverse circulation (RC) drilling program at the Gilbey’s, Sly Fox and Plymouth deposits at the Dalgaranga project in September, with eight of the nine drilling assays completed.
The most significant result was at the Gilbey’s deposit, which recorded an intersection of 11 metres at 4.2 grams of gold from 227 metres.
Gascoyne chief executive Richard Hay said the drilling assays showed there was “strong potential” to enhance the Dalgaranga operation.
“The success of this short drill program highlights that with further infill and extensional drilling, the strong potential for material additions to mineral resources and ore reserves, and with further drilling success, could lead to significant increase to mine life at Gascoyne’s flagship Dalgaranga operation,” he said.
Further drilling at tenements surrounding Dalgaranga is well into planning, with Gascoyne currently sourcing an aide core drill rig.
The company expects air core drilling to commence this quarter.
Gascoyne entered voluntary administration in 2019 but had the Federal Court of Australia rule in its favour to re-list on the ASX this year.