An Exploration Target of 24 Mt to 34 Mt at 1.1g/t to 1.4g/t Au, comprising between 0.9 Moz and 1.5 Moz of gold has been estimated between 140 and 700 m depth for the Two Mile Hill tonalite deeps deposit at Middle Island’s Sandstone gold project in Western Australia. The potential quantity and grade of the Exploration Target is conceptual in nature, as there has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
The estimated Exploration Target follows the incorporation of results from diamond core hole MSDD156, which generated a gold intercept of 508.3 m at 1.38g/t Au, including 160 m at 2.31g/t Au. The target confirms the presence of a substantial and ubiquitously mineralised system measuring ~250 m in strike and up to 90 m in width at surface, which is mineralised to at least 713 m depth and remains open beneath this level.
Within the Exploration Target, broader, sub-horizontal zones of higher grade mineralisation include approximate true width intercepts of 22 m at 5.95 g/t, 37 m at 4.46 g/t, 50 m at 2.71 g/t, 13 m at 6.39g/t and 11 m at 6.89 g/t Au.
The new target, along with encouraging results derived from recent metallurgical and mineralogical test work, increases the potential for bulk underground mining beneath the proposed open-pit cutback on the Two Mile Hill tonalite deposit.
Formal resource updates for both the Two Mile Hill tonalite deeps and BIF deposits are being prepared by an independent consultant prior to completing the underground mining concept study.