Join our daily newsletter At The Bell to receive exclusive market insights
- Manuka Resources (MKR) has received high-grade gold results from resource extension drilling at the Mt Boppy deposit in New South Wales
- As part of a three-stage exploration program, the company is testing down-dip extensions of mineralisation at Mount Boppy
- Initial results have shown grades of up to 34.48 grams per tonne of gold
- Manuka has also begun a 200-hole infill drilling program at the Wonawinta silver resource, which was once Australia’s largest producer of primary silver
- Since coming out of a trading halt, company shares ended the day 19.3 per cent in the green to trade for 68 cents each
Manuka Resources (MKR) has come out of a trading halt since announcing significant results from resource extension drilling at the Mt Boppy deposit.
The company began a three-stage exploration program earlier this month, targeting the Mt Boppy and Wonawinta pits in New South Wales. Specifically, Manuka is testing down-dip extensions of mineralisation in the hanging-wall of back-filled stopes in the Mt Boppy deposit.
So far, Manuka has completed six holes which have returned some encouraging results. Two holes returned high grades including 10 metres at 34.48g/t of gold from 57 metres and 14 metres at 14.51g/t of gold from 59 metres.
These two intercepts are approximately 7 to 29 metres beneath the current planned pit floor. Manuka will conduct more drilling before the end of the month to further test this depth extension beneath the pit floor.
The Mt Boppy Gold mine and neighbouring tenements host an existing open pit probable reserve of 260,000 tonnes at 3.09g/t of gold. This is based on a cut-off grade of 1.36g/t for oxide material and 1.47g/t for transitional material.
Wonawinta
Meantime, infill drilling has also commenced at the Wonawinta silver resource and will continue for the next two months. Drilling consists of around 200 holes of reverse circulation (RC) and diamond drilling for metallurgical samples.
Including the mine, processing plant and neighbouring tenements, the Wonawinta Silver Project has an inferred JORC-compliant silver resource of 52 million ounces of silver at 42g/t silver at a cut-off grade of 20g/t silver.
Wonawinta used to be the largest producer of primary silver in Australia. Manuka’s goal after exploration at Mt Boppy is to return it to the production of silver in mid-2021.
Company shares closed 19.3 per cent in the green today, August 24, to trade for 68 cents at market close.
