- Alchemy Resources (ALY) receives high-grade gold results from its phase one drill program at the Karonie Gold Project in WA
- Results from all 27 holes have now been received, with wide zones of mineralisation intersected along strike and down dip of existing zones at the Parmelia, Taupo and KZ5 prospects
- Alchemy will now look to begin 3D modelling of mineralised in order to potentially generating maiden resources at KZ5, Taupo and Parmelia
- Alchemy Resources was up 15.4 per cent, trading at 1.5 cents at 12:55 pm AEST
Alchemy Resources (ALY) has received high-grade gold results from its phase one drill program at the Karonie Gold Project.
Results from all 27 holes have now been received, with wide zones of mineralisation intersected along strike and down dip of existing zones at the Parmelia, Taupo and KZ5 prospects.
The program focussed on infilling and extending shallow zones of mineralisation, with anomalous intercepts returned from most holes.
At Taupo, mineralisation extended 150 metres down dip, remaining open at depth. Best results include 4 metres at 1.72g/t gold from 123 metres.
At KZ5, mineralisation was intercepted with assays returning 4 metres at 3.39 g/t gold from 56 meters. Alchemy says it believes this presents an opportunity to test the structure to the northwest, where historic drilling is both wide spaced and shallow, with most hole depths at 10 metres or less.
Reverse circulation drilling at Parmelia was designed to infill previous drilling and test strike extensions of the existing mineralisation envelope.
Results confirmed the mineralised structure extends both down dip and along strike to the south, with assays ranging from 0.3g/t gold to 0.83g/t gold, over widths of 4 metres to 20 metres.
The company says the Parmelia mineralisation may occur as a series of steeply south plunging shoots over a strike length exceeding 500 metres in length. This is planned to be tested in follow-up drill programs.
Alchemy will now look to begin 3D modelling of mineralised in order to potentially generating maiden resources at KZ5, Taupo and Parmelia.
“Karonie is continuing to emerge as a very exciting project,” Alchemy’s Chief Executive Officer, James Wilson said.
Alchemy Resources was up 15.4 per cent, trading at 1.5 cents at 12:55 pm AEST.