- De Grey Mining (DEG) has returned intercepts of up to 143.5 grams per tonne (g/t) gold during drilling at the Eagle zone of Hemi within the Mallina Gold Project
- The company has been carrying out extensional and infill drilling at Eagle, identifying high grade mineralisation similar to adjacent deposits as well as a strong structural overprint
- This overprint can carry high gold grades and occasional visible gold, with best intercepts of 51 metres at 6.3g/t gold from 106 metres, including 0.6 metres at 143.5g/t gold
- Resource definition drilling continues at Eagle as DEG works to increase the resource to Indicated so that the area can be included in the prefeasibility evaluation
- De Grey shares opened trading at $1.11
De Grey Mining (DEG) has returned intercepts of up to 143.5 grams per tonne (g/t) gold during drilling at the Eagle zone of Hemi.
Hemi is the company’s well-know gold discovery, which lies within its wider Mallina Gold Project in WA’s Pilbara region.
DEG has been carrying out extensional and infill drilling at Eagle, identifying high grade mineralisation similar to adjacent deposits such as Aquila, Brolga, Crow, Falcon and Diucon.
But, similar to Diucon, the gold explorer noted that Eagle contains a strong structural overprint in parts which can carry high gold grades and occasional visible gold.
Best result from the drilling includes 51 metres at 6.3g/t gold from 106 metres, including 0.6 metres at 143.5g/t gold from 147 metres, and 1 metre at 142g/t gold from 150 metres.
De Grey General Manager of Exploration Phil Tornatora said the minerlisation at Eagle has been extended along strike and at depth, with the bonanza intercepts showing a relatively consistent zone of higher grade mineralisation along the northern margin.
“Resource extension and definition drilling at Eagle has continued to identify high grade mineralisation associated with quartz-carbonate veining, sericite-albite alteration and visible gold,” he said.
“A zone of high grade intercepts at Eagle has now been intersected on several sections over a strike length of around 200 metres, and a down dip extent of at least 250 metres.
“Drilling in progress may expand the extent of high grade mineralisation. Geological studies are continuing, however the high grade mineralisation may represent a structural overprint on earlier intrusion hosted sulphide mineralisation.”
Mr Tornatora added that resource definition drilling was continuing at Eagle as the company aims to increase the resource to Indicated so it can be included in the prefeasibility evaluation.
“Resource definition drilling at Eagle to increase the resource confidence from JORC Inferred to Indicated is continuing so that the Eagle resource can be included in the prefeasibility evaluation. Eagle was not included in the Scoping Study ten year evaluation period,” he explained.
Before market open on Friday, De Grey Mining was $1.11 per share.