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De Grey Mining (ASX:DEG) outlines new gold zone at Mallina, WA

ASX News, Materials
ASX:DEG      MCAP $2.701B
13 February 2023 16:27 (AEST)

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De Grey Mining (DEG) has identified a new gold zone within its Mallina project in Western Australia’s Pilbara region.

The zone was defined at Withnell South and comprised several lodes over 800 metres of strike and 200 metres vertical depth, remaining open to the east and at depth.

Assay results from the reverse circulation drilling included 20 metres at 1.62 grams per tonne (g/t) gold from 110 metres, and nine metres at 4.6 g/t from 159 metres, as well as 17 metres at 1.38 g/t gold from 70 metres.

De Grey General Manager Exploration Phil Tornatora labelled the results at Withnell South “quite significant”, opening up the southern footwall structural position along the seven-kilometre long east-west Withnell trend.

Additionally, the company said a metallurgical drill hole that tested the down plunge orientation of the mineralisation defined strong continuity and grade of the Withnell Main Lode.

Results from this hole included 155.7 metres at 2.3 g/t gold from 119 metres including 65 metres at 3.2g/t gold and 7.2 metres at 15.4g/t.

Me Tornatora said the results from the metallurgical hole, combined with the new results at Withnell South, illustrate dthe exploration potential beneath and adjacent to regional deposits.

The company has now planned follow up drilling at Withnell South to progress the mineralisation toward the inferred resource category.

Meanwhile, future exploration across the whole Withnell area will aim to make new discoveries and expand potential open pit resources.

Shares in De Grey Mining were up 1.43 per cent trading at $1.42 at 4:30 pm AEDT.

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