Established gold explorer De Grey Mining (ASX:DEG) has announced fresh gold hits from nearby its hotly watched Hemi Deposit, which it says support an underground mine concept.
The company highlighted a range of assay results including:
- 4.6m @ 31.8g/t gold including 1.1m @ 130g/t gold
- 20.4m @ 4.0g/t gold including 0.7m @ 79.7g/t gold
- 16.5m @ 1.8g/t gold including 7.5m @ 3.4g/t gold
- 19.3m @ 1.0g/t gold including 5.8m @ 1.6g/t gold
As well as boosting the possibility of an underground mine in the future, the company also sees resource growth potential at Eagle.
Eagle mineralisation has been extended by 200m with mineralisation remaining open downplunge and along strike. That, in De Grey’s view, will only add further upside to production forecasts in an existing DFS.
Exploration remains underway at Hemi and other regional targets; diamond drill rigs are active on-site Aquila.
“In addition to potential resource increases, deeper drilling at Hemi will support our conceptual studies into potential underground mining in the future,” DEG exploration chief Phil Tornatora said.
“Deeper diamond drilling is now focussed on extending the Aquila mineralisation at depth, with diamond drilling also being planned for Falcon and other targets.”
De Grey is well known for becoming a familiar name during COVID after the company struck upon an IOCG-syle deposit in WA.
That led it to where it is today with a $2.6B market cap – however, one year returns are down -15.7%.
DEG last traded at $1.08/sh.