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Echo Resources reports large scale drilling at its Yandal Gold site

Industrial
ASX:EAR
10 July 2019 22:25 (AEST)

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Echo Resources has provided exploration updates regarding its Yandal Gold Project in Western Australia.

As outlined in its Bankable Feasibility Study, released on April 23 2019, Echo is focused on targeting greenfield exploration to enhance the already strong returns that were forecast in the Feasibility Study.

Key exploration includes improving production profile, extending further mine life and testing potentially large-scale discovery targets.

Drilling has commenced initially targeting the highly prospective and shallow Bronzewing Northeast prospect.

The area measuring approximately 450 by 200 metres and Echo plans to complete five sections of reverse circulation drilling to approximately 120 metres with hole spacings of 60 metres.

Significant results include three metres at 1.73 g/t gold from six metres, and six metres at 1.53 g/t gold from 46 metres.

Once drilling is completed at Bronzewing testing will be undertaken at other significant targets including: Ashanti, Corboys, Python, Red Belly Black and Bills Find.

Once a structural review has been completed, a diamond rig will be mobilised to test for prospective Bronzewing structural repeats.

“Our AC and RC drilling has the potential to add incremental ounces to enhance our already robust current four-year mine plan and support our mine development objective,” Echo CEO Victor Rajasooriar said.

“The diamond drilling of the structural targets at Bronzewing and Lotus have potential to deliver transformational discoveries of Echo and we eagerly await the completion of the structural study.”

With an existing Mineral Resource of 1.7 million ounces and Ore Reserves of 815,000 ounces, the Yandal greenstone belt is one of Australia’s most productive gold producing belts.

Yandal has been historically subject to over 150,000 holes for over four million metres of drilling. However, most of this drilling was ineffective as over 90 per cent of the belt is disguised by transported cover making the historical drilling blind.

Echo is up 9.09 percent to sit at 18 cents with a market $114 million.

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