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Golden State Mining (ASX:GSM) appoints contractor for drilling at Yule South

Mining
ASX:GSM      MCAP $3.352M
23 June 2020 13:00 (AEST)
Golden State Mining (ASX:GSM) - Managing Director, Michael Moore

Source: The Market Herald

Golden State Mining (GSM) has appointed Bostech Drilling Australia as the drill contractor for its maiden 10,000-metre air core drilling program at Yule South.

Bostech reportedly has significant drilling experience in the Yule region. It was recently involved in De Grey Mining’s (DEG) Hemi discovery, which lies just 13 kilometres southwest of Yule South.

The Yule South tenements make up two of four exploration licences within the company’s wholly-owned Yule Project.

The Yule Project is located southwest of Port Hedland in the northern Pilbara region of Western Australia.

“We’re delighted to have secured the services of Bostech who are not only highly regarded in the exploration sector but have crucial experience in drilling similar rock types and cover at the Hemi prospect,” Golden State Managing Director Michael Moore said.

The drill targets

The upcoming aircore drilling program will test five priority gold targets.

Target one consists of a tightly-folded hinge zone of expected ultramafic and mafic units. These exist within the Mallina formation of metasediments and magnetic anomalies, and are parallel to a major northeast-southwest structure.

Meanwhile, target two is a structure corridor, spanning over 10 kilometres. It’s interpreted to contain altered metasediments and greenstone enclaves within folded dilational structures.

Similar to the other targets, the company believes target three is a tightly folded greenstone and ultramafic sequence or intrusive along a granite contact zone.

Golden State interprets target four as potential greenstone sequences within Mallina Basin sediments, which are near a fault splay northeast of the Yule River Shear Zone.

Finally, target five is located along the highly magnetic northern contact zone of an intrusive body within the Portree granite complex.

Preparations for the program have been finalised and drilling is scheduled to begin on July 2.

Despite the announcement, company shares have dropped a slight 3.33 per cent and are trading for 43.5 cents each just before midday.

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