- Musgrave Minerals (MGV) releases new results from drilling at the Lake Austin project which is part of a joint venture with ASX-listed Evolution Mining (EVN)
- The latest aircore drilling results extend the gold anomalism at the West Island prospect to more than 1.6 kilometres of strike and it remains open
- The companies are also undertaking diamond drilling which has so far returned 3 grams of gold per tonne (g/t) gold over eight metres and a higher-grade intercept of 19.7g/t gold over 0.9 metres
- Evolution believes the results further reinforce its belief in the thick nature of gold dispersion and high-quality nature of the project
- MGV shares closed up 3.03 per cent at 34 cents while EVN shares closed 0.81 per cent lower at $3.67
Musgrave Minerals (MGV) has announced additional results from drilling at the Lake Austin project which is part of a joint venture (JV) with Evolution Mining (EVN).
Joint venture background
The companies have completed two phases of aircore drilling since they formed an agreement in October 2019 and are now undertaking a third phase of more than 17,000 metres.
The JV covers Lake Austin and surrounds of the Cue project in WA but excludes all the current resources at Cue such as the Break of Day deposit, the Mainland option area, and more.
Musgrave is the operator and Evolution can earn a 75 per cent interest in the JV area by solely funding $18 million on exploration over five years. So far, EVN has spent $6 million.
Latest results
Musgrave and Evolution have received results for the first 32 holes of the current program with the latest having extended the regolith gold anomalism at the West Island prospect to over 1.6 kilometres of strike where it remains open to the north and south.
Latest aircore drilling results include 67 metres at 0.86 grams of gold per tonne (g/t) from 88 metres including 12 metres at 3.33g/t gold from 108 metres, and 53 metres at 2.01g/t gold from 108 metres including 27 metres at 3.63g/t gold from 134 metres.
These results are around 700 metres south of the diamond drilling at the project and are the strongest aircore intersections so far at Lake Austin.
Musgrave Managing Director Rob Waugh commented on the aircore results.
“This is an excellent result from aircore drilling and shows the extensive and thick nature of the regolith gold dispersion in this area,” Mr Waugh said. “Diamond drilling has commenced in this new target zone 700 metres south of previous basement drilling and we look forward to providing the results as they come to hand.”
Nine diamond holes have also been completed, with seven holes drilled at West Island. Assays have been received for the first two with best results including eight metres at 3g/t gold from 212 metres including 0.9 metres at 19.7g/t gold from 214.8 metres.
Evolution’s Vice President for Discovery and Business Development, Glen Masterman, was pleased with the recent assays.
“The results reinforce our belief in the high-quality project we are delineating and validate the original area selection work by the Evolution team that led to the formation of our partnership with Musgrave,” Mr Masterman said.
MGV shares closed up 3.03 per cent at 34 cents while EVN shares closed 0.81 per cent lower at $3.67.