- Middle Island Resources (MDI) has completed maiden resource estimates for two satellite deposits at its Sandstone gold project in Western Australia
- Collectively, the Ridge and McClaren open-pit deposits are estimated to contained 24,500 ounces of gold, which brings the project’s aggregate resource to 746,500 ounces
- The deposits are the final two of five new deposits quantified in the company’s 50,000 metres drilling program and will likely contribute to the Sandstone feasibility study
- Shares have been trading 7.14 per cent higher for 1.5 cents
Middle Island Resources (MDI) has completed maiden resource estimates for two satellite deposits at its Sandstone gold project in Western Australia.
Collectively, the Ridge and McClaren open-pit deposits are estimated to contained 24,500 ounces of gold, which brings the project’s aggregate resource to 746,500 ounces.
Additionally, more than 72 per cent of the Ridge resource was classified in the indicated category, as was more than 80 per cent of the McClaren resource.
The deposits are the final two of new five new deposits quantified in the company’s 50,000 metres drilling program.
Managing Director Rick Yeates said the Ridge deposit yielded particularly promising results.
“The maiden Ridge mineral resource is a particularly pleasing outcome, as the higher grade, northern extension of this deposit appears to be only limited by the quantum of drilling,” Rick stated.
“This shallow dipping, near-surface, mineralised extension was the final area drilled in the phase two campaign on a 40-metre by 40-metre pattern and, as such, is appropriately classified as an inferred resource,” he continued.
Mineralisation at the deposit is open to the northwest and is now being drilled as part of a phase three program, due to be completed before the end of the year.
“Infill drilling on a 20-metre by 20-metre pattern should see this shallow, higher grade, deposit extension reclassified as an indicated resource for consideration as an ore reserve,” Rick explained.
Middle Island considers it likely that both Ridge and McClaren will be included in the current project feasibility study, scheduled for completion in January 2021.
“Prior to the commencement of the 2020 drilling campaign, the anticipated best-case scenario was a doubling of Sandstone’s open pit mineral resources which, with the addition of Ridge and McClaren, we have now achieved,” said the Managing Director.
Shares have been trading 7.14 per cent higher for 1.5 cents at 10:30 am AEDT.