PriceSensitive

Venus finds more significant gold anomalies at Youanmi

Mining
ASX:VMC      MCAP $15.74M
14 October 2019 22:45 (AEST)

Venus Metals and its joint venture partner, Rox Resources, has received results from an air core drilling program at its Youanmi Gold Project.

The Youanmi Gold Mine is located in Western Australia approximately 480 kilometres northeast of Perth and owned 50/50 by Venus and Rox. The agreement between the companies was finalised in June 2019.

The project has produced an estimated 667,000 ounces of gold since 1908 and closed in 1997 when the gold price was $400 per ounce. Recent exploration is being undertaken at an optimal time as the gold price has seen a staggering increase to $1760 per ounce.

This recent drilling program at Youanmi consisted of 114 holes, for 5774 metres.

Results from the program discovered two gold anomalies (max 0.73 g/t and 0.17 g/t of gold in VRAC039 and VRAC085), spatially associated with anomalous lead concentrations of up to 0.15 per cent and zinc concentrations of up to 0.28 per cent.

A third gold anomaly (max 0.16 g/t of gold) in hole VRAC079 is associated with anomalous copper concentrations with a maximum of 0.23 per cent of copper within an interval of 24 metres at 0.1 per cent of copper from 32 metres deep.

“Recent geochemical studies by the Joint Venture have shown, the association of gold with anomalous lead, zinc and copper characterises many high‐grade gold intercepts at Currans North,” the company told the market this morning.

The studies also found at Penny West gold mine, an association with base metals and in particular, lead.

Venus believes the discovery of gold, lead, zinc and copper anomalies along the strike from the Penny West gold mine, and less than two kilometres east of Currans Find North high-grade gold mineralisation, is considered highly significant.

Recently the company reported historical aeromagnetic data, showing a magnetic low within which the Penny West gold deposit and the Columbia-Magenta prospects are located.

“This magnetic feature extends north into the Venus Joint Venture tenement (E57/1019) where it appears to diverge into two subparallel trends both of which present highly prospective settings for gold mineralization of the Penny West type,” the company said.

Both magnetic trends were targeted in the recent drilling program.

Historical drilling in the general target area is very limited and transported soil cover has contributed to the historical surface exploration as mostly ineffective. Hence, why this area has remained unexplored for gold and base metals.

A follow up drilling program has just been completed on high-priority targets, which have been identified from this recent program. This follow-up drilling is totalling 51 holes for 2608 metres.

The company is waiting with strong interest in the results from the follow-up drilling.

Venus Metals is down 5.26 per cent on the Australian Securities Exchange and is selling shares for 18 cents apiece at 12:46 pm AEDT.

Related News