Capricorn Metals has reported strong exploration results at Karlawinda and Mt Gibson.
At Karlawinda gold project in WA, drilling uncovered near surface gold mineralisation over a 500-metre strike.
As a first pass, 73 holes were drilled at the newly identified Berwick prospect, yielding favourable results such as:
- Eight metres at 14.9 grams per tonne (g/t) gold from 74 metres
- Five metres at 9.37 g/t gold from 99 metres
- Four metres at 11.25 g/t gold from 45 metres
- Six metres at 4.11 g/t gold from 47 metres.
Capricorn Metals has commenced a follow-up drilling program to expand on these results.
Drilling was also conducted over nearly 2000 metres at the Vedas prospect at Karlawinda, also yielding favourable results such as:
- Eight metres at 4.36 g/t gold from 84 metres
- 10 metres at 1.51 g/t gold from 145 metres
- Eight metres at 2.24 g/t gold from 112 metres
- Four metres at 1.64 g/t gold from 104 metres.
Follow-up drilling at Vedas is planned for the June quarter.
At the Mt Gibson gold project, drill tests have continued to yield exceptional results, including:
- 15 metres at 7.11g/t gold from 165 to 180m
- Five metres at 16.28g/t gold from 163 to 168m
- One metre at 33.70g/t gold from 109 to 110m.
Results at Mt Gibson reaffirm Capricorn’s intention to expand operations at the site
Last week, the company received a pre-feasibility study (PFS) for the development of a second mining operation at Mt Gibson.
The PFS came back with a maiden ore reserve estimate of 48.7 million tonnes, increasing Capricorn’s gold reserves to 2.8 million ounces.
This ranks Capricorn as the seventh largest Australian only reserve base among ASX-listed gold companies.
“It is exciting that the Mt Gibson PFS has confirmed a 1.45 million ounce gold reserve that has the strong potential to support Capricorn’s second gold mining operation,” Capricorn executive chairman Mark Clark said.
“The study shows long term, high margin gold production averaging over 150,000 ounces per annum.
“Development of Mt Gibson will see Capricorn enter the very limited space of companies having all Australian based gold production exceeding 250,000 ounces per annum and gold reserves in excess of 2.5 million ounces.”