Catalyst Metals (ASX: CYL) has intersected a new zone of gold mineralisation from drilling east of the known zone at the Four Eagles Gold Project.
Four Eagles is located along strike of the Bendigo Goldfield and west of the towns of Mitiamo and Raywood in central Victoria, extending from 20 to 70 kilometres north of Bendigo.
The grade was relatively low at 3 metres at 0.7 g/t Au from 84 metres, the drilling did confirm gold mineralisation almost on the projected position of the Whitelaw Fault.
The results may also indicate close proximity to high grade gold mineralisation.
Visible gold was observed in drillhole FE 473 in quartz rich gravels just above the basement contact. This zone assayed 3 metres at 0.41 g/t Au from a depth of 93 metres.
An aircore drilling programme was completed in November 2011 with 49 holes drilled for a total of 4,275 metres.
The programme was mostly reconnaissance with the objective of gaining initial information from the northern Exploration Licence 5295.
Other low grade alluvial zones of gold mineralisation in this area suggest another source of basement gold could exist in EL5295.
Aircore drilling in the Eagle 3 Zone intersected gold mineralisation of 3 metres at 1.1 g/t Au from 75 metres and 3 metres at 0.6 g/t Au from 78 metres which may predicate continuous mineralisation over a 1.3 kilometre strike length.
Reverse circulation (RC) drilling commenced on 12 December 2011 but was terminated on 19 December when the contracted drill rig suffered technical problems and had insufficient air pressure to penetrate hard quartz veins and water inflows.
A higher capacity RC rig has been booked for an early February 2012 drilling campaign, subject to the company deciding to exercise its option with Providence Gold & Minerals.
An encouraging feature of the area around FE 415 is the shallow basement and the obvious presence of multiple quartz veins.