Frontier Resources (ASX: FNT) has made additional high grade gold-bismuth intersections from drilling at the Stormont Deposit within the Moina Project, northern Tasmania.
Highlights include 4 metres at 18.6 grams per tonne (g/t) gold with 0.96% bismuth and 3 metres at 17.28g/t gold with 0.59% bismuth.
Bismuth has emerged as a significant possible bi-product for the Stormont Deposit, with intercepts such as 2.2 metres at 1.54% bismuth and 17.6 metres at 0.50% bismuth.
Drill intersections in eight holes have now extended the gold–bismuth mineralisation beyond the previously defined resource boundary to the south east, which is is a high priority for the company to extend the known mineralisation.
The gold assay results were from a further 17 diamond core holes and the bismuth results were from 23 holes and are favourable for future development and mining.
The mineralisation is at or very near surface with a very low probable stripping ratio and the gold mineralisation has excellent metallurgical recoveries via direct cyanidation.
The location is convenient and close to required infrastructure and the deposit would likely be simple and relatively inexpensive to develop and mine.
Bismuth is presently three to four times the value of copper and it may become a significant bi-product of future mining at Stormont if future metallurgical testing demonstrates its extractability.
In addition to the drilling at Stormont, drilling will also commence at the nearby Narrawa Prospect within the next week with the objectives of increasing the total resource and increasing the confidence level of the known mineralisation to allow the Indicated and Inferred resource to be re-classified as Measured and Indicated.
The Narrawa Indicated and Inferred Resource contains 14,125 ounces of gold, plus 131,300 ounces of silver, 2,765 tonnes of lead and 2,335 tonnes of zinc (using a 0.5g/t gold cut-off grade).
The company will then update its Conceptual Mining Study (that was completed in 2009) and release the associated economic/financial evaluation of both deposits.
The 3D-IP survey is now well advanced, with preliminary results of the grid completed to date expected within the next week.