Mithril Resources (ASX:MTH) has delineated up to 13.76 grams per tonne of gold at its Spargos Reward project in Western Australia.
Drill results suggest that a "shoot" of high grade gold mineralisation extends sub-vertically beneath workings to about 400 metres depth with potential to host further high-grade mineralisation.
The vein has been tested by broad spaced drilling and remains open in most directions.
Initial drilling from eight holes, with four adjacent to and below the historic underground mine workings and another four drilled along strike intersected significant high grade gold mineralisation.
This included 14 metres at 6.75g/t gold from 130 metres including 6 metres at 12.67g/t and 11 metres at 3.54 g/t including 2 metres at13.67g/t.
More drilling is set to start next month.
The Spargos Reward gold mine is one of the priority targets within the 75 square kilometres West Kambalda project area, which also includes the recently acquired Spargoville gold project.
The West Kambalda project area includes the historic high grad Spargos Reward gold mine and the Allison Gold Deposit, where a JORC compliant inferred resource of 2.1 million tonnes at 1.3 g/t gold at 86,800 ounces has been defined.
Spargos Reward was historically mined to a vertical depth of 120 metres (underground and open pit) with total production of approximately 29,257 ounces at 8g/t gold.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.