Mithril Resources Ltd (ASX:MTH) has increased the extent of high-grade gold mineralisation after completing a drill program at the Spargos Reward Gold Deposit in West Kambalda, Western Australia.
Three new drill-holes returned gold assays that included 13 metres at 3.69 g/t gold from 219 metres depth, which contained 3.6 metres at 8.96 g/t gold.
The intercepts were returned from a sub-vertical zone of strong shearing and alteration (quartz – pyrite –arsenopyrite) that occurs at the contact between felsic volcaniclastics and quartz biotite schists.
Previously reported intercepts of 8 metres at 10.30 g/t gold from 242 metres, together with these new results demonstrate continuity of the Main Lode gold mineralisation over 180 metres strike length to 350 metres vertical depth and remains open down dip.
The new drill holes intercepted dolerite gold mineralisation, which is a key control on the formation of large gold deposits throughout the broader Kalgoorlie - Kambalda region.
Dolerite identification at Spargos Reward for the first time highlights the potential to significantly increase the size of the overall Spargos Reward gold system.
To confirm the new mineralisation and to determine future drilling targets, Mithril Resources is reviewing all of the drilling data ahead of developing a new geological model for the deposit.
Mithril Resources’ share price has risen 40% since the beginning of 2016.
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