Australian gold and nickel focused exploration company, St George Mining (ASX: SGQ) has commenced a 3,600 metre reverse-circulation drilling program at its East Laverton property in the North-Eastern Goldfields region of Western Australia.
The property is in proximity to major recent gold discoveries by Eleckra Mines Limited (ASX: EKM) at its Yamarna Gold Project, Corvette Resources Limited (ASX: CVX) at its Plumridge Project and the Tropicana Joint Venture, with a 5 million plus gold ounce resource .
The main focus of the drilling programme is to test three of the company’s advanced gold targets named Desert Knight, Desert King and Desert Dragon.
These prospects are situated within two large gold systems identified by the company’s regional MMI (mobile metal ion) soil geochemical survey, which commenced earlier this year.
John Prineas, executive chairman, said that the maiden drilling programme
was an important milestone for the company that could significantly increase shareholder value.
“We are very excited to be launching our maiden drilling programme following our successful IPO and ASX listing earlier this week. Our objective is to intersect broad zones of gold mineralisation and thereby confirm the potential of several of our prospects."
The drilling programme will be completed in December 2010 before the end of the 2010
field season. Sample results are expected from the laboratory in January 2011.
St George has a market capitalisation of A$13.68 million.