Pantoro (ASX:PNR) has discovered higher than expected grades of gold while developing the Johnstone Lode within the Nicolsons underground gold mine located in Western Australia.
High grade mineralisation was found in zones which are modelled as being relatively low grade in the current JORC resource estimate.
In addition, development has intersected a new splay vein with similar characteristics to the Darcy and Mother Lodes. The new splay vein is named the Bobby Lode.
Paul Cmrlec, managing director, commented: “We are highly encouraged by the significant over-calls seen to date in the Johnston Lode.
“Early development in the south of the mine has already revealed the same structural architecture that we have seen in the northern end of the mine, and being able to develop an additional splay vein is a real win.
“The splay veins are relatively short in the context of the overall system, as they are bounded by the main north-south striking structures, but are very rich and have been major contributors to our gold production.
“It appears that the large upgrades that we have seen in the northern lodes to date are beginning to play out in the southern end of the mine.”
Recent Nicolsons upgrades
Pantoro recently significantly upgraded its JORC Mineral Resources and Ore Reserves at its Nicolsons gold mine within its 100% owned Halls Creek Project in Western Australia.
Resources have been updated in the Nicolsons, Wagtail, and Rowdies deposits and the total combined resource now stands at 1.58 million tonnes at 7.43 g/t for 376,701 ounces of gold.
The total Ore Reserve now stands at 773,252 tonnes at 7.35 g/t for 182,823 ounces of gold, a 62% increase after mining depletion.
Mineralisation remains open at depth in all lodes currently being mined at Nicolsons and Wagtail.
Ongoing drilling programs are continuing aimed at establishing additional Ore Reserve increases in the near term.
The resource and reserve upgrades have shown the potential the Nicolsons gold mine has to prolong its mine life, which in turn increases its value.