Nyota Minerals (LON:NYO, ASX:NYO) has come another step closer to upgrading the gold resource at its flagship Tulu Kapi project in Ethiopia, after receiving “particularly encouraging” assay results.
The results from 21 reverse circulation (RC) and eight diamond drill holes included 5 metres grading 20.57 grammes per tonne (g/t), 8 metres at 6.44 g/t and 7.75 metres at 5.03 g/t.
The company was pleased with the results, noting that they showed further significant gold mineralisation which remained open at depth, to the west, to the southwest and to the north.
Expansion drilling has focused on areas where mineralisation occurs between the drill limits of the current resource and into geological structures and different rock types that were previously thought to limit the extent of the mineralisation.
The drilling campaign is aimed at upgrading the previously announced current inferred JORC resource of 1.38 million ounces (Moz) contained in 25.45 million tonnes (Mt) grading 1.68 g/t gold at a 0.5% g/t cut-off. Nyota is looking to prove up additional ounces for an open pit mining scenario and assess the possibility of further ounces for a future underground operation.
The RC drilling results reported in the previous update on 5 August included intersections of 23 metres 3.55 g/t gold, 8 metres at 4.84 g/t gold, 3 metres at 6.25 g/t gold, 4 metres at 6.95 g/t gold, 2 metres at 7.10 g/t gold and 1 metre at 9.79 g/t gold.
In June, the company announced the discovery of a high grade structure beneath the current inferred resource that intersected 8.7 metres averaging 8.9 g/t gold. This month, the company commenced an airborne geophysical survey over its exploration properties in Ethiopia as the first step in finding new targets on the expanded area.
The project is currently at the Preliminary Economic Assessment (PEA) Feasibility stage.
Supported by a recent £21.6 million fundraising, Nyota is advancing Tulu Kapi to reach production “as soon as possible”.