Riversgold Ltd (ASX:RGL) has hit intercepts up to 3 metres at 17.8 g/t gold, including 1 metre at 48.5 g/t, at its Farr-Jones target in Western Australia’s Eastern Goldfields.
This was the first drilling campaign at the prospect since 1991-92 and comprised seven reverse circulation holes.
The previous drilling tested an 800-metre-long gold-in-soil anomaly and intersected gold mineralisation over 130 metres down-dip in a quartz vein hosted in black shale.
Gold grades increasing with depth
Results have been received for a small number of samples selected from the first three holes, based on visual observations of significant sulphide mineralisation.
The samples intersected sulphide mineralisation with gold grades apparently increasing with depth.
At least one of the other four holes intersected similar sulphide mineralisation and results for these holes are pending.
Riversgold’s managing director Allan Kelly said the drilling had surpassed expectations and shares reflected the results, rising almost 32% to 14.5 cents.
“The gold grade is apparently increasing with depth on both sections and we can also show potential for a significant strike length when considering the size of the original soil anomaly, which remains mostly untested,” he said.
New drill target identified
Analysis of historical exploration data has highlighted a second high-priority drill target at the newly named Horan prospect, around 1.5 kilometres north of Farr-Jones.
Historical soil sampling outlined a 900-metre-long north-northwest trending gold-in-soil anomaly at Horan, similar in size, magnitude and orientation to Farr-Jones.
The Horan target has never been drill tested.
Given the recent results, Horan has been identified as a key target as soon as permitting has been completed.