De Grey Mining Limited (ASX:DEG) has intersected conglomerate beds in the first diamond core hole completed at the Steel Well Prospect within its Pilbara Gold Project in Western Australia.
The drilling returned multiple conglomerate beds down-dip of outcropping conglomerate, greywacke and siltstone units demonstrating overall true thickness of 68 metres.
Notably, multiple pyritic horizons were identified throughout the conglomerate sequence.
Pyrite-bearing pebble conglomerate at 14.20 metres
The Pilbara Gold Project has excellent potential for additional resources along the 200+ kilometres strike length, with only 10% of the shear zones having received detailed drilling to date to successfully define a +1.2 million gold ounces resource.
De Grey technical director Andy Beckwith said: “Our geological understanding of the conglomerate sequence at both Jarret Well and Steel Well has increased markedly and the multi-element assays are intended to focus the future bulk sampling on the preferred gold anomalous portions of the units.
“We now have pyrite bearing conglomerate units at all three prospects.”
Gold nugget
Recent metal detecting along the new access track to the drill site resulted in the discovery of a single gold nugget.
The gold nugget (0.2 grams) was found south of the Steel Well drill collar where the bulldozer track exposed a small section of outcropping boulder conglomerate.
Steel Well gold nugget found on access track
This nugget is the first discovered in proximity to the conglomerate outcrops at Steel Well.
De Grey has planned soil sampling programs for the Loudens Patch, Jarret Well and Steel Well prospects in the coming weeks.
The aim of the soil sampling is to identify and delineate the potential gold-bearing conglomerate horizons and highlight areas with high gold soil tenor which can be preferentially targeted in the upcoming bulk sampling program.