Strickland Metals Ltd (ASX:STK) is poised to expedite mineral resource expansion at the historic Millrose Gold Project within the company’s consolidated tenement package on the northeast flank of the prodigious Yandal Greenstone Belt, WA.
Promisingly, the recently acquired prospect has mineralisation open in all directions and along strike without any follow up drilling over the past two decades.
Strickland aims to begin the initial phase of the drill program in the December quarter followed by the main program in the March quarter of 2022.
“High-grade mineralisation”
Strickland technical consultant Peter Langworthy said: “Millrose is clearly shaping up as a tremendous opportunity for Strickland to rapidly grow its current mineral resource inventory in a very attractive part of the Western Australian Goldfields.
“It’s very rare to acquire such a high-quality project which has so much short term upside in a region like where we are with Millrose.
“The prospect has high-grade mineralisation open in virtually every direction, without any follow up drilling over the past two decades.
"Further, it lies only 30 kilometres due east of Northern Star’s giant Jundee gold operation.”
Millrose location.
Resource extension
The Millrose deposit hosts a JORC-compliant mineral resource of 6 million tonnes at 1.8 g/t gold for 346,000 ounces of contained gold.
Gold mineralisation remains open along strike and at depth with the trend being well defined and traceable in the available geophysical datasets and limited RC and aircore drilling.
The resource consists of a northern and southern zone with the ‘gap’ in between only defined by aircore drilling that was not included in the resource estimation.
Strickland is planning to undertake a systematic reverse circulation (RC) program in this ‘gap’ area, the results of which will likely feed into a resource expansion.
Furthermore, a combination of RC and diamond drilling will be undertaken to test for depth extensions.
”Resource extensional drilling”
Langworthy adds: “From a technical perspective, the company will begin resource extensional drilling in areas of previously identified gold mineralisation which have not been included in any past resource calculations.
“We expect this will add substantial gold ounces very cheaply and very quickly.
“Drilling will also test depth extensions to higher grade zones which remain open.
“Separate to that, mineralisation remains open to the north and south of the current modelled deposits.
“Historic aircore drilling has identified similar mineralisation to what we see above the current mineral resource.”
Exploration targets
At the outset, there are about 3,000 metres of prospective strike immediately to the north and south of the existing mineral resource.
The results from the recently acquired gravity survey in conjunction with existing airborne magnetic data show several northwest-trending structures which appear to control the gold mineralisation along this shear structure.
Strickland will undertake a systematic RC program to test for gold mineralisation along strike from the existing mineral resource.
“Robust feasibility modelling”
Langworthy adds: “The company will undertake a systematic drill out of these exploration areas.
“We’ll also have a focus on reporting future resource upgrades as predominantly measured indicated mineral resources to allow for robust feasibility modelling to occur.
“Overall Millrose represents a fantastic opportunity to take Strickland’s resource base to the next level in a very cost-effective manner.
“Given its location of only 30 kilometres east of Jundee, it’s clearly a very strategic deposit for the region.”
Follow up program
Initial parts of the drill program will begin in the next quarter, subject to Heritage clearance, while, the main part of the program will begin in March quarter 2022 and run for at least six months.
It is anticipated 30,000 metres of aircore drilling, 15,000 metres of RC drilling and 8,000 metres of diamond drilling will be completed as part of the Millrose resource expansion program.
Strickland’s drill program will be complemented with a mineral resource upgrade which is likely to comprise a significant addition to the current resource.
After the resource upgrade, the company will consider the commencement of a scoping study for the development of the resource.
Shares have been as much as 18% higher this morning to 4.6 cents.