PNX Metals Ltd (ASX:PNX) has received encouraging assays from rock chip samples that point to extensions of the Glencoe gold deposit in the Northern Territory's Pine Creek region.
New surface rock chip sampling taken during geological mapping up to 400 metres east of the existing Glencoe gold deposit has returned high-grade gold, including:
- 6.02 g/t gold in TGU5467;
- 4.04 g/t in TGU5459; and
- 3.05 g/t in TGU5486.
In addition, geological mapping and face sampling within the historic Glencoe open pits has strengthened PNX’s geological understanding and also returned high-grade gold, including:
- 11.06 g/t in TGU5493 at the furthest extent of the west pit, and
- 9.52 g/t in TGU5497 from the south wall of the west pit.
“Beyond limits of historic drilling”
PNX managing director James Fox said: “These new high-grade rock chip results support our view that the Glencoe gold deposit extends well beyond the limits of historic drilling.
“The focus of our ongoing work at Glencoe will be to test the significance of the eastern extension as well as upgrading a portion of the existing MRE [mineral resource estimate] to the indicated category.
“We look forward to updating the market as further results become available.”
Drill program
A total of 54 rock chip samples were collected from a broad area extending up to 400 metres east of the existing Glencoe deposit and 200 metres east of the reverse circulation (RC) drilling program recently completed by PNX.
Numerous high-grade gold values above 1.0 g/t were returned from the newly defined ‘Eastern Zone’, including, 6.02 g/t, 4.04g/t and 3.05g/t.
Gold mineralisation is associated with quartz-sulphide veins within altered mafic rocks which are interpreted to occur within an inferred shear zone that extends more than 1 kilometre east of the historic open pits.
Importantly, surface mineralisation remains open along strike to the east and is untested by drilling with further rock chip sampling currently underway.
Glencoe mineral resource outline (yellow), gold target areas (orange), drill traces (white) with locations of surface rock chip samples, and new assays shown.
Next steps
A further 2,000 metres of RC drilling is planned to begin next month to test the eastern extensions and to upgrade a portion of the existing Glencoe MRE to the indicated category.
Downhole optical imaging and density measurements have been completed on 20 of the recently drilled RC holes.
Subsequently, the data is being assessed and will assist with the structural interpretation of the gold lodes, improve the gross geological model of the deposit, and provide further rock density data necessary to upgrade resource confidence.
Furthermore, three diamond drill holes for about 360 metres are also planned and will focus on the oxide and transitional zones of the deposit and will be used to provide further rock density data and structural information, and material for confirmatory geotechnical and metallurgical test-work.