Flynn Gold (ASX:FG1) Ltd, a newly listed explorer, ended FY2021 in a strong position, well-funded from a strongly supported IPO to drive exploration programs at its projects in Tasmania and Western Australia.
The company is primarily focused on gold exploration and has a portfolio of wholly-owned strategic projects in well‐established mineral jurisdictions targeting the northeast of Tasmania and the Pilbara and Yilgarn gold regions of WA.
Flynn also has prospective tin projects within its northeast Tasmania gold project, as well as two zinc-silver tenements on Tasmania’s mineral-rich west coast.
Importantly, funds raised under the IPO are being used to undertake a focused exploration program, including substantial drilling efforts on the company’s key projects in northeast Tasmania and for further sampling, geophysics and other surveys over the remainder of the portfolio.
Location of Flynn Gold (ASX:FG1) tenements in northeast Tasmania.
Oversubscribed IPO
Flynn Gold started trading on the ASX on June 17, 2021, following an oversubscribed IPO which raised the maximum amount of $10 million.
The company issued 50 million shares at $0.20 per share - giving the company a market capitalisation of around $19 million at the IPO price.
Flynn's WA asset.
Diamond drilling underway
During FY21 Flynn began drilling at its flagship Golden Ridge Intrusive Related Gold System (IRGS) Project in Tasmania.
Diamond drilling started at Brilliant Prospect in late April, where previous trenching and drilling by Billiton Australia and MPI Gold Pty Ltd intersected gold mineralisation associated with sheeted quartz-sulphide veins over a zone up to 40 metres wide and depths of over 200 metres - but only tested a limited strike length of 200 metres.
Flynn Gold’s planned drilling program at Brilliant comprises infill and step-out drill holes designed to confirm historical gold grades, test continuity of mineralisation, and test for along-strike extensions to known mineralisation.
Promisingly, after the reporting period, Flynn has intersected high-grade gold at Brilliant.
READ: Flynn Gold hits more high-grade gold at Tasmanian project's Brilliant prospect
Trafalgar Prospect drilling grant
The company had been notified by Mineral Resources Tasmania that its application for a co-funded drilling program at the Trafalgar prospect, Golden Ridge has been successful.
Flynn has been offered an ‘EDGI’ Program Grant to the value of up to $50,000, for a 600-metre diamond drill hole at the prospect.
The drill hole planned to intersect the granodiorite-sediment contact below the only other previous diamond drill hole at the prospect which did not reach the sediment contact, intersected quartz veining in altered granodiorite, with a zone containing visible gold which assayed 5 metres at 12.56 g/t from 202 metres, and a lower interval of 6 metres at 1.68 g/t from 217 metres.
Gravity survey at Golden Ridge
Flynn completed a detailed gravity survey over the Golden Ridge project grid during May 2021.
A total of 357 gravity station readings were collected and Flynn Gold anticipates that the detailed gravity data, which is being processed and modelled, will provide the improved mapping of the highly prospective intrusive-hornfels contact zone underlying the project.
Tin exploration review
Flynn Gold had started a review of the tin exploration potential within its Cameron (NYSE:CAM) Tin Project
Limited tin exploration has been undertaken in the area, including reconnaissance sampling at Star Hill and soil surveys at Hardens Ravine which returned encouraging results with sheeted quartz‐tin‐tungsten veining identified at the former and tin‐tungsten bearing greisen mineralisation at the latter.