Strickland Metals Ltd (ASX:STK) has released further strong drilling results from its 100%-owned Millrose Gold Project on the northeast flank of the Yandal Belt.
The RC drilling has intersected a coherent zone of at-surface laterite gold mineralisation, which the company has the potential to be an economically valuable prospect in a mine development scenario given its shallow nature.
Historic drilling intersected a coherent zone of +1 g/t gold shallow, laterite gold mineralisation that has been defined over at least 300 metres in strike.
As the mineralisation is near-surface and high-grade, any potential laterite gold resource estimate will provide Strickland with upfront cash flow for the wider Millrose mineral resource in a development scenario.
"Quick, upfront cash flow"
CEO Andrew Bray said: “Strickland is very pleased to provide assay results for its drill out of the laterite gold mineralisation.
"Importantly, drilling intersected a coherent zone of +1 g/t laterite gold mineralisation. This type of mineralisation can be very valuable in any development scenarios given it represents an opportunity for quick, upfront cash flow."
Drilling highlights
The company has reported several highlights from its drilling program, which consisted of an initial, shallow RC program of 84 holes for 1,700 metres drilled on a 40-metre (north-south) by 20-metre (east-west) grid.
Drilling was done to define the extent of this mineralised laterite horizon.
Highlight results include:
- 3 metres at 1 g/t gold from 5 metres;
- 4 metres at 3 g/t from 4 metres;
- 3 metres at 1.1 g/t from 5 metres;
- 5 metres at 3.6 g/t from 3 metres;
- 4 metres at 1 g/t from 4 metres;
- 4 metres at 1.4 g/t from 14 metres to end of hole;
- 5 metres at 1.2 g/t from 4 metres;
- 4 metres at 1.7 g/t from 3 metres;
- 5 metres at 2 g/t from 4 metres;
- 3 metres at 1.4 g/t from 4 metres;
- 4 metres at 1 g/t from 4 metres;
- 4 metres at 1 g/t from 3 metres;
- 5 metres at 1.3 g/t from 4 metres;
- 4 metres at 2 g/t from 3 metres;
- 5 metres at 2.4 g/t from 4 metres;
- 2 metres at 1.8 g/t from 10 metres; and
- 2 metres at 1.5 g/t from 4 metres.
Laterite gold intersections.
A second phase of RC drilling, to define a 20 by 20-metre grid, will be completed later in 2022 to assist with a first pass laterite gold mineral resource. Meanwhile, a backlog of assays for the company will be cleared by the end of June.
“The mineralisation was predominantly intersected within 10 metres of surface, and it lies directly above the Millrose North mineral resource," Bray added.
"The company believes there is potential for repeats of this style of shallow mineralisation along strike, which may further enhance the economics of any future feasibility studies.
“With respect to the broader project, the company received a number of initial assays in a relatively short period of time, as previously announced to the market.
"The turnaround time appears to have slowed considerably, with a large number of critical assays remaining outstanding. The company has been advised that the backlog should be cleared towards the end of June, however, results may still be received earlier.”