Barton Gold targets high-grade extensions as drilling resumes at Tarcoola
Improved conditions have allowed Barton Gold (ASX: BGD) (OTCQB: BGDFF) to recommence a drilling program at the Tarcoola gold project in South Australia after severe weather forced a shutdown in early December.
The reverse circulation (RC) drilling program is being conducted inside the Perseverance open pit mine at Tarcoola to examine the potential to extend the known mineralisation in the heart of the historic project.
Managing director Alex Scanlon said the proposed 12-hole, 1,100 metre campaign is part of Barton’s aims to convert shallow extensions of the pit to initial joint ore reserves committee resources, with the balance of 2024 Tarcoola programs focused on high priority regional targets identified in Barton’s recent seismic survey.
“Now that we are advancing the 1.5 million ounce Tunkillia gold project into baseline economic analyses, we are focused on pursuing shallow, high-grade targets like those identified in the neighbouring Tarcoola Goldfield,” Mr Scanlon said.
“Shallow, easily accessible mineralisation in this historical high-grade producing field could enhance the overall economics of a large-scale Tunkillia development and also potentially support an accelerated return to production and cash flow by leveraging our existing Central Gawler Mill into ‘Stage 1’ operations.”
“Even minor open pit extensions can offer high-value ounces considering our fully permitted mining lease, fully licensed mill and the significantly-reduced capital and operating requirements for an existing open pit mine.”
“We look forward to an exciting 2024 as we test several new targets identified in our recently published structural map of the Tarcoola Goldfield and determine the roadmap for Barton’s transition from ‘explorer’ to ‘producer’.”
Assay processing
Barton plans to follow-up the completion of the current Tarcoola RC program with the processing of assays from current and December 2023 RC drilling and approximately 600m of diamond drilling completed during September 2023.
The company’s 2020 and 2021 Tarcoola drilling programs identified multiple depth extensions of mineralisation below the Perseverance open pit mine floor and confirmed a new shallow high-grade gold zone (‘Perseverance West’) in newly-identified structures behind the southern wall of the open pit.
The company also recently published the results of a large-scale seismic survey program, revealing the subsurface architecture of the high-grade Tarcoola goldfield for the first time in its 130-year history.
Big year ahead
Barton is heading into a highly active year with a strong bank balance after completing a $3m strategic placement last week.
The placement was priced at $0.24 per share and led by several existing and new Australian, European and North American institutional and sophisticated investors.
Barton has also opened a non-underwritten share purchase plan (SPP) targeting a further $1m, allowing eligible shareholders to acquire new Barton shares at the same price as the placement.
The SPP offer will open on 9 April 2024 and is expected to close at 5.00pm (AWST) on 26 April 2024.
Mr Scanlon said the placement further strengthened the company’s share register composition as it progresses into Tunkillia scoping studies and Tarcoola high-grade target drilling.
He added it also represented a further endorsement of Barton’s platform and strategy.
Barton is also looking to bring in further cash with its ongoing sales tender for more than $4m contained gold-in-concentrates.