Doray Minerals intersects a whopping 260g/t gold at Da Vinci

Doray Minerals ASX DRM Deflector gold project

Gold producer Doray Minerals (ASX: DRM) has confirmed more high-grade gold, including a whopping 260g/t, at its Da Vinci deposit adjacent to the Deflector underground mine and part of the Deflector gold copper project in Western Australia’s mid-west.

Better intersections from the infill drilling program included 11m at 56.3 grams per tonne gold, with a 2m interval containing 260g/t gold and 3.3% copper, and 10.7m at 34.5g/t gold.

Additionally, four diamond holes were drilled into the Deflector underground mine to target the Da Vinci mineralisation.

According to Doray, the latest results “improve confidence in both the geometry and continuity of the grade” in the Da Vinci deposit.

“We are very excited with this latest round of high grade intercepts from Da Vinci that continue to enhance this discovery,” Doray managing director Leigh Junk said.

“Da Vinci has the potential to add material ounces to our inventory,” he added.

He said the company planned to develop an “ore drive” into the Da Vinci structure during the current quarter, claiming it will add to the mine’s production.

Open pit mining at Deflector began in early 2016 and progressed to solely underground mining in February 2017. Ongoing optimisation activities during 2017 have led to the recent record production.

During November, Doray achieved record production of 5,895 ounces of gold from Deflector, toppling the previous month’s 5,050oz gold record.

For the 2018 financial year, Doray anticipates producing up to 65,000oz gold.

The Deflector operation is a narrow, high-grade underground mine with an initial six-year life.

In August last year, Doray announced an updated resource for the project of 2.83 million tonnes grading 6.2g/t gold and 0.7% copper for 569,000oz gold and 18,400t of copper.

As well as Deflector, Doray has the operating Andy Well project which is also in WA’s Murchison region. Doray is also actively exploring its Gnaweeda gold project situated 15km from the Andy Well processing plant.

Shares in the gold producer were up more than 5% in early afternoon trade to A$0.28.

Filip has written in both Australia and abroad during his career, covering everything from the global economy, politics and geopolitical issues to commodities and small cap stocks on the ASX.