Far East Gold completes phase one earn-in obligations at Australian gold projects

Far East Gold (ASX: FEG) has completed phase one expenditure obligations under three earn-in agreements for its Australian projects at Hill 212 (gold), Blue Grass Creek (gold) and Mount Clark West (copper-gold).

The company holds a 90% interest in all projects with vendor Ellenkay Gold and has met its obligations which include defining an exploration target at Mount Clark West following a 21-line kilometre MIMDAS geophysical survey in August.

The exploration target defined by the company at Mount Clark West has a target range of 400 million tonnes at 0.4% copper equivalent to 650Mt at 0.6% copper equivalent.

It also completed an 11-hole reverse circulation scout drilling program at Hill 212 to improve its understanding of the mineralisation in the project’s vein system and to identify further areas for additional exploration.

Mount Clark West tenement

Mount Clark West consists of one tenement over an area of 19.12 square kilometres in central Queensland.

The property is situated on the geological boundary of the Connors Arc, which is known to be prospective for large epithermal-type gold-silver deposits including the high sulphidation-type Mt Carlton deposit to the north and the low sulphidation-type Cracow deposit to the south.

Far East is focused on the exploration of associated porphyry-type copper-gold mineralisation at Mount Clark West, which has remained underexplored by previous owners including Navaho Gold and Medusa Mining.

Combined assay results of historic soil sampling showed the presence of anomalous copper and molybdenum in the northern part of the tenement along with gold and zinc to the southwest of previous drilling.

A small area of anomalous copper was also defined in the southern area adjacent to an anomalous magnetic feature.

Far East said the distribution of these key elements reflects zonation within a mineral system and the gold-zinc anomalies may indicate the potential for epithermal-type mineralisation proximal to a copper-molybdenum mineralised porphyry body.

Hill 212 advanced project

The Hill 212 project is an advanced 19.2sq km exploration permit located in in central Queensland’s Drummond Basin region.

It is within the same geological region as the Pajingo gold mine which has produced over 3 million ounces of gold at 10 grams per tonne.

The property contains low sulphidation-type epithermal gold-silver mineralisation within quartz veins and breccias up to 8m in width, contained within a northeast-trending structural corridor which can be traced for 10,000m.

Approximately 2,500m of the system has already been mapped and numerous mineral anomalies have been identified along the trend of the corridor extending northeast towards the Blue Grass Creek project.

A 2,061m program of reverse circulation drilling was completed in late September to test veins defined by previous exploration and to determine the potential for gold mineralisation at depth.

Hole depths ranged from 83m at the Bobcat prospect to 370m depth within an area of previous drilling.

Three holes drilled at Bobcat did not intersect quartz veins and suggest the presence of unrecognised structural complications.