High-grade intercepts prove potential of Youanmi gold project for Venus Metals and Rox Resources
Rox Resources has entered a joint venture with Venus Metals to acquire up to a 70% stake in the Youanmi gold mine.
The latest high-grade gold intercepts received from resource drilling at the Link prospect within Venus Metals (ASX: VMC) and Rox Resources’ (ASX: RXL)jointly-owned Youanmi project in Western Australia continue to prove the potential for an increase in resource inventory.
Results were from shallower drilling up-plunge in a previously untested area between the base of Youanmi’s historic open pits and underground development.
Gold mineralisation was intersected at 110 metres below surface, beneath the small Hill End open pit which was historically mined to 15m depth.
Best results were 3m at 7.23 grams per tonne of gold from 131m, within 9m at 4.27g/t from 128m; 2m at 8.16g/t gold from 183m, within 8m at 4.17g/t from 178m; and 2m at 6.78g/t gold from 127m, within 5m at 4.33g/t from 122m.
The mineralisation lies in a gap between the shallow and deep resource envelopes, more than 200m from the current resource envelope with extensive down-plunge continuity of high-grade ore zones.
It is believed to be open down plunge to the northwest and up dip to the southeast and is likely to contribute additional ounces to an updated Youanmi mineral resource estimate reported in June of 1.7 million ounces at 2.85g/t gold.
This will be achieved principally through resource extension drilling at the Link and Junction prospects, the Hanging Wall lode and mine pillar areas.
Resource increases
Rox managing director Alex Passmore said the new intercepts augur well for increases to the overall mineral resource at Youanmi.
“These shallow intercepts at Link demonstrate good up-plunge continuity of gold mineralisation and add further confidence that we will be able to add to the resource inventory in this area,” he said.
“As part of our ongoing Youanmi development studies, we are looking at various mining scenarios which may include open pit operations in the vicinity of these intersections.”
Mr Passmore said infill drilling in the Link zone is expected to add inventory to the indicated resource category in an area with near-term production potential.
Results are pending for 28 reverse circulation holes and 14 diamond holes completed in the Youanmi-OYG joint venture area, where Rox is manager with 70% equity.