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LCL Resources identifies significant gold potential at Ono project in PNG

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By Colin Hay - 
LCL Resources ASX maiden resource estimate Ono Papua New Guinea
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LCL Resources (ASX: LCL) has released an impressive maiden mineral resource estimate (MRE) from a target area at its 100%-owned Ono gold project in Papua New Guinea.

The company decided on a strategy in 2024 aimed at reducing its overheads and streamlining the business, with a renewed exploration focus on the gold and copper assets within its PNG portfolio.

Now, LCL has released an initial inferred estimate for the Kusi skarn deposit at Ono of 18.3 million tonnes at 1.42 grams per tonne gold for 831,000 ounces of gold, reported at a cutoff of 0.5 g/t.

Significant upside

The company has also unearthed upside potential through an assessment of outstanding historical trench results to the south-west of the Kusi resource area.

CRA’s historic Kusi lower limestone trench highlighted the area, returning 28m at 0.9g/t gold and 21.6g/t silver, as well as 6.3% lead and 1.9% zinc, with another nearby rock chip sample returning 3.35g/t gold, 170g/t silver, 6.3% lead and 13.9% zinc.

Executive chair Chris van Wijk said the maiden MRE underscores the geological potential at the Ono gold project.

Further shallow pods

“The geology supports the existence of further shallow pods of mineralisation around the central Kusi intrusive centre, as well as the possibility for deeper mineralisation within the lower limestone unit highlighted by the trench results over this unit to the south of the existing resource area,” he said.

“Further exploration is warranted to investigate the tenor and scale of mineralisation in the lower limestone unit, as well as to test the obvious targets outlined by the soil geochemistry results.”

“As a result, the company is investigating the use of 3D Induced Polarisation (IP) to target mineralisation at depth in the lower limestone unit and to define the margins of the Kusi intrusive body.”

New exploration targets

The planned 3D IP survey will help generate new exploration targets while dealing with the challenging terrain in PNG.

The company is now sourcing quotes from reputable geophysical contractors in the region, with timing dependent on the availability of local equipment and contractors.

Ono is situated approximately 150 kilometres from the leading PNG port of Lae and is located in the Owen Stanley metamorphic belt – the same belt of rocks as the Hidden Valley gold mine and the Wafi-Golpu copper-gold project.