Matador Mining encouraged by initial assays from drilling at Cape Ray gold project
Initial assays from drilling at Matador Mining’s (ASX: MZZ) Cape Ray project revealed high-grade gold has been intersected outside the existing Window Glass Hill Granite (WGHG) resource.
Power auger drilling across the WGHG prospect has uncovered mineralisation in previously undrilled areas.
This generated power auger bottom-of-hole assays up to 2.4 grams per tonne gold in the new areas, which has delineated five priority targets for further drilling.
Highlight assays from diamond drilling at WGHG were 8m at 5.1g/t gold from 62m, including 1m at 36.2g/t gold; 22m at 1.2g/t gold from 91m, including 1m at 5g/t gold; and 4m at 3.6g/t gold from 74m, including 1m at 5.2g/t gold.
“WGHG continues to deliver for the company with the first batch of results, for both the diamond and auger programs, continuing to define significant gold mineralisation,” Matador executive chairman Ian Murray said.
“Our initial diamond drilling program targeted extensions to the existing WGHG mineral resource, with results successfully increasing the known gold mineralised region, providing potential for further resource growth.”
Mr Murray noted that most of the drilling had intersected gold at less than 100m from surface, which indicated mineralisation was amenable to open pit mining.
Larger gold system
He said the auger drilling results had longer-term implications – indicating the entire WGHG hosted a much larger gold system than previously thought.
“The majority of this system is untested historically, in part, we believe, due to the thin till cover.”
He added the company now had the tools to test below this veneer cost-effectively.
Mr Murray said there were five rigs active across Cape Ray – comprising two diamond and three power auger rigs.
Meanwhile, assays remain pending for 20 diamond holes (3,554m) completed at WGHG, as well as 330 auger holes undertaken at Big Pond.
Mr Murray noted the company anticipated ongoing news flow from drilling.
The company is well-funded to advance its exploration program with a $16 million raising completed in late June.
Drilling is expected to continue throughout the remainder of this year and into early 2022.