In less than a month since drilling began, Meteoric Resources (ASX: MEI) has confirmed historical mineralisation beneath and along strike from the old Butchers Creek open pit gold mine that operated in the 1990s.
The mine, part of Meteoric’s Palm Springs gold project in the Kimberley region of Western Australia, closed due to low gold prices at the time.
Meteoric says diamond core drilling has intercepted broad zones of the known host of high-grade gold mineralisation — namely, strongly altered, intensely veined trachyte — from previous work.
The first two completed holes of the 6,500m reverse circulation (RC) and diamond program confirms the host formation extends along strike south-west of the existing open pit. Of that total, 1,500m will be drilled by the diamond rig.
Assays will be reported next month.
Two rigs to work simultaneously through to October
Meteoric managing director Dr Andrew Tunks said it was important to get these first diamond drill holes into the deposit to confirm the presence and geometry of the mineralised trachyte. The holes have confirmed the company’s interpretation of the target.
“For the first time we are seeing these wide high-grade mineralised gold holes and we are liking what we see,” he added.
Dr Tunks says Meteoric now has the confidence to turn up the dial on drilling and is operating both the RC and diamond rig simultaneously.
The first diamond hole intercepted mineralisation 124.9m down hole and that continued to 145m, this being 25m below the existing pit floor at Butchers Creek. The next hole intercepted broad zones from 146m where it was testing for extensions of gold mineralisation south of the historic pit.
Meteoric now a gold-focused explorer
With Palm Springs and its projects in Brazil, and after selling off its nickel-copper projects in Canada, Meteoric has become a gold-focused explorer.
Meteoric acquired the 12,000 hectare Palm Springs project earlier this year.
During its years of operation, the old Butchers Creek shallow open pit produced 52,000 ounces at 2.1 grams per tonne.
The company has said there are 60 known gold occurrences along a 20km strike length.
Meteoric also owns 100% of 24 tenements on the western end of the Alta Floresta Belt in the Brazilian state of Mato Grosso. The area is home to more than 40 known gold deposits, including mines operated by Anglo American and Vale.