Musgrave Minerals (ASX: MGV) has struck bonanza near surface gold at the Starlight prospect within the Break of Day deposit at its flagship Cue project in Western Australia, with managing director Rob Waugh describing the discovery as “amazing”.
Reverse circulation drilling at Starlight has returned up to 6m at 498.2 grams per tonne gold from 36m.
This interval was within a broader 42m intercept that graded 77.3g/t gold from 30m. The broader intercept also included 18m at 179.4g/t gold from 30m.
Other highlight results were 61m at 12.7g/t gold from 76m, including 6m at 44.6g/t gold; 22m at 21g/t gold from 2m, including 9m at 49.2g/t gold; and 9m at 16.5g/t gold from 225m, including 3m at 47.6g/t gold.
According to Musgrave, these latest assays are from infill and extensional drilling at the Starlight load with gold intersected over 115m of strike and mineralisation remaining open at depth and along strike.
Commenting on the results Mr Waugh said the grades were “amazing” to see in near-surface drilling.
“Our deepest holes to-date are still in high-grade mineralisation at 200 vertical metres where Starlight remains open down dip.”
“The bonanza grades near surface will have a significant positive impact on future development at Break of Day,” he added.
The current 36-hole reverse circulation program at Break of Day is 80% complete with Musgrave expecting to drill a total of 7,000m.
To-date, the company has received assays for 19 holes with the remaining results expected in the next two weeks.
Break of Day has a current resource of 868,000t at 7.2g/t gold for 199,000oz of contained gold.
All up, at Cue global resources sit at 6.45Mt at 3g/t gold for 613,000oz.
Musgrave noted it believes there is “significant potential” to extend the known mineralisation and make new discoveries across the project.
The company’s strategy is to develop a low-cost operation at the project where 28km-long gold corridor has been defined.