Saturn Metals (ASX: STN) has announced a resource increase at its Apollo Hill gold project near Leonora in Western Australia, with the project now estimated to contain 685,000 ounces of gold.
According to Saturn, the updated resource for the project now totals 20.7 million tonnes grading 1 gram per tonne gold for 685,000oz, with 3.3Mt grading 1.1g/t gold for 116,000oz of that updated to indicated status.
The resource upgrade was based on a 72-hole, 9,444m infill and extensional drilling program, which was completed within six months of Saturn’s ASX-listing in March this year.
Saturn also pointed out the discovery cost of $9.40/oz was “excellent”.
“This resource upgrade is a significant step for the company and the Apollo Hill asset only a short while after listing,” Saturn managing director Ian Bamborough said.
“Improvements in grade, ounces, tonnes, quality and JORC code category, all with minimal drilling and a low discovery cost per ounce, bode well for the development of our business.”
Three distinct higher-grade lodes were identified during drilling, with mineralisation extending from surface and about 20m wide.
Mr Bamborough said that some of the strongest intersections were discovered at the northern and southern ends of the deposit.
A notable intersection at the northern end was 10m at 2.98g/t gold, with the southern end returning 58m at 1.06g/t gold from 65m, including 36m at 1.39g/t gold.
“The system is wide open for expansion,” Mr Bamborough noted.
Saturn owns more than 1,000 square kilometres of contiguous tenements in the region, which it claims is an “underexplored” gold district.
The company has firmed up anomalies over a 6km corridor at the project and Saturn has already begun its next round of drilling, with campaigns planned throughout the first half of next year including regional exploration, as well as extensional and resource programs.
Assays are pending from 2,600m drilling that was completed earlier this month.