Gold explorer Shree Minerals (ASX: SHH) has narrowed down high priority exploration targets after reviewing historical data relating to its most recent acquisition in the prospective Lachlan Fold Belt in New South Wales.
The company announced in late July it had lodged an application for exploration licence ELA6044, which it now calls the Turondale project and is believed to be prospective for orogenic, porphyry and skarn related gold mineralisation.
The ground is located 15km from the city of Bathurst and lies among other large projects including Newcrest Mining’s (ASX: NCM) 60-million-ounce Cadia Ridgeway gold-copper mine and Regis Resources’ (ASX: RRL) 2.3Moz McPhillamys gold project.
Following a desktop review of historical exploration data, Shree today announced it has identified high priority targets including structures containing high-grade gold prospects interpreted to strike into the tenement and a volcano-sedimentary sequence considered “very prospective”.
In addition, soil and stream sediment samples from a 1972 exploration campaign had returned highly anomalous gold, copper and lead values.
Shree’s Turondale project is bounded by Krakatoa Resources’ (ASX: KTA) licence containing two separate north-trending reef systems, the Quartz Ridge and Box Ridge. Both trends are interpreted to strike southwards and extend into Shree’s application area.
The Quartz Ridge reef has demonstrated high-grade gold anomalism up to 1,535 grams per tonne gold in rock chips and shallow gold targets up to 10m at 1.64g/t gold in drilling from surface to end of hole.
The Box Hill trend has been defined as a 2.4km long gold reef system that has returned rock chip samples of up to 60g/t gold.
Stream sediment anomalies
In 1972, Nickel Mines (ASX: NIC) collected 288 soil and stream sediment samples from creeks and gullies in the area, returning very anomalous assays including up to 2.6g/t gold, 3,700 parts per million copper and 5,000ppm lead.
Old gold workings at Cheshire Creek and Winburndale Rivulet add support to the anomalous catchment area, Shree reported.
The exploration licence is expected to be granted “over the coming months” after which exploration fieldwork can begin.
Shree said it will continue to compile previous exploration data, geological mapping and geophysical surveys to identify further targets in the meantime.
The company plans to conduct reconnaissance geological mapping and stream sediment sampling at the Quartz Ridge and Box Ridge southern strike extensions.
It also intends to carry out additional stream sediment and soil sampling and geological mapping near the historical workings at Cheshire Creek and Winburndale.