Exploration company Venus Metals Corporation (ASX: VMC) has reported high-grade results from resource growth drilling at the Link prospect within the Youanmi gold joint venture near Mt Magnet in Western Australia.
Assays from the first diamond hole and two reverse circulation holes have defined two new zones of mineralisation more than 80 metres from the current resource and within close proximity to the base of the historic open pit and underground developments.
Highlights from the first zone included 6.82m at 11.98 grams per tonne gold from 264m, including 2m at 37.65g/t from 269m.
A parallel mineralised zone above it returned 4.92m at 6.51g/t from 250m.
Venus said the new mineralisation at Link should add inventory in an area of resource that joint venture partner Rox Resources (ASX: RXL) has been keen to grow in terms of ounces per vertical metre.
Drilling continues at Youanmi with three diamond rigs and a reverse circulation rig operating on site.
An aircore rig is set to join the program shortly for regional exploration.
Assays are pending for another eight reverse circulation holes and nine diamond holes from the Link and Junction targets.
Joint venture formation
Venus and Rox joined forces over the historic 1.2 million ounce Youanmi project in April 2019.
Under the terms of the joint venture arrangement, Rox acquired a majority stake in the gold mine and management (or operator) rights.
The mine is held by Oz Youanmi Pty Ltd (OYG) and is on care and maintenance.
The agreement between Venus and Rox also saw the formation of the VMC joint venture and the Youanmi joint venture, granting Rox the ability to earn 50% and 45% respective equity in the gold rights on both tenements.
Key gold target
Earlier this month, Venus and Rox identified the Link prospect as a key gold target at Youanmi.
It is is situated within a northern mineralised envelope that hosted the high-grade United North, Kathleen and Rebel-Kurrajong open pits and Hill End underground mine.
The Youanmi mining centre has produced an estimated 667,000oz of gold at an average 5.47g/t since its discovery in 1901.
Most of this gold was produced from the Youanmi mine itself, with 96,000oz produced from various satellite prospects.