Highly Encouraging RC Assays Received
Genesis Minerals Limited (ASX: GMD) is pleased to advise that it continues to make excellent progress with its ongoing resource upgrade and extensional drilling programme at the recently expanded 100%-owned Ulysses Gold Projectin Western Australia.
The company has received further highly encouraging results from the ongoing Reverse Circulation (RC) drilling programne at the Orient Well deposit, one of several cornerstone deposits currently being targeted as part of a broader +35,000m drilling programme currently underway.
The Orient Well deposit is located on the recently-acquired Kookynie tenements and forms part of a cluster of deposits within the Ulysses-to-Orient Well structural corridor that continue to be systematically drilled out.
The drilling was designed to test zones of mineralisation that are outlined from historical drilling but are not included in the current Mineral Resource estimate.
All of the 19 holes reported in this announcement are located outside and to the south of the Mineral Resource. The majority of these results are shallow and intercepts are located within 75m of surface.
Genesis has now completed approximately 53 holes and reported results for 47 holes at the Orient Well deposit, which has an existing JORC compliant Mineral Resource of 1.5Mt @ 1.3g/t gold for 61,000 ounces.
A further 75 holes for 9,100m of RC and diamond drilling will be completed prior to Christmas and further results will be reported as results are received, compiled and interpreted. The drilling will allow a Resource to be estimated along the 1.2km of strike.
The Greater Ulysses drilling programme, which will continue over the remainder of CY2020, will comprise a combination of Resource definition and expansion drilling along the Ulysses-to-Orient Well corridor.
Managing Director, Michael Fowler, said results from the recently announced expanded +35,000m drill programme will feed into Mineral Resource estimates that will underpin the expanded Feasibility Study on the development of a significant standalone gold operation at Ulysses, with ore to be sourced from a combination of known underground and open pit Resources. Genesis is targeting completion of this Feasibility Study in the first quarter of CY2021.
“Orient Well continues to shape up as an important growth opportunity for the company,” Mr Fowler said.
“Importantly, the latest batch of assays are all from drilling well beyond the current 61,000oz Mineral Resource envelope, which bodes well for the potential Resource growth.
“The success of our drilling to date has prompted us to extend the programme at Orient Well to the tune of a further 9,000m of drilling, as part of the upsized +35,000m program announced recently.
“Our team is continuing to do a great job of running the program in an efficient and cost effective manner, notwithstanding the capacity constraints currently being experienced across the WA exploration sector.
“The key takeaway message for investors is that our drilling is continuing to verify and upgrade the known Resources on the Kookynie tenements and demonstrate strong potential to expand these Resources when we re-estimate the Mineral Resources early next year.”
A large programme of Resource extension drilling will continue over the next couple of months along the Admiral-to-Butterfly trend together with the Orient Well trend.
The objective of this drilling at Admiral-to-Butterfly trend is to expand the current Resources and outline new Resources with the potential to be captured in one large open pit.
Drilling will target the north-east dipping Admiral, Clark and Butterfly Shears together with north- dipping shear zones running along key lithological contacts, particularly the Hercules shear. Drilling at Orient Well will continue to expand the current Resource at depth and along strike with a large drill program to be completed.
