Major Upgrade to Mt Ida Gold Resource
Perth, July 1, 2024 AEST (ABN Newswire) - Delta Lithium Limited (
ASX:DLI) is pleased to announce an update for the ongoing activities at its 100% owned Mt Ida Project, a shovel ready lithium and gold project, 100km west of Leonora in the Eastern Goldfields Province of Western Australia.
Highlights:
- Major Mineral Resource Estimate (MRE) upgrade for gold at Mt Ida. Inferred and Indicated Mineral Resources of: 6.6Mt @ 3.5 g/t Au for 752,000 ounces (at various cut-off grades see Table 1*)
- Upgrade represents an 82% increase in contained gold for the Mt Ida Project with new Mineral Resource Estimate (MRE) prepared by External Consultant Snowden Optiro
- 82% Increase in the Baldock Deposit to 4.8Mt @ 4.4g/t gold for 674,000 ounces
- Maiden Mineral Resource Estimate for the Golden Vale Prospect of 27,000 ounces @ 1.7g/t Au
- Significant potential for further resource growth being tested now with drilling underway at Mt Ida
- The Baldock Deposit becomes one of only a handful of high-grade gold deposits exceeding 500,000 ounces in Western Australia
- Mining Approval granted for Phase 1 Open Pit mining at Mt Ida
- The growth in the MRE presents Delta with further optionality to monetise gold assets at Mt Ida and drive progress at Delta's core lithium business.
- A Scoping Level gold development study for Mt Ida is expected to be released within the coming months
The recent Mineral Resource Estimate has significantly increased the contained gold at Mt Ida, demonstrating the presence of a large gold system.
All mineral resources at the Mt Ida Project are located on granted Mining Leases, with granted mining approval received late in 2023. This allows the Company to start mining immediately if studies support this outcome.
Commenting on the results Managing Director, James Croser said;
"This is a wonderful result for Delta shareholders, reaffirming our long-held belief that the gold system at Mt Ida has significant scale and upside. The Baldock is fast becoming one of very few, large high-grade undeveloped gold deposits in WA in excess of 500koz.
The commencement of open pit mining has been approved, and the underground approval with the Department is submitted and pending. We are investigating the best options for Delta shareholders to crystalise value from our gold, which can then be applied to further developing our core lithium business.
"The efforts of Delta's Geology team have been tireless and driven toward this success. We have already started follow up gold drilling at Mt Ida to target resource growth beyond 1Moz."
Mt Ida Gold Mineral Resource Update
Snowden Optiro was contracted to undertake a Mineral Resource Estimate (MRE) for gold at the Mt Ida Project in June 2024. The updated mineral resource estimates are for the Baldock and Golden Vale Deposits. The Kestrel deposit Mineral Resource Estimate has not changed since Delta's Maiden Gold MRE Announcement on 11th October 2023. All material information pertaining to this updated resource is to be found in Appendix 1 Material Information Summaries.
The update to the MRE is the result of an additional 431 drillholes for 51,604m completed by Delta subsequent to the release of the Maiden Mt Ida Gold MRE on 11 October 2023, and 199 historical drillholes for 11,830m at Golden Vale. Material drill results which have allowed for the update to the MRE have all previously been released to the ASX in announcements on 10 November 2023 'Yinnetharra and Mt Ida Exploration Update' and 15 February 2024 'Yinnetharra and Mt Ida Exploration Update', data pertaining to the Golden Vale MRE is found in Appendix 2*.
Material drill results used in the Maiden Mt Ida Gold MRE released on 11 October 2023 have all previously been released to the ASX in the announcements detailed in the Bibliography.
Key changes to the Mineral Resource Estimate released on 11 October 2023 are:
- A more conservative approach to reporting of MRE has been taken, in accordance with Reasonable Prospects of Eventual Economic Extraction (RPEEE) guidelines to the JORC2012 Code
- Mineralisation previously referred to as "Western Lodes" now referred to as the Baldock Deposit
- 82% Increase in the overall MRE for the Mt Ida Project from 412koz @ 4.1 g/t Au to 752koz @ 3.5 g/t Au
- 82% Increase in the overall MRE for the Baldock Deposit from 370koz to 674koz
o 17% Increase in total Indicated Resources from 206koz @ 5.7 g/t Au to 242koz @ 4.9 g/t Au
o 153% Increase in open cut Resources reported into an optimised ultimate pit shell (reported at 0.5 g/t Au cut off) from 145koz @ 5.5 g/t Au to 367koz @ 4 g/t Au
o 90% Increase in open cut Indicated Resources reported into an optimised ultimate pit shell (reported at 0.5 g/t Au cut off) from 110koz @ 6.6g/t Au to 209koz @ 4.8g/t Au
o 36% increase in underground resources reported into optimised stopes (reported at 1.5g/t Au cut off) from 225koz @ 4.7g/t Au to 307koz @ 4.9 g/t Au
- Addition of maiden Golden Vale MRE of 27koz @ 1.7 g/t Au reported into an optimised ultimate pit shell at 0.5 g/t Au cut off
- No change to Kestrel MRE of 43koz
Baldock Deposit
The Baldock deposit is a series of steeply west-south-west dipping gold lodes in the vicinity of the historic Baldock and Timoni gold mines, located within Delta's 100% owned Mt Ida Project (see Figure 1*). There is a close relationship between the Baldock Lodes and the Timoni and Sister Sam lithium deposits (see ASX announcement dated 3rd October 2023 entitled 'Mt Ida Lithium Mineral Resource Estimate Update'). Gold mineralisation is associated with quartz and sulphide development within shear zones. The MRE extends over 2km of strike, with the mineralised system identified over 4km of strike with only a handful of holes testing the strike outside the MRE (See Figure 4*).
Golden Vale
The Golden Vale deposit is a series of shallow east-south-east dipping gold lodes that were first mined in the early 1990's from a ~300m long by ~120m wide open pit (see Figure 1*). Gold mineralisation is associated with quartz and sulphide development within a shear zone. The MRE expands over 700m of strike with the mineral system identified over 1km of strike (see Figure 5 below*).
Potential Resource Growth
The Company has undertaken very little gold specific exploration at Mt Ida since the acquisition of the project in 2021 (see ASX Announcement dated 24th September 2021 entitled: 'Completion of Mt Ida Acquisition'). The majority of drilling that has been undertaken and used for this gold MRE update was drilled targeting lithium. In addition to the excellent resource growth potential immediately along strike and down dip of existing resources at Baldock (See Figure 4*), Golden Vale (See figure 5*) and Kestrel (Maiden Mt Ida Gold MRE on 11 October 2023), there are numerous drilling results exceeding 1g/t Au within the project that sit outside current resource estimates (See Figure 6 and Table 4*).
Drilling is currently underway at the Mt Ida Project and will target high-grade resource extension opportunities to grow the resource significantly.
Next Steps
Delta has recommenced drilling activities at Mt Ida, with an RC rig recently mobilised to test both lithium and gold targets. This program will include holes to test down-dip and plunge extensions to multiple high-grade lodes identified in the current gold resource at Baldock. Further holes are also planned at Kestrel and Golden Vale, along with regional follow up on high-grade assays such as those highlighted in Figure 6*.
In parallel with site activities, Scoping Level assessment of the gold resource is underway to define scale and scope of potential future gold mining options at Mt Ida.
*To view tables and figures, please visit:
https://abnnewswire.net/lnk/V7YB14R3
About Delta Lithium Limited
Delta Lithium Limited (ASX:DLI) is an exploration and development company focused on bringing high-quality, lithium-bearing pegmatite deposits, located in Western Australia, into production. With a strong balance sheet and an experienced team driving the exploration and development workstreams, Delta Lithium is rapidly advancing its Mt Ida Lithium Project towards production. The Mt Ida Lithium Project holds a critical advantage over other lithium developers with existing Mining Leases and heritage agreements in place. To capitalise on the prevailing buoyant lithium market, Delta Lithium is pursuing a rapid development pathway to unlock maximum value for shareholders.
Delta Lithium also holds the highly prospective Yinnetharra Lithium Project that is already showing signs of becoming one of Australia's most exciting lithium regions. The Company is currently undergoing an extensive 400 drill hole campaign to be completed throughout 2023.
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