High-Grade Results Extend Suzie Zone and Indicate Potential Extension to Andy Well Mine Life
Perth, May 28, 2014 AEST (ABN Newswire) - Doray Minerals Limited (
ASX:DRM), (Doray, the Company) is pleased to announce that recent drilling has returned a number of high-grade results from the southern Suzie Zone, at the Company's high-grade Andy Well Gold Project in the Northern Murchison region of Western Australia.
The Suzie Zone is the third high-grade gold deposit to be discovered by Doray at Andy Well and is located parallel to the Wilber Lode, currently being mined, and the Judy Lode, which contains a second highgrade gold Resource.
RC drilling targeted the southern end of the Suzie Zone, around previous drilling completed by Doray, in order to both infill drill spacing as well as step out the extents of known mineralisation. The drill program was successful, with all holes intersecting the Suzie Zone and associated mineralisation, confirming the interpretation of this mineralised structure. A location plan illustrating holes drilled in this program is included in Figure 1 in link below.
Hole MNRC265, the deepest hole drilled at Suzie to date, intersected the Suzie Zone structure with significant coarse visible gold at a depth of approximately 270m below surface, and returned a result of 3m @ 25.9g/t Au including 1m @ 58.8g/t Au, a step out of over 150m below the deepest previous drilling (see Figure 2 in link below).
Significant results returned from this program include:
- MNRC265 - 3m @ 25.9/t Au from 309-312mdh, including 1m @ 58.8g/t Au
- MNRC268 - 1m @ 64.4g/t Au from 175-176mdh
- MNRC257 - 2m @ 11.1g/t Au from 154-156mdh, including 1m @ 21.1g/t Au
- MNRC262 - 2m @ 5.3g/t Au from 195-197mdh
Several of the RC holes that were drilled deeper beyond the Suzie Zone also intersected what appears to be a small footwall lode of similar geological makeup to the Suzie Zone. This footwall zone is situated approximately 30m east of and below Suzie, and has been intersected over a strike length of approximately 60m. At this stage, the number of data points is insufficient to allow a confident interpretation to be made.
Significant results returned from holes that intersected this footwall lode include:
- MNRC259 - 1m @ 11.8g/t Au from 125-126mdh
- MNRC266 - 1m @ 17.7g/t Au from 122-123mdh
- MNRC269 - 2m @ 10.4g/t Au from 128-130mdh, including 1m @ 13.0g/t Au
All drill-hole details, including significant assays, are included as Appendix A of this announcement. Figures 2 and 3 in link below illustrate the mineralisation intersected at Suzie to date, as both long section and cross section view.
Doray's Managing Director, Allan Kelly, said the latest results confirm the significant upside potential being uncovered at Andy Well through systematic and targeted exploration.
"These new high-grade drill intersections confirm and extend the previous high-grade results from the Suzie Zone and reinforce our belief that Andy Well represents a new high-grade gold camp with multiple gold deposits" Mr Kelly said.
"Apart from one hole, the drilling within the Suzie Zone to date has still been relatively shallow compared with the Wilber Lode, with most intersections less than 200m below surface. We therefore look forward to deeper drill testing of this new high-grade gold deposit with a diamond drill rig in the near future," he added.
Ongoing Work
A follow up diamond drill program, testing the depth extents of the Suzie Zone mineralisation has been planned and approved, with drilling of pre-collars commenced.
An RC rig will continue at Andy Well completing the previously described systematic drilling of the various parallel footwall structures (Suzie, Margaret and Kirsty). The current drilling targets the strike length between the previously announced horizontal underground diamond hole in the north, and the limit of surface drilling at Suzie, Kirsty and Judy in the south. In addition, a field geophysical crew is mobilising to site to extend the coverage of Sub-audio magnetic ("SAM") data on the Andy Well Mining Lease. The data will be used as part of the targeting for the ongoing near-mine exploration programme.
About the Andy Well Gold Project
Doray's 100%-owned Andy Well Gold Project is located approximately 45km north of Meekatharra, in Western Australia's northern Murchison region. In March 2010, Doray announced the discovery of the very high-grade "Wilber Lode" gold deposit, adjacent to the Great Northern Highway. Since announcing a maiden high-grade JORC-compliant gold Mineral Resource for the Wilber Lode in February 2011, the Company has announced subsequent increases to the Wilber Lode Resource in December 2011 and again in March 2012.
During 2012, Doray announced the maiden high-grade open pit and underground Mining Reserve for the project, completed a positive Bankable Feasibility Study, made a formal decision to mine, increased its ownership of the project to 100%, secured a project finance facility from the Commonwealth Bank of Australia and completed a capital raising to fund all operating, exploration and corporate costs prior to first gold production. Mining and site works commenced in November 2012 with first gold production in August 2013, approximately 3.5 years after the initial discovery.
In March 2013 Doray announced a maiden high-grade JORC-compliant gold Mineral Resource for the Judy Lode, a second high-grade gold deposit within the project, increasing the overall Andy Well Project resource inventory by 30%. In October 2013 the Company announced a third high-grade parallel zone, named the Suzie Zone, which has the potential to further add to the mine life of the Andy Well Gold Project.
To view all figures and the release, please visit:
http://media.abnnewswire.net/media/en/docs/77256-ASX-DRM-679066.pdf
Contact
Allan Kelly
Managing Director
Doray Minerals Limited
Tel: +61-8-9226-0600
E-mail: info@dorayminerals.com.au
Luke Forrestal
Account Manager
Cannings Purple
Tel: +61-411-479-144
E-mail: lforrestal@canningspurple.com.au
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