De Grey turns up the base (metals) at Turner River
De Grey Mining (ASX:DEG) says high grade hits at its base metals play “demands” follow-up drilling as it eyes a resource upgrade by the end of the year.
While DEG is considered to be a predominately gold play, it also has the Discovery and Orchid base metals play under its purview in the Pilbara.
It has been drilling its flagship Wingina gold deposit – but it has also moved to conduct drilling at Discovery with the aim of extending the strike length of the VMS-style deposit.
The deposit hosts gold, silver, zinc, lead, and copper.
The drilling program undertaken by DEG aimed to extend the known strike length of the deposit, with previous drilling confirming high grades at depth at up to 250m.
The program effectively extended the strike to over 300m, and with potentially more to come given there are still assays due back from the lab.
Hits from the drilling included:
DEG said that in light of the new hits extending the strike length at Discovery, that it would move to plan a new drilling program to see whether mineralisation continued at depth along the 300m strike zone.
“The results demand a further drilling program aimed at better defining the overall scale and grade of the Discovery deposit,” executive chairman Simon Lill told shareholders.
“Based on these positive results we will look more closely at the depth potential at Discovery and also review the nearby Orchard Tank VMS deposit and other nearby VMS targets.”
The company said the new drilling would allow it to upgrade a resource estimate at Discovery by the end of the year.
There is no guarantee at this stage that a resource upgrade would be material in nature, and potential shareholders are advised to seek the advice of a professional before investing.
The resource estimate at Discovery currently stands at 1.2 million tonnes at 0.8 grams per tonne Au, 87g/t Ag, 2.34% Zn, and 0.94% Pb.
DEG said the zinc potential of the VMS deposit held particular interest, given the pick-up in the market for the commodity in recent times.
About De Grey Mining (ASX:DEG)
De Grey Mining (ASX:DEG) is primarily focused on the gold potential of its Turner River project in the Pilbara region of WA – about 50km from the port town of Port Hedland.
The main deposit is the Wingina deposit – which is currently being drilled, while there are two other deposits which are being developed as potential feeder deposits for any potential gold mill based at Wingina.
Aside from the straight gold plays, DEG also has its hands on potential lithium pegmatites, and two base metals deposits – being the Discovery and Orchard Tank deposits.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of Maven Capital Pty Ltd (AFSL No. 418504). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.