More promising hits for BLK as Matilda DFS looms
In a week Blackham Resources (ASX:BLK) is due to reveal its definitive feasibility study, it has found new repeating lodes at its Matilda Mine – the main source of initial ore for its operations.
Gold player BLK told its investors this morning that drilling at three pits had identified new lodes, confirmed existing resource models, and discovered shallow higher grade shoots.
At the M6 North pit, drilling identified a new high grade shoot immediately north of the existing pit, which was mined in the early 1990s.
Hits included 20m @ 1.1 grams per tonne from 30m, 7m @4.71g/t from 2m, and 5m @ 4.04g/t from 15m.
Interestingly, BLK said the north shoot is one the same gold mineralised structure as the M1 deposit, which is 800m to the north and also part of the Matilda mine.
It said more drilling on the shoot would take place over the coming days.
Meanwhile, it has discovered a new lode at the planned waste dump location for the mine.
BLK was conducting aircore sterilisation drilling of the location when it discovered a new gold mineralised structure between the M10 east shoot and the M4 pit, extending for 600m.
Hits included 16m @ 0.61g/t from 32m and 1m @1.16g/t from 60m.
Again, follow-up drilling is due in the coming days.
Infill drilling at the M10 east shoot, meanwhile, largely confirmed the current resources model there.
News of the drilling came just days before BLK is due to release a long-awaited definitive feasibility study for its Matilda Gold Project.
Ore from the Matilda mine is expected to make up the majority of the ore fed into the plant for processing, with gold sourced from quartz reefs set to be fed to provide an average higher-grade feed into the plant.
BLK also said that it would update its reserves position within days.
BLK is planning to bring gold from the Matilda Gold Project from the Northern Yilgarn region in Western Australia into production using the existing, but mothballed, Wiluna Gold Plant.
At this stage, the plant is slated to produce just a shade under 100,000 ounces of gold per year.
The aim is to start producing gold mid-year, with the first stage of production to utilise soft oxide and free milling, using the existing resources at the Matilda Mine, with additional gold ores coming from the high grade reefs like Golden Age, Galaxy and Caledonia.
When the experts at Next Investors have a stock pick, it may pay to listen.
The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.
They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.
Click the link below to see what they are currently investing in.
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). 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.