Superior Resources launches second gold drilling program at Steam Engine

|

Published 23-OCT-2020 10:14 A.M.

|

3 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.


Click Here to View Latest Articles

Superior Resources Limited (ASX:SPQ) will begin its second drilling program next month at the Steam Engine Gold Deposit in north Queensland – a follow-on from the recently completed 3,756 metre Resource drilling program.

Program one consistently returned strong intersections of gold mineralisation in all holes and also extended the zone of mineralisation outside the current Resource envelope.

The company has been busy in the last few months. Just a week ago we reported that SPQ had released further promising assay results from the Steam Engine Gold Deposit, approximately 200 kilometres west of Townsville, Queensland.

The Steam Engine Gold Deposit is an extensive mesothermal gold lode system on which an Indicated and Inferred Mineral Resource Estimate of 1.27 million tonnes at 2.3 g/t for 94,000 ounces of gold has been established.

The assays were from a total of six reverse circulation (RC) drill holes that tested the potential to extend the Steam Engine Lode along strike.

The impressive results included 5 metres at 4.1 g/t gold from 35 metres and 6 metres at 2.7 g/t from 71 metres.

Read: Superior Resources poised to extend strike length at Steam Engine

This second program will comprise 3,000 metres of RC drilling and will focus on increasing the current Mineral Resource (1.27 million tonnes @ 2.3 g/t gold for 94,000 ounces) by:

- additional drilling at high-grade extension zones identified during the first campaign;

- identifying new high-grade extensions at both the Steam Engine and Eastern Ridge lodes; and

- infill drilling of key zones within the Resource envelope where the first campaign returned significantly higher grades than reported by historic drilling.

The results to date are more than enough to complete a Scoping Study, but as is the nature of the company and managing director Peter Hwang, the SPQ is determined to get the best results possible.

The illustration below shows proposed drill holes compared with existing:

“Following the better than expected performance of the first program, we are very eager to continue drilling at Steam Engine,” Hwang said.

“Whilst the results received to date are more than sufficient to enable completion of our Scoping Study, launching the second drill program brings forward our focus on expanding the current Mineral Resources, which potentially increases the scale of any early mining operation.

“Notably, we are targeting a 100 percent increase to the strike length of the main Steam Engine Lode Resource area. The latest batch of assay results indicated a strong 150 metre continuation of high- grade mineralisation northwards in at the northern end of the Steam Engine Lode. The planned drilling will target a total of 400 metres of strike extension at this lode and up to a 150-metre extension of the Eastern Ridge Lode.

“In the meantime, we expect to receive the remaining 750 assays from the previous drilling in two batches, with the first batch due within a few days. We have also re-scheduled some of the deliverables in the Steam Engine development program, which will result in bringing forward the delivery of the Scoping Study to mid-November.”

SPQ continues to move forward and is approaching a series of milestones that could help it realise its aims and thus deliver substantial value shareholders.



General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (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 and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.

 

Discover Small Cap
Biotech Stocks

Join thousands of other Investors following our stock commentary for Free

X