High Grade Gold Intersection Confirms Sir Laurence Potential

Kingwest Resources Limited (ASX:KWR) CEO, Ed Turner commented: “We are excited by these drilling results so early on in a major drilling programme for the Company. This high-grade intersection validates the geological model that Kingwest has developed at Sir Laurence and confirms that we are drilling within a large and prospective system. This hole is on the extreme western limit of the known bedrock gold mineralisation and demonstrates the potential to continue to grow Sir Laurence. The gold intersection remains open to the west, southwest and northeast at Target 1. We look forward to testing other aircore bedrock gold targets within Sir Laurence in the remainder of this drill programme”.

Highlights:

• Kingwest’s first significant diamond drill core gold intersection at Sir Laurence confirms the geological model and the size and gold grade potential
• 5.0m @ 4.8 g/t from 113.3m in KGD004 included 2.3m @ 9.4 g/t Au
• Other mineralised intersections in KGD004 demonstrate the potential for multiple lodes within the Sir Laurence mineralised system
• The remaining drilling will test several other targets at Sir Laurence where bedrock gold mineralisation has been previously intersected in Kingwest’s aircore drilling

INTRODUCTION

Assays have been received for two additional diamond core holes (KGD003A and KGD004) in the inaugural diamond core drilling program that is testing the Sir Laurence Gold Discovery at Lake Goongarrie (Figure 1).
KGD003A was drilled with NQ core to 418.3m and KGD004 with NQ core to 339.4m. Assays have yet to be received for KGD004 below 263m.

The rig has now commenced drilling hole KGD005 within Target 8 and is currently at 73m depth.

Exploration targeting will continue to be reviewed as new results come in. This will focus drilling on the most prospective sections of the mineralised area, which extends for over 2km of strike in the N-S direction and over 1km across strike in the E-W direction.

DISCUSSION OF RESULTS

The highest-grade zone of this gold intersection (13.87 g/t Au) occurs as a 1.2m thick quartz vein with minor chlorite, pyrite and arsenopyrite, which lies within a broader zone of finely disseminated pyrite and arsenopyrite and lesser quartz veinlets (Figures 2 and 3). The orientation of the major vein is northeast-southwest.

Significant intersections are included in Table 1 and drill hole details are included in Table 2.

The KGD004 high-grade gold intersection is open to the west, where there is no bedrock drilling, along strike to the southwest, where there is just one additional line of aircore drilling, which also intersected bedrock gold mineralisation, and along strike to the northeast, where diamond drillhole KGD001 on Line 5 only reached the bedrock interface to the east of the intersection’s projected NE continuation (Figure 1). It is also possible that the two aircore bedrock gold intersections on Line G, 150m to the NE of KGD001, represent a further NE continuation of the same zone of bedrock gold mineralisation, offset to the SE of its projected position by D4 cross-faulting. The KGD001 core is now interpreted as having been drilled just to the east of the mineralised lode as it strikes northeast across Line 5.

This KGD004 bedrock gold intersection provides conclusive proof that there is high-grade reef-style bedrock gold mineralisation within the Sir Laurence prospect area.

Sir Laurence is therefore a new bedrock gold discovery, located under extensive cover 8km to the northeast of the historic Goongarrie gold mining centre, which is the nearest area of historic gold production.

The company believes that this high-grade reef style gold intersection is one of a number of potential bedrock-gold sources that have supplied gold to the widespread alluvial, interface and bedrock gold mineralisation that was discovered by Kingwest in aircore drilling at Sir Laurence.

Assays have also been received for KGD003A, 500m to the NE of KGD004. These include numerous low-grade gold intersections, with a best intersection of 1.0m @ 0.46 g/t Au from 221.0m.

The existence of a high-grade gold reefs in bedrock at Sir Laurence was initially inferred from the aircore drilling on Line 5, where gold assays of up to 32 g/t Au were returned from clean-washed clasts of coarse angular proximal vein quartz in gravels at the base of the overlying paleochannel1. This was further supported by the intersection of lower grade gold in unoxidised bedrock in nearby aircore holes. This supported the geological interpretation of a Kanowna Belle style geological setting with multi-million ounce gold potential.

Diamond drilling has now moved to Target 8 to drill beneath other bedrock gold-mineralised aircore drill intersections.

Click here for the full ASX Release

This article includes content from Kingwest Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.