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Gascoyne Resources Limited (“Gascoyne” or “Company”) (ASX: GCY) is pleased to report the latest results received from resource and exploration drilling at the Dalgaranga Gold Project in Western Australia.
Key Points:
- Increasing number of assays now being returned from an extensive resource extension RC and diamond drilling program in 2023 targeting rapid expansion of the high-grade 303koz @ 4.64g/t Never Never Mineral Resource.
- DGRC1177-DT (Diamond Tail), which logged visible gold in core from a 15m interval of strong Never Never-style mineralisation1, has returned a slightly wider-than-expected 15.7m total assay intercept of:
- 15.7m @ 13.51g/t gold from 216.3m including 2.56m @ 34.14g/t and 5.27m @ 19.17g/t – DGRC1177-DT (assays top-cut to 50g/t)
- DGRC1178-DT (Diamond Tail), targeting the deeper down-plunge extent of the Inferred portion of the Never Never Mineral Resource, has confirmed the consistent width and high- grade of the deposit with a strong intercept of:
- 12.73m @ 6.40g/t gold from 380m including 4.71m @ 16.16g/t – DGRC1178-DT.
- DGRC1187-DT (Diamond Tail) has intercepted visible gold at 380m down-hole in a 2m wide strongly mineralised interval of Never Never-style mineralisation (assays pending) well outside the Resource and right on the western edge of the Never Never target zone, and;
- High-grade gold assays have been returned from a 4m wide zone of smoky quartz veining 220m above the visible gold intercept at 160m in the RC pre-collar (DGRC1187):
- 4m @ 24.56g/t from 160m including 2m @ 46.2g/t (RC assays top cut to 50g/t) – DGRC1187 (new position – possible new discovery).
- DGRC1193, which was designed to in-fill a deeper area of Inferred material in the southern part of the current Never Never MRE, has confirmed a consistent thickness of high-grade mineralisation (this area was previously drilled early in the 2nd half 2022):
- 17m @ 9.08g/t from 239m including 10m @ 14.08g/t – DGRC1193.
- DGRC1196 has intersected a new high-grade extension to Never Never style mineralisation 30m further south of the main Never Never MRE envelope and 100m down-plunge of the original “Gilbey’s North” discovery). This intercept could indicate a trend in increasing grade with depth as has been noted in Never Never and also in the Gilbeys Main deposit further south:
- 7m @ 4.93g/t from 259m – DGRC1196 Gilbey’s North down-plunge (southernmost intercept – 30m outside the Resource).
Figure 1: Plan view of the Never Never Gold Deposit. Maximum downhole grade Au g/t shown “snapped” to collar.
The latest results provide further insights into the potential scale, significance and growth upside of the rapidly emerging Never Never gold deposit at Dalgaranga.
Gascoyne Managing Director and Chief Executive Officer, Simon Lawson, said: “We are starting to see some of our diamond drill core assays coming back from the labs now and the structural detail, broadness of the intercepts and consistence of the grades really do validate our geological interpretations while also suggesting that there is significant growth potential for the current Never Never Mineral Resource!
“During 2022 and into 2023 we rapidly outlined a high-quality, high-grade Mineral Resource Estimate (MRE) of 303,000oz at 4.64g/t Au for Never Never. These latest drill assays from our ongoing resource definition and extension targeting program show that Never Never is potentially a much more extensive and consistent mineralised system than we had hoped for.
“Additionally, we have discovered what appears to be a completely new high-grade position 200m west along-strike from Never Never in an RC pre-collar (4m @ 24.56g/t gold – DGRC1187). This is a very exciting development for our team!
“Discovering and growing a new high-grade gold deposit situated already on an approved Mining License and next to an existing a process plant is an enviable position to be in. However, having also a consistent, high-grade deposit that is mineralised from surface and which appears to be open in every direction as well as getting better grade at depth – is an exciting and somewhat unique position for any exploration team to be faced with.
“The fact that we are getting such a consistent strike rate with our drilling is also extremely encouraging, combined with the fact that step-out drilling is beginning to reveal potential new high-grade structures well outside the main Resource and a new high-grade position 100’s of metres away along-strike.
“Apart from an outstanding hit rate with drill targeting, our geologists estimate that likely more than 50% of our diamond drill intercepts since drilling restarted in 2023 has visible gold logged in them, this observation speaks to the incredible endowment and potential of this amazing discovery.
“Our fearless approach continues to pay off. With drilling continuing around the clock, we believe there is much more to come! “
Never Never is a new high-grade gold deposit which strikes and plunges to the west-south-west. The deposit was discovered while following up wide, high-grade drill intercepts from the earlier Gilbey’s North extension discovery immediately north of the Gilbey’s open pit at Dalgaranga. Due to the high-grade and apparent scale of Never Never, this deposit now represents the foundation of the Company’s new operating and growth plan.
Never Never is distinct from the Gilbey’s North discovery due to considerable differences in tenor, thickness of mineralisation, mineralogy, scale, orientation and host structure/rock-type. Despite these differences, due to the close spatial association of the two deposits, the Never Never and Gilbey’s North deposits are collectively known as the “Never Never Gold Deposit”.
Never Never is much higher grade than any of the previously defined ore bodies at Dalgaranga and appear to be far more structural, fold and/or shear-hosted as opposed to the more stratigraphic/shale associated historically defined Gilbey’s series of gold deposits.
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This article includes content from Gascoyne Resources Limited, 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.
Navigating Uncertainty: How Trump's Tariffs Are Affecting the Gold Market
Read on to learn how tariffs have affected the gold market and price so far.
How have tariffs affected the gold price?
The gold price has been on the rise since the beginning of the year. After briefly touching the US$3,500 per ounce level in May, it has pulled back and was trading just under US$3,400 as of Tuesday (August 26).
Gold price, January 1 to August 26, 2025.
Chart via TradingEconomics.
Although some of its increase is attributable to the points mentioned above, a significant portion is owed to a lack of information surrounding US President Donald Trump’s tariff policies.
Initially there was no clarity on what or who was being tariffed, or when the levies would ultimately be implemented, and investors started to move into gold for greater stability and portfolio diversification.
Uncertainty about whether gold would be tariffed also had an effect, prompting traders in the US to import physical gold; this created a price differential between New York futures and the London spot price.
Concerns dissipated as the Trump administration began to nail down tariffs, but were reignited once again when US Customs and Border Patrol posted a ruling on July 31 indicating that the 39 percent tariffs against imports from Switzerland would include 1 kilogram and 100 ounce gold bars.
The news caused spot gold to spike more than 3 percent, from US$3,290 to US$3,398, and sent December futures to an all-time high of US$3,549. Meanwhile, traders halted imports of Swiss bars.
After several days of turmoil, Trump said the ruling was incorrect, and the bars would not be included in the tariff measures being applied to other Swiss imports; the gold price then retreated.
How would gold tariffs have impacted the market?
Gold functions as both a commodity and an essential part of the world’s financial system.
One kilogram and 100 ounce gold bars are used to back futures trading, and regular shipments of the metal are needed to settle contracts once they come due. A 39 percent tariff on gold from Switzerland would have been particularly disruptive, as Swiss refineries account for approximately 70 percent of the world’s gold.
According to the UN Comtrade database, in 2024, Switzerland exported more than 1,400 metric tons of unwrought gold worth more than US$106 billion, representing nearly 30 percent of the country’s total exports. Tariffs would have forced US buyers to pay a significant premium for the precious metal versus buyers in London or Shanghai.
Because gold is often used as a store of value in times of uncertainty, any kind of disruption could have had broader implications for investors looking to add stability to their portfolios.
In an email to the Investing News Network (INN), Lauren Saidel-Baker, CFA, an economist with ITR Economics, explained that gold stands out as a unique investment mechanism:
“There are psychological nuances to gold, which is commonly viewed as a safe store of value during uncertain times and an inflation hedge. Overall, the tariff would have added another facet to the already elevated policy uncertainty."
If the tariffs had remained in place, the US gold price would have had to rise to around US$4,700 per ounce to cover levies, while international prices would have remained closer to the US$3,500 mark.
“Tariffs have already complicated supply chains across industries, and this gold tariff would have been another example of added cost and complexity — but in this case, one with the potential to more directly impact investment activities,” Saidel-Baker went on to explain, emphasizing that US investors would have felt the pinch.
Could gold tariffs happen in the future?
Given Trump's unpredictability, especially when it comes to tariffs, it's possible that gold levies could enter the conversation again. However, by and large experts agree that the matter is closed.
“I think it’s pretty clear at this point that there’s no intention to put tariffs on physical gold imports, and I think that would be very damaging and destructive if they did,” Stefan Gleason, CEO of Money Metals, told INN.
Keith Weiner, founder and CEO of Monetary Metals, offered another perspective, saying that although the gold tariff threat is over, the tumult could have long-term effects on the market.
"Once you've put the scare into everybody, you can't just say, 'Oh, sorry, just kidding.' You can't really do that. And so now we've done damage, and we'll see what happens to that spread over time. We'll see how users of the futures market adapt. There are other markets in the world that would be competing for," he explained.
"This hedging business, you know, maybe it moves to Singapore, maybe it moves to Dubai, maybe it moves to London, and the US loses not only a little more trust, but also a little bit of volume on what had been the biggest — or what is currently the biggest — futures market," Weiner added to INN.
Market participants will be watching closely for future impacts on the yellow metal.
Don't forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.