Intersections of up to 17g/t gold found in first hole at Sand King
Mineralisation extending a further 100m north and at depth
Phase 2 drilling continues, with nine out of original 16 holes complete
Additional holes being planned to follow up underground mining potential
Special Report: Ora Banda Mining has stumbled upon a new high-grade lode intersecting up to 17g/t gold at its Sand King prospect, part of the overall Davyhurst project in WA’s Eastern Goldfields region.
A high-grade, stacked gold lode system has been discovered from the first exploration hole at the northern Sand King area of the prospect, leading Ora Banda Mining (ASX:OBM) to consider the prospect’s underground mine potential.
The +1km-long Sand King mineralised system, part of the Siberia gold project, was previously open pit mined by Western Mining up until 1991, producing 50,000oz @ 4.8g/t.
So far under OBM, a small cutback that wrapped up in early January mined 11,4000oz @1.7g/t and has been tested to +300m at depth, showing it to remain open both along strike and at depth.
OBM hopes Sand King will prove up to become its second gold mine in the overall project area, adding to its flagship Davyhurst gold mine and 1.2Mtpa processing plant.
The Sand King prospect in the context of the overall Davyhurst project. Pic: Supplied (OBM)
First hole extends mineralisation
Testing of hole SKDD23047 was looking for potential high-grade tension vein (090°) structures in the northern Sand King area along strike of the main 060° lode under a shallow-dipping ultramafic unit and intercepts have extended mineralisation a further 100m.
Intercepts show 16m @ 5.6g/t at the 090° vein (including 14m @ 6.2g/t and 3.8m @ 11.1g/t) and 3m @ 14.4g/t at the 090° vein (including 2.5m @ 17g/t).
This, says OBM, opens up a significant exploration window, both further north and at depth, as the ultramafic unit dips away to the southeast.
The new intercepts build upon recent exploration which turned up gold hits of 2.4m @ 35.8g/t at the Sand King 060° Lode (including 1.5m @ 58.8g/t) and 3.5m @ 7.6g/t S at the King 010° Shear.
The main Sand King area presents itself as a large mineralised system continuing for over 500m of strike and has widths from 4m to +8m wide with grades of 2g/t to +10g/t gold and demonstrates the potential for bulk, moderate tonne grades from an underground mining operation.
Phase 2 drilling is continuing with 9/16 holes complete so far, yet the new discovery has OBM planning additional holes for follow-up.
The Sand King plan view with the new first hole gold intercepts. Pic: Supplied (OBM)
A ‘step change’ for Davyhurst
OBM managing director Luke Creagh says discovering this high-grade lode system under the ultramafic unit is “game-changing” for the prospects of a potential underground mine at Sand King.
“Our confidence is growing daily, and it is becoming more apparent that we are only scratching the surface of the Siberia gold complex,” Creagh says.
“The Sand King underground drill out is tracking well and we are excited by the potential to deliver a second underground mine to support our Riverina underground operations.
“If achieved, the business will be in a step change position whereby the 1.2mtpa Davyhurst process plant will be full of high-grade ore and our production rate will increase substantially.”
This article was developed in collaboration with Ora Banda Mining, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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