Musgrave has an option agreement to acquire 100% of the basement gold rights at Mainland.
Musgrave Managing Director
Assay results from the latest RC drill program at Mainland returned high-grade gold in adjacent holes at the Consols Prospect where the mineralisation remains open at depth and along strike to the west.
Following the execution of an Option Agreement to acquire the Mainland tenements near Cue in
Drill hole 19MORC018 drilled 35m down dip of the previous gold intercept in 19MORC008 (3m @ 5.4g/t Au) returned a high-grade result of 12m @ 8.1g/t Au from 108m down hole including 6m @ 14.2g/t Au from 114m from 6m composite samples. The mineralisation is hosted by quartz veining within a medium grained dolerite. Individual one metre samples have been submitted for analysis.
Drill hole 19MORC019, collared 25m to the north-east of 19MORC008 intersected 2m @ 55.4g/t Au from 52m down hole (1m individual samples), including 1m @ 108.3g/t Au from 52m.
Drill hole 19MORC020 collared 25m to the southwest of 19MORC008 returned 6m @ 3.3g/t Au from 70m down hole including 3m @ 5.2g/t Au from 73m (1m individual samples). Assay results for a fourth RC hole drilled a further 25m to the south of 19MORC020 are awaited together with one metre individual assay results for six metre composite samples for drill hole 19MORC018.
Additional follow-up drilling is currently being planned and will be scheduled for Q1 2020.
The Mainland area is excluded from the Earn-in and Exploration Joint Venture with
Discussion
Significant alluvial gold production from the Mainland area has been ongoing since circa 1900 and historical records indicate that the main underground mines at Mainland produced 20,184oz gold from 1897-1901 and 1925-1930 at an average grade of 62.9g/t Au.
The holes drilled by Musgrave are showing good continuity of mineralisation with variable high grades consistent with the historical underground production records or the near surface mineralisation that was mined in the area. The mineralisation is hosted in quartz veins within mafic dolerites and sedimentary iron formation units and is currently open along strike and at depth. The potential extent of the mineralisation is not yet known and further drilling is required but initial indications are positive that this could be a new gold discovery for the Company.
Ongoing Exploration
Remaining RC drill assay results and re-assays of anomalous 6m composite samples at one metre intervals from Mainland are expected in mid-December.
Initial composite assay results for RC drilling at Lena and Break of Day to extend and grow the existing resources are expected in early December.
The Company is working towards delivering a Lena resource update in Q1 2020.
Diamond drilling on the Evolution JV at Lake
On the broader JV area over
Heritage surveys are currently being organised prior to the commencement of this aircore program.
Further follow-up RC drilling at Mainland is currently being planned for Q1 2020.
THE CUE PROJECT
The Company believes there is significant potential to extend existing mineralisation and discover new gold deposits within the Project area, as demonstrated by the recent drilling success at Break of Day, Lena and Lake
Contact:
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