Laneway Resources (ASX:LNY) has started the first phase of a multi-stage drilling programme at the 100% owned Agate Creek gold project in North Queensland to test the new intrusion-related gold system targets identified in a recent study.
An initial 2,500m, 40 hole RC drilling program is now underway and is expected to take ~ four weeks to complete. Additional samples will also be collected for waste rock characterisation as part of the on-going environmental permitting process
The drilling programme follows the recent completion of the Multi-Element study, and has been designed to confirm the interpreted IRGS potential and is targeting: o Interpreted extensions and repetitions at Sherwood and Sherwood West.
Agate Creek has historically been considered an epithermal deposit but a multi-element study recently undertaken by Laneway revealed it could in actual fact be a Kidston-style intrusion-related gold system (IRGS)
This is a significant discovery for Laneway that could be game changing and signify the start of a new chapter for the junior gold explorer.
The former producing Kidston mine in northern Queensland was once Australia’s largest open cut gold mine, averaging production of 200,000-300,000oz of gold each year.
To give you an indication of the potential size of these deposits, one of the largest IRGS deposits globally is the undeveloped Donlin Creek deposit in the prolific Tintina Gold Belt in Alaska, which hosts +30Moz of gold.
Northeast Queensland is host to several large IRGS deposits, including Kidston which is located about 60km east of Laneway’s Agate Creek project.
Agate Creek hosts the fourth largest mineral endowment in the Georgetown region behind Kidston (5Moz), Woolgar Mesozonal (1.1Moz) and Woolgar Epithermal (0.7Moz).
For further information please visit: https://www.lanewayresources.com.au
