Musgrave Minerals Ltd (ASX: MGV) has obtained further strong assay results from reverse circulation (RC) drilling at the Amarillo Prospect (previously Target 14) at its flagship Cue Gold Project in Western Australia’s Murchison district.
Amarillo is located west of Break of Day and additional gold mineralisation identified along a new zone (Waratah zone), 400m east of Break of Day.
Musgrave Managing Director Rob Waugh said these further strong results and support the upside prospectivity of the Cue Project.
“We continue to define new targets and hit new mineralised zones. The new Waratah zone is only 400m east of Break of Day.
“All new intersections sit outside the mineral resource estimates and the drill spacing is still very broad at ~200m with further infill required.
“Interestingly, Waratah was a lower priority target which coincided with the proposed waste and tailings storage facility locations in the early PFS design works. This preliminary design will obviously now need to be re-assessed.
“The potential for future resource additions at Big Sky and White Heat will likely impact design planning as well. Resource RC drilling and diamond drilling will recommence in the new year at Big Sky. This work will enable a maiden Big Sky resource estimate in late Q2 2022.
“The results show that exploration continues to identify strong gold mineralisation in previously untested and poorly tested areas as demonstrated by the newly identified near surface high grade Waratah gold trend east of Break of Day.”
This new gold mineralisation is near surface, defined in three prospective zones and remains open down dip. In addition, Musgrave is continuing to define further high-grade gold in the regolith at the Amarillo Prospect (previously named Target 14) with additional follow-up drilling to continue in late January.
Waratah Trend
The Waratah trend is approximately 400m east of and runs parallel to the Lena/Break of Day corridor. It is interpreted to extend for over 4km of strike with gold mineralisation identified in at least three separate zones that are individually between 200m and 400m of strike.
Twenty-seven RC drill holes were drilled to test this new corridor.
Intersections include:
o 2m @ 28.1g/t Au from 78m (21MORC359), including;
o 1m @ 53.2g/t Au from 78m
o 2m @ 6.1g/t Au from 87m (21MORC361)
o 2m @ 5.8g/t Au from 31m (21MORC350)
o 5m @ 2.6g/t Au from 36m (21MORC352)
o 8m @ 1.7g/t Au from 33m (21MORC344)
o 5m @ 2.0g/t Au from 98m (21MORC370) Amarillo (previously named Target 14)
At Amarillo, 1.2km south-west of Break of Day and 800m north of Big Sky, RC drilling continues to intersect significant regolith gold mineralisation including:
o 9m @ 8.7g/t Au from 44m (21MORC371) including; o 2m @ 35.1g/t Au from 51m
o 3m @ 1.4g/t Au from 45m (21MORC372)
o 3m @ 11.3g/t Au from 45m (21MORC375)
Basement follow-up drilling will be planned for late January.
Cue Project
The Cue Gold Project is located approximately 30km south of the township of Cue in the Murchison district of Western Australia. The Lena and Break of Day deposits are only 5km from the Great Northern Highway, approximately 600km north of Perth.
The current resource estimate for the Cue Gold Project totals 6.4Mt @ 3.2g/t Au for 659koz including the Break of Day deposit (797kt @ 10.2g/t Au for 262koz contained gold) and the Lena deposit (4.3Mt @ 2.3g/t Au for 325koz contained gold) located 130m to the west of Break of Day.
The new gold discoveries at White Heat, Big Sky, Amarillo, Waratah and Mosaic are all outside the existing resource areas.
For further information please visit: https://musgraveminerals.com.au/
