PAIV:MacPhersons Reward Gold drilling extends high grade Tycho gold deposit
Recently listed Macphersons Reward Gold (ASX: MRP) has extended the Tycho gold deposit by drilling to depths below 100 metres downhole, with results indicating the potential to double the size of the mineralised zone.
Initial drilling intersected a high grade 1 metre at 8.57 grams per tonne (g/t) gold from 101 metres. Other intersections include:
- 0.9 metres at 25.1 g/t gold from 15.2 metres;
- 1.0 metres at 25.4 g/t gold from 31.0 metres; and
- 0.7 metres at 5.58 g/t gold from 39.3 metres.
The Tycho prospect in Western Australia is a recent discovery where there is no previous history of any mining. The deposit has been mainly drilled over an area of only 150 metres x 50 metres and deeper diamond drilling at Tycho is now underway.
The current drill pattern will extend the coverage to 300 metres x 100 metres as the mineralisation remains open in all directions.
Tycho's Mineral Resource of 21,100 ounces (Inferred Resource of 430,000 tonnes at 1.5 g/t gold) is centred on 4 individual zones of mineralisation within 50 metres of the surface. The deposit lies under shallow cover and there has been little drilling down dip, and limited drilling to the north has identified a fifth zone.
The company intends to develop the Tycho gold deposit with a view of near term production in 2012 being processed through the Nimbus processing facility near Kalgoorlie.
Macphersons Reward has entered a binding memorandum of understanding to acquire mill processing and mine assets at the Nimbus Silver Mine, located 10 kilometres from Kalgoorlie. The assets come with an approved site for metallic and non-metallic ore processing and an approved tailings storage facility.
The assets have advanced exploration targets on the silver deposits below two existing open cuts and with polymetallic deposits carrying zinc-silver- lead mineralisation with zones of anomalous gold and copper values.
Macphersons Reward Gold is a newly minted company, listing on the ASX in late 2010 after a successful IPO offered 100 million shares at $0.30. The company subsequently listed on 24 December 2010 with 113.6 million shares on issue. The company is currently trading at $0.28 per share.
