ST GEORGE MINING LIMITED 19 January 2016
- Reverse circulation (RC) drill programme at the East Laverton Project has commenced
- First ever drilling of the Atlas gold prospect
- Multiple nickel sulphide and gold targets to be drilled in this 3,500m programme
- Downhole EM (DHEM) survey in WINDD004 completed with preliminary modelling identifying a highly conductive off‐hole anomaly (up to 180,000 Siemens) within 5m of the hole
- Modelling of the DHEM survey data is continuing in advance of further diamond drilling of this massive nickel sulphide target at Windsor
- Final assay results for 2015 drill programme at East Laverton are expected over the next few weeks
St George Mining Ltd ("St George" or "the Company") is pleased to announce that the 2016 drilling campaign has commenced at its 100% owned East Laverton Project in Western Australia.
The first phase of the 2016 drilling campaign at East Laverton will be a 3,500m RC drill programme that will test multiple nickel sulphide, base metal and gold targets. RC drilling commenced yesterday. Further detail on these targets is provided in Table 1 below.
Two further drill programmes are currently being planned for East Laverton. One programme will be a gold‐ focused RC drill programme that will test priority gold targets at East Laverton, including the high‐ranking Ascalon gold prospect.
The second programme will be a diamond drill programme that will follow‐up on priority nickel sulphide targets at East Laverton, including the massive nickel sulphide target at Windsor that was recently tested by drill hole WINDD0004 (DHEM plate WINRC016_v1 - 210,469 Siemens).
"Its very pleasing to be back on the ground at East Laverton and to have the drill rig in action again.
"We have a very attractive pipeline of nickel sulphide and gold targets at East Laverton, with three exciting drill programmes already planned for early 2016.
"A separate announcement will be made later this week regarding the Hawaii and Mt Alexander Projects where we will also be starting exploration and drilling programmes as soon as possible.
"We are optimistic that our systematic exploration at these projects will deliver a significant discovery in 2016."
The RC drilling programme that commenced at East Laverton yesterday will test a number of early stage nickel sulphide and gold targets. Many of these have never been drilled before and offer an excellent opportunity for an exploration breakthrough.
Figure 1 is a map of the tenements at the East Laverton Project with these target areas highlighted.
Table 1 contains drill hole details for the planned holes in the current RC drill programme with a brief description of each target being tested. Four of the targets - Atlas, Cambridge, Red Dragon and the Dragon 13 EM conductor ‐ are also discussed briefly below.
Four drill holes are planned for the Atlas gold prospect, where no previous drilling has been carried out. St George completed ground gravity and soil geochemical surveys over this prospect area in 2014.
St George's soil survey identified an extensive gold soil anomaly with a strike over 5,000m, which straddles an interpreted contact between greenstones and sediment. This large composite gold + molybdenum + arsenic soil anomaly is a typical geochemical signature of gold mineralisation in the North Eastern Goldfields. The four planned drill holes at Atlas will test the bedrock underlying this prominent gold soil anomaly.
Figure 1 - St George's tenements at East Laverton (against TMI magnetics) with the nickel sulphide and gold targets to be drilled in the RC drill programme currently underway.
HOLE ID* | EASTING | NORTHING | DIP | AZM | DEPTH | DESCRIPTION OF TARGET |
THPLAN001 | 548400 | 6737300 | ‐60 | 240 | 300 | Balmoral: tests area of gravity low with strike deflection for gold (E39/981) |
THPLAN002 | 548300 | 6736300 | ‐60 | 240 | 300 | Balmoral: tests gold soil anomaly on gravity gradient (E39/981) |
THPLAN003 | 552600 | 6732000 | ‐60 | 240 | 300 | Oxford: tests extension of Cu anomaly identified in historical shallow drilling (E39/982) |
THPLAN004 | 554730 | 6730350 | ‐60 | 240 | 300 | Oxford: tests gravity high within area of composite greenstone for nickel and/or gold (E39/982) |
THPLAN007 | 559650 | 6729900 | ‐60 | 240 | 250 | Red Dragon: tests gravity high co‐incident with low magnetic response for gold and/or nickel sulphides (E39/1565) |
THPLAN008 | 521450 | 6750800 | ‐60 | 240 | 200 | Cambridge: tests gravity feature to the north of the main Cambridge dunite body for ultramafics and nickel sulphides (E39/1549) |
THPLAN009 | 520100 | 6749300 | ‐60 | 240 | 200 | Cambridge: tests an area east of the main Cambridge dunite body for ultramafics and nickel sulphides (E39/1572) |
THPLAN010 | 522250 | 6744850 | ‐60 | 240 | 200 | Cambridge: tests an area east of the main Cambridge dunite body for ultramafic rocks and nickel sulphides (E39/1572) |
THPLAN011 | 501500 | 6729000 | ‐60 | 230 | 200 | Atlas: tests prominent gold soil anomaly (E39/1678) |
THPLAN012 | 501225 | 6728500 | ‐60 | 230 | 200 | Atlas: tests prominent gold soil anomaly (E39/1678) |
THPLAN013 | 501800 | 6729600 | ‐60 | 230 | 200 | Atlas: tests prominent gold soil anomaly (E39/1677) |
THPLAN014 | 501900 | 6730000 | ‐60 | 230 | 200 | Atlas: tests prominent gold soil anomaly (E39/1677) |
PDH001 | 546650 | 67336000 | ‐60 | 260 | 240 | Balmoral: tests gold soil anomaly on gravity gradient (E39/1064) |
PDH002 | 546500 | 6733600 | ‐60 | 260 | 240 | Balmoral: tests gold soil anomaly on gravity gradient (E39/1064) |
REDPH002 | 558400 | 6735950 | ‐60 | 240 | 400 | Red Dragon: tests an area of structural intersection on the gradient of a strong gravity feature (E39/1608) |
DDPROP9 | 526465 | 6740390 | ‐60 | 75 | 320 | Desert Dragon Central: tests Dragon 13 EM conductor which was missed by DDRDD0002 (E39/1667) |
Table 1 - Drill hole details for the RC drill programme underway at East Laverton (* planned hole ID will be superseded by actual hole ID once drilling is completed)
The Cambridge prospect comprises a large dunite body (4km x 2km) and its surrounding areas. Drilling at the dunite body has identified high MgO ultramafics with elevated values for nickel and PGEs, but the surrounding rocks have never been drill tested.
Of particular interest are the rocks to the east of the dunite body which are interpreted to be within the Stella Range ultramafic belt. Three drill holes are planned to test the rocks to the east and north of the Cambridge dunite body, to investigate if they are of ultramafic composition and have potential to host nickel sulphide mineralisation.
Red Dragon covers a large and under‐explored area in the eastern section of the East Laverton Project. The magnetic and gravity data for this area indicates large scale magmatism and deformation, which can be associated with events that form gold mineralisation.
Two drill holes are planned at Red Dragon to test strong gravity features that may be prospective for gold mineralisation. One of the gravity features is co‐incident with a magnetic low, which may reflect gold mineralisation. The second gravity feature is intersected by an EW trending structure that may be a control on gold mineralisation.
The Dragon 13 EM conductor is modelled by Newexco as EM plate DD‐DDN_03 with a conductance of 2,800 Siemens and a time constant of 138ms. The conductor is proximal to CAMRC004, drilled to the east of the conductor, which intersected thick sulphidic units (35m thick in total) with anomalous multiple metals (Cu‐Zn‐Ag‐Sb).
Also of significance is that Dragon 13 is situated in a major regional fold of the ultramafic belt, which is a favourable structural setting for the concentration of massive sulphide mineralisation.
Drill hole DDRDD0002 was completed at this target in July 2015 and was designed to test a gravity anomaly and the MLEM conductor at around 500m downhole. A DHEM survey completed in DDRDD0002 confirmed the hole just missed the plate. Modelling of the DHEM data in conjunction with the MLEM data re‐affirmed the location of the EM plate, and a new hole has been designed to test the conductor at approximately 230m downhole.
Drill hole WINDD004 was completed last month to test DHEM plate WINRC016_v1 (210,469 Siemens). The drill hole passed close to the conductive source but did not intersect it.
A DHEM survey has been completed in WINDD004 and preliminary modelling of the data by Newexco has identified a highly conductive off‐hole EM anomaly around 95m downhole. The off‐hole EM anomaly is modelled about 5 metres to the north of WINDD004, and between WINDD004 and WINRC016. Modelling of the DHEM survey data from both these holes has produced a number of plate models with conductivity ranging between 60,000 to 180,000 Siemens.
Interpretation and modelling of the DHEM survey data by Newexco is continuing. A drill hole will be designed to further test this massive nickel sulphide target as part of the next diamond drilling programme being planned for East Laverton.
Samples for all RC drill holes completed in late 2015 have been submitted to Intertek Genalysis for assaying and final laboratory assays are expected soon.
The drill core for WINDD004 and other diamond core holes completed in late 2015 is currently being cut and sampled in Kalgoorlie ahead of being submitted to the Intertek Genalysis for assaying.
A further announcement on assays will be made once these results are available.
St George Mining Limited issued this content on 2016-01-19 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 2016-01-18 22:35:04 UTC
Original Document: http://stgm.com.au/uploads/documents/2016_ASX/19_Jan_2016_St_Commences_2016_Drilling_Campaign_at_East_Laverton.pdf
