Based in Western Australia (WA), Classic Minerals Limited (ASX: CLZ) a gold-focused exploration, and development company announced the result of ongoing drilling at Kat Gap prospect. The drilling result delivered significant high-grade gold mineralisation zone, aptly situated on the granite-greenstone contact, i.e. around 1.2km south along strike from the main drilling area of the project.
Also, it is worth mentioning that the project is strategically located 70km south-southeast of the Classic's Forrestania Gold Project (FGP) rendering greater optimism around the Kat Gap project. FGP contains Lady Magdalene and Lady Ada gold resources which recently exhibited surge in resources by 38% and 71% respectively. Also, FGP, in its past scoping study, demonstrated both positive technical and economic viability. The FGP contains the total mineral resources of 7.27 Mt @ 1.33 g/t resulting gold metal contain of 311,050 ounces.
Kat Gap Drilling - Gold is Hosted in Quartz Veins
The Company has drilled three RC holes to follow-up a historical RC hole, which returned value as 1m @ 11.20g/t Au, and to assess further high-grade gold lying into the granite adjacent to the primary granite-greenstone contact. Widespread mineralization has been observed through the drilling program in the target areas with instances of intersections extending over more than 15m into the granite.
Out of these three holes, FKGRC145 and FKGRC146 (only two) were sent for assaying.
Source: ASX Announcement, Dated 27 Feb 2020
Within the granite, smokey grey quartz veins host the gold mineralisation, which is similar in style to the adjacent contact and setting to the Kat Gap main drilling area. Also, quartz chips and panning dish at FKGRC145 contain visible gold.
Kat Gap Optimism: Quartz Observed on the Surface
The recent bushfire crossing the project area has left the ground uncovered by burning all the leaf, shrubs, and bark matter allowing geologists to see for the first-time outcrop and sub crop along with the granite-greenstone contact. Also a recent geological survey along 1.2km distance was conducted, i.e. along the main contact from the south of the dyke to drill hole FKGRC145. Interestingly, all the way to the rig -sub cropping and scree quartz in patches were noticed which proves that further gold mineralisation between the gap of our latest high-grade result and current drilling focus at the project exists.
Based on amounts of quartz detected on the surface along the main contact, Company believes that there exists no geological reason to question the existence of gold mineralisation provided the gold is hosted in quartz veins.
Kat Gap Recent and Past Classic RC Drilling Along with Significant Gold Intersections
Source: ASX Announcement, Dated 27 Feb 2020
Do You Know Share Price 50% Up Post KAT GAP Drilling Update: High-Grade Gold Intercept Continues, Click To Read.
Previous Drilling Know-How of the Kat Gap Project
Before the most recent RC drilling program, Classic has completed eight separate drilling campaigns at Kat Gap. From May 2018 to January 2020, all the 143 holes for 11,044m returned significant high-grade gold intercepts at the project, where most of the previous drilling being shallower including 60m vertically below the surface and strike length of ~500m covering along with granite-greenstone contact.
It is pertinent to mention that the historically RC holes were drilled shallower into the host granite by mainly penetrating 8-12m only into the granite. Also, there is a small number of holes drilled between the cross-cutting Proterozoic dyke and main granite-greenstone contact.
Therefore, the Company aimed to focus on the same region for exploring the deeper side to assess better knowhow of the plunge component to the high-grade ore to mention few. CLZ is continuing drilling along the strike to determine the granite-greenstone contact and cross-cutting Proterozoic dyke contact which will aid the Company by analysing the deposit and hence ease the steps toward producing.
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Stock Price Information
The stock closed at A$0.002 on 27 February 2020. Its 52 weeks high stand at A$0.004 and 52 weeks low at A$0.001 with a market cap of A$14.4 million.
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