Middle Island Unfurls New High-Grade Drill Intercept at Ridge Prospect, Stock Zooms up by ~17%

Summary

• Middle Island has unveiled a single, yet very high grade, initial drill intercept - 4m at 99.5g/t Au, including 1m at 390g/t Au (repeat assay 502g/t Au) - from infill and extension drilling at the new Ridge satellite deposit.
• The Company has also completed a high resolution airborne magnetic survey and drone digital terrain model over M57/129, M57/128 and P57/1395 at Sandstone.
• Oxide diamond coring of all new satellite deposits for geotechnical, metallurgical and bulk density purposes is expected to commence on time during the week starting 6^th July 2020.
• The Company is likely to estimate Mineral Resources before consideration as Ore Reserves in a feasibility study update, targeted for September 2020 quarter.

Australian gold explorer, Middle Island Resources Limited (ASX:MDI) has unveiled a single, yet very high grade, initial drill intercept - 4m at 99.5g/t Au, including 1m at 390g/t Au (repeat assay 502g/t Au) - from infill and extension drilling at the new Ridge satellite deposit. The intercept has been derived from Phase 2 RC drilling continuing at the Sandstone gold project post successful completion of Phase 1 RC drilling.

Post the key update, the Company’s stock was trading ~17% higher at $0.021 as at 12:26 PM AEST.

Middle Island is undertaking Phase 2 RC exploration drilling (~13,800m) on open pit targets at Sandstone project to infill and extend current and new deposits defined by the Phase 1 RC program, in order to delineate Mineral Resources to an Indicated category. The Company has already completed ~9,000m of Phase 2 drilling campaign and the program is progressing on schedule.

Must Read! 2020 First Half: A Spectacular One for Middle Island

New Intercept Defined at Ridge Prospect

Middle Island has reported assay results from a single RC drill intercept in drill hole MSRC530 at the new Ridge deposit. Situated just northeast of Sandstone processing plant, the new Ridge results lie on permitted Mining Lease M57/129.

MSRC530 is the most northerly hole finalised so far at the Ridge satellite deposit, which immediately adjoins the Shillington Gap target. It comprises an intercept of 4m at 99.5g/t Au (from 13m), including 1m at 390g/t Au (from 14m) for which a duplicate assay of 1m at 502g/t Au was returned.

The bonanza grade intercept in MSRC530 is situated at shallow depth within a shallow northeast dipping unit of BIF (banded iron formation), including part of the Shillington BIF package. Moreover, this initial result is located ~40m along strike from Phase 1 RC drill intercept of 3m at 8.77g/t Au, offering substantial support for this style of mineralisation continuing to the north, below shallow cover, into the Shillington Gap target area.

The Company has planned to undertake exploratory drilling at Shillington Gap target at the end of Phase 2 RC campaign.

It is worth mentioning that the assay results attained so far from infill and extension RC drilling at new Ridge deposit are not yet complete, and further results would be required to comprehend the context of the intercept more completely in MSRC530.

Way Ahead

Middle Island has completed a high resolution airborne magnetic survey and drone digital terrain model over M57/129, M57/128 and P57/1395 at Sandstone. Besides, the Company has finalised the processing of the radiometric and airborne magnetic data while interpretation is underway before drill planning at the Shillington Gap target.

The Company notified that an extension of current POW (program of work) over Mining Lease M57/129 had been approved to accommodate further drilling requirements at newly identified McIntyre, McClaren and Ridge satellite deposits, in conjunction with planned exploratory drilling of the Shillington Gap target.

Moreover, the Company is progressing well with the Feasibility Study update, along with Phase 2 drilling campaign comprising a Phase 2 RC drilling and diamond drilling of HQ3 oxide coring from the surface. Oxide diamond coring of all new satellite deposits for geotechnical, metallurgical and bulk density purposes is expected to commence on time during the week starting 6^th July 2020.

In a nutshell, infill, extension and verification drilling at Ridge prospect has been completed (some assays pending) prior to preparing a Mineral Resource estimate. Middle Island is likely to estimate Mineral Resources before consideration as Ore Reserves in a feasibility study update targeted for September 2020 quarter.