- Nova Minerals’ shares are up more than 5% on magnetic anomaly update.
- Magnetic anomaly in regional geophysics confirms 1km continuity of the mineralised zone.
- Nova is planning to drill over 20,000m of diamond drilling in RPM’s northern region to expand the existing 1.5Moz of resource.
- Nova believes that the Estelle Project, backed by two major deposits and 17 identified prospects, has the potential to become North America’s next major gold trend.
Alaska-focused mineral exploration company Nova Minerals Limited (ASX:NVA|OTC: NVAAF|FSE: QM3) has kicked off 2022 with a bang. A geophysical survey has confirmed further continuous zones at the RPM deposit and Nova is now preparing to mobilise drilling rigs on the RPM deposit.
Buoyed by the latest update, Nova Minerals shares shot up 5.2% on the ASX to AU$1.11 (as at 1:00 PM,AEDT), with a market cap of AU$190.11 million.
In the year 2021, Nova undertook an extensive drilling program on the flagship Estelle Gold Project. The project area is a 35km long corridor with 17 identified gold prospects. Most of the drilling, during the last year, was concentrated over the Korbel Main and RPM deposits.
Nova nearly doubled its Mineral Resource Estimate (MRE) in 2021 on its flagship project. At the beginning of 2021, Nova was sitting on a resource of 4.7Moz, which increased to 9.6Moz by the end of 2021.
Image source: Company update, 19 January 2021
Geophysics confirms extension of magnetic anomaly
The drilling campaign on the RPM deposit identified a mineralised intrusive contact zone, delineated by hole RPM-005, which returned a gold intercept of 132m @ 10.1g/t Au. The magnetic anomaly in regional geophysics now confirms the 1km continuity of the mineralised zone.
The high-grade mineralised intrusive contact correlates directly with the magnetic anomaly. The correlation is further backed by the drillhole structural data and surface geological observations.
Commenting on the upbeat geophysical result, Nova’s CEO Mr Christopher Gerteisen said, “Over 20,000m of diamond drilling is planned in RPM’s northern area to extend strike up to 1km to the west of RPM-005 as confirmed by magnetic anomaly.”
The Company is planning the upcoming drilling operation to be tightly spaced around the existing resource area. The objective is to prove up a significant portion of the RPM resources to a higher confidence indicated status.
Mr Gerteisen said, “With support infrastructure in place, and several rigs now gearing up, our corporate goal is to expand the existing 1.5Mozs Au Inferred resource at RPM1, and in turn, build Estelle’s current 9.6Mozs Au estimated total gold resource in 2022.”
Further, Mr Gerteisen highlighted that the untested southern area of the RPM deposit also has significant potential. Nova will now carry out a 3000m diamond drilling program to define additional resources in the southern area.
He added that the RPM deposit’s southern area shows “a much larger surface sample mineralised footprint and a high-grade gold zone” similar to what was found in the northern area of the prospect.
RPM plan view magnetics (Image source: Company update, 19 January 2022)
Meanwhile, Nova will also continue its progress work on the Korbel Main deposit and advance it towards the production phase.
Work program summary
- Nova will mobilise at least two drilling rigs to commence the 2022 RPM drilling program.
- Approximately 20,000m of drilling will be undertaken on RPM North in order to extend the strike up to 1 km to the west as confirmed by the magnetic anomaly.
- Over 3,000m of drilling is planned on RPM South, which remains a highly untested area and has exhibited significant potential.
- To identify additional mineralised zones, Nova will undertake a ground and/or drone-based IP geophysics survey.