- Sultan holds key Gold and Base metals projects in Yilgarn Craton
- Yilgarn Craton, an established premier Gold and Nickel Mining region
- Lake Grace Au-Ni-Co project delivered drilling results indicating substantial gold mineralization
- Sultan in a binding agreement to acquire Colossus’ asset in Macquarie Arc of Lachlan Fold Belt
Sultan Resources Ltd (ASX:SLZ), a diversified and experienced explorer recently signed a binding agreement to acquire 100% in Colossus Metals and its wholly owned Macquarie Arc project in the Lachlan Fold Belt. Within three weeks of approval of the acquisition by the shareholders, high grade assay results were announced indicating the presence of large-scale Au-Cu Porphyry system
Additionally, Sultan owns and explores gold and base metals projects including Lake Grace, Dawallinu, Thadauna and East Tallering projects in the Yilgarn Craton. The Lake Grace Ni-Co-Au project holds 5 tenements stretching over a vast area with two major sub-project areas:
- Lake Grace Gold Project
- Lake Grace Nickel/Cobalt Project
Sultan strengthens its presence in Lachlan Fold Belt, Stock up 87.5% in May: Read Here
Yilgarn Craton, The World Leader in Gold and Nickel
Yilgarn Craton holds one of the largest portions of oldest crust on earth with vast reserves of Gold, Nickel, Copper, Iron ore, Tantalum, Zinc and others. Surprisingly, the craton accounted for less than one-tenth fraction of its current production in 1980 and now supersedes the production from South Africa’s Witwatersrand, home to one of the largest gold mines by resources (>32 Moz), the South Deep Gold mine. Over 8,000 tonnes or 270 Million ounces of Gold discovery have been made in the Yilgarn Craton alone in the past 40 years, establishing the region as a premier gold region.
The Craton accounts to ~65% of Australia’s Gold production and holds over 30% of the global gold reserves. Yilgarn Craton holds over 20% of the global Nickel reserves with an in-situ valuation of several hundred billion dollars. Explorers from the junior-most firms to the mining Majors are seeking exploration grounds in the region, attracting over 50% of the Australian mineral’s expenditure.
Sultan’s Key Gold and Base Metals Portfolio in the Yilgarn Craton of WA: Must Read
Lake Grace Gold Nickel-Cobalt project in the Premier Mining Region of Australia
The Lake Grace Gold project is surrounded by tenements held by Cygnus Gold (ASX:CY5) and Gold Road Resources (ASX:GOR). The region shares its geological settings with the likes of Ramelius Resources’ (ASX:RMS) Tampia Gold project, and Ausgold’s (ASX:AUC) Katanning Gold mine.
Regional map view of Sultan’s Lake Grace portfolio in relation to surrounding tenure and significant gold deposits Source: Sultan Resources
Sultan recently completed the 991 metres RC (Reverse Circulation) drilling program at the Challenger gold prospect within the Lake Grace mining region. The 5 RC holes targeted the gravity anomalies from the gravity survey of 2019 along the strike of the Challenger Gold mineralisation.
Drilling Assay Results (Left), RC drilling samples (Right) Source: Sultan Resources
The strongest anomalies are understood to hold extensive near surface gold mineralisation at the Challenger deposit. The 3D inversion modelling based on the gravity survey data had indicated peak densities, which were tested during the drilling program are were geophysically found to be similar to the sulphidic mafic gneiss at the Tampia deposit in the vicinity.
All assay results of 4m-composite assay samples were received in April 2020 suggesting significant gold mineralisation intervals which is consistent with the outcomes of the historical drilling programs carried out by Sultan in 2019 at the Lake Grace site.
Sultan closed at $0.145 a share, an increase of 7.5% against the previous close, with a market capitalisation of $6.91 million.
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