Nagambie Resources intersected 0.2m at 340 grams per tonne (g/t) gold as part of exploration works at the Nagambie mine in central Victoria.
“The laboratory checked the assay three times and confirmed that it was real,”Nagambie Resourcesexecutive chairman Mike Trumbullsaid.
“With no visible gold, and no visible sulphides, the assay represents fine, free gold within the quartz vein.”
The latest results increase the likelihood that the Nagambie mine thrust could host high-grade shoots along its known 2km strike length.
The mine already hosts 40 economically mineable intersections to date with a weighted average of 14.5g/t gold and 5.4 per cent antimony.
Nagambie calls this gold grade is very high by industry standards, suggesting the potential for “very low operating cost and very high operating margin mineralisation”.
“The average antimony grade of 5.4 per cent makes the Nagambie mine underground discovery the highest-grade antimony mineralisation in Australia and one of the highest in the world,” Trumbull said.
Nagambie has formed a joint venture with Golden Camel Mining to develop a central processing hub at the Victorian mine.
Plans include a 180,000 tonnes per annum gold-antimony processing plant, tube cell tailings storage facility, renewable energy hub and microbial bioleaching research.
Once operational, all toll treatment revenues, operating costs, rehabilitation costs and sustaining capital will be shared 50:50 by both parties.
A maiden JORC inferred resource at the Nagambie mine is expected in the March quarter.
“With the deepest intersection to date occurring only 250m vertically below surface, we have only scratched the surface of what could be a major high-grade, antimony-gold orebody,” Trumbull said.
