Ann: 415.2m at 1.34g/t Au intersected at Two Mile Hill Sandstone, page-18

My first response to this hole was similar to Undaunted and T54s.

On reflection though I agree with Corona that this is a good proof of concept. There is an intrusive with cross cutting sub horizontal veins that have the potential to bulk out to ore grade over 400m of vertical depth. Further drilling is required.

The gold is probably contained in the cross cutting quartz veins and associated halos which, in the 3 core trays shown, are at approximately 70-90 degrees to the core axis.

They have NOT drilled down a vein in the sense of a classic director's hole.

They have drilled down an intrusive body where the veins are at a high angle (50-90 deg) to the hole. This means IMO that, if the gold is vein hosted, the hole was a well oriented test.

Even if the gold is related to alteration in the tonalite the dimensions of the intrusive body and vertical extent imply further drilling is warranted IMO.






This deposit was erroneously shown on ENU's property in their early presentations and so I was a bit disappointed to find out it was on MDI's tenements when it (Two Mile Hill) tweaked my interest last year.

With respect to restarting the plant this deep drilling may not help much. The existing plant is for oxide ores which is the main reason the Sandstone district has been restricted over the years to shallow deposits.

If Two Mile Hill turns out to be a bulk tonnage proposition then a new processing plant is probably going to be needed.

Whether this ends up being MDI alone or some arrangement with their surrounding neighbour AME only time and drilling will tell.



A good read that's not intended as cross promotion (but can't avoid being that in part) is the summary of the AME portions of the Sandstone district to be found in this report by Keith Goode.
The very early history (pre 1920) of Sandstone shows significant high grade gold production to a depth of 200+m at Hacks/Black Range (250Kt @ 19.8g/t Au) which was just one deposit. Low tons but evidence that the recent announcement at Two Mile Hill may not be a flash in the pan.

Disclaimer: I do hold AME and view success by MDI as probably being strong support for Alto's thesis that Sandstone has a lot more gold waiting to be found. Lots of work to be done by both companies with no guarantees of success so DYOR.