Thor Mining kicks off maiden drilling targeting large gold...

Thor Mining kicks off maiden drilling targeting large gold anomoly at Dundas

7:32 am by Andre Lamberti

The Dundas project is located within the Albany-Fraser Province in Western Australia which hosts a number of recent gold discoveries including the +5 million ounce Tropicana gold deposit

Thor Mining PLC (LON:THR, ASX:THR) has commenced a 65 hole rotary air blast (RAB) maiden drilling program at the Dundas gold project in Western Australia.

The work is planned to last 10 days and is targeting a 6 square kilometre anomaly identified from surface sampling last year.

The project is located within the Albany-Fraser Province in Western Australia which hosts a number of recent gold discoveries including the +5 million ounce Tropicana gold deposit owned by Anglogold Ashanti (NYSE: AU) and Independence (ASX:IGO).

The province also contains other discoveries including Hercules, Beachcomber, Socrates, Corvette, and Corona.

The project tenements lie on the general strike-extension of the most prolific gold-bearing belt of the Yilgarn Province, the 700km Wiluna?Kalgoorlie-Norseman greenstone belt.

Drilling will test the upper levels of bedrock for gold mineralisation which is estimated at between 30 and 50 metres deep.

Thor Mining expects assays from samples collected in late March or early April.

Earlier this month, Growth Equities & Company Research initiated coverage of the stock with a ?Speculative Buy? recommendation at a share price of around 2.3 pence, with a 5.1p target price.

In its report, the research agency wrote Thor Mining is advancing two gold projects in Australia, both of which have the serious potential to be multimillion ounce plays.

The first one at Spring Hill in the Northern Territory was acquired with 274,000 ounces of gold JORC resource but the team is seeking a much greater prize at depth where its experts believe there is the chance of Callie-style mineralisation.

This is a big deal as the Callie project, with a 5 million plus ounce gold resource, is the biggest mine in Northern Territory, GE&CR said.

Regarding Dundas, the research house reckons that in the last ten years, investors have woken up to the gold potential of the Albany-Fraser Province following the discovery of the Tropicana gold deposit.

According to GE&CR, the excitement surrounding Dundas is that this greenfield opportunity may actually be within a new mineralised region; as the board believe that Dundas shares the same geological environment as Tropicana.

The similarities are startling as work carried out by Thor last year led to discovery of carbonate soil geochemical anomalies of a similar size and intensity as were found at Tropicana in its early days.