Alkane Resources has returned high-grade gold mineralisation at the Boda prospect, part of the Northern Molong porphyry project in New South Wales.
The latest reverse-circulation drilling at Boda aimed to test for shallow extensions to the high-grade breccia zone that was previously discovered.
New assays included high-grade gold and copper drilling results, including 31 metres grading 2.94 grams per tonne of gold, and 0.97 per cent copper from surface, including nine metres grading 9.43 grams per tonne of gold and 2.65 per cent copper from surface.
According to Alkane, the drilling results suggest the breccia zone at Boda has a vertical extension of at least 800 metres, with ongoing drilling to define its dimensions.
The Boda prospect is a porphyry gold-copper system which may have potential to be a tier-one gold-copper project.
Alkane managing director Nic Earner said the breccia zone also shows that an open cut mining method could work at Boda.
“The high-grade breccia zone at surface not only further emphasises the large vertical depth of the system, but also gives rise to considering open cut as a potential mining method at Boda,” Earner said.
“We’re continuing our exploration program across the porphyry project, and we are planning a further 60,000 metres of drilling over the coming financial year.
“This substantial exploration program is designed to continue defining the internal high-grade zones within the extensive low- grade mineralised envelopes at Boda, Boda Two and Kaiser prospects, as well as testing the corridor between the Boda and Kaiser targets.”
Alkane is hoping to become Australia’s next multi-mine gold producer and currently operates the Tomingley gold operations in New South Wales.
The company produced 13,500 ounces at Tomingley in the June quarter of 2021 at an all-in sustaining cost (AISC) of $1669 per ounce.
Alkane plans to ramp up production to 100,00 to 115,000 ounces from the 2025 to 2027 financial year.