PNG-focused precious metals explorer Gold Mountain Limited continues to report promising results from its ongoing bulk sampling programme at the Crown Ridge Gold Project in the Central Highlands region.
At last report, significant quantities of free gold continue to be observed in the bulk sampling programme in exploration licenceEL1968, which was approximately 36% complete in the first week of November.
The promise of the early results has led to the company placing an order with Gray Brothers Engineering to manufacture a portable test plant concentrator. Gold Mountain said the test plant concentrator has the potential to increase current sample recoveries of fine gold and produce representative samples suitable for resource estimation. The company is hopeful the plant will be completed in late November and commissioned on site at Crown Ridge in December.
Gold Mountain’s director – Exploration, Matthew Morgan, said the high presence of free gold throughout the bulk sampling programme continues to give the technical team confidence in the project.
“The current bulk sampling programme continues to produce outstanding quantities of free gold from within the first two metres from the surface,” Mr Morgan said,
“Current bulk sampling operations cover approximately two square kilometres of very compelling geology and our two cubic metre pits continue to deliver exceptional results.
“Shortly, we will begin air freighting sample concentrates to ALS Laboratories in Brisbane, Australia, where total physical gold and platinum content will be determined.
It is anticipated the program will be near completion by mid-December 2016, with further results to follow shortly after that time.”
Gold Mountain’s onsite geologist, Souglas Smith, said that as of November 3, 37 sampling pits been completed.
“Of the 37 completed, 35 contained significant free gold, and in some cases gold has been liberated from surface and continues to two metres with potential to extend beyond that,” Mr Smith said.
“Some sites have yielded very coarse gold ranging from three mm to five mm in size.
Examination of the gold from all pits to date suggests minimal travel distance, meaning the gold may well be very close to source.
“Such an occurrence has many implications and the company is very encouraged by this.
Firstly coarser gold has a very positive impact on the project economics. And secondly, coarse free gold, such as that in pit 35, can be interpreted as being closer to the bedrock source, yet as that sample is from a depth of two metres, it is geologically possible to assume even coarser free gold may lie in the soils beyond this depth.”
Gold Mountain also reported that recently completed Ground Magnetic 3D Geophysical modelling has identified highly prospective drill-ready targets at Crown Ridge.
Other good news for the company in the previous quarter included its successful pick-up of additional holdings in the area via an acquisition of a further 50% interest in project company Viva No 20 Limited and its tenements taking its percentage in Viva to 70%.
The company also completed an extensive helicopter based magnetic survey in excess of 1,000 km covering areas on EL-1966 and EL-1968. The company expects the preliminary modelling results to be completed in the December quarter and a successful capital raising of A$2.4 million to fast track further extensive exploration at the Crown Ridge Project.