Blackham Resources are firming up plans for two large scale open pits at Wiluna after another round of exceptional assay results extended the known areas of gold mineralization at the Matilda project.
The ASX-listed company, which is ramping up to production of 100,000 ounces of gold per annum, announced this week the final round of assay results from last year’s 25,000-metre RC and diamond drilling program.
The drill program was designed to find more open pit resources to support a potential doubling of production and has already delivered in spades. Previously released results from around the East Pit, West Pit and North Pit, led last month to an upgrade in the resource estimate from 5.1M to 6.0M ounces of gold across the Wiluna-Matilda project, which is held 100% by Blackham.
The latest assay results are focused on the Happy Jack-Bulletin Pit and the Adelaide-Moonlight Shear, and look set to lead to another resource upgrade in the near future.
The results included an impressive 15 metres at 7.28 g/t gold beneath the Adelaide Pit from a depth of only 86 metres. Drilling beneath the adjacent Lonehand pit confirmed a number of steeply plunging, high-grade shoots including 5 metres at 6.66 g/t gold from 97 metres and 8.5 metres at 4.38 g/t gold from 123.5 metres.
The latest results show yet again that previous operators left behind extensive gold mineralisation at shallow depths and add more support to the idea of a major expansion of Blackham’s previously envisaged open pits.
In its statement this week to the ASX, Blackham said it was advancing its mining studies over the old Wiluna pits with a view to updating its mine plan and publishing a maiden Wiluna open pit reserve figure.
In an ASX release today the company said, “The East West pit resource and initial mining studies suggest the scale of the East West pit has the potential for a 1.5km long, 600-metre wide pit that could extend to 230 metres deep. Initial mining studies also demonstrated the potential for a 1.9km-long pit in the Happy Jack-Bulletin area.”
Whilst Blackham’s focus will now be on the stage 2 expansion, the latest assay results also suggest there is still much more exploration potential around the Wiluna pits. A single hole to the north of the Bulletin pit intercepted 3.6 metres at a very encouraging 10.6 g/t in a location where the previous operators mapped no mineralisation.
The prospect of two super pits in Wiluna has the town buzzing with the local and wider small business sector set to prosper from Blackham’s success.
By Matt Birney
