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Gascoyne granted mining lease in WA

25th September 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Gold hopeful Gascoyne Resources has been granted a mining lease over its Dalgaranga gold project, in Western Australia.

The company said on Wednesday that the grant of a mining lease was a major step forward, allowing it to rapidly develop the Gilbeys and Golden Wings prospects, which were the subject of a current scoping study.

“This is a positive step towards short-term cash flow for Gascoyne. The grant of the Dalgaranga mining lease and the proximity to existing mills puts the Dalgaranga project now ahead of the company’s flagship one-million-ounce Glensburgh project on the critical path to development, and opens up the possibility of cash flow from Dalgaranga being applied to building the larger Glensburgh project,” said Gascoyne chairperson Michael Joyce.

The Gilbeys deposit has an estimate of some 685 000 oz, while the Golden Wings prospect had returned positive drill results, which included shallow high-grade drill intersections of up to 16 m at 8.7 g/t gold, and 22 m at 6 g/t gold.

A 10 000 m drill programme has now started to test the extensions of the Golden Wings prospect, and an initial resource estimate for the prospect was expected shortly, and would be included in the scoping study.

Edited by Creamer Media Reporter

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