41.8 gram gold hit for Tyranna at Eureka

ASX listed Tyranna Resources may be a step closer towards re-opening the mothballed Eureka gold project near Kalgoorlie, after drilling confirmed the presence of a high grade ore shoot beneath the existing pit.

The top intersection is a stunning 1 metre section grading 41.8g/t gold from 105m down-hole within a broader 14m @ 4.58g/t gold intersection from 103m down-hole.

Other notable results include 4m @ 3.33g/t gold from 98m, 1m @ 7.63g/t gold from 122m and a 0.4m intersection grading an ounce of gold from 170.9m.

Adding further interest, channel sampling across ores at the base of the pit returned 4m @ 20.7g/t gold and 5.6m @ 13.1g/t gold.

The drilling campaign targeted an interpreted high grade ore shoot beneath the old pit to enable the estimation of a mineral resource.

Drilling intersected the interpreted shoot with strong foliation and disseminated sulphides.

Tyranna said that due to the limited deeper drilling in a down plunge position, it is possible that the ore shoot plunges at a steeper angle.

The company will now complete an updated JORC mineral resource estimate before making a decision on whether to start a mining study into the feasibility of mining and toll treating at nearby mills.

Eureka, located 50km north of Kalgoorlie, is an old open cut that was mined on a small scale many years ago.

Historical mining at Eureka only exploited near surface ores, without a serious dip at the underground potential of the deposit. Production between 1985 and 1989 totalled 220,000 tonnes @ 4.5g/t for 32,000 ounces of gold.

Between October 2017 and April 2018, a tribute arrangement under the previous owners of the project resulted in the mining of 53,000 tonnes @ 3.3g/t for production of 5,400 ounces of gold.

Mineralisation at Eureka is hosted in the same sequence that hosts mines to the south such as Quarters, Homestead, Golden Kilometre, Lady Bountiful and Ora Banda that have collectively produced several million ounces of gold.