12/04/2018 - 20:34

Its gold, gold, gold, for Calidus

12/04/2018 - 20:34


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It seems that Calidus Resources hits gold almost every time it sinks a drill bit into the Warrawoona gold project near Marble Bar with 12 recent RC holes now extending the gold mineralisation a further 2kms east of the known Klondyke resource. Field mapping has also revealed the gold-rich host rocks extend another 2km further east, adding even more weight to the company’s view it is on to a serious system.

The Klondyke shear zone at the heart of Calidus Resources’ Warrawoona gold project in the Pilbara is shaping up as a serious gold system after new drilling extended the main mineralised zone by up to 2km further east.

The major extension of mineralisation was confirmed in drill results from 12 new RC holes, stepping out a total distance of 2km along strike to the east of the existing Klondyke Main resource of 654,000 ounces.

The quality of the drill hits in the new Klondyke East area is particularly impressive given the drill program was meant to be little more than a reconnaissance traverse.

Calidus has enjoyed a remarkable hit ratio since its maiden drill program at Warrawoona just over six months ago and the latest set of results, once again have not disappointed.

Assays from the latest holes include a solid 16m intersection grading 2.34 g/t from 136m down-hole, 10m at 3.67 g/t from 58m, 7m @ 4.58 g/t from 175m and 6m at 3.32 g/t from 167m.

The company says the tenor of mineralisation observed within the Klondyke East system mirrored the early exploration drilling results in the central Klondyke Main resource.

Calidus Managing Director, Dave Reeves, said: “The Klondyke East maiden drilling campaign has confirmed that the main Klondyke Shear is proving up as a substantial gold system. Drilling has intersected outcropping gold mineralisation for over 2km from the eastern limit of the existing 2.6km long, 654,000-ounce resource. With deep drilling underway beneath the existing resource, the true scale of Klondyke is beginning to be revealed. These results increase our confidence that with the extensional drilling planned this year, we will see a significant increase in defined resources at the Klondyke Prospect.”

There was even more good news from detailed field mapping and sampling with portable XRF scanners, which showed the same highly prospective host rocks continued another 2km east along the main shear zone.

Calidus has said from the start that the prospective strike of the Klondyke shear extends over some 12km and the evidence to support that bold statement appears to be piling up.

The company has also been bullish about the possibility of depth extensions of the gold mineralisation, which have not yet been tested.

The test for depth extensions is now underway with a drill program co-funded by the WA Government’s Exploration Incentive Scheme. The first hole in a six-hole program testing to a depth of 450m has just begun, the results of which, will no doubt be keenly anticipated by the market.

In the short term, the priority for Calidus remains the shallow gold in the Klondyke Main and Klondyke East areas, which now extend over a strike of 4.6km.

The cashed-up explorer, who raised $10m in November in an oversubscribed placement, will kick off a serious 50,000m program of resource drilling next month. The aim is to rapidly expand the JORC resource ahead of a pre-feasibility study in the second half of this year.

The company has already begun baseline environmental studies and heritage clearing activities, which will help to smooth the way for a potential fast-track to development.


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