Everest Metals will focus on a slew of conductor targets with a new deep drilling campaign at its Revere gold project near Meekatharra and along strike from Sandfire Resources’ DeGrussa copper-gold mine. The company says the upcoming campaign will aim to intersect volcanic hosted massive sulphide copper-gold mineralisation down to a depth of around 300m and similar in geology to the famed DeGrussa deposit.
Approvals are already in place for a diamond drilling campaign at Revere to begin in the second quarter of 2023. Everest engaged a registered geophysical dataset agent for modelling and interpretation of existing geophysics data over the operation. The model was used to compile a geochemical, geological and drilling database to optimise the planned deep drilling program for VHMS-type mineralisation at depth. Reprocessing and interpretation of historical geophysical data using new modern technology has identified multiple prospective conductors and drill targets.
DeGrussa sits along strike and lies 55km north-east of Revere. Sandfire’s asset is one of the Asia-Pacific region’s premier high-grade copper mines in terms of production and churns out roughly 300,000 tonnes of high-grade copper concentrate each year in addition to about one tonne of gold annually.
According to the Western Australian Department of Mining, Industry Regulation and Safety, the DeGrussa site employs around 420 people and is the largest copper producing operation in the state. Incredibly, the mine went from discovery to production in just three years, with the Department taking only eight months to complete the mine approval process.
Everest says DeGrussa was discovered in follow up drilling of a zone of oxide gold mineralisation similar to that found at Revere. At depth, the anomalous high copper, zinc and arsenic values indicate the potential for a DeGrussa type copper-gold deposit below the zone of complete oxidisation. Copper and gold lodes in the region are generally considered shear hosted shoots comprised of high-grade lodes.
Everest Metals Executive Chairman and Chief Executive Officer, Mark Caruso said: “The remodelling of the historic geophysical data using up to date technology highlights the potential of volcanic hosted massive sulphide copper-gold mineralisation within the Revere gold project. The predicted targets within the 3D geometry optimises the chances of success with our forthcoming deep diamond drilling program.”
In January the company entered into an exclusive, legally binding farm-in and joint venture term sheet with private firm Entelechy Resources to pick up the project. As part of the deal, Everest will pay $10,000 in cash and issue three million fully paid ordinary shares to Entelechy in exchange for a 51 per cent interest. Shareholder approval for the deal was given last month.
After completing a host of additional terms, including funding the exploration and development work required to complete a feasibility study at the operation, Everest will earn the right to mop up the remaining 49 per cent.
The company also plans to test Revere’s surface gold potential over the next few months through an initial 36,000 tonne bulk sampling campaign along with a suite of metallurgical test work. Management says the program could permit short-term gold mining and production via a mobile gravity plant.
Everest has applied for the WA Government’s Exploration Incentive Scheme and if successful will be reimbursed up to 50 per cent of the cost of a single deep hole. The latest model has identified seven drill targets with five considered a high priority. The company is also planning a 1000m deep drilling campaign to test mineralisation at three priority targets.
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By Matt Birney
