Spectrum rings the till again at Penny North
ASX-listed gold developer Spectrum Metals has continued its recent run of success at the Penny North discovery, revealing additional wide high-grade drilling intersections from the emerging project area this week.
Better intercepts included 6 metres grading 47.4g/t gold from 150m down-hole that incorporated a 2 metre section going 4.5 ounces to the tonne from 153m.
The new intersection is situated about 40m down-plunge to the south of the company’s discovery hole from March that turned up 14m @ 14.4g/t from 124m down-hole, including 8m @ 23.3g/t gold from 128m.
Another hole drilled up-dip of the discovery hole, produced a tasty 11m @ 25.8g/t gold from 120m down-hole, including 6m @ 46.8g/t gold from 121m.
Spectrum Managing Director Paul Adams said: “The Penny North prospect continues to deliver exceptional results for Spectrum, remaining open in all directions. We are currently designing and preparing for our Phase II drilling program to expand on our recent discoveries both at the Penny North prospect and under the open pit at Penny West”.
The run of high-grade drilling results over the last month or so seems to have validated Spectrum’s purchase of the Penny West gold project for $1m last October, which is looking increasingly like a potential company maker.
Penny West is located on two granted mining leases about 25km south from the Youanmi mining centre in the Murchison district of Western Australia.
Earlier this week, the company disclosed that it had received firm commitments to raise $5m in support of exploration and development at the project with Mr Adams saying that the backing from institutional and sophisticated investors highlighted the strong market interest in Penny West and its recent discoveries.
The historical Youanmi mining district is looking pretty hot right now, with a cashed-up Rox Resources this week agreeing to farm-in to Venus Metals’ Youanmi gold project just up the track from Penny West.
That initial 50/50 JV between those parties is aimed at breathing life back into this unloved part of the Murchison goldfields region and specifically providing a critical mass of resources to get the mothballed Youanmi processing plant chugging again.
No doubt Rox, Venus and Spectrum will now be keeping an eye on each other’s progress in the area, as all parties will have a vested interest in the golden fortunes this district promises to deliver.
Spectrum Metals (SPX)
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