Dateline Resources has struck thick, high-grade gold beneath the North and South pits at the company’s Colosseum project in California, improving continuity and delivering grades above the current resource. The latest drilling supports an early mine plan and strengthens the project’s economics as the company sharpens its gold feasibility study at record prices.
Dateline Resources has jagged another set of impressive high-grade gold intercepts from its ongoing drilling campaign at the company’s 100 per cent-owned Colosseum gold and rare earths project in California, adding further weight to the mineralisation model beneath the existing North Pit.
The latest results came from a reverse circulation (RC) drilling program testing depth extensions below the historic North and South pits and have delivered some eye-catching grades and widths.
Standout intercepts include a stellar 10.67-metre section running at 7.27 grams per tonne (g/t) gold within a broader intercept of 62.48m grading 2.52 grams per tonne (g/t) gold from 25.91m. Another hole returned a whopping 108.20m going at 1.18g/t gold, including 13.72m at a healthy 4.48g/t gold from just 9.14m depth.
Dateline says grades from these latest twelve RC holes have materially improved the continuity of mineralisation and, in several cases, returned grades that far exceed the current mineral resource estimate.
The strongest results were recorded on the south-eastern side of the North Pit, where drilling outlined a broad mineralised zone consistent with the existing resource model, capped by a high-grade core delivering significantly better grades.
Dateline Resources managing director Stephen Baghdadi said: “These newly reported results come from an area that was sparsely populated in the previous mineral resource model. The overall mineralised envelope and grade matches what we anticipated in this area and the high-grade core has delivered excellent grades and widths.”
Baghdadi added the North Pit is currently scheduled to be the first area mined under the development plan and the addition of high-grade ounces could materially enhance production in the early years of operations.
The current drilling campaign forms part of ongoing work designed to refine Dateline’s bankable feasibility study and progressively upgrade the resource into higher-confidence categories. The Colosseum project already hosts a substantial gold endowment of 27.1 million tonnes at 1.26g/t gold for 1.1 million ounces, with more than 67 per cent classified as measured and indicated.
Colosseum is strategically located within the prolific Walker Lane Trend in eastern San Bernardino County, California, less than 10 kilometres from the Mountain Pass rare earths mine — the only active rare earths producer in the United States. The district has a rich mining pedigree dating back to the California gold rush of 1848 and hosts multiple multi-million-ounce gold deposits.
Geologically, the region is dominated by a complex interplay of gold-bearing felsic breccia pipes and an alkaline carbonatite complex. This setting has delivered both precious metals and rare earth mineralisation. At nearby Mountain Pass, rare earths are produced at exceptional grades of 6 to 8 per cent total rare earth oxides, highlighting the broader strategic importance of the district.
Dateline believes a similar geological story could be unfolding at Colosseum, with gold mineralisation showing a geochemical link to the same ancient carbonatite intrusion that underpins the region’s rare-earth endowment. While the company’s immediate focus remains on gold, the rare earths upside remains firmly on the radar.
Economically, Colosseum already boasts compelling numbers. The project carries a post-tax net present value of US$550 million (A$850 million) and an internal rate of return above 60 per cent, based on a conservative gold price of US$2900 per ounce. With gold now trading well above US$4000 per ounce, those metrics could climb sharply as the feasibility work progresses.
Dateline has forecast total production of 635,000 ounces of gold over an initial 8.3-year mine life, with average annual output of 71,000 ounces grading 1.3g/t gold at an impressive recovery rate of 92 per cent.
With assays continuing to flow and modelling underway, the latest high-grade hits reinforce the open-at-depth potential beneath the pits and could soon translate into a larger, higher-quality resource base - bringing Colosseum another step closer to becoming a profitable Californian gold producer.
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