Horizon Minerals Ltd’s (ASX:HRZ) Rose Hill Project in Western Australia has firmed as a quality high-grade open pit and satellite gold project as a result of an updated resource estimate following strong drilling results.
Successful diamond and reverse circulation (RC) drilling programs were completed during 2020 at the project, around 35 kilometres west of Kalgoorlie-Boulder in the Western Australian Goldfields.
Drilling comprised 45 holes for 2,500 metres to improve geological confidence and improve JORC classification for ore reserve conversion.
High-grade results include 11 metres at 8.79 g/t gold from 43 metres and 10 metres at 6.28 g/t from 28 metres; and 3.4 metres at 17.92 g/t from 79 metres and 4 metres at 9.77 g/t from 84 metres.
New drilling data has enabled the company to compile new independent open pit and underground mineral resource estimates with mineralisation open along strike and particularly at depth.
The updated estimates for Rose Hill are:
Importantly, more than 70% of the resource is in the measured and indicated JORC categories.
Rose Hill is one of five core satellite projects being assessed to complement the baseload Boorara deposit and underpin the possible construction of a standalone processing plant.
Horizon managing director Jon Price said: “The excellent open pit and underground grades at Rose Hill have demonstrated its potential to be a significant contributor to the initial five-year mine plan being developed as part of the feasibility study due for completion in the June quarter of 2021.
“We look forward to releasing the maiden ore reserve as the optimisation and design studies continue in the first half of 2021.”
During 2020, the company completed 42 RC holes for 2,100 metres and three diamond holes for 400 metres at Rose Hill to a maximum depth of 200 metres.
The program aimed to confirm drilling on certain historic holes to assess the reliability regarding grade, width and reproducibility.
Infill drilling was carried out in several areas to improve and upgrade geological confidence within the existing resource model to support future mine planning.
Extensional drilling outside the existing resource envelope, both along strike and at depth, was also carried out to obtain further confirmatory metallurgical and geotechnical information for reserve conversion.
Other results include:
Horizon is completing infill and extensional drilling at all satellite projects as a part of the 2020 reserve and resource growth and discovery program.
The company sees significant potential for these open cut and underground deposits to provide satellite ore feed to complement the baseload Boorara gold project.
Project data is being compiled and is being consolidated into the geological database and will form part of the consolidated feasibility study due for completion in the June quarter of 2021.