Dalgaranga gold project produced more than 70,000oz of gold for FY2022 before Gascoyne placed it on care and maintenance in November, to preserve the value of its extensive infrastructure and resource base
Gascoyne Resources has plans to commence production at its Dalgaranga gold project, located 65km northwest of Mt Magnet in the Murchison District of Western Australia.
The company’s restart of exploration and evaluation activities at Dalgaranga and Yalgoo gold projects follows a $50m funding it has secured last month.
Dalgaranga produced more than 70,000oz of gold for FY2022 before it has been placed on care and maintenance in November 2022.
Gascoyne implemented the operational reset to preserve the value of its extensive infrastructure and Resource base while developing a new, sustainable operating plan.
This approach is underpinned by the exceptional high-grade Never Never gold discovery, which was made in 2022 just 1km from the existing 2.5Mtpa carbon-in-leach processing facility and the main open pit at Dalgaranga.
Gascoyne Resources managing director Simon Lawson said: “We are very well positioned to drill out one of the best new high-grade gold systems discovered in recent years and, with an extensive multi-faceted exploration strategy underway right now around that key deposit, we expect to unlock more high-grade ounces in short order.
“Never Never is growing with each drill hole, the high-grade potential of the Never Never analogue 400m away at the north end of the Gilbey’s pit is really exciting, and our SAM geophysical survey will be like switching a light on in a once dark room. The architecture of the 2 square kilometre region around Never Never will be revealed.
“We have designed our exploration program to yield solid results in manageable timeframes targeting outstanding outcomes. We have mapped out where we need to drill when we need results and what we expect to deliver. 2023 will be a big year for our small team and we are off to a cracking start!”
The company’s new exploration campaign is focused on the recently discovered Never Never Gold Deposit, which strikes and plunges to the southwest.
Never Never is a high-grade 303,000oz gold deposit, located on Mining Lease M59/749, north of the existing Gilbey’s Pit.
It was discovered while following up wide, high-grade drill intercepts from the earlier Gilbey’s North extension discovery immediately north of the Gilbey’s open pit at Dalgaranga
According to the company, Never Never is different from Gilbey’s North discovery, with respect to tenor, the thickness of mineralisation, mineralogy, scale, orientation and host structure.
Never Never deposit hosts superior grade than any of the previously defined ore bodies at Dalgaranga and appears to be far more structural, fold and shear-hosted, said Gascoyne.