Brightstar Resources Initiates Drilling at Montague East Gold Project
BTR (BTR) Share Update November 2024 Tuesday 12th
Brightstar Resources Launches Drilling at Montague Gold Project
Brightstar Resources Limited (ASX: BTR) has commenced a significant drilling program at the Montague East Gold Project, aiming to expand its gold resources and enhance geological understanding.
Instant Summary:
- 6,000m Reverse Circulation drilling program initiated at Montague East.
- Targeting depth extensions and infill resource drilling at Montague-Boulder and Whistler deposits.
- Combined gold resource of 4.7Mt at 1.8g/t Au for 283koz Au.
- Heritage Protection Agreement executed with Watarra Aboriginal Corporation.
Drilling Program Details
Brightstar Resources has embarked on a 6,000m Reverse Circulation (RC) drilling program at the Montague East Gold Project, located 70km north of Sandstone in Western Australia's Murchison region. This initiative focuses on the Montague-Boulder and Whistler deposits, which are the largest within the project, boasting a combined gold resource of 4.7 million tonnes at 1.8 grams per tonne of gold for a total of 283,000 ounces.
The program is expected to last approximately four weeks, after which the drill rig will move to Alto's Sandstone Project, pending the completion of a planned merger in December. The drilling aims to explore depth extensions and conduct infill drilling to enhance the resource classification and geological understanding of the deposits.
Strategic Significance
Brightstar's Managing Director, Alex Rovira, emphasized the strategic importance of the Montague East Gold Project within the company's broader consolidation strategy in the Sandstone region. With a historical production of around 150,000 ounces, the project is a key component of Brightstar's goal to establish a multi-asset gold mining business in Western Australia.
The company has also secured a Heritage Protection Agreement with the Watarra Aboriginal Corporation, ensuring that exploration activities are conducted with respect to cultural heritage considerations.
Future Prospects
In addition to the current drilling efforts, Brightstar is advancing its Definitive Feasibility Study and near-term development plans for the Jasper Hills deposit. The company plans to update stakeholders with drilling results and assay information as they become available, including outcomes from the Fish and Lord Byron diamond drilling programs.
The initiation of the drilling program at Montague East is a positive step for Brightstar Resources, potentially leading to an increase in the project's gold resource base. This could enhance the company's asset portfolio and attract investor interest. The Heritage Protection Agreement further solidifies Brightstar's commitment to responsible mining practices, which may bolster its reputation and stakeholder relations.
Investor Reaction:
Analysts are likely to view the commencement of the drilling program as a proactive measure to increase resource estimates and improve geological data. The market may respond favorably if the program yields significant resource growth, though some investors may adopt a wait-and-see approach until drilling results are announced.
Conclusion:
Investors should keep an eye on the progress of the drilling program and subsequent assay results, as these will provide insights into the potential resource expansion at Montague East. Brightstar's strategic initiatives and responsible mining practices position it well for future growth in the gold sector.