Maximus Resources Initiates Drilling at Hilditch Gold Project
MXR (MXR) Share Update July 2024 Monday 8th
Maximus Resources Begins Drilling at Hilditch Gold Project
Maximus Resources Limited (ASX: MXR) has announced the commencement of a 24-hole (~1,500m) Reverse Circulation (RC) drill program at its Hilditch Gold Project, aimed at enhancing resource confidence and conducting additional metallurgical testing.
Instant Summary:
- 24-hole (~1,500m) RC drill program at Hilditch Gold Project.
- Previous shallow intercepts include 7m @ 7.9 g/t Au and 7m @ 3.7 g/t Au.
- Initial metallurgical tests confirm the resource is free milling and amenable to conventional cyanide extraction.
- 19,500 oz Hilditch gold resource situated on granted mining tenements.
- Preparation of Mining Proposal and Mine Closure submissions for open-pit operations has commenced.
- Second-phase drill program at Wattle Dam Gold Mine completed with assay results expected in 3-4 weeks.
Drilling Program Details
Maximus Resources Limited has commenced a 24-hole (~1,500m) Reverse Circulation (RC) drill program at the Hilditch Gold Project. This program aims to upgrade the resource into the higher confidence JORC indicated category and conduct additional metallurgical testing to determine gravity recoveries, grind size, and reagent consumption for optimal gold recovery.
Previous drilling at Hilditch has defined shallow zones of broad gold mineralisation, including intercepts such as 7m @ 7.9 g/t Au from 51m and 7m @ 3.7 g/t Au from 11m. These results indicate significant potential for further resource development.
Metallurgical Testing
Initial metallurgical test work confirms that the shallow Hilditch gold resource is free milling and amenable to conventional cyanide extraction methods. Preliminary tests showed gold recoveries between 91.4% and 95.8%, suggesting consistent amenability to standard gold extraction techniques.
Resource and Infrastructure
The 19,500 oz Hilditch gold resource is situated on granted mining tenements with excellent access to infrastructure, service providers, and several toll-treating options within a ~60km haulage. The resource is shallow, with mineralisation commencing at the surface and open at depth with significant strike extension to be tested.
Forward Plan
The company has commenced preparations for the Mining Proposal and Mine Closure submissions for open-pit operations at Hilditch. The RC drill program is expected to take 1-2 weeks to complete, with assay results anticipated in 3-5 weeks following sample submission.
Additionally, Maximus has completed a second-phase drill program at the Wattle Dam Gold Mine, targeting a potential structural offset of the high-grade gold mineralisation. Assay results from this program are expected within 3-4 weeks.
The commencement of the drilling program at Hilditch Gold Project is a positive development for Maximus Resources. The potential to upgrade the resource into the higher confidence JORC indicated category and the favorable metallurgical test results suggest a promising future for the project. This could positively impact the company's stock as investors gain confidence in the project's viability and potential for near-term gold production.
Investor Reaction:
Investors and analysts have reacted positively to the announcement, highlighting the potential for resource upgrades and the favorable initial metallurgical test results. The proximity to infrastructure and processing facilities further enhances the project's attractiveness.
Conclusion:
Investors should monitor the progress of the drilling program and the upcoming assay results. The successful completion of the program and positive assay results could significantly enhance the resource confidence and production potential at Hilditch Gold Project, making it a compelling investment opportunity.