ABM Resources delivers high grade gold hits from second Northern Territory discovery

ABM Resources (ASX: ABU) is unleashing the potential of the company's operations in the Northern Territory, with the confirmation of a second discovery camp.

What is so interesting about the new discovery is the broad nature of the gold mineralisation from the Kroda Gold Project, which is part of the company’s Barrow Creek Regional Project.

Reverse circulation highlights include:

- 57 metres at 3.83 grams per tonne (g/t) gold from 10 metres, including 29 metres at 6.38gt gold, and 12 metres at 15.69g/t gold;
- 91 metres at 1.44g/t gold from 41 metres; and
- 28 metres at 2.34g/t gold from 19 metres.

Darren Holden, managing director, commented, “The Kroda Gold Project results are a great example of the optionality in ABM’s portfolio with quality mineral projects throughout the Northern Territory.

"With these initial results we have identified substantial mineralisation confirming a second discovery camp within ABM’s extensive Northern Territory portfolio.”

The project consists of four individual prospects (Kroda 1 to 4) with a combined anomalous strike length of 14 kilometres.


Kroda 2011 program

ABM Resources’ 2011 program at Kroda focused on the Kroda 3 prospect with 13 holes drilled where the mineralised system is defined over a 400 metre strike, with a central higher grade core around 125 metres in length and 25 to 40 metres in width.

The company said that mineralisation is hosted in inferred steeply dipping shoots of quartz veins in layered dolerite and schists, and is confirmed from the near surface, and importantly for the potential of future discoveries, is open at depth below 150 metres.


Supporting infrastructure

Ticking another box for the Kroda project is the location within close proximity to some quality infrastructure.

The project is well serviced with infrastructure and is located on pastoral land close to the Stuart Highway, the Ghan Rail Line and the Northern Territory Gas Pipeline along with being 30 kilometres north from the town of Barrow Creek and 200 kilometres south of Tennant Creek.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/20042/abm-resources-delivers-high-grade-gold-hits-from-second-northern-territory-discovery-20042.html