Hill End Gold drill results point to open pit potential at Red Hill Deposit

Hill End Gold (ASX: HEG) has returned significant gold intercepts in all recent near surface reverse circulation drill holes completed at the Red Hill Project in New South Wales.

Final results have also been received from the follow up assaying of interpreted mineralised sedimentary host rocks.

Highlights include:

- 5 metres at 1.1 grams per tonne (g/t) gold from 47 metres;
- 9 metres at 2.5 g/t from 38 metres; and
- 3 metres at 2.3 g/t from 59 metres.

Nine shallow holes were completed for a total of 590 metres over a strike length of 180 metres, targeting mineralisation in the southern part of the deposit where previous drilling indicated the potential for open pit mining.

Philip Bruce, managing director, said “the infill assaying of this RC program has confirmed our interpretation of broad zones of low grade gold mineralisation at the intersection of the Red Hill fault zone with favourable sedimentary units.

"The Red Hill Deposit is only partially drilled over a strike length of more than one kilometre and further infill assaying and drilling is planned to target shallow open pit potential.”

The results underpin the Hill End Gold revised geological model and the interpreted mineralisation system for the Red Hill Deposit, which is proving to be robust.

Importantly, the company has commenced work in order to update the Red Hill mineralised domain model in preparation for an updated resource estimate.

Hill End Gold owns a minimum of 85% of the Red Hill Project, which has an initial Inferred Resource estimate of 849,300 tonnes averaging 3.3g/t gold (89,200 contained ounces).

Hill End has a development strategy for the combined Hill End projects to increase its mineral resources to over one million ounces, and then to commence production.

The tenements cover 860 square kilometres between Bathurst and Mudgee in New South Wales, and include the three historic goldfields of Hill End, Hargraves and Windeyer, which are located within a radius of 35 kilometres.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/21165/hill-end-gold-drill-results-point-to-open-pit-potential-at-red-hill-deposit-21165.html