Rox Resources targets gold resource at Mt Fisher within months

Rox Resources (ASX: RXL) is following up on previous bonanza grade gold intersections with a 5000 metre reverse circulation drilling program at the Mt Fisher gold project in Western Australia, with the aim of converting a number of potential exploration targets into a JORC Resource within months.

Previous drilling at the Moray Reef returned high grade drill hits of 3 metres at 67 grams per tonne (g/t) of gold, 1 metre at 187g/t and 3 metres at 8g/t with the high grade resource averaging 5-10g/t gold indicated.

The Mt Fisher project is believed to be a similar geological sequence to Navigator Resources' (ASX: NAV) 3.6 million ounce Bronzewing gold project.

The high grade zone of gold mineralisation at Moray Reef has the potential to be brought into production quickly if a toll milling agreement can be secured with a nearby gold treatment facility.

Moray Reef is a narrow high grade gold mineralised zone some 350 metres long and extending to at least 100 metres depth. The additional drilling is designed to test depth and along strike extensions.

At the Damsel prospect, a 500 metre long zone of oxide mineralisation from surface to 100 metres depth has been defined by previous drilling, including recent reverse circulation drilling by Rox.

Previous intercepts include 6 metres at 3.38g/t of gold from 45 metres, 9 metres at 4.43g/t from 54 metres, 9 metres at 7.12g/t from 76 metres and 11 metres at 5.32g/t from 60 metres.

Drilling will now be undertaken to fill in the drill pattern to 100 by 25 metres on six sections.

Previous drilling has demonstrated the gold mineralisation below the Mt Fisher open pit continues at depth at economic grades and widths.

An electromagnetic survey completed prior to mining at Mt Fisher defined a strong anomaly associated with the mineralisation, with gold closely associated with pyrite within the Mt Fisher chert.

Rox’s recent VTEM surveying has identified two very strong conductors along strike to the south of the mine, and these present possible repeats of the Mt Fisher style of gold mineralisation and are interpreted to occur within the Mt Fisher chert unit.

The recent VTEM survey also covered the along strike extensions of the Mt Fisher chert unit for up to 10 kilometres north and south of the Mt Fisher mine.

A number of strong bedrock conductors have been defined and five will be tested by the planned drilling.

In June Rox received shareholder approval for the purchase of the Mt Fisher gold nickel project from Avoca Resources (ASX: AVO).

The company holds a tenement package covering 615 square kilometres, located about 250 kilometres north of Leonora in Western Australia’s Goldfields region. Rox has an option to purchase a further area of 170 square kilometres at the project.

Mt Fisher is 40 kilometres to the east of the prolific 17 million ounce Yandal greenstone belt and 100 kilometres east of the main Wiluna greenstone belt. The Norseman-Wiluna Belt is believed to host in excess of 30 million ounces of gold.

The Mt Fisher Greenstone Belt has not seen the same level of exploration as the other belts in the region. Many large areas remain unexplored.

Previous mining at Mt Fisher from underground and open cut has produced 27,000 ounces of gold.
Rox has defined an exploration target of 35,000 to 50,000 tonnes at 5-10g/t gold from the Moray Reef prospect and 400,000 to 600,000 tonnes at about 4-5g/t gold from the Damsel prospect.

Further production potential exists within the tailings and low grade stockpiles which could produce around 360,000 tonnes at 1.1g/t gold.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/21154/rox-resources-targets-gold-resource-at-mt-fisher-within-months-21154.html