Lunnon Metals Ltd (ASX:LM8, OTC:LNMLF) has struck high-grade gold at the Lady Herial and Plentiful prospects of the Foster-Baker (FBA) project area, an emerging opportunity at the Kambalda Nickel Project (KNP) in Western Australia.
The company selected the two prospects for follow-up diamond drilling and reverse circulation (RC) drilling as part of a series of high-ranking gold exploration targets.
Assays from the program have revealed a series of near-surface, gently dipping quartz vein structures at Lady Herial, with results up to 3 metres at 14.8 g/t gold from 15 metres, 1-metre at 10.31 g/t from 26 metres and 3 metres at 5.99 g/t from 12 metres.
At Plentiful, the company identified a focused area of gold mineralisation with a 50-metre strike zone – results included 3 metres at 2.59 g/t gold from 49 metres.
Gold price at all-time highs
"Our first- and now second-pass gold-focused drill programs have continued to deliver exciting results, narrowing our focus on the near-surface at Lady Herial, and at depth at Plentiful,” Lunnon Metals managing director Edmund Ainscough said.
“All the positive attributes inherent in our tenure at Kambalda that set our cornerstone nickel asset Baker up to be successful, including abundant existing infrastructure, granted mining leases, minimal regulatory steps to permitting and low-modest start-up capital, all serve to act as a springboard for this latest success with our gold programs.
“The opportunity to take a low-cost focused approach on near-surface gold has the potential to bear fruit in the short-medium term with the gold price at all-time highs in Australian dollar terms.”
Other assays of note from the latest round of drilling include:
Lady Herial:
- 5 metres at 4.01 g/t gold from 20 metres;
- 5.71 metres at 1.45 g/t from 117 metres; and
- 1.42 metres at 13.7 g/t from 125.8 metres.
Plentiful:
- 1-metre at 4.35 g/t gold from 33 metres; and,
- 11.8 metres at 1.43 g/t from 117.6 metres, including 0.9 metres at 5.72 g/t.
Lunnon intends to prioritise follow-up drilling at the Lady Herial prospect first, in line with its strategy to pursue prospects that can be developed quickly, while keeping an eye to bigger and potentially deeper opportunities.