Vango Mining Ltd (ASX:VAN) welcomes encouraging results received by Lodestar Minerals Limited in a reverse circulation (RC) drilling program testing discrete magnetic anomalies for gold mineralisation at the Ned’s Creek JV Project in Western Australia.
This program comprised three holes completed to a maximum depth of 218 metres for a total of 594 metres and intersected several zones of silica-pyrite alteration within diorite that have potential to host gold mineralisation.
The magnetic target is along strike from significant gold intersections in previous drilling and was interpreted as a mafic unit with potential to host gold in areas of brittle deformation or hydrothermal magnetite alteration related to mineralisation.
Vango is earning a 51% interest in the Ned’s Creek JV by contributing $5 million of expenditure over three years.
Drill program
Hole LNRC102, targeted the southeast dipping magnetic anomaly and intersected an upper, intensely silicified shear zone above intermittently epidote, haematite and carbonate altered diorite.
The key intervals include a zone of silicification and pyrite mineralisation from 142 metres to 145 metres and below 187 metres where haematite altered granite intrusives appear with silicified, pyritic diorite.
Hole LNRC103 was drilled as a scissor hole to LNRC102 to a depth of 212 metres. The hole intersected diorite to end of hole with the interval from 116 to 146 metres displaying partial silicification with trace of pyrite.
Hole LNRC104 was drilled below LNRC103 and intersected the Contessa granite from surface to 48 metres. An intensely silicified shear zone is developed below the granite contact.
Notably, 40 metres of silica-pyrite alteration with gold potential intersected in LNRC104.
Gold-hosting zones
In summary, drilling intersected a diorite body, thought to be responsible for the magnetic signature, bounded by major shear zones.
Intense alteration within the diorite occurs on or near the contacts with granitic intrusives and the observed alteration style is consistent with gold-hosting hydrothermal alteration zones within the known prospects at Contessa, Gidgee Flat and Contessa.
Samples from the program have been delivered to the laboratory and assay results will be announced when received.