Thor Mining (ASX: THR, AIM: THR) has confirmed further improved grades and extensions of known gold mineralisation at its Spring Hill gold project in the Northern Territory with the receipt of remaining assays from drilling into the main Hong Kong Zone.
This now paves the way for an upgrade to the current JORC Resource of 3.6 million tonnes at 2.3 grams per tonne (g/t) for a contained 274,000 ounces of gold to be undertaken during the next three months, once check-assaying has been completed.
The current resource has not been tested to more than 150 metres in depth and there is significant potential to increase the open pit resource by drilling beyond this depth.
Three holes were drilled into the Hong Kong mineralisation to test possible extensions to the zone, as part of Thor's broader 2012 drilling program across multiple targets at Spring Hill.
The three holes into the Hong Kong lode have extended known depth of mineralisation by at least 100 metres over a strike length of at least 125 metres. Gold grade appears to be increasing toward the south.
Most notable intercepts were 46.7 metres at 2.4 grams per tonne (g/t) gold from 300.6 metres, including 9.4 metres at 2.9g/t gold and 4 metres at 7.6g/t gold; and 30.2 metres at 2.7g/t gold from 145.3 metres, including 2.7 metres at 17.7g/t gold and 5 metres at 4.9g/t gold.
These build on the results released earlier this week, which included 8.4 metres at 1.47g/t gold from 189.5 metres, including 0.5 metres at 5.45g/t gold from 189.5 metres and 0.25 metres at 22.73g/t gold from 193 metres.
The additional results strengthen the indications of depth extension to the gold mineralising system for the Hong Kong lode and suggest an improvement in the grade to the south.
The results from the hole that returned an intercept of 30.2 metres at 2.7g/t gold from 145.3 metres appear to support strike extension of the new lode identified in an earlier drill hole, which has not been previously modelled.
The newly identified extension to the Hong Kong mineralising system is open down plunge and to the south.
The drill hole that intercepted 46.7 metres at 2.4g/t gold from 300.6 metres was stopped in mineralisation, therefore leaving the Hong Kong partially open to the west.
Also, around 30 metres to the east of the Hong Kong a new lode has been identified.
Mick Billing, executive chairman, commented: "We are delighted to be able to report additional results showing higher average grades and extensions to the known mineralisation at Spring Hill. While we still have some work to finalise the evaluation, these are very encouraging signs."
Next exploration steps
Thor's exploration plan for Spring Hill involves immediate follow up work, which will continue through the next dry season, including:
- Finalising check analyses on low grade assays;
- Resource estimation update and open cut mine optimisation;
- Planning and executing follow-up resource extension drilling; and
- Planning and implementing a lease wide exploration program.
Project Equity - Thor to increase to 51%
Thor has now exceeded the expenditure required at Spring Hill to exercise its option to increase its equity to 51%.
The company has notified joint venture partner Western Desert Resources, which has begun a verification review of the expenditure.
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