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White Cliff Minerals On Elephant Hunt At Laverton Gold Project

White Cliff Minerals (ASX:WCN) has started rotary air blast drilling over two key gold targets near Laverton, Western Australia.

Importantly, these are located just 25 kilometres northwest of Gold Fields' existing Granny Smith (3 million ounce) and Wallaby (7 million ounce) gold mines as well as associated infrastructure.

The two Red Flag anomalies cover distances of 500 metres and 1500 metres respectively.

Mineralisation is associated with shear zones running along contacts between units and along cross cutting faults which are responsible for the deposition of the 3 million ounce Mt Morgan's deposit while the fault structures are related to the regional fault system responsible for the deposition of Wallaby and AngloGold Ashanti's (JSE:ANG) 7 million ounce Sunrise Dam gold deposits.

The 5,000 metre drilling program is targeting the Red Flag East and Red Flag West anomalies. The drilling program is expected to take about two weeks with assay results available by early August.

Todd Hibberd, managing director, noted:

"The gold anomalies are outstanding targets for quartz vein and fault hosted gold mineralisation.

"The Red Flag East anomaly, in particular, is a very attractive target that occurs on the contact between a mafic unit and intrusive porphyry.

"The identification of these gold anomalies substantially improves the likelihood of an economic outcome of the Laverton Gold project given that the Red Flag prospect is only 25 kilometres from existing mining operations (Wallaby and Granny Smith gold mines) and associated infrastructure in the event of successful drilling."

Red Flag Gold Anomalies

The Red Flag East anomaly extends over 2 kilometres and along the contact of a basalt and intrusive felsic unit.

The anomaly has been defined by previous RAB drilling on 400 metre spaced lines and 100 metre spaced drill holes.

Despite several mineralised intersections no follow up work was conducted.

White Cliff has planned a rotary air blast drilling program to test the mineralised trend over a 1000 metre length with 50-100 metre spaced lines and 25-50 spaced drill holes.

Red Flag West extends over 500 metres and occurs within a sedimentary sequence.

The anomaly has been defined by previous RAB and RC drilling on 200 metre spaced lines and 50 metres spaced drill holes.

Despite several promising intersections, the mineralised zone was not followed up along strike.

Laverton Gold Project

The Laverton gold project consists of 136 square kilometres of tenement applications in the Laverton Greenstone belt.

The core prospects are Kelly Well and Red Flag prospects located 35 kilometres southwest of Laverton in the core of the structurally complex Laverton Tectonic zone 25 kilometres northwest of the Granny Smith and Wallaby gold mines.

Red Flag consists of a series of strongly deformed mafic and felsic volcanics with banded iron and sediment units.

Analysis

White Cliff Minerals is exploring in elephant country which is a necessary condition to find an elephant.

That aside, it is located so close to existing mining operations even a reasonable gold ounce deposit would enable it to be monetised very smartly.

There is also potential for Gold Fields or Mt Morgans' owner Dacian Gold (ASX:DCN) to purchase any deposit the company defines.

Should the results be good, the company would then move on to reverse circulation drilling.

Of course, the company also has the Mt Remarkable project which turned up gold nuggets recently.

Even that does not end the story, White Cliff also has its Kyrgyz Republic assets which show great promise.

The company is also preparing to test its Ironstone gold prospect in the fourth quarter of 2015.

Capped at just circa $4 million, the company is primed for take-off with projects on several fronts.

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