Hill End Gold (ASX: HEG) is proving up the potential of its Hargraves Gold Project to host substantially more Resources than the currently defined 221,000 ounces at the Big Nugget Hill deposit through recent geological mapping and rock chip sampling along the 6 kilometre Meroo trend.
The strategy for the Hargraves Gold Project is to outline a Reserve on the Big Nugget Hill deposit as the basis for a Pre-Feasibility development plan for a mining lease application.
Results of ongoing mapping, rock chip sampling and a multi-element soil geochemical survey have defined an extensive zone of gold mineralisation that warrants priority drill testing.
Assaying of rock chip samples collected during the 1980s has returned a maximum of 5.6 grams per tonne (g/t) gold from the Homeward Bound Prospect and up to 8.4g/t gold from the Eldorado Prospect. These results are similar to those obtained in the 1980s.
Regional exploration in the Hargraves area is identifying drilling targets to add resources for a potential commercial project on the Big Nugget Hill deposit and activities have been directed towards the 6 kilometre long Meroo Trend.
The Meroo Trend is a mineralised zone that is parallel to the Big Nugget Hill structure and links several prospects defined by historic mine workings, namely Eldorado, Hampden Hill, Homeward Bound and Great Western.
Most of Hill End Gold's recent exploration has been focused on the Homeward Bound Prospect, which is 3 kilometres north of the Big Nugget Hill deposit.
A current diamond drilling program is testing the northern extension of the Big Nugget Hill resource for a further 300 metres along strike and to a depth of about 100 metres.
Until recently, no exploration has been done on the Meroo Trend since the 1980s. Three diamond drill holes were completed in 1988 for a total of 294.5 metres returning assays of 1 metre at 3.2g/t gold from 16 metres from the Eldorado Prospect, and 0.2 metres at 38g/t gold from 61 metres at the Hampden Hill Prospect.
In the vicinity of the Homeward Bound and Hampden Hill Prospects multiple quartz veins sets occur within an 80 to 120 metre wide, 1,600 metre long, north to north-westerly trending zone.
Soil geochemical survey
A soil geochemical survey extending from the Eldorado Prospect to the Homeward Bound Prospect is incomplete, but initial results are encouraging.
At each sample site 30 chemical elements are being analysed using a handheld portable XRF analyser. Elements of most interest are those that may be associated with gold mineralisation. Arsenic, silver, zinc, bismuth, tungsten and lead anomalies have proven particularly useful for identifying the location of the gold mineralised trends.
The Homeward Bound survey has already outlined a 120 metre by 600 metre mineralised area that is expected to be extended and XRF surveys continue into other areas along the Meroo Trend.
A reverse circulation drilling program is planned to test the Homeward Bound Prospect.
Optimisation studies carried out at Hargraves indicate the potential for a moderate size open pit.
Hill End's near term focus is to increase its Resources inventory and develop commercial production. The company is aiming for mine plan submission to the Government by the end of 2012.
Hargraves has shown the potential for large gold deposits below surface with mineralisation open at depth and along strike.
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