HIGHLIGHTS
• Drilling commenced today at Steam Engine with objectives to:
– accelerate expansion of the current 196,000oz Au Mineral Resource;
– maximise pit optimisation and generate a maiden Ore Reserve;
– extend strike lengths of Steam Engine and Eastern Ridge Lodes; and
– test multiple newly identified high-grade lode targets
- Revision of 2021 Steam Engine Scoping Study nearing completion – being revised at A$3,250/oz Au (base case in 2021: A$2,200/oz Au)
- New geophysical modelling highlights several previously unknown high-grade lode targets and a potential southern extension to the main Steam Engine Lode
- Compelling size potential: current Mineral Resource calculated only to shallow vertical depths averaging 90m at Steam Engine Lode and 35m at Eastern Ridge Lode. Resource calculated along 1.2 kms of lode strike – at least 10 kms of additional untested lode potential identified by anomalous soil geochemistry, rock chips up to 65.9g/t Au and geophysics.
Superior Resources Limited (ASX:SPQ) (Superior, the Company) announced today the commencement of Resource expansion and exploration drilling at the Steam Engine Gold Project (SEGP), where the Company is accelerating mining study work with the aim of realising early revenue generation. Steam Engine is a unique gold deposit located between several Tier 1-potential porphyry Cu-Au-Mo prospects and a magmatic sulphide Ni-Cu-PGE province within the Company’s 100%-owned Greenvale Project in northeast Queensland.Superior’s Managing Director, Peter Hwang commented:
“This year’s drill program at Steam Engine represents the most pivotal for the project and from which we expect to establish a maiden Ore Reserve as well as further expansion of the Mineral Resource.
“We also have high expectations for the discovery of significant new gold lodes at very convincing sub- audio magnetic, or SAM, geophysical targets. The SAM data is particularly exciting, as it has provided an entirely new insight into the potential locations of previously unknown lodes.
“We drilled almost 200 holes and over 13,000 metres into the ore body during the 2020 and 2021 field seasons, so the Mineral Resource is of high quality with a large portion already in the Measured and Indicated categories. Some of our key objectives over the coming months are to maximise pit optimisation outcomes and to convert the Measured and Indicated Resources to Ore Reserve categories.
“We are also anticipating the imminent delivery of the Revised Scoping Study, which, given the current gold prices, is evaluating both toll treatment and owner-operate processing plant scenarios.
“In the meantime, pad preparations are underway for the Queensland Government-backed CEI holes at Bottletree, so we are looking forward to significant activity this season.”
Read the announcement via this link