VICTORIA: Alliance Resources Ltd has announce that the next phase of reverse circulation (RC) drilling has commenced at the Weednanna Gold Deposit, 40km north of Kimba on the Eyre Peninsula, South Australia.
The drilling program consists of 57 RC holes totalling 5,220m which will drill out the Shoot 1 area on a 10m x 10m spaced grid in order to support the estimation of a Measured Resource as part of the revised mineral resource planned in early 2020.
Alliance Resources Ltd is an Australian gold and base metals exploration company with 100% owned projects in South Australia and Western Australia. The Company’s flagship project is the Wilcherry Project, located within the southern part of the Gawler Craton, approximately 45 km north of the township of Kimba, South Australia.
In 2018, Alliance announced a maiden Mineral Resource estimate for the Weednanna Gold Deposit, part of the Wilcherry Project, of 1.097 Mt grading 5.1 g/t gold for 181,000 oz gold (classified 49% Indicated and 51% Inferred).An independent scoping study announced on 18 April 2019 is positive and supports a new, 250 ktpa gold plant at Weednanna.
Total capital cost is approximately $44 million, including an open pit pre-strip of approximately $8 million. There is potential to increase the size of this Mineral Resource with further drilling. Alliance also owns an 80 person camp located on leased land in the township of Kimba and which will be utilised during construction.