Helix Resources (ASX:HLX) is planning new work programs to systematically evaluate the extent of gold mineralisation along strike, in wall rocks, and in covered areas within the Muriel Tank historical goldfield mining area in New South Wales.
The $16.32 million market capitalisation company wholly owns the historic Muriel Tank Project and has recently completed a data compilation exercise, ahead of conducting gold-focused exploration in the area.
Recent field mapping identified previously untested sub-parallel zones of blue quartz veins, which are considered highly prospective for further gold mineralisation.
Helix says the current workflow is focused on continuing with detailed field mapping and surface sampling along prospective trends, particularly in areas where there is no previous geochemical sampling.
Infill and extensional auger drilling will also be conducted to provide comprehensive geochemical coverage and facilitate defining drill targets.
Upcoming work includes an assessment of current rock chip samples, detailed geological mapping, preparation of an updated soil geology map and fault map, auger sampling, and drilling.
Managing Director Kylie Prendergast says with the historical compilation mostly complete, the untested opportunities in the project are emerging.
“Historical gold is reported over a sizable 5.5km by 1k area and previous drilling was very patchy,” Prendergast says.
“Our new regional structural model gives us an edge in understanding the controls on the mineralisation and hence, where we might find more, especially under cover.
“International gold prices are high, and Muriel Tank is well located close to current processing infrastructure suitable for gold recovery, including the new plant under construction at the Mt Boppy Gold Mine, 20km to the west, as well as Aurelia’s Peak Plant and Kingston’s Mineral Hill Plant — though further away.”
Prendergast adds that the company is focused on advancing several priority targets in its pipeline which the company believes has potential to deliver a new copper-gold discovery in the Cobar region.
At Muriel Tank, there are multiple historic mine shafts that produced gold ore estimated at 15 grams per tonne (g/t) gold over a 5km by 1.5km area, located 20km to the east of Mt Boppy.
Helix adds that gold was historically extracted from quartz veins and breccias up to 2m wide at Muriel Tank, and these mineralised structures occur within several shear zones. The zones remain open at depth and along strike.
Further, previous rock chip samples have returned 13.8g/t gold and 28g/t gold; 10.8g/t gold; and 33.8g/t gold across several areas within the project.
The company says the results show that gold is present in both quartz vein samples and wall rock samples.
Muriel Tank is an historic goldfield with recorded production of more than 400 tonnes at 15g/t gold from shallow workings up 30m deep.
Helix Resources is a copper and gold-focused explorer that holds a ground position totalling 3,300km2 in the Cobar region of New South Wales.
Write to Aaliyah Rogan at Mining.com.au
Images: Helix Resources