De Grey Mining Share Price Lifts as Hemi Shows its Got Room to Grow Still
The De Grey Mining Ltd [ASX:DEG] share price was the clear winner of Aussie gold stocks last year, turning a 12-month return of more than 1,800%.
Which is 400% great than the next best performing gold stock, Chalice Mining Ltd [ASX:CHN].
Today, the share price received a nice boost thanks to two newly discovered gold intrusions located at the Crow deposit at their Mallina Gold Project.
At time of writing the DEG share price is up 3 cents or 3.19% to trade at 97 cents per share.
New finds suggest there is plenty more gold to find
In my opinion, 2021 could be a more exciting year than the previous one for DEG shares.
Because we already know Hemi hosts a very large amount of gold and DEG keeps finding more.
And its two latest finds suggest there is more high-grade gold still left to uncover at Hemi.
DEG announced today the discovery of the Diucon and Eagle intrusions immediately west of Crow, which show encouraging alteration and gold mineralisation intersected in first pass drilling.
Source: De Grey Mining
Highlights from first pass drilling show some very broad gold mineralisation:
- 99m at 1.0 grams of gold per tonne (g/t) from 114m including 19m at 2.0g/t from 158m
- 6m at 4.5g/t from 186m
- 9m at 1.3g/t from 204m
- 29m at 1.1g/t from 55m, including 10m at 2.6g/t from 74m
- 68m at 0.7g/t from 50m, including 3m at 1.3g/t from 51m
- 6m at 2.0g/t from 78m
- 18m at 1.3g/t from 96m
Mineralisation in both intrusions remains open along strike and depth.
REVEALED: What’s Next for Aussie Gold Stock Prices? Learn more.
DEG says the Diucon intrusion is considered a direct extension of the Crow intrusion and hosts encouraging variable alteration and gold mineralisation similar in style to Hemi mineralisation.
While the Eagle intrusion is interpreted to be an extension of the Antwerp intrusion complex.
Estimate on the horizon
DEG did not specify further drilling plans in their announcement today.
But with a maiden resource estimate anticipated some time before the end of June, I expect them to keep chasing more gold.
DEG Managing Director Glenn Jardine said drilling would continue with the aim to extend the gold mineralisation in both intrusions.
And that potential exists to define new resources to add to the existing gold endowment at Hemi.
The DEG share price could also be bolstered further in the coming months and years as Australia begins to surpass China as the gold capital of the world. In her latest report, gold expert Shae Russell breaks down what Australia becoming the new gold ‘epicentre’ means for gold and your Aussie gold stocks. Click here to download the free report.
For The Daily Reckoning Australia