Great Northern Minerals Strikes Gold at Big Rush Project
The share price of microcap gold explorer Great Northern Minerals Ltd [ASX:GNM] has stormed higher today thanks to some solid results from its Big Rush gold project in Northern Queensland.
The last announcement from GNM about gold at its Big Rush project caused a bit of a stir and the company was forced to retract some statements about its activities at the site.
Even after the Australian Financial Review published some of GNM’s statements as part of an article on gold mining in Northern Queensland — oops!
Though there doesn’t appear to be any confusion in today’s announcement.
At the time of writing, the GNM share price is up 22.22% to trade at 2.2 cents per share.
Confirmation of significant gold
According to GNM today, with the completion of their latest round of drill results, Big Rush has potential to be a large gold resource.
Total recent drilling at Big Rush comprised 22 holes for 3,634 metres spread over approximately 900 metres of strike.
Highlights from Big Rush include:
- 19m at 5.11 grams of gold per tonne (g/t), including 3m at 21.73 g/t from 77 metres
- 32m at 1.32 g/t from 132 metres
- 28m at 1.27 g/t from 91 metres
Today’s announcement relates to the receipt of all the final samples from the drilling programme.
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Now compiled, the results highlight the higher-grade gold zones lying within the several larger lower-grade mineralised zones.
Which will provide GNM some nice targets for deeper diamond drilling designed to test at depth these higher-grade intersections.
The figures below help illustrate this:
Source: Great Northern Minerals
GNM Managing Director, Cameron McLean commented on the announcement:
‘…results have confirmed the potential for very high grades to extend to significant vertical depth, particulary underneath the Central Pit.
‘Results from underneath the Northern Pit are pointing to excellent further potential in this area and the planned deeper diamond drilling program which is about to commence is designed to test for extensions of the higher-grade gold result.’
How does this shape up for Great Northern Minerals?
These results are pretty encouraging.
The reason we could be seeing an upwards swing in the share price today is because the more significant gold intersections had only been returned at depth under the central existing pit previously.
Whereas the final results confirm the potential along the entire strike length of the previously mined pits and extensions.
True thickness of the mineralised zones now ranges from 1–14 metres in width and are interpreted to all be open at depth and along strike, providing plenty of resource development potential.
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For The Daily Reckoning Australia