OzAurum Resources (OZM) has reported fresh results from a diamond drill hole completed at the Demag Zone within the Mulgabbie North project in Western Australia.
Drillhole MNODH 006 was recently completed at the Demag Zone which the company said has continued to demonstrate its potential for significant gold mineralisation since it was discovered in April this year.
The hole intersected a wide zone of alteration and sulphides with results of seven metres at 2.45 grams per tonne (g/t) gold from 279 metres including four metres at 3.65 g/t gold from 280 metres, and one metre at 5.38 g/t gold from 453 metres.
OzAurum also completed petrology on samples from the diamond hole which revealed more primary free gold at the Demag Zone.
The petrology also confirmed veining and alteration associated with high-grade gold in MNORC 202, which the company said is an “exciting” new target for diamond drilling.
MNODH 007 is currently underway which is testing the down-dip extension of gold mineralisation in MNORC 202. The hole is at a depth of 132.5 metres and is planned to be drilled to a 430-metre depth.
The company will soon begin framework diamond drilling to strategically target high-grade gold ore shoots by understanding structural controls and faulting at the Demag Zone.
Structural work will start next month to help with targeting the high-grade ore shoots, as well as to better understand the Mulgabbie North project’s structure.
The high-grade ore shoots will then be drilled via reverse circulation and additional diamond drilling.
OZM shares have ended the day five per cent in the red to close at 9.5 cents.