GOLDEN HONCHO AND GOLDEN SLIPS
At Frances Creek, gold mineralisation has been identified within a number of narrow (<2.5m)ferruginous quartz-breccia veins. These reefs are primarily hosted within massive sandstones of the Mundogie Sandstone, and have a NNE strike. The veins extend into the neighbouring AllamberSprings Granite.
Since the mid-1980’s the Frances Creek veins have been explored by several companies, with most workfocussing on surface geochemistry (soils, rock-chips and stream sediments) with limited drilling follow up. Several high grade veins have been identified from rock-chip sampling including the Golden Honcho and Golden Slips veins, which have been subsequently drill tested with shallow RC holes by Arafura Resources Ltd.
The single pass drilling program comprised 40 RC holes for 1,646 metres. The drill results were excellent. The holes that were drilled on the Golden Honcho and Golden Slips reefs:
ranged in depth from 22 to 67 metres; and
all intersected medium to high grade quartz veins outcropping on ridge crests which are amenable to simple low cost open pit mining.
The results show similar grades and widths to the surface sampling that averaged sample grades of 17.6 g/t over 420 metres (Golden Honcho) and 18.2 g/t over 180 metres (Golden Slips). They also show that these veins have substantial depth extensions that Ark plans to target in the next phase of its drill program.
It is also positive that there are multiple intersections in a number of holes. This has the potential to increase the total contained ounces and the ounces/vertical metre. Some holes intersected a second vein that was not located or sampled at surface and offers the opportunity to increase tonnage and decrease strip ratio in possible open pit.
Drilling to date has covered a combined strike length of some 390 metres out of a total strike length of 2,400 metres of mineralised reefs at the prospect. The Golden Honcho deposit is open along strike to both north and south and at depth.
FRANCES CREEK PROJECT HIGHLIGHTS
Golden Slips prospect is only 1km NNE from Golden Honcho prospect with 5 other identified gold exposed reefs within a 2km zone, namely, Golden Amigo, Golden Austerian, Golden Senorita, Golden Gulf and Golden Bandito. All of these prospects lie within the tenement being farmed-in by Ark.
Sub Vertical quartz veins and adjacent gold bearing alteration zones outcropping on top of steep ridge crests are amenable to simple, low cost, open pit mining.
Prospects 20km from a gold plant with current capacity to process oxide gold.
Over 2,400 metres of strike length at Frances Creek (comprising gold exposed reefs) with only 390 metres drilled to date.
Close to Ark’s Mt Porter 34,200oz Au JORC Resource and Pine Creek township.