Kalgoorlie Gold Mining has reached a significant milestone with the completion of its initial farm-in at the Pinjin Gold Project.
The company has now secured a 75% interest in the project’s key tenures including the areas hosting the Kirgella Gift and Lighthorse discoveries.
The successful farm-in at Pinjin South and Kirgella covers tenures that encompass the Kirgella Gift and Providence mineral resources, the Lighthorse discovery and the entire mineralised Lighthorse corridor.
This corridor is notable for extending north to gold mineralisation and anomalism at Wessex, which is situated less than 1km from the Anglo-Saxon open-pit gold mine, currently under care and maintenance by Hawthorn Resources.
The transaction involved a $1.65m (A$2.56m) cash settlement for ownership in multiple tenures including E 28/2654, E 28/2655, E 28/2656, E 31/1127 and several P 31 parcels.
According to the agreement, the vendors will be free carried until a positive bankable feasibility study has been delivered and a decision to mine is made.
At that point, they must choose to either contribute their share of costs or convert their interest into a 2% net smelter royalty.
Kalgoorlie Gold managing director Matt Painter said: “This marks a major milestone for the company. We are incredibly proud of the KalGold team’s achievements since commencing the farm-in at Pinjin.
“In less than two years, the company has defined over 75,000oz of gold in a near-surface Mineral Resource following JORC Code (2012) guidelines, at Kirgella Gift and Providence. Beyond this, we have defined gold mineralisation and anomalism across multiple prospects throughout the tenement package, including the hugely prospective Lighthorse and Wessex prospects.”
The company is now awaiting assay results from its recent large-scale aircore drill programme, which targeted areas north and south of the Lighthorse discovery.
The outcomes of these assays will significantly influence Kalgoorlie Gold Mining’s future exploration strategy.
With the key tenure at the Pinjin project now under its control, Kalgoorlie Gold Mining is preparing to ramp up its exploration efforts.
The company plans to accelerate aircore, reverse circulation and diamond drilling activities at Pinjin.
Additionally, Kalgoorlie Gold Mining is considering targeted geophysical programmes to detect alteration zones, structures and mineralisation.
The objective is to discover new high-priority target areas, make further gold discoveries and increase the mineral resource inventory.
