PIONEER Resources has intersected high grade gold during drilling at the Acra Gold Project in Western Australia. New holes were drilled at Kalpini South and results include 11 metres @ 3.77 grams/tonne gold and 3 metres @ 5.44 grams/tonne.
Drilling at the Acra Gold Project of Pioneer Resources near Kalgoorlie in Western Australia.
Seven RC holes for 1027 metres have recently been completed at Kalpini South. These were drilled along strike from high grade gold drill hits in April 2013 which returned 10 metres @ 6.38 grams/tonne from just 61 metres depth and 9 metres @ 5.31 grams/tonne.
Of the new holes two encountered strong gold mineralization and have been used to interpret the strike and dip of mineralization. Two others encountered the right stratigraphy and anomalous, but sub-grade gold, and are interpreted as near misses to the principal gold structures.
High grade gold has now been found over 100 metres of strike and mineralization is open in all directions. Adding spice is that the high grade intersections to date have been found at a range of depths, which could yield a number of gold deposits. Gold has been intersected from 61 metres to 128 metres in depth.
The next phase of drilling will comprise commencement of a drill-out of Kalpini South with fences of holes while holes at Carmelia South will be aimed at defining mineralization orientation. The first holes will be completed at Mountain Maid while drilling at Jubilee East will test for mineralization continuity.
Pioneer acquired the gold rights for the 617sqkm Acra project, 60km northeast of Kalgoorlie, in January 2013. It was attracted by the large tenement package, existence of widespread gold signatures including modern geochemistry and artisanal-scale gold workings, and its proximity to Kalgoorlie.
The company believes Acra has capacity to yield one or more gold deposits which will benefit from having the necessary mining services already established nearby. For more than 40 years explorers have focused on the nickel potential of the project and in doing so have generated an excellent gold database. By studying this Pioneer has identified as least 10 gold targets that occur along a 50km section of the Emu Fault. In acquiring the gold rights, Pioneer became the first company to specifically explore Acra for gold.
Pioneer is nicely cashed up for ongoing exploration with Aus$3.8 million at September 30, which includes a receivable of $1.2 million due in March 2014. Proactive Investors says against a market cap of circa $9 million this places a value on its Acra Gold Project, Golden Ridge Gold-Nickel Project and Fairwater Nickel-Gold project of a very undemanding $5.2 million.