MLN 13 Pine Creek, Annual report for 1986 to 1987

Abstract

Work during the 1986 and 1987 year consisted of diamond and percussion drilling in the immediate pit area and on selected targets elsewhere on the lease. Three diamond drill holes were drilled within the pit area of the Enterprise Anticline in order to test the primary ore zone. In addition 4 diamond and 12 percussion drill holes were drilled on the adjacent syncline structure. In situ reserves as of January 1987 were estimated at 11.2 M tonnes averaging 2.6 grams per tonne Au, and mineable reserves were estimated at 9.2 M tonnes averaging 2.7 grams per tonne Au. This has also resulted in a redesign of the open cut, which would include part of the syncline structure. The Czarina anticline was drilled by 17 percussion and 5 diamond holes which confirmed the presence of low grade mineralisation on this structure within the Upper Mine Greywacke. At the Kohinoor anticline work involved detailed mapping of the underground workings, percussion drilling on the Kohinoor saddle reef and diamond drilling to test the geology and mineralisation at depth. The results indicate considerable potential in the area, but further drilling is required to resolve structural and stratigraphic complexities. Finally percussion drilling totalling 1134m was undertaken on selected targets within the Southern Mining Lease during 1986 and 1987. These areas were selected due to their potential to host small tonnages of ore with grades greater than Enterprise grades. the results did not reveal any significant high grade intersections.