Zenith Minerals has commenced an extensive drilling campaign at its Consolidated Dulcie gold project located in Western Australia. The initiative involves two rigs set to conduct between 9,000 and 12,000 metres of reverse circulation drilling. This effort aims to expand the resource base beyond the current estimated 302,000 ounces.
The objective is to convert an exploration target of between 300,000 and 800,000 ounces into a significant resource of approximately 1.1 million ounces within the project’s near-surface mineralisation. The site is situated about 50 kilometres south of Southern Cross, an area known for its gold potential.
Zenith Minerals has financed this ambitious drilling campaign through a recent capital raise of $7.65 million at a premium price. This funding allows the company to extend operations beyond the initial phase two program. Additionally, management plans to accelerate follow-up initiatives related to the recent discovery at the Red Mountain intrusion-related gold system (IRGS).
At Consolidated Dulcie, an existing resource of 8.2 million tonnes grading 1.2 grams per tonne (g/t) gold is present, which translates to a total of 302,000 ounces of open-pittable resource located in the Dulcie Far North prospect. Recent exploration efforts are focused on expanding resources at the Dulcie, Dulcie North, and Dulcie Far North areas.
Andrew Smith, managing director of Zenith Minerals, stated, “The recently defined exploration target gave us the confidence to tackle this aggressively, and that’s what we aim to do, with a second rig set to arrive on site in a couple of weeks’ time. This is another significant milestone for the company in what is shaping up to be a transformative year.”
Phase one drilling at Dulcie concluded in August and revealed a new footwall lode at the prospect’s Far North area. However, some holes were cut short due to rig issues, necessitating the follow-up phase two campaign. This phase will employ improved equipment to retest northern structural targets, marking the first systematic drilling at Dulcie North and the southern extension.
Metallurgical tests conducted at Dulcie have indicated promising mining credentials, achieving gold recoveries of up to 97 percent with minimal reagent use and straightforward processing techniques.
In addition to the Dulcie project, Zenith has allocated a further $3 million for a follow-up reverse circulation drilling program at Red Mountain, where the company plans to drill between 10 and 15 holes before the end of the year. The Red Mountain project has garnered attention following a significant intercept of 139.7 metres at 1.05 g/t gold, suggesting the potential for a multi-million ounce discovery similar to that of the Mt Wright deposit.
With the gold market in Western Australia thriving, the groundwork is laid for Zenith’s Consolidated Dulcie project. The existing resource base of 302,000 ounces and the potential target of up to 800,000 ounces position the company favorably for prospective growth. Furthermore, assays are still pending for another potentially significant project at Red Mountain, reinforcing Zenith’s ambitious exploration agenda.
Interested parties from the ASX-listed sector are encouraged to reach out to discuss developments in the industry.
