Resource Upgrade and Metallurgical Tests: What Risks Lie Ahead for Verity?
Verity Resources has completed aircore drilling at key gold targets within its Monument Gold Project, with assay results expected soon. The company is also progressing a resource upgrade strategy to enhance confidence and potentially expand its gold resource.
- Aircore drilling completed at three anomalous gold targets
- Assay results pending, expected early June
- Resource upgrade strategy underway with data validation and planned infill drilling
- Metallurgical testwork initiated to optimise gold recovery
- Monument Gold Project located in a Tier 1 gold district with multiple untested targets
Drilling Completion at Promising Targets
Verity Resources Limited (ASX: VRL) has announced the completion of an aircore drilling program targeting three anomalous gold prospects, Star Well, Triton, and Korong West, within its 154,000-ounce Monument Gold Project in Western Australia's Laverton Gold District. The program comprised 19 drill holes totaling 757 meters, designed to test structural and stratigraphic targets identified through previous surface sampling and geochemical surveys.
Samples from this drilling have been submitted for assay, with results anticipated in early June. These results are eagerly awaited as they will provide critical insights into the potential for expanding the existing gold resource.
Strategic Resource Upgrade Efforts
Alongside exploration, Verity is advancing a comprehensive resource upgrade strategy. The company has engaged Environmental Resources Management (ERM) to undertake a detailed review and validation of historical drilling data related to the Korong and Waihi deposits, which currently hold an inferred resource of 154,000 ounces of gold.
This validation will inform the scope of infill and step-out drilling needed to elevate the resource classification to the JORC (2012) Indicated category, enhancing geological confidence and potentially expanding the resource base. A resource-focused drilling campaign is planned to commence shortly after the validation studies conclude in early June.
Metallurgical Testing to De-risk Development
Verity has also initiated a metallurgical testwork program targeting the Korong-Waihi resource. This program aims to evaluate and optimise gold recovery processes by assessing ore variability, grind size sensitivity, gravity recoverable gold, and cyanide leach performance. The outcomes will be pivotal in guiding future scoping and feasibility studies, providing essential data to refine processing methods and reduce project risk.
A Project with Significant Upside Potential
The Monument Gold Project benefits from its location within the world-class Laverton Gold District, adjacent to Genesis Minerals’ 3.3 million-ounce Laverton Gold Project. It hosts approximately 20 kilometers of relatively untested banded iron formation, a geological setting known to host significant gold deposits such as the nearby 1.4 million-ounce Westralia deposit.
With only about 10% of the prospective 20-kilometer strike drilled to date, Verity has identified over 60 additional untested targets across various geological settings, including banded iron formations and syenite intrusions. This pipeline of targets offers considerable exploration upside as the company seeks to delineate a district-scale gold system.
Verity’s dual approach of upgrading the existing resource while systematically exploring new targets positions the company well to unlock further value from the Monument Gold Project.
Bottom Line?
As assay results and resource validation unfold, Verity Resources stands at a pivotal point to potentially redefine its gold resource footprint in a premier Australian gold district.
Questions in the middle?
- Will the upcoming assay results confirm significant gold grades to justify resource expansion?
- How effectively will the resource upgrade drilling convert inferred resources to indicated status?
- What metallurgical characteristics will influence the project's processing strategy and economics?
