Mawson Gold unit drills 119 metres of 3.9 g/t AuEq
Mawson Gold Ltd. [MAW-TSX, MWSNF-PINKSHEETS, MXR-Frankfurt] said Monday its Australian subsidiary has reported an outstanding drill result from a gold project in Victoria, Australia.
It said Southern Cross Gold Ltd. (SXG-ASX), which is owned 60.3% by Mawson following SXG’s recent IPO, has intersected 119.2 metres of 3.9 g/t gold equivalent (AuEq) (3.2 g/t gold and 0.4% stibnite) from 106.8 metres in hole SDDSC033 at its wholly-owned Sunday Creek property.
That intercept included 64.0 metres at 3.0 g/t AuEq from 110.7 metres and 39.0 metres at 6.8 g/t AuEq from 179.0 metres.
“This hole speaks for itself in terms of the quality of SXG’s Sunday Creek discovery – a standout for both the project and the Victoria Goldfields in terms of the width and grade – and the continuity observed augurs very well for the potential of the project,” said Mawson CEO Ivan Fairhall.
Mawson owns 60.3% of SXG, which raised A$9.1 million in a recent IPO to fund an expected 24-month Victorian exploration program. Mawson’s share of SXG has a market capitalization of $55.4 million based on SXG’s May 30, 2022 close of A$0.65 per share, an increase of 225% on the previous close.
On May 27, 2022, Mawson shares closed at 13.5 cents and currently trade in a 52-week range of 29 cents and $0.095.
The Sunday Creek project is a shallow orogenic (or epizonal) Fosterville-style deposit located approximately 60 kilometres north of Melbourne and is contained within 16,990 hectares of both granted exploration licenses and one granted retention licence.
Historic gold mining between 1880 and 1920 occurred over a greater than 11-kilometre trend where total production is reported as 41,000 ounces of gold at a grade of 33 g/t. Drilling from 1990 to 2000s focused on shallow, previously mined surface workings covering an area of 100 metres in width, 800 metre length and only 80 metres deep.
Individual high-grade quartz-stibnite veins at Apollo and Golden Dyke, and cataclastic zones at Gladys were the focus of historic mining at Sunday Creek. These zones have been proven to continue to depth by Southern Cross, which completed 26 drill holes (MDDSC001-026) over 6,524 metres between August, 2020, and March 2022.
Southern Cross has said it intends to extend the strike and depth extents of the known gold-stibnite mineralisation by oriented diamond drilling at the Apollo-Gladys area and investigate the extent of mineralisation at Golden Dyke.
Southern Cross reports that hole SDDSCO33 was drilled to test a 120-metre gap between two mineralized shoots to the west of the Apollo shaft, between drill hole VCRC007 (28 metres at 3.3 g/t AuEq) from 62 metres located up-plunge from SDDSC033 and MDDSC012 (10.4 metres at 7.0 g/t AuEq) from 203.0 metres, located 40 metres down-plunge.
Mawson Gold’s portfolio also includes its 100%-owned Rajapalot gold-cobalt project in Finland. It said assays are pending from both Sunday Creek and a maiden drill program at Skelleftea North in Sweden.