Drilling adds sparkle to Magistral

Drilling by Queenstake Resources (QRL-T) has intersected high-grade gold values below the projected open pit at the Magistral property in Sinaloa state, Mexico, exceeding the company’s expectations.

The company drilled 15 holes, not including water wells and geotechnical holes, to test for downdip extension of mineralization in the Samaniego Hill zone.

Highlights included hole 710, which intercepted a true width of 20.4 metres with a cut grade of 6.76 grams gold per tonne. The intercept occurred at a downhole depth of 126 metres, more than 25 metres below the bottom of the projected open pit.

GT-10, a core hole drilled at an angle of 77, cut 18.8 metres grading 6.64 grams gold per tonne, starting at 127 metres down-hole; hole 720, drilled at 50, encountered 21.3 metres grading 2.52 grams gold, starting at a downhole depth of 91 metres; whereas hole 721 hit 60.8 metres of 0.92 gram gold starting at 102 metres.

To date, the company has outlined 150 metres of mineralization on this high-grade zone, which remains open at depth, as well as on strike. Queenstake expects to deepen the projected open pit by as much as 50 metres, thereby expanding the resource.

The infill drilling also intersected significant mineralization, tightening up the drill spacing to 25 metres.

In August 1999, Pincock Allen & Holt calculated a measured, indicated and inferred resource of 10.5 million tonnes grading 1.35 grams per tonne, equivalent to 456,100 oz. gold. The cutoff grade was 0.4 gram per tonne; the stripping ratio, more than 3.5-to-1.