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Sunshine moves to next phase after Liontown drilling success

Sunshine Metals is shifting its focus to metallurgical and mining studies after intersecting further shallow high-grade gold mineralisation at its Liontown prospect in North Queensland.

The company has completed a 29-hole drilling campaign at the site as part of its drive to identify shallow oxide gold resources within the Ravenswood Consolidated Project tenements for potential processing.

“Liontown continues to demonstrate fantastic gold grades close to the surface,” Sunshine managing director Damien Keys said.

“Our focus now moves to commencement of metallurgical studies, a resource update and mining studies as we push the project forward as fast as possible.”

The current Liontown oxide/transitional inferred resource is 360Kt at 1.8g/t gold and 26g/t silver for 21Koz gold and 307Koz silver.

Highlights from assays returned for the final 13 of 29 holes recently drilled include:

  • 3m at 3.05g/t gold from 0m; and 5m at 4.67g/t gold, 481g/t silver from 6m downhole; and 3m at 22.82g/t gold, 351g/t silver from 13m; and 3m at 10.51g/t gold, 442g/t silver from 38m
  • 3m at 5.06g/t gold from 24m; and 1m at 6.71g/t gold from 38m; and 1m at 12.70g/t gold from 41m; and 1m at 1.76g/t gold from 57m
  • 3m at 4.18g/t gold from 0m
  • 2m at 3.98g/t gold from 38m

The company in March outlined a strategy to accelerate mining studies and drilling at key shallow oxide gold targets.

Its aim is to move quickly during record gold prices, with the potential to process ore at nearby toll treating mills.

The company has also recently completed drill programs at the Salla and Plateau targets, with assays expected early next month.

A three-hole reconnaissance program (562m) at Salla tested a coincident induced polarisation and gravity anomaly.

Plateau represents an advanced target with an inferred resource totalling 49koz gold at 2.0 g/t gold. Sunshine said 599m of drilling and metallurgical testing were required to advnace the resource classification.

Sunshine is earning into the Plateau resource through a farm-in agreement with Rockfire Resources.

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