Alchemy Resources outlines “aggressive” 20,000-metre gold drilling program at Karonie

Alchemy Resources Ltd (ASX:ALY) (FRA:45A) has outlined an aggressive drill program at its fully-owned Karonie Project in Western Australia’s Goldfields, with 20,000 metres to be drilled. The process will be split into three phases, with the first phase, up to 5,000 metres of reverse circulation drilling, to begin within the next fortnight. The company has all approvals in place, a drill rig operator hired and on-site technical team secured. “Excellent upside” Alchemy CEO James Wilson said the objective of the drill program was to infill and extend the three main discovery zones at KZ5, Parmelia and Taupo, which sit directly along strike from Silver Lake Resources Limited’s (ASX:SLR) (OTCMKTS:SVLKF) Aldiss Mining Operations. A fourth target area of interest is at Warrior to the southwest of Parmelia and a large coincident magnetic/gravity high will be tested. Wilson said: “We are excited to get back on the ground at Karonie where we have traced mineralisation 400-500 metres along strike at each of KZ5, Parmelia and Taupo - all of which remain open in all directions. “We also see excellent exploration upside potential, especially as Parmelia and Taupo haven’t really been drill tested below 100 metres vertically.” “Highly prospective” The drilling program follows a strategic targeting review of Karonie that revealed the project is highly prospective for gold, having regional-scale flexures on both the Keith Kilkenny and Claypan shear zones and proximity to nearby large scale >1-million-ounce gold deposits. In addition to the aforementioned targets, Alchemy has also identified a further five high-level targets for further work including Warrior-Gilmore, Challenger-Esplanade, Manhattan and two new conceptual targets at Karonie West and a new target in the southernmost extent of the Karonie tenement package. Phase one drilling includes holes designed to target up-dip and down-dip of mineralised intercepts as well as extend zones of known mineralisation along strike. Mineralisation is near to surface in the three advanced prospects, and in most areas has only been drilled down to ~100 metres vertical, except for KZ5 which has mineralised intercepts at up to 250 metres vertical depth and is open at depth. Nearology The Karonie Project also benefits from proximity to established nearby projects. Several high-grade, drill-ready gold targets are immediately along strike from Silver Lake Resources’ 600,000 ounces at 2.0 g/t gold tenements, while 38 strike kilometres of the Claypan Shear Zone is immediately along strike of Breaker Resources NL’s (ASX:BRB) 1.0 million ounces at 1.3g/t gold tenements. Karonie Project location and structural targeting. Next steps Following phase one drilling, Alchemy will undertake 5,000 metres of RC and diamond drill core work that will target areas to the south of Karonie in the Gilmore/Batavia/Challenger/Esplanade region where high-grade intercepts were recorded in drilling undertaken prior to 2012. Phase three will focus on up to 10,000 metres of rotary air blast and aircore drilling in a follow-up program on the Claypan shear to the north of Karonie which sits along strike from the Lake Roe discovery operated by Breaker Resources. - Daniel Paproth