PVW Resources higher on delivering high-grade gold from Jungle Well

PVW Resources NL (ASX:PVW) has received high-grade gold assays in shallow oxide mineralisation during drilling at Jungle Well within the broader Leonora Project in Western Australia. Results have been received from the first 12 holes as part of the reverse circulation (RC) drill program completed in April at Jungle Well with further results pending from 21 holes. A highlight intersection of 9 metres at 3.87 g/t gold from 45 metres including 2 metres at 16.13 g/t is from oxide material, 50 metres north of the Jungle Well open pit. Following the news, the company’s shares have been almost 14% higher intra-day to A$0.165. “Provide us with enthusiasm” PVW executive director George Bauk said: “These initial results from our RC drill program at Jungle Well provide us with enthusiasm that we can build on the existing JORC resource. “The best intersection of 9 metres at 3.87 g/t is within 50 metres of the pit in an area of inadequate drill coverage. We look forward to the remaining results from the program.” After receiving all assays, data analysis and required interpretation, the company will prepare a revised mineral resource estimation for the Jungle Well project in the fourth quarter of 2021. The project has a JORC-compliant inferred resource of 26,800 ounces and the open pit was mined previously in 1996 during a low gold price. Jungle Well resource drilling The company completed the RC drilling in April 2021 at the Jungle Well prospect, totalling 33 holes for 2872 metres. Around 50 metres north of the existing open pit a small stockpile of oxide material has prohibited drilling access but site works for this program allowed access to test beneath the stockpile with three lines of shallow RC drilling. Wet surface conditions prevented access to the western ends of the lines limiting investigation of the mineralised intervals. Beneath the stockpile, the oxide zones intersected by the drilling are often strongly ferruginous saprolite with quartz veining (up to 5%), which hosts the high-grade gold assays including 2 metres at 16.13 g/t from 46 metres. Positive results from the fresh rock beneath the existing pit and intersecting the extremities of the current mineral resource estimate include 7 metres at 1.85 g/t from 99 metres. Survey at Jungle Well North Southern Geoscience Consulting (SGC) has scheduled an MLEM geophysical survey team for July to undertake a ground survey north of Jungle Well. This work will test for the extension of historical conductors that are considered prospective for gold mineralisation. It will follow successful historic EM results aiming to extend the conductors north of M37/135 in adjoining tenement E37/909. The potential of these conductors is demonstrated by the success of previous exploration diamond drilling that returned up to 13.2 metres at 1.74 g/t from 276 metres and 11.4 metres at 0.33 g/t from 225 metres.