Horizon Minerals marches on with aggressive gold campaign across WA Goldfields

Horizon Minerals Ltd (ASX:HRZ) continues to progress its strategy of building a standalone gold business in one of Australia's premier gold regions around the WA Goldfields mining centre of Kalgoorlie-Boulder. The company has updated the market on activity across its gold exploration assets with a fresh investor presentation. Currently, the gold explorer is carrying out a 50,000-metre drilling campaign in order to test new targets, extend and better understand the gold resource at its regional Goldfields tenements. Horizon has notched up more than one million ounces worth of gold mineral resource across six key exploration assets in WA — all of which remain open along strike and at depth. As it works towards becoming the ASX’s next standalone gold producer, Horizon Minerals is executing an aggressive exploration strategy in 2021. Map outlines Horizon's tenements and applications within WA's Goldfields. Boorara Project Horizon’s efforts are centred on the Boorara Project, ust 15 kilometres east of Kalgoorlie, adjacent to Northern Star Resources Ltd’s (ASX:NST) (OTCMKTS:NESRF) Super Pit gold operation. To date, trial mining, toll milling and pit mapping have been completed in the area to test its grade uplift potential and metallurgical performance ahead of a larger-scale development. At present, the mineralisation extends over 1.5 kilometres of strike with the Regal, Crown Jewel and Royal deposits nestled within the wider Boorara gold asset. The three deposits within the Boorara Project. The deposit’s updated independent mineral resource now stands at 11 million tonnes, grading at 1.26 g/t gold for 448,000 ounces of contained gold at a 0.5 g/t lower grade cut-off. Currently, mine optimisation, design, approvals and economic analysis are underway in a bid to reach maiden ore reserve generation in 2021’s September quarter. To further explore Boorara’s potential, Horizon has planned up to 13,000 metres of drilling at its wholly-owned asset in 2021. Ultimately, this campaign will target resource extension, test previously unexplored gold occurrences and follow up shallow historical drilling. Rose Hill Gold Deposit Horizon acquired the Rose Hill Gold Deposit during a swap with Northern Star in 2019. The asset is east of Coolgardie and just 45 kilometres from the potential Boorara mill site. Some of the best intersections from the deposit include: 11 metres at 8.8 g/t gold from 43 metres; 10 metres at 6.3 g/t from 28 metres; 7 metres at 7.3 g/t from 27 metres and; 3.4 metres at 17.9 g/t from 79 metres. Rose Hill’s updated mineral resource comprises 93,000 ounces of gold, grading 3.65 g/t. A maiden ore reserve for the deposit is slated for release in the coming quarter. Essentially, Horizon believes Rose Hill offers near-term production potential within easy trucking distance of the Boorara gold play. Binduli Project area The Binduli asset, an emerging gold camp with multiple resource and new targets, is just 20 kilometres from Boorara, west of Kalgoorlie. Within the broader project area, Horizon has established a mineral resource for the Crake target, comprising 74,000 ounces of gold at 1.8 g/t. Activities-wise, the company has conducted extensional and reverse circulation drilling at the Crake and Coote deposits. Highlights from drilling within the Binduli area include: 24 metres at 4.92 g/t gold from 32 metres; 23 metres at 4.16 g/t from 61 metres; 28 metres at 3.4 g/t from 36 metres and; 12 metres at 6.70 g/t from 6 metres. Looking ahead, the ASX lister plans to release an updated resource at Crake and a maiden resource at Coote during the current quarter. Beyond that, Horizon intends to work on mine optimisation, design, approvals and economic analysis in the September quarter. Teal Gold Camp Meanwhile, Horizon’s Teal Gold Camp is 20 kilometres northwest of Boorara. The camp is estimated to hold 289,000 ounces of mineralisation, grading 2.1 g/t gold. Promisingly, Horizon believes up to four parallel mineralised structures, open along strike and at depth, lie within the Teal Gold Camp. The asset isn’t new to development: back in 2018, mining took place at Teal’s open-cut zone, generating $7 million in cash. So far, reverse circulation and diamond drilling have taken place at Teal, with updated resource modelling underway. Some of the best intersections from the gold camp’s Jacques Find and Peyes targets include: 19.2 metres at 12.53 g/t gold from 42 metres; 8 metres at 12.10 g/t from 60 metres; 12 metres at 4.70 g/t from 60 metres and; 4 metres at 18.17 g/t from 79 metres. Kalpini Gold Deposit Even further northeast of Boorara lies Horizon’s Kalpini Gold Deposit, a new acquisition with significant resource and growth potential. The gold explorer snapped up the asset last year for $2.75 million in cash, with a historical JORC 2004 mineral resource indicating the deposit contains 255,600 gold ounces, grading at 1.7 g/t. In order to update the mineral resource and bring it up to current JORC standards, Horizon intends to target extensions along strike and at depth and infill some areas at the deposit. An initial phase of reverse circulation and diamond drilling has taken place, with a mineral resource update slated for the current quarter. There’s also potential for both open-pit and underground development at Kalpini, with mine optimisation and design for ore reserve generation expected next quarter. Cannon Gold Deposit Finally, to Boorara’s east is the Cannon Gold Deposit, the company’s newest acquisition. Horizon secured the deposit last month for a $5 million cash payment, absorbing a near-term development asset as part of its gold exploration portfolio. Interestingly, Cannon’s open pit was mined in 2017 for 56,000 ounces of gold, grading at 5.2 g/t. Since then, a feasibility study was completed in 2019 for underground development, establishing a JORC 2012 ore reserve comprising 20,000 ounces of gold. Exploration drilling at the deposit is slated for the coming quarter, with an update of mine optimisation and economic analysis currently underway. Next steps As it continues to progress its 50,000-metre exploratory drilling campaign, Horizon is also focused on a near-term production facility at its high-grade Penny’s Find joint venture (JV). An underground ore reserve and development decision is expected for the JV asset in 2021’s September quarter, Overall, Horizon hopes to use the remainder of 2021 to rapidly progress its priority resources into mine-ready reserves and complete a feasibility study, targeting first gold production in 2022. The company also has $17 million in cash and investments available to support its growth strategy.