Mt Gibson Gold Project Ore Reserves Surge 758,000 Ounces to 2.59 Million Ounces
Capricorn Metals Ltd has reported a substantial 41% increase in the Ore Reserve Estimate at its Mt Gibson Gold Project, driven by ongoing drilling that continues to deliver exceptional high-grade results and promising underground potential.
- Ore Reserve Estimate at Mt Gibson rises 41% to 2.59 million ounces
- Mineral Resource Estimate increases by 686,000 ounces to nearly 4 million ounces
- High-grade drill intercepts extend mineralisation depth and strike
- Maiden Ore Reserve declared at Aries deposit with further drilling underway
- Karlawinda Gold Project shows encouraging near-surface and regional exploration results
Significant Reserve Growth at Mt Gibson
Capricorn Metals Ltd (ASX: CMM) has delivered a robust quarterly exploration update, highlighting a remarkable 41% increase in the Ore Reserve Estimate (ORE) at its Mt Gibson Gold Project (MGGP). The ORE now stands at 2.59 million ounces, up from 1.83 million ounces, underpinned by an updated Mineral Resource Estimate (MRE) of 150.4 million tonnes at 0.8 g/t gold for nearly 4 million ounces. This growth reflects the success of an extensive drilling campaign that continues to expand the resource base.
During the December 2024 quarter, Capricorn completed over 30,600 metres of drilling across 302 holes, encompassing resource extension, regional exploration, and mine development. Assay results from 57 resource definition holes have returned exceptional intercepts, including multiple high-grade zones both within and beyond current resource pit shells, signaling strong potential for further reserve upgrades.
Underground Potential and Aries Maiden Reserve
Diamond drilling beneath the Orion and Lexington pits has revealed broad, high-grade gold mineralisation extending significantly at depth. Notable intercepts such as 4.70 metres at 24.88 g/t and 16.23 metres at 3.16 g/t gold demonstrate continuity and depth potential, supporting the prospect of developing an underground mining operation. Capricorn has commenced a 10,000-metre follow-up diamond drilling program targeting a maiden underground Mineral Resource Estimate.
At the Aries deposit, a maiden Ore Reserve of 29,000 ounces was declared based on recent and historic drilling. Further reverse circulation drilling has extended mineralisation down dip and along strike, with encouraging results such as 19 metres at 3.07 g/t and 11 metres at 5.05 g/t gold. These findings highlight Aries as a promising satellite deposit that could contribute to future production.
Karlawinda Gold Project Exploration Progress
Capricorn's Karlawinda Gold Project (KGP) also showed positive exploration momentum. Broad-spaced aircore drilling at Mission Road and Badlands prospects, near the Bibra open pit, along with resource drilling at Bibra and Berwick, returned significant gold intercepts. The KGP Ore Reserve increased by 27% to 1.43 million ounces in August 2024, with the Mineral Resource Estimate now at 2.25 million ounces. Regional drilling at Mumbakine Well and acquisition of the contiguous Sylvania Project tenements further consolidate Capricorn's position in the Pilbara region, enhancing the project's exploration upside.
Strategic Outlook and Next Steps
Capricorn Metals is advancing multiple drilling programs aimed at resource expansion and underground definition at Mt Gibson, alongside near-mine and regional exploration at Karlawinda. The company plans further Ore Reserve and Mineral Resource updates incorporating the latest drilling results. With two diamond rigs now operational and approvals in place for additional drilling, Capricorn is well-positioned to unlock further value from its portfolio.
These developments come amid a backdrop of disciplined exploration and methodical resource growth, reinforcing Capricorn's strategy to build a sustainable, long-life gold production base in Western Australia.
Bottom Line?
Capricorn Metals’ drilling success at Mt Gibson and Karlawinda sets the stage for a new phase of resource growth and underground mining potential.
Questions in the middle?
- How will the upcoming 10,000m diamond drilling program impact the underground resource model at Mt Gibson?
- What is the timeline for incorporating recent drilling results into updated Ore Reserve and Mineral Resource estimates?
- How might the acquisition of the Sylvania Project influence exploration priorities and resource potential at Karlawinda?