Odyssey Gold Limited reports compelling diamond drilling results at its Tuckanarra Gold Project, confirming deeper mineralisation continuity and validating new exploration models. The company plans expanded airborne EM surveys and further drilling to unlock additional resource potential.
- Diamond drilling intersects high-grade gold mineralisation up to 135m below previous depths
- Bollard and Highway Zone results confirm geological models and resource continuity
- Airborne electromagnetic survey planned to target regional fold hinge zones
- Tuckanarra Mineral Resource Estimate totals 407,000 ounces at 2.5g/t Au
- Company holds $1.8 million cash reserves to support ongoing exploration
Strong Drilling Results Reinforce Tuckanarra Potential
Odyssey Gold Limited (ASX: ODY) has delivered a robust quarterly update for December 2024, highlighting significant advances at its flagship Tuckanarra Gold Project in Western Australia's prolific Murchison Goldfields. The recent five-hole diamond drilling campaign at the Bollard and Highway Zones has intersected high-grade gold mineralisation well below previous drilling depths, underscoring the project's potential for resource growth and underground development.
At Bollard, a 169-metre diamond tail extension of a prior reverse circulation hole successfully intersected mineralisation 135 metres deeper than before, returning a standout intercept of 7.65 metres at 11.8 grams per tonne (g/t) gold, including a high-grade 2.1-metre section at 38.7 g/t. This plunge extension confirms continuity of the high-grade shoot and its proximity, just 300 metres along strike, to the Highway Zone, suggesting potential for a shared development strategy.
Highway Zone Validates EM Targeting and Geological Models
The Highway Zone drilling program further validated Odyssey's geological interpretation and targeting methodology. Four diamond holes totaling nearly 1,400 metres intersected mineralisation along 270 metres of strike, with cumulative intersections exceeding 25 gram-metres in three holes. Notably, mineralisation aligns with an electromagnetic (EM) anomaly identified in a fixed loop EM survey, demonstrating the efficacy of EM techniques in mapping concealed gold mineralisation under cover.
Results include multiple high-grade intercepts such as 2.65 metres at 7.7 g/t and 0.6 metres at 17.1 g/t gold, confirming the presence of a high-grade shoot focused around the hinge of a regional anticline. This structural setting is a classic target for significant gold deposits, reinforcing the strategic value of Odyssey's exploration approach.
Expanding Exploration with Airborne EM Surveys
Building on the success of ground-based EM surveys, Odyssey plans to commission an extensive airborne electromagnetic (AEM) survey over the Tuckanarra greenstone belt, particularly targeting the regional fold hinge zone south of the Cable Bollard - Highway Trend. This area has seen limited historical drilling and soil sampling, representing a compelling frontier for new discoveries. The AEM survey aims to identify additional conductive zones analogous to those associated with known mineralisation, potentially unlocking further resource upside.
Robust Mineral Resource Base and Strategic Location
The Tuckanarra Project boasts a Mineral Resource Estimate (MRE) of 5.14 million tonnes at 2.5 g/t gold for 407,000 ounces, including 311,000 ounces on granted mining leases close to major infrastructure. The Highway Zone alone contains an inferred resource of 0.79 million tonnes at 3.8 g/t gold, with underground resources remaining open at depth. Proximity to multiple processing plants with combined capacity of 7.5 million tonnes per annum within 120 kilometres enhances the project's economic attractiveness.
Odyssey continues to engage with processing plant owners and potential mining partners to explore low-cost pathways for resource monetisation, while advancing geological modelling and data validation across its portfolio of open pit and underground targets.
Financial Position and Outlook
As at 31 December 2024, Odyssey held cash reserves of $1.8 million, supporting ongoing exploration activities including drilling and geophysical surveys. The company reported a net cash outflow from operations of $858,000 for the quarter, reflecting its active investment in advancing the Tuckanarra Project.
Looking ahead, Odyssey's planned work programs focus on expanding airborne EM coverage, following up on newly defined conductors with reverse circulation drilling, and refining geological models to underpin future resource growth. The recent drilling success and strategic exploration initiatives position Odyssey well to unlock further value in this underexplored gold district.
Bottom Line?
Odyssey’s deep drilling success and planned airborne EM survey set the stage for a pivotal phase of resource expansion at Tuckanarra.
Questions in the middle?
- How will the upcoming airborne EM survey refine targeting and impact resource growth?
- What are the timelines and capital requirements for advancing underground development at Bollard and Highway Zones?
- How might evolving gold prices and processing partnerships influence Odyssey’s project monetisation strategy?