Resource Expansion at Gum Creek Raises Questions on Mine Life and Underground Potential
Horizon Gold reports significant shallow and high-grade gold intercepts from recent drilling at its Gum Creek Project, setting the stage for resource upgrades and a pivotal feasibility study.
- Multiple broad, shallow, high-grade gold intercepts confirmed at Swan, Swift, Howards, and Wedge prospects
- 59 RC holes and 3 diamond holes completed, enhancing resource confidence and geotechnical data
- Updated mineral resource estimates expected in Q3 2025 to feed into feasibility study completion in early 2026
- Drilling results confirm and extend historic mineralisation, supporting potential mine life extension
- Further drilling and metallurgical testing planned to explore underground mining options
Strong Drilling Results at Gum Creek
Horizon Gold Limited has announced a series of impressive gold intercepts from its ongoing drilling programs at the Gum Creek Gold Project in Western Australia. The recent reverse circulation (RC) and diamond drilling campaigns have returned broad, shallow, and notably high-grade gold mineralisation across key prospects including Swan, Swift, Howards, and Wedge. These results not only confirm historic drilling but also extend known mineralisation zones, reinforcing the project's robust potential.
Highlights include intercepts such as 22 metres at 3.18 grams per tonne gold from just 2 metres depth at Swan, and a remarkable 28 metres at 3.88 grams per tonne from 74 metres at Howards, with several intervals featuring grades exceeding 7 grams per tonne. The Wedge prospect also delivered encouraging results, with high-grade shoots plunging south and north, extending mineralisation beyond previous limits.
Advancing Resource Confidence and Feasibility
The drilling program, comprising 59 RC holes totaling over 5,100 metres and 3 diamond holes for nearly 485 metres, has been instrumental in upgrading the confidence in mineral resource estimates (MREs). These updated models are scheduled for release in the third quarter of 2025 and will underpin the Gum Creek Feasibility Study, expected to be completed early next year.
Importantly, the diamond drilling has provided essential geotechnical data critical for mine design, while the RC drilling has confirmed the continuity and grade of mineralisation. The project’s current resource base stands at over 44 million tonnes at 1.5 grams per tonne gold, equating to more than 2.1 million ounces, with a significant portion classified as indicated resources.
Strategic Outlook and Next Steps
Managing Director Leigh Ryan expressed optimism about the drilling outcomes, emphasizing their integration into resource upgrades and the feasibility study. The company plans further drilling to expand resources at multiple open pittable areas and is exploring high-grade targets such as Kingfisher and Omega for potential underground mining opportunities. Metallurgical test work is also underway to refine processing parameters.
Environmental and heritage assessments, alongside water management studies, are progressing well, supporting the project’s development pathway. With gold prices remaining strong, Horizon Gold is well positioned to advance Gum Creek as a standalone mining operation with promising economic prospects.
Bottom Line?
As Horizon Gold integrates these robust drilling results into its feasibility study, investors will keenly watch for resource upgrades and the potential unlocking of underground mining value.
Questions in the middle?
- How will the updated mineral resource estimates impact the project’s valuation and mine plan?
- What are the timelines and potential scale for underground mining development at Gum Creek?
- How might pending assay results from other prospects influence the overall resource and project economics?
