GBM Resources has reported exceptional high-grade gold intersections more than 100 metres outside its existing 309 deposit resource at Twin Hills, Queensland, signalling promising potential for resource expansion.
- 37m at 5.00g/t gold intersected 100m beyond current 309 Mineral Resource Estimate
- Includes standout 1m intercept grading 77.25g/t gold
- Stage 1 drilling reveals structural insights guiding deeper feeder zone targeting
- Ongoing Stage 2 drilling planned to expand resource and upgrade confidence
- Twin Hills project hosts approximately 1 million ounces gold resource
Exceptional Step-Out Drilling Results
GBM Resources Limited (ASX – GBM) has delivered a significant boost to its Twin Hills Gold Project in Queensland with assay results from Stage 1 drilling at the 309 deposit revealing high-grade gold mineralisation well beyond the current resource boundary. Notably, drillhole TNDH012 intersected 37 metres at 5.00 grams per tonne (g/t) gold starting from 225 metres depth, including a remarkable 1 metre section grading 77.25 g/t gold. This intercept lies more than 100 metres outside the existing Mineral Resource Estimate (MRE), underscoring the potential for meaningful resource growth.
Geological Significance and Structural Insights
The 309 deposit is characterised by a steeply plunging body of epithermal quartz-sulphide veins hosted within volcanic breccia and sedimentary rocks. The recent drilling has successfully targeted a shallow dipping structure interpreted to control mineralisation, validating GBM’s geological model. These results not only confirm the open nature of the deposit at depth but also provide valuable vectors for locating deeper, high-grade feeder zones that could further enhance the project’s scale and grade profile.
Strategic Implications for Twin Hills
With the Twin Hills project already hosting approximately 1 million ounces of gold in JORC-compliant resources, these new high-grade intersections could materially increase the resource base. CEO Daniel Hastings highlighted the importance of the step-out intercept, stating it demonstrates the excellent interpretative work by the GBM team and the deposit’s growth potential. The company is advancing its Stage 2 drilling program, focusing on extending mineralisation at depth and infilling to improve resource confidence.
Next Steps and Broader Context
Beyond drilling, GBM plans metallurgical test work to evaluate processing options, which will be critical for assessing the economic viability of any resource expansion. The Twin Hills project, situated in the prolific Drummond Basin, benefits from established infrastructure and a supportive regulatory environment. Royalties are payable to the Queensland Government and Franco-Nevada Australia Pty Ltd, reflecting standard arrangements in the region.
While the results are encouraging, it is important to note that only downhole lengths have been reported, and true widths of mineralisation remain to be confirmed. Forward-looking statements carry inherent uncertainties, but the current data positions GBM well to unlock further value from its Queensland gold assets.
Bottom Line?
GBM’s high-grade step-out drilling at Twin Hills sets the stage for a potentially significant resource upgrade, with deeper targets now firmly in focus.
Questions in the middle?
- How will Stage 2 drilling refine the understanding of deeper feeder zones at 309?
- What metallurgical characteristics will the new mineralisation exhibit for processing?
- Could these results trigger a re-rating of GBM’s valuation in the gold exploration sector?