How Is Adavale Expanding Gold Resources at London-Victoria After Strong Drilling?
Adavale Resources has reported robust Phase 2 drilling results at its London-Victoria Gold Mine, confirming significant gold mineralisation continuity and expansion potential. An expanded Phase 3 drilling program has now commenced to build on this momentum.
- Phase 2 drilling confirms continuity and expansion of gold mineralisation
- Notable intercepts include 28m @ 1.53g/t Au and 21m @ 1.40g/t Au
- Mineralisation remains open at depth, down plunge, and along strike
- Phase 3 drilling program of 6,000 metres underway to accelerate resource growth
- Well-funded following recent $5.15 million placement supporting exploration and development
Strong Phase 2 Drilling Validates Resource Potential
Adavale Resources Limited (ASX – ADD) has delivered encouraging results from the final seven holes of its Phase 2 drilling program at the London-Victoria Gold Mine in New South Wales. The drilling has confirmed strong continuity of gold mineralisation beneath the existing open pit, with standout intercepts such as 28 metres at 1.53 grams per tonne gold and 21 metres at 1.40 grams per tonne gold. These results not only validate the company’s geological model but also highlight significant potential to expand the mineral resource estimate (MRE).
Mineralisation Open and Expanding
The mineralised system remains open at depth, down plunge, and along strike, indicating that the deposit could be considerably larger than currently defined. Several intercepts lie outside the existing MRE boundaries, suggesting that upcoming resource updates may incorporate substantial new ounces. The drilling has identified multiple higher-grade zones associated with structural folds, which will be a focus for further exploration.
Phase 3 Drilling Program Underway
Building on the momentum from Phase 2, Adavale has commenced an expanded Phase 3 drilling program targeting an initial 6,000 metres. This program aims to accelerate resource growth by testing the substantial strike length of mineralisation immediately below the current pit floor. The company is also integrating new structural data and utilising geochemical logging to refine its geological model, which will guide future drilling and resource development.
Strong Financial Position Supports Exploration
Adavale is well-positioned financially following a recent $5.15 million placement, providing the capital necessary to advance drilling and exploration activities. The company is simultaneously progressing other projects within its Parkes Gold-Copper portfolio, including planned magnetic surveys and geochemical sampling, as well as exploration efforts in South Australia and Tanzania.
Outlook and Strategic Implications
The Phase 2 results reinforce the near-term production opportunity at London-Victoria, a brownfields project with historical mining dating back to the late 19th century and previous open pit operations. With mineralisation confirmed beneath the pit and open in multiple directions, Adavale’s strategy to expand and upgrade the resource base is gaining traction. Investors will be watching closely as Phase 3 drilling progresses and updated resource estimates become available.
Bottom Line?
Adavale’s latest drilling success sets the stage for a potentially significant resource upgrade and near-term production advancement at London-Victoria.
Questions in the middle?
- How will the updated mineral resource estimate reflect the new intercepts outside current boundaries?
- What timeline does Adavale envisage for advancing London-Victoria towards production?
- How might ongoing geophysical surveys influence exploration targeting across the Parkes Project?
