New Murchison Gold Confirms High-Grade Continuity at Cloudkicker with Mining Underway
New Murchison Gold Limited has delivered strong drilling results at its Cloudkicker deposit, revealing higher-grade and more continuous gold mineralisation than previously estimated. Mining has commenced, with Cloudkicker expected to contribute around 20,000 ounces of gold over the next 12-18 months.
- High-grade gold intercepts exceed previous resource estimates
- Domain 4001 shows increased continuity and confidence
- Mining underway with immediate production contribution
- Cloudkicker included in existing Crown Prince mining approval
- Updated resource modelling and mine design planned
Shallow High-Grade Gold Confirmed at Cloudkicker
New Murchison Gold Limited (ASX:NMG) has reported standout assay results from recent grade control and resource definition drilling at the Cloudkicker deposit, part of its Garden Gully Gold Project in Western Australia. The drilling has not only confirmed the presence of shallow, high-grade gold mineralisation but also revealed grades and widths surpassing those in the company’s recent resource estimates.
Highlight intercepts include 10 metres at 13.61 grams per tonne (g/t) gold from 44 metres, featuring a 3-metre section grading 32.17 g/t, and 9 metres at 9.31 g/t from just 3 metres depth. Other notable results include a 1-metre intercept at an exceptional 54.8 g/t Au and multiple intervals exceeding 8 g/t Au, underscoring the deposit’s rich mineralisation.
Domain 4001 Emerges as Key Ore Zone
The Cloudkicker deposit’s ore zones are divided into several domains, with domain 4001 standing out as the most significant due to its high grade and large volume. Recent drilling indicates this domain is more continuous than previously modelled, bolstering geological confidence. The combined 166 holes drilled in this program; 136 for grade control and 30 for resource definition; have provided a robust dataset to refine the resource model.
These results are expected to feed into an updated resource estimate and mine design, with the company aiming to optimise the open pit mining schedule accordingly.
Mining Commenced with Immediate Production Impact
Cloudkicker lies adjacent to the existing Crown Prince open pit but is treated as a separate deposit within the approved mining proposal (M51/886). Mining at Cloudkicker has already begun, and the company conservatively projects the pit will add approximately 20,000 ounces of gold to its production profile over the coming 12 to 18 months.
CEO Alex Passmore emphasised the operational advantages: “The deposit is within the footprint of our existing operations and can be brought online with very little additional resourcing on site, presenting a high return project.” The first caprock ore from Cloudkicker is scheduled for crushing in September 2026, reinforcing the deposit’s near-term contribution to output.
Strategic Positioning within Garden Gully
Cloudkicker forms part of New Murchison’s broader Garden Gully package, which includes multiple gold deposits along the prolific Abbotts Greenstone Belt. The company’s recent resource expansion efforts have already increased total contained gold to 359,000 ounces across the project, with Crown Prince remaining a core asset.
While Cloudkicker’s current drilling results signal an upgrade in grade and tonnage, the company is yet to release updated resource figures. These will be closely watched by investors assessing the deposit’s full potential and its impact on New Murchison’s production trajectory.
Bottom Line?
Cloudkicker’s enhanced grade continuity and immediate mining signal a valuable boost for New Murchison’s production, but updated resource metrics will be essential to gauge the full scale of this opportunity.
Questions in the middle?
- How will the updated Cloudkicker resource estimate alter New Murchison’s overall asset valuation?
- What operational challenges might arise as mining expands within the Cloudkicker pit footprint?
- Could further drilling extend the high-grade caprock mineralisation beyond current domains?
