(MENAFN - ProactiveInvestors - Australia) Matsa Resources (ASX: MAT) has made some encouraging discoveries at the Big Red - which is part of the company's Dunnsville Project 45 kilometres north-west of Coolgardie.
A diamond drilling program of four holes for 515 metres was completed, with assays confirming the presence of gold mineralised quartz veins.
Intersections included: 0.7 metres at 2.44g/t gold from 80.4 metres; 2 metres at 1.06g/t gold from 98 metres; and 1.1 metres at 2.56g/t from 56.9 metres.
Matsa said that the gold mineralised quartz veins were seen to contain significant disseminated pyrite and are enclosed by pyrrhotite rich altered margins in the gabbro/dolerite country rocks.
It is likely that pyrrhotite (a magnetic mineral) within the country rocks gives rise to the discrete magnetic feature which partly underlies the Big Red target.
Importantly for Matsa - the assays from the current round of drilling support the target concept in that gold mineralisation has been shown to occur in steeply dipping pyritic quartz veins which intersect gabbro/dolerite country rock on an orientation of around 330 degrees.
The conceptual target at Big Red was defined by a 25ppb soil gold anomaly extending over an area of 3.5km x 1.5km within which 7 discrete zones containing 1g/t gold (Max. 7.85g/t) - previously defined by rotary air blast drilling.
The diamond drill program has determined the source of 2 of the 7 mineralised zones.