Western Australian gold explorer Black Cat Syndicate (ASX:BC8) has upgraded the underground Mineral Resource Estimate (MRE) to 356,000 ounces gold (Au) for its Coyote Central deposit, as part of its Coyote Gold Operation in Western Australia.
Black Cat Syndicate describes the MRE upgrade as ‘substantial’ and now totals 356,000 Au @ 14.6g/t Au with 51% of the MRE being classified as Indicated, making the Coyote Central one of the highest grade deposits in Australia.
The company adds the total resources at the Coyote operation has also seen an increase of 32% from 488,000 oz Au to 645,000oz Au, and an increase of 105% within the total indicated resources from 150,000oz to 307,000oz Au.
An increase of 59% in the Coyote Central Resource from 267,000oz to 424,000oz Au has also been underpinned following the definition of a new geological model, and the completion of ‘highly successful’ drilling programs which targeted the unmined Axial Core Zone.
Addressing the underground resource upgrade, Black Cat Syndicate Managing Director Gareth Solly says: “With our new geology model and just 5 months of drilling, we have demonstrated that Coyote Central is one of the highest grade underground deposits in Australia, containing 356,000oz @ 14.6g/t Au. We have also substantially increased the total Coyote Central Resource to 424,000oz @ 8.8g/t Au, with average ounces per vertical metre of 1,000oz.
WITH OUR NEW GEOLOGY MODEL AND JUST 5 MONTHS OF DRILLING, WE HAVE DEMONSTRATED THAT COYOTE CENTRAL IS ONE OF THE HIGHEST GRADE UNDERGROUND DEPOSITS IN AUSTRALIA…”
Furthermore, the new resource currently extends to 400m below surface even though there is known mineralisation down to 700m and remains open beyond that. We expect to further extend the resource with additional drilling.
It is exciting to have already demonstrated the grade and scale potential of Coyote within such a short period of time.”
The company also notes a new Coyote Central Open Pit MRE has been fully constrained within an optimised pit shell and stands at 69,000oz Au, with 80% being classified as indicated.
In addition, Black Cat announces the increase in resource for its Coyote Central deposit averages 1,000 oz per vertical metre (OVM) to 400m below surface, and extends over 1,200m strike, and 400m below surface with mineralisation remaining open. The new resource was also added at a cost of $28 per oz, including the ‘significant’ upgrade of the indicated resources.
With the updated MREs delivered, Black Cat Syndicate announces exploration drilling is expected to be ongoing to further test the potential of the overlooked and highly prospective region that hosts the Coyote operation.
As of 12pm AWST Black Cat Syndicates share price has increased by 19.736%.
Black Cat Syndicate is a Western Australian gold explorer that listed on the Australian Securities Exchange (ASX) in 2018. The company has established a ‘substantial’ and growing portfolio of ‘high-grade’ gold resources within the states Eastern Goldfields, Eastern Pilbara, and Tanami regions.
The company’s Coyote operation is located in the Tanami gold region of Western Australian and covers a total land area of 885km-square, with all associated tenements being wholly owned by Black Cat Syndicate. The project is host to several multi-million-ounce gold deposits, including the Callie (14 million oz Au), Tanami Goldfield (3Moz Au), and Groundrush (1.7Moz Au) deposits.
Images: Black Cat Syndicate Ltd