Resources & Energy Group Limited (ASX: REZ) has commenced ore production with the first material movement at the Granny Venn project within the company’s flagship East Menzies Gold project (EMGP), situated 130km north of Kalgoorlie.
Throughout the month of July mining activities undertaken by contractor BM Mining have taken place in three separate cutbacks; GV North, GV Ramp and GV East.
The initial operations have primarily targeted the GV North Cutback, where waste removal has exposed first ore at an RL of 425m. Pre‐development work including haul road construction and bunding, as well as pad preparation along the east side of the Granny Venn Cutback have also commenced.
Geology and Resource Extension drilling
Three diamond core holes were drilled at the project in June, including a hole at the base of Granny Venn and another hole on the western margin of the Aunt Nellie pit.
The purpose of the holes within the Granny Venn Pit was to verify previously reported grades in hole 21EMRC040‐22m@ 3.09 g/t au and to recover intact core to assist as a visual reference for ore spotting during excavation.
The second hole GVDD21‐002 intersected 24.4 metres @ 3.19 g/t Au from 6.9 metres downhole. This mineralised interval is a variably altered talc chlorite amphibole (tremolite‐actinolite) and biotite/phlogopite schist after an ultrabasic rock.
The interval has a fine dissemination of sulphides which are elongated along the foliation plane including pyrrhotite, pyrite and lesser chalcopyrite, pentlandite and violarite.
As part of the project’s internal QA/QC assessment, the ALS pulps for GVDD21‐002 were submitted to Bureau Veritas for fire assaying as a check of the original analysis.
The BV results correlate quite well with the original ALS results at 24.4 metres of mineralisation at 3.17 g/t Au compared to 24.4m at 3.19 g/t, and 22m at 3.09 for the original RC hole 21EMRC040.
The single vertical diamond core hole was drilled on the western flank of the Aunt Nellie pit to a depth of 17.1 metres. Mineralisation was intersected at 1.6 metres downhole and included 3.85 metres @ 1.61 g/t Au. The mineralisation is hosted in a highly weathered talc‐chlorite ultramafic schist with variable biotite/phlogopite and carbonate alteration.
A blast hole sampling programme at Aunt Nellie West has been designed to assess the extents of the near surface mineralisation encountered from previous historical exploration and more recent work completed by the company in March.
A total of 60 holes have been designed on a 4m x 4m pattern in the vicinity of the March 2021 RC drilling A suite of fifteen 10 metre blast holes on a 4m x 4m pattern have also been designed targeting mineralisation intersected in an earlier drilled Money Mining RAB hole FRB0119. The interval of reported mineralisation is 8 metres @ 3.37 g/t Au from surface.