Share Watch – Ballymore Resources (ASX:BMR)
BMR hit the bourse with a bang last year with a portfolio of Queensland gold and base metals projects including Dittmer (a historic high-grade goldfield), Ruddygore (a large copper porphyry target) and Ravenswood (a bunch of drill ready targets in a 17moz gold province).
The share price has since drifted badly, but today’s news could be the positive impetus it needs.
Initial drilling at ‘Seventy Mile Mount’ at Ravenswood has confirmed a “large gold system”, BMR says, with grades improving at depth.
Highlight hits include 40m at 1.06 g/t Au from 47m (including 3m @ 9.38 g/t Au).
This may evolve into another gold deposit like the nearby ‘Mount Leyshon (3.8Moz) and Mount Wright (1Moz), the company says.
“The Seventy Mile Mount breccia target has a lot of similarities to major breccia hosted gold deposits in the region and these recent holes are the first completed in the area since 2004,” BMR technical director David A-Izzeddin says.
“These holes targeted a previously unrecognised breccia zone with similarities to the higher-grade breccia zones present at Mount Leyshon and Mount Wright, both major gold producers in the local region in the past 30 years.”
This initial drilling program has proven successful in intersecting shallow, ore grade mineralisation 200m west of best historic drill results, A-Izzeddin says.
“Initial assessment of the breccias and geochemical data suggests that we are at the top of a zoned system similar to Mount Wright,” he says.
“The only previous deep drilling at Seventy Mile Mount was completed on the eastern margin of this breccia zone and these results support the interpretation that grades will improve with depth.”
Follow-up drilling is planned to test the largely untouched breccia target at depth.
The $15m market cap stock is currently trading at its September listing price of 20c per share. It had about $4.9m in the bank at the end of December.