Erdene announces drilling results from Bayan Khundii Gold Project

Erdene’s deposits are located in the Edren Terrane, Mongolia, within the Central Asian Orogenic Belt, host to some of the world’s largest gold and copper-gold deposits. The company has been the leader in exploration in southwest Mongolia over the past decade and is responsible for the discovery of the Khundii Gold District, comprising of multiple high-grade gold and gold/base metal prospects, two of which are being considered for development: the 100%-owned Bayan Khundii and Altan Nar projects. Together, these deposits comprise the Khundii Gold Project.

The Bayan Khundii Gold Resource includes 521 000 oz of 3.16 g/t gold measured and indicated (M&I) and 103 000 oz of inferred resources at 3.68 g/t gold. Within the M&I resource, a proven and probable open-pit reserve totals 422 000 oz at 3.7 g/t, providing significant potential growth of reserves with the development of the remaining M&I and Inferred resources.

“We are exceptionally pleased with drill results from the new Midfield Southeast zone, including 1 m of 582 g/t gold within an intersection of 5.5 m grading 126 g/t gold, in a near-surface region of the Bayan Khundii deposit,” said Peter Akerley, Erdene’s President and CEO. “A second intersection, 40 m north of 15 m of 26 g/t gold, including 1 m grading 338 g/t gold, confirms the existence of a new high-grade zone in an area that is currently classified as waste or low-grade material that could add meaningfully to resources during the early stages of the project.”

“While we are rapidly advancing the Bayan Khundii development, with results of the project’s Bankable Feasibility Study anticipated in the coming weeks, over the past 6 months we have demonstrated the potential of the Khundii Gold District, with high-grade intersections at Bayan Khundii and Altan Nar, and the discovery of the Dark Horse prospect,” continued Akerley. “Further results are forthcoming from recent work at Striker and Dark Horse, where multiple instances of visible gold were encountered. We are developing follow-up drilling campaigns for these exciting targets, prioritising near mine expansion opportunities at Bayan Khundii that are expected to add to our established resource base.”

Highlights:

• Discovered very high-grade gold zone at surface, southeast of the main Midfield orebody:
  • Intersected 5.5 m of 125.9 g/t, including 1 m of 581.6 g/t gold, in BKD-288, beginning 11.5 m down hole.
  • Drilled 15 m of 25.6 g/t including 1 m of 338 g/t gold beginning at 14.9 m in BKD274, 40 m north of BKD-288.
  • Intersected anomalous gold mineralisation in 16 of 18 holes, all within 25 m from the surface.
  • Interpreted as the intersection of the stacked NW trending quartz adularia veins, with a N-S trending conceptual feeder structure.
  • Target area classified as waste or low-grade stockpile material in the current resource.
  • Projected to be mined in year-one of the current mining schedule.

Read the article online at: https://www.globalminingreview.com/exploration-development/08072020/erdene-announces-drilling-results-from-bayan-khundii-gold-project/