CINNAMON

Broad and high-grade gold intersections at Cinnamon!

High-grade gold results have been received from two initial diamond drill-holes completed at the Cinnamon gold deposit. Drilling confirms strike length of 2.4 km

Drilling has enhanced the potential of Cinnamon as a near-term development asset at Vango Mining's Marymia Gold Project in the mid-west region of Western Australia.

Highlight results include:

🔴 VBGRCD0001:

10 metres at 2.69 grams of gold per tonne from 106 metres including 0.9 metres at 10.31 grams of gold per tonne at 8.5 grams of gold per tonne;
 

5 metres at 3.03 grams of gold per tonne from 128 metres including 2 metres at 5.64 grams of gold per tonne;

 

2 metres at 20.78 grams of gold per tonne from 164 metres; and

4 metres at 3.14 grams of gold per tonne from 179 metres including 2 metres at 5.35 grams of gold per tonne from 180 metres.

🔴  VBGRCD0002:

19 metres at 3.04 grams of gold per tonne from 74 metres including 10 metres at 4.06 grams of gold per tonne.

Wide intervals of shearing, alterations and elevated gold in both holes indicate a large mineralised system with potential for extensions and repeats of Cinnamon's gold mineralised zones.

 

This initial diamond drilling programme was designed to test and extend existing gold mineralised zones and provide geological information to characterise and identify the potential controls on the mineralised system.

The diamond drilling has successfully confirmed the high-grade mineralisation at Cinnamon that extends for 2.4 km to the northeast in the direction of the Cobalt prospect. Significant gold has been identified at the Cinnamon, Budgie and Cobalt prospects along this 2.4 km strike. 

For more information, see ASX Announcement.

Cinnamon is being tested by Vango Mining as a high‐priority, additional resource target that could potentially support the new strategy for a stand‐alone processing operation and also provide an early open pit option.

 

The Cinnamon deposit is located in the central part of the project area which extends over a strike length of 730 metres (from 25,800mE to 26,530mE) and includes the 330 metres vertical interval from 540mRL to 210mRL.

 

The main portion of the deposit is located between 26,150mE to 26,530mE (BMA_M grid).  The deposit was estimated in a standard Surpac block model using Ordinary Kriging (OK) interpolation. The interpolation was constrained by gold mineralisation envelopes prepared using a nominal 0.5 grams of gold per tonne cut‐off grade for three geological domain groups.  

The domains were separated on the basis of geological orientation and ranged from a flat, supergene orientation to steeply dipping shear zones at depth.

The majority of the mineralisation is contained within a conglomerate, associated with the contact between a mafic‐volcaniclastic or conglomerate footwall and felsic volcaniclastic or conglomerate hanging-wall.  The conglomerates are matrix‐supported and are dominated by granitic clasts with minor mafic, chert, BIF and quartzite clasts.  

Gold mineralisation appears to intensify where the coarse grained conglomerates are intersected by several interpreted cross cutting faults.

BELOW: The resource model established by Dampier Gold in 2011 shows the resource zone extending to more than 400 metres in strike and remains open at depth below 200 metres:

BDRC0003:

19 metres at 6.85 grams of gold per tonne from 132 metres including 11 metres at 10.57grams of gold per tonne.

BDRC0430:

24 metres at 4.75 grams of gold per tonne from 146 metres including 12 metres at 7.64 grams of gold per tonne.

BDRC0365:

39 metres at 4.56 grams of gold per tonne from 76 metres, including 10 metres at 12.72 grams of gold per tonne.

Figure 4:  Previous, predominantly RC drilling intersections at Cinnamon (ASX release by Dampier Gold, 14 July 2011).   

Vango Mining's initial plans are to drill two diamond drill holes into the main mineralised zones to verify the previous RC drilling intersections and enhance the geological understanding of the deposit, followed by a more extensive drilling programme to potentially define and extend the thick, conglomerate hosted, mineralised zones.