Dakota Gold infill drilling bodes well for Q1 Richmond Hill resource update
The 17,000-metre drill campaign in South Dakota's Homestake District aims to expand on an initial resource reported in April.
Osino Resources (TSXV: OSI; US-OTC: OSIIF) has released an updated resource estimate for the Twin Hills gold discovery in Namibia, which could add more ounces to the company’s impending prefeasibility study expected out by September.
The new resource (at a 0.5 grams gold per tonne cut-off) holds 2.75 million troy oz. in the measured and indicated categories grading 1.13 grams per tonne in 6.7 million tonnes of material. At a 0.3 gram gold per tonne cut-off, the resource holds 2.83 million troy oz. at 1.08 grams per tonne in 81.3 million tonnes.
The deposit holds another 240,000 oz. gold in the inferred category at 1.05 grams per tonne.
Osino ascribes the higher grades compared to the earlier estimate to applying more discrete resource modelling and adding higher-grade material via the drill bit during the last few months.
The new resource estimate comprises 93% of material in the measured and indicated categories, compared with the 77% previously.
Echelon Capital Markets analyst Ryan Walker pointed out in a research note the resource includes a higher-grade portion when applying a 0.9 gram per tonne cut-off grade, totalling 2 million oz. at 1.46 grams per tonne in 42.7 million tonnes.
It holds the potential for selective mining to yield a potentially “very meaningful impact” on eventual project economics, wrote the analyst.
