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Western Australia’s gold mining industry has been a driving force in the State’s economic development since the late 1890s, fuelling an era of growth and transformation for the once-struggling colonial region.
By the 1900s, WA had established itself as a significant player within the industry, driven by the influential gold rushes in both Coolgardie and Kalgoorlie, in 1892 and 1893, respectively.
Today, WA outshines all other states in terms of production. Australia houses 66 operational gold mines, including 14 of the world’s largest. Notably, 11 of these mines are situated in WA, solidifying the state’s unrivalled prominence. In fact, WA accounts for nearly 70 per cent of the nation’s total gold production.
Remarkably, if WA were a country, it would rank as the world’s fifth-largest gold producer.
Up-and-coming Perth-based explorer Iceni Gold (ICL) is leveraging its elaborate tenement package across its 14 Mile Well project in the Laverton greenstone belt of WA, which includes seven key prospect areas.
Leveraging the Goldfields’ rich history
Iceni is exploring its entire tenement package in search of the next world-class gold deposit.
Since listing on the ASX in early 2021, the company has been actively carrying out these exploration activities and has already completed more than 17,000 metres of diamond drilling and greater than 42,000 metres of aircore drilling, 16,000 soil samples and in excess of 7,200 rock chip samples. These efforts have resulted in the collection of thousands of samples for analysis.
Within a 50-kilometre radius of the 14 Mile Well project, there are eight significant mines that have collectively yielded an estimated 50 million ounces of gold. Additionally, there are two major mines within a 25-kilometre radius that have produced approximately 25 million ounces.
Among these noteworthy mines, Gold Fields Australia’s Granny Smith/Wallaby mines have produced an astounding 9.6 million ounces of gold, while Anglo Gold Ashanti’s Sunrise Dam mine has produced around seven million ounces.
Also, Northern Star Resources (NST) holds a world-class gold production centre nearby. In February 2021, the company completed a merger with Saracen Minerals to form the only large-cap gold mining company with 100 per cent production in tier-one locations. The merged entity has a long life, with more than 19 million ounces of reserves and 49 million ounces of resources across its portfolio.
Gold deposits are commonly found in proximity to major faults, and within the 14 Mile Well area, three substantial structural faults exist, the Celia-Claypan, Castlemaine, and Guyer faults. The Celia-Claypan Fault System, a major fault spanning approximately 700 kilometres, includes 9 kilometres of strike within Iceni Gold’s Project as well as a 30-kilometre-long splay off the Celia fault called the Castlemaine fault and this runs the entire length of Iceni Tenement package. Iceni also controls 15 kilometres of strike of the prospective Guyer Shear within the 14 Mile Well project.
Iceni’s roadmap
Over the past quarter, the company has placed special emphasis on exploring its Everleigh and Guyer target areas, where significant fieldwork has yielded “highly encouraging” results.
Iceni Gold has recently made significant progress in its exploration efforts at its Everleigh target area in particular, which is one of the areas being explored within the 14 Mile Well project. Fieldwork conducted in 2020 identified outcropping quartz veins, and as of June 2023, the company has reported the discovery of a “very high-grade” gold-bearing vein in the Christmas Gift anomaly.
Rock chip assays from the high-grade vein returned peak results of 18,207 grams per tonne (g/t) gold, with other notable results including 18,179 g/t gold, 16,776g/t gold, 16,659g/t gold, and 14,780g/t gold. The company continues fieldwork to determine the extent of this vein along strike and in preparation for future exploration drilling.
At its Guyer Well target area, Iceni Gold is exploring three separate anomalous zones: Guyer North, Central, and South. Ongoing work has identified multi-point ultrafine fraction (UFF) gold anomalies with coincident elevated levels of arsenic, bismuth, lead, silver, and tellurium.
In May 2023, rock chip sampling across the project area yielded “significant” gold results. Notable findings included up to 136 g/t gold from Granite Contact South, 126 g/t gold from Guyer North, and 67.4 g/t gold from East Well.
With highly encouraging results from its recent exploration activities at the Guyer Well and Everleigh target areas, Iceni Gold is well-positioned to further explore and expand upon its early successes.
ICL Chair Brian Rodan said its full steam ahead with further fieldwork at Everleigh and Guyer Well, the “prime locations” for the next round of drilling.
“If we pick the right spots, and drill the holes in the right space, I think it’s going to be quite interesting,” he told The Market Herald recently.
Investors should take note of Iceni Gold’s experienced team and its strategic focus on leveraging Western Australia’s rich history of gold mining through extensive exploration efforts.
With its extensive tenement package and proximity to significant gold mines, Iceni Gold has established a strong foundation for growth. The company’s recent exploration activities and high-grade findings demonstrate its potential to uncover world-class gold deposits and further expand its resource base.
Additionally, with geopolitical uncertainties and rising inflation concerns, the demand for gold as a safe-haven asset remains strong. Iceni Gold is well-positioned to capitalise on favourable market dynamics, making it an attractive investment opportunity in the gold sector.
As the company continues to unlock the potential of its projects, investors can anticipate exciting future developments and potential returns on their investment.
