When Stockhouse Editorial last caught up with Outback Goldfields’ (CSE.OZ, OTCPK:OZBKF, FSE:S600, Forum) new CEO Chris Donaldson, the Vancouver, BC-based junior exploration mining company had just started trading on the Canadian Securities Exchange and acquired a premier package of four gold projects in Victoria, Australia from ASX-listed Petratherm (PTR).
Today, Outback Goldfields boasts four key assets with a total land package of 1100 hectares in a jurisdiction that has, historically, produced over 80 million gold ounces. Outback’s assets are located in a high-grade, low-cost mining district and are in close proximity to Kirkland Lake Gold’s (TSX.KL, KLA) legendary Fosterville Mine.
Busy and productive days, indeed, for this up-and-coming small-cap gold explorer in the heart of Australia’s most prolific gold mining belt.
In the news
Fast forward, and now Outback Goldfields has mobilized crews and has commenced drilling in the heart of the Victorian Goldfields. On February 16, OZ announced it has started diamond drilling at its Glenfine project in central Victoria, Australia.
According to the company, the aggressive, fully-funded program will focus on targeting high-grade, quartz reef-hosted gold mineralisation — the hallmark of the nearby Fosterville gold mine and other significant gold deposits in the prolific and historic Victorian goldfields.
“We are excited to start our first-ever drill program in the heart of the Victorian goldfields. The primary objective of this program will be to target high-grade gold mineralization at our Glenfine project,” commented Chris Donaldson, Chief Executive Officer of Outback Goldfields.
“Two primary targets have been identified and we intend to develop and advance additional targets through property-scale sampling initiatives.”
4000 meters of drilling has already targeted high-grade gold mineralisation at two priority targets. Geological crews have started property-scale rock and soil sampling programs.
About the Glenfine Project
The Glenfine project is centred on a 30-kilometre section of the north-trending, crustal-scale Avoca fault that juxtaposes Cambrian rocks of the Stawell zone to the west with Ordovician rocks of the Bendigo zone to the east.
On the west side of the fault, the property is underlain by a 20-kilometre-long and approximately one-kilometre-wide north-trending Cambrian-aged basalt dome termed the Glenfine Dome.
It is here the widely spaced historic drilling along its eastern and western margins have outlined numerous occurrences of gold mineralization hosted near the basalt and meta-sediment contact.
Previous exploration drilling intersected numerous intervals of significant gold mineralisation at both target areas. These include 3.8 metres at 9.0g/t gold, with 1.3 metres at 23.4g/t gold in hole CCD01 at British Banner and 3.8 metres at 5.7g/t gold with 0.8 metres of 21g/t gold in hole PFD031 at Glenfine.
Of note to shareholders and investors, all four assets sit within the Fosterville Gold District — a region previously made legendary by Kirkland Lake Gold’s aforementioned Fosterville Mine, which rests directly adjacent to the western side of Outback Goldfields’ new Silver Spoon property.
When operations began in 2005, the Fosterville Mine made headlines throughout the international mining industry for its bonanza gold grades and exceptionally low production costs.
With over 1000 hectares of land under claim, OZ is presently in an enviable position with significant potential to discover a large, extremely high-grade resource typical of the Fosterville-style deposits.
Drill program update
Based on a comprehensive 3D compilation of all available historical drill hole data, gold mineralisation is considered open along strike and at depth at two priority targets: British Banner and Glenfine South.
Drilling at both targets will continue to test the vertical and lateral extent of structurally-controlled, quartz reef-hosted, high-grade gold mineralization previously identified by historical drilling and small-scale reef-mining.
Step-out drilling will also test for the presence of parallel mineralized-structures and for disseminated gold mineralisation in host-rocks peripheral to known mineralised quartz-reefs.
For more information, visit outbackgoldfields.com.
FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.