Published On: March 31st, 2023
Platina Resources Limited (ASX: PGM) (Platina, or the Company) is a Western Australian-based gold-focused mineral resources exploration and development company. Brimstone Gold Project is one of Platina Resources’ significant projects. The Company has initiated a maiden 5,500 metres aircore drilling program at its Brimstone Gold Project.
Drilling Program at Brimstone Gold Project
The Company has completed its cultural heritage clearance program for five northern prospecting licenses of Brimstone. These prospects have been little to no drilling activity historically. Using the aircore drilling method, a phase one drilling program of 5,500 metres is in progress and estimated to be finished within 20 days. The initial stage of aircore drilling will focus on targets such as Brandy, Old Camp, and Billabong North.
The second phase of drilling at Garibaldi Mining Licence will be carried out after obtaining the final cultural heritage clearances. This phase will combine reverse circulation and aircore drilling techniques to explore the system’s more profound potential.
After drilling at northern tenements, another cultural heritage survey would be needed for the southern targets like Jammie Dodger.
Figure: 1 Brimstone’s northern acreage showing historical drill holes, prospect areas and soil sampling location
The location of Brimstone tenements falls within a proven gold district, near Penny’s Find gold deposit and 25 km from the Kanowna Belle gold mine. Except for shallow and closely-spaced drilling at Garibaldi, no systematic exploration program was conducted further to follow up historical work.
Significance of the Brimstone Gold Project
Platina Resources’ Brimstone Gold is an advanced-stage exploration project located 40 kilometres northeast of Kalgoorlie. It covers an area of 70 square kilometres. Historically, around AUD 5 million has been spent at Brimstone, including drilling over 964 holes, covering a total distance of 51,638 meters. Most of the drill holes were less than 50 meters deep, and almost 93% were drilled to depths less than 100 meters.
Figure 2: Location of the Brimstone Gold Project
Global Gold Demand and Price Outlook
For a decade, gold demand was at its strongest in 2022. The demand for gold (excluding OTC) witnessed an 18% increase and reached 4,741 metric tons in 2022, almost equivalent to the demand observed during the exceptional investment demand period of 2011. As of March 30th, 2023, the price of Gold was AUD 2,936.68 per ounce, almost double the price 10 years back.
About Platina Resources Limited
Platina Resources Limited is a focused gold exploration and development company based in Western Australia. The Company has some significant projects: Challa Gold Project, Xanadu Gold Project, Jubilee Gold Project, Brimstone Gold Project, Beete Gold Project, Mt Narryer Gold Project, Binti Binti Gold Project, etc. The Company also owns a 100% stake in the Platina Scandium Project in New South Wales, one of the world’s largest and highest-quality scandium deposits.
Platina Resources Managing Director Mr Corey Nolan
Platina Resources’ Managing Director, Mr Corey Nolan, has over 25 years of experience acquiring, exploring, financials, and developing mineral resource projects. Regarding the drilling program at its Brimstone Gold Project, he commented, “Old Camp has more than 500m of the interpreted shear zone associated with a strong gold in soil anomaly and only nine shallow drill holes within a 150 m zone.” He also commented on the Brandy prospect, “The Brandy prospect is interpreted to be located on the northern extension of the Penny’s Find shear zone, approximately 2.3 km from Horizon Minerals’ Penny’s Find gold deposit and defined high-grade mineral resource.”
Platina Resources Financial Overview
Platina Resources spend AUD 1.03 million on exploration and evaluation during the first half of the financial year 2023. The Company has a strong cash position of AUD 1.57 million as of December 31st, 2022. Also, the total net assets reported was AUD 6.49 million at the end of the reporting period.
- As of March 30th, 2023, Platina Resources’ share price was AUD 0.021 per share, and the stock volume (4-week average) was 336,927
- The market capitalisation of Platina Resources was approximately AUD 13.1 million as of March 30th, 2023
- As of March 30th,2023, the Company had nearly 623.18 million shares on issue
- The progress at the Brimstone Gold Project and the recently formed Joint Venture Agreement between Platina Resources and Chalice Mining for the Mt Narryer Gold Project will contribute to the Company’s growth
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