Mt Windsor Joint Venture
(Ramelius earning 60%)
Ramelius entered a joint venture with Liontown Resources Limited (ASX:LTR) over its Mt Windsor Gold Project, located south of Charters Towers in north Queensland in June 2010. Ramelius may earn 60% equity in the project by spending $7 million over four years and met its first year’s firm commitment of prior to July 2011. Ramelius must spend an aggregate $2.225M on or before June 30, 2012 before it may withdraw from the farm-in and joint venture agreement.
During the year Ramelius followed up anomalous offset pole-dipole Induced Polarization (IP) responses with deeper diamond drilling on two target areas within the project; Mosquito Hill and Mt Redan. Drilling proposed over the Cardigan Dam intrusive breccia target was delayed due to inclement weather and has been rescheduled for completion during the 2011 field season.
Mt Windsor JV Project tenements highlighting exploration targets
Mosquito Hill – G-20
The Mosquito Hill (G-20) prospect is located approximately 45 km to the south west of Charters Towers and is defined by anomalous pathfinder (silver, arsenic, antimony) soil geochemistry associated with a topographic high and a circular magnetic feature identified from available aeromagnetic data.
A single diamond hole (MHDH0001) was completed during the year which was designed to test sub-surface resistive and chargeable anomalies identified from an IP survey completed over the target.
No significant gold results were received but a follow-up hole has been designed to target the anomalous fault ring feature at depth; along strike from elevated silver and antimony soil sampling and a chargeable zone approximately 150 metres below surface.
Mt Redan – G-22
The Mt Redan prospect is located approximately 60 km south west of Charters Towers and is defined by a 2kmx2km pathfinder (arsenic, mercury, antimony) soil anomaly. Historical rock chip sampling has returned significant values up to 0.47% arsenic, 507ppm antimony and 46ppm mercury. An untested two km long, plus 10ppb gold in soil anomalous zone is located to the north of the above pathfinder anomalous horizon.
Mt Redan drill collars and geochemical anomalies over grayscale aeromagnetic image
Resistive and chargeable anomalies identified by an IP survey were the focus of three diamond drill holes completed during the year (MRDH0001-3).
The three diamond holes intersected predominantly clastic and volcaniclastic sediments and minor zones of brecciation and quartz veining. Encouraging zones of silica-sericite and chlorite-carbonate were intersected within drill hole MRDH0002.
No significant gold results (>0.5g/t Au) were received but the alteration geochemistry is coincident with a large hydrothermal alteration system and further drill testing is proposed.
Reconnaissance sampling during the year returned anomalous rock chip samples from several target areas including G-133, located 10km north northwest of Cardigan Dam. Peak rock chip responses were 0.38g/t gold, 3.9ppm silver and 2.5 % copper. Follow up mapping, sampling and drilling is scheduled during the 2011 field season.