Rox Resources (ASX: RXL) is an exploration company with three key projects; the Mt Fisher Gold Project in Western Australia, the Myrtle Zinc-Lead Project in the Northern Territory; and the Marqua Phosphate Project in the Northern Territory.
Rox has a joint venture agreement with Teck Australia, the Australian subsidiary of Canadian mining giant Teck Resources (NYSE: TCK), to progress its Myrtle project.
Rox Resources secures Mt Fisher gold mine option extension
Rox Resources (ASX: RXL) has more time to assess the high potential of the Mt Fisher gold mine and associated tenements at the Mt Fisher gold project in Western Australia, with the company granted a 12-month extension of the option to acquire the mine and tenements.
The company now has until 30 June 2013 to exercise the option, which covers 170 square kilometres of tenements adjacent to Rox’s 485 square kilometres of wholly owned tenements.
Mt Fisher has shown geological similarities to Navigator Resources’ (ASX: NAV) 3.6 million ounce Bronzewing Gold Project.
Like Bronzewing, Mt Fisher has demonstrated its potential to become a multi-million ounce project.
The project is 40 kilometres to the east of the prolific 17 million ounce Yandal greenstone belt and 100 kilometres east of the main Wiluna greenstone belt. The Norseman-Wiluna Belt is believed to host in excess of 30 million ounces of gold.
The Mt Fisher Greenstone Belt has not seen the same level of exploration as the other belts in the region. Many large areas remain unexplored.
Previous drilling on the Mt Fisher project area by Rox indicates extensions of the gold mineralisation for at least 200 metres and it is open at depth.
Structural analysis at the project has identified a number of high priority targets, as well as several new targets in settings analogous to those found in the Yandal belt.
Ian Mulholland, managing director, commented on the option extension:
“During 2011 we completed over 3,000 metres of reverse circulation drilling in 14 holes on the option tenements, flew airborne VTEM and magnetics, and defined a JORC compliant Mineral Resource of 215,200 tonnes grading 3.57 grams per tonne (g/t) gold (Measured 119,600 tonnes at 3.60g/t gold, Indicated 56,700 tonnes at 3.62g/t gold, Inferred 38,900 tonnes at 3.41g/t gold) underneath the old Mt Fisher open pit.”
The Resource is still open down plunge and down dip beneath the open pit and is just a portion of the total 973,800 tonnes at 2.75g/t for 86,080 ounces of contained gold Resource defined on the project.
“This year we have completed a detailed structural analysis of the area which has produced a number of targets on other parts of the option tenements away from the mine that we plan to drill test soon,” Mulholland said.
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