Horizon Gold advances Gum Creek with high-grade hit - ICYMI

Horizon Gold Ltd (ASX:HRN, OTC:HZGLF, FRA:HO0) earlier this week reported broad, high-grade gold intersections from drilling at the Kingfisher, Hawk and Swan prospects, reinforcing the potential for further resource growth at the Gum Creek Gold Project in Western Australia.

The strongest result came from Kingfisher, where reverse circulation drilling intersected 23 metres at 5.26 g/t gold from 188 metres, including 15 metres at 7.65 g/t.

Managing director Scott Williamson said the result demonstrated “the real high-grade nature” of the Kingfisher deposit and extended mineralisation north towards the Swan and Swift areas.

Williamson said the intersection was relatively shallow and sat within the proposed open-pit mining area. As a result, it could contribute to an expansion of the planned Kingfisher pit while Horizon Gold continued to test deeper mineralisation for underground potential.

The location of the result is also significant. Kingfisher is about five kilometres from the proposed Gum Creek processing plant, placing it among the deposits considered important to the project’s development strategy.

Williamson said Kingfisher, Swan and Swift were Horizon Gold’s flagship assets because of their proximity to the planned processing facility. Further drilling success near the plant could support additional mine life, improve plant feed visibility and strengthen the broader development case.

A key potential catalyst will be continued drilling across the three prospect areas. Horizon Gold plans to extend the Kingfisher open pit towards Swan and Swift while also testing underground opportunities at both Kingfisher and Swan.

Further resource additions could have a direct impact on the project’s economics. Williamson said the recent study had outlined around ten years of open-pit mining at approximately 100,000 ounces of gold per annum.

He said additional open-pit resources could extend that operating period, while the inclusion of underground mining could increase the grade profile and lift annual production above the 100,000-ounce level.

Another catalyst will be the company’s transition from technical studies into project execution. Williamson said Horizon Gold had moved beyond the study phase after completing a definitive feasibility study that defined what he described as “a very robust economic project”.

He said the company’s focus was now on delivering the project and progressing into the build phase over the coming years.

Investors will therefore be watching for further drilling results, resource updates, underground development studies and tangible progress towards construction at Gum Creek.

Interview highlights

• Horizon Gold returned broad, high-grade gold results from drilling at Kingfisher, Hawk and Swan within the Gum Creek Gold Project.
• The standout Kingfisher result was 23 metres at 5.26 g/t gold from 188 metres, including 15 metres at 7.65 g/t.
• Scott Williamson said the result highlighted the high-grade nature of Kingfisher and extended the deposit north towards Swan and Swift.
• The intersection sits within the proposed open-pit area and may support an expansion of the Kingfisher pit.
• Horizon Gold is also drilling deeper to assess underground potential at Kingfisher and Swan.
• Kingfisher is about five kilometres from the proposed processing plant, making nearby resource growth strategically important.
• The recent study outlined about ten years of open-pit mining at approximately 100,000 ounces of gold per year.
• Additional open-pit resources could extend mine life, while underground mining could lift production above 100,000 ounces annually.
• Williamson said Horizon Gold had moved beyond the study phase and was focused on project delivery and the build phase.

Proactive: Horizon Gold has returned broad, high-grade gold intersections from drilling at its Kingfisher, Hawk and Swan prospects, highlighting potential resource growth at Gum Creek. Here to discuss these latest results is managing director Scott Williamson. Scott, good morning.

Scott Williamson: Good morning, Jonathan.

Proactive: Let’s start with the results. Talk us through how significant the 23 metres at 5.26 grams per tonne gold intersection is.

Scott Williamson: This is a great intercept at Kingfisher, showing the real high-grade nature of the Kingfisher deposit.

We are also drilling at depth. This result is relatively shallow and sits within the open-pit mining area to the north.

We are extending the Kingfisher deposit to the north, towards Swan and Swift, which are also very significant high-grade mining areas.

This result extends the deposit to the north and could extend the open pit. We also see significant underground potential at Kingfisher, so we are continuing to drill deeper at depth.

However, this intersection is expected to sit within the open-pit area.

Proactive: What do these results indicate about the potential to expand resources close to the proposed processing plant?

Scott Williamson: Kingfisher is only about five kilometres from the processing facility we are looking to build, so it is very important that we expand the resources located in close proximity.

Kingfisher, Swan and Swift are our flagship assets and are all close to the proposed processing plant.

Proactive: Looking at the economics, how could future resource additions strengthen the Gum Creek Gold Project?

Scott Williamson: The recent study outlined ten years of open-pit mining, so further resource additions could extend that mine life.

We also want to bring the underground mines into the plan, which would increase the grade profile.

The project is currently targeting about 100,000 ounces per annum for ten years. Additional open-pit resources could extend that, while underground mining could lift production beyond 100,000 ounces per annum.

Proactive: What further drilling is planned across the three prospects over the coming months?

Scott Williamson: We are continuing to drill at Swan and test the underground potential there, as well as the underground potential at Kingfisher.

We will also continue extending the open pits, including extending Kingfisher through that area towards Swan and Swift.

There will also be a significant amount of further drilling at depth to test the underground potential.

Proactive: Finally, you are at Diggers & Dealers, where investors can come and meet the company. What is your message to investors?

Scott Williamson: It is a great time to get involved with Horizon Gold.

We are now past the study phase and are moving into the build phase. The definitive feasibility study has defined a very robust economic project.

The focus is now on delivering that project and progressing into the build phase over the coming years.

Proactive: Scott, we look forward to speaking again as the results come through. Thanks for your time this morning, and enjoy the final day.

Scott Williamson: Thanks, Jonathan.