OzAurum Resources (OZM ASX) has confirmed the presence of high-grade gold mineralisation at the Paleochannel Zone within its flagship Mulgabbie North Gold Project, following the successful completion of a focused reverse circulation (RC) infill drilling program. The results further underpin the company’s confidence in the project’s potential as a low-cost, heap leachable gold development.
The 19-hole, 684-metre RC Campaign Returns
- 5m at 5.87 g/t Au from 22m, including 1m at 16.54 g/t Au
- 3m at 7.25 g/t Au from 27m, including 1m at 10.04 g/t Au
- 2m at 6.92 g/t Au from 27m, including 1m at 10.91 g/t Au.
These results enhance the continuity of mineralisation within the Paleochannel Zone, part of OzAurum’s 260,000-ounce Mulgabbie North Mineral Resource (11.6 Mt at 0.70 g/t Au). The Paleochannel itself has now been remapped to extend over 4 kilometres, providing significant scope for resource expansion.
Managing Director Andrew Pumphrey described the results as “a significant step forward in unlocking the full potential of this exciting asset,” adding that the grade and consistency of mineralisation support the company’s geological model and improve the likelihood of an upgrade to the project’s resource inventory as part of the ongoing Mulgabbie Heap Leach Feasibility Study.
The mineralised paleochannel—an ancient gold-bearing river system west of the Relief Shear—presents a compelling opportunity for cost-effective development. Similar systems in Western Australia’s Eastern Goldfields have delivered strong historical returns, most notably at Kanowna’s QED open pit, which produced 70,000 ounces via heap leaching in the early 1990s. The Kanowna Belle discovery, now a multi-million-ounce mine, followed shortly thereafter.
Other Exploration Sites
Exploration activity is also progressing at other key targets within the project. Seven additional RC holes have been completed at the Cross Fault prospect, with assays pending. In parallel, two diamond drill holes are underway to evaluate the structural controls on mineralisation. At the Golden Goose prospect, a 66m RC hole was drilled to follow up on previous high-grade intercepts.
OzAurum has also commenced metallurgical testwork in partnership with Line Hydrogen, which drilled two holes at no cost to the company to support the development of a trial open pit.
With multiple workstreams advancing in parallel, OzAurum is positioning Mulgabbie North as a cornerstone asset with near-term development potential. Further assay results and metallurgical data are expected to provide key catalysts as the company progresses toward feasibility.
