Gold Mineralisation discovered at Lake Carey gold project could significantly enhance project value

KEY TAKEAWAYS:

• Results from a 5 hole RC drilling programme confirm the recently discovered gold mineralised zone north of Matsa’s Fortitude gold mine.
• This new discovery could significantly enhance the value of the Lake carey gold project.
• Three RC drill holes define an interpreted 40m thick gold mineralised zone.

Matsa Resources Limited (ASX: MAT) is pleased to announce that results from an RC drilling programme reveal there is a bedrock gold mineralisation at Fortitude North.

Fortitude North is located within the Company’s Lake Carey gold project in the Eastern Goldfields of Western Australia.

The bedrock gold mineralisation was discovered by aircore drilling, the drilling defined a mineralised zone in excess of 1km in length and located 5km north of Matsa’s Fortitude gold mine.

This new discovery could significantly enhance the value of the Lake carey gold project.

The 5 reverse circulation drill holes were carried out in September 2018 for a total of 949 metres.

Matsa is very pleased that three out of 5 drill holes of this small first pass RC programme intersected significant gold mineralisation.

Chairman Paul Poli, said: “We firmly believe the lake area is under-explored and that new gold mines will be discovered over time.

We are hopeful that Fortitude North may be one of those new discoveries. these initial results are exciting, but what pleases me is the proximity to our Fortitude gold mine where economies of scale could prove to be very valuable.”

Results of the three RC drill holes in Section 1 have been interpreted to define a broad ~40m thick, shallow east dipping variably gold-mineralised zone which may represent a fault bounded thrust slice.

Assay results from the three drill holes are summarised below:

Drill Hole 18FNRC03

• 5m @ 5.46 g/t Au from 79m, incl. 3m @ 8.70 g/t Au from 80m
• 6m @ 1.69 g/t Au from 90m, incl. 3m @ 2.76 g/t Au from 90m

Drill Hole 18FNRCo4

• 5m @ 1.01 g/t Au from 94m, incl. 2m @ 1.41 g/t Au from 94m

Drill Hole 18FNRCo5

• 2m @ 4.96 g/t Au from 190m

The drilling results could enhance the Lake Carey gold project by opening up processing options, such as a stand-alone treatment plan.

Following the discovery, a diamond drilling programme is proposed to test the concept of a thick zone of gold mineralisation dipping at a shallow angle to the east.

 

About Resources Limited (ASX: MAT)

Matsa is an ASX listed explorer/developer who has become a gold producer following the acquisition and development of the Fortitude gold mine. Fortitude forms part of the Lake Carey gold project south of Laverton. Matsa has a pipeline of quality projects within Australia and central Thailand. Matsa has recently acquired the Red October Gold mine near Lake Carey which boosts the mining potential within the area.

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