Kalgoorlie Gold Mining set to hit ASX with Ardea gold assets
Kalgoorlie Gold Mining is set to pocket up to $12 million following the closing date of its initial public offering on the 26th of October. The company is set to list on the Australian Securities Exchange on 12 November and plans to use the money to follow up on some bonanza historical gold hits east of Kalgoorlie that inexplicably were never really run to ground. Kalgoorlie Gold will spin out of Ardea Resources who has been quietly amassing some serious gold tenure amongst its massive nickel holdings in WA.
The company will come to market with some seven gold projects scattered around WA that were previously housed under Ardea’s roof but did not receive enough love from Ardea given its principal focus on its massive nickel deposits near Menzies. The flagship Kalgoorlie Gold asset will be the Bulong-Taurus project about 40km east of Kalgoorlie in the renowned Bulong mineral district that has been giving up precious metal riches for decades.
It is hard to understand why hits like this were never properly followed up by past explorers. One possible explanation is that it was very close to the tenement boundary which is no longer an issue as Kalgoorlie Gold and Ardea have now brought multiple tenements together under the one roof in the region. If you talk to the Kalgoorlie locals about the Bulong area to the east of Kalgoorlie you will get a lot of knowing looks – particularly from the old-timers who are only too aware of the gold prospectivety of Bulong.
Ardea Resources tracks down high-grade nickel sulphides in WA
Ardea Resources looks to be on target with its drilling at Emu Lake, north east of Kalgoorlie in WA, recently intersecting high-grade nickel sulphides. The company’s exploration campaign is aimed at testing a series of deeper electromagnetic, or “EM” conductors along strike from the main Binti sulphide discovery, with drilling returning 4.8 metres at 1.44 per cent nickel, including 1.1m at a stunning 4.78 per cent nickel from 365.9m down-hole.
The successful intersection of strong nickel sulphide mineralisation more than 500m south of the main Binti zone now opens up the discovery along more than a kilometre of strike. Down-hole EM has also lit up targets at depth, hinting that the Emu Lake system may have a similar architecture to the neighbouring Silver Swan discovery west of Ardea’s ground.
Ardea’s Emu Lake project is 70km north-east of Kalgoorlie and sits just 35km to the east of the former Black and Silver Swan nickel mines in Western Australia. The company’s tenure covers an area of more than 240 sq.km and includes the nickeliferous ultramafic stratigraphy of the Kalpini greenstone belt, which extends for more than 20km through the project area
With Ardea having now proven its exploration model at Binti South and the company planning additional geophysical surveying and systematic extensional drilling to chase nickel lodes to depth, the company could be on a path to tracking down its own Silver Swan in the depths of Emu Lake.