Genesis jumps as it pieces together Puzzle North

Shares in Genesis Minerals jumped on drilling results from the 1.6 million ounce Ulysses gold project in Leonora, Western Australia (reports MiningNews).
14th October 2021

Drilling at the emerging Puzzle North discovery intersected broad zones of shallow gold mineralisation.

The best results included 44.2m at 3.51 grams per tonne gold from 58.9m, including 10.2m at 10.64gpt gold; 32m at 1.42gpt gold from 58m, including 5m at 5.14gpt; 40m at 1.34gpt gold from 77m, including 8m at 4.37gpt gold; 29m at 4.26gpt gold from 28m, including 4m at 18.39gpt gold; and 5m at 13.3gpt gold from 142m.

Puzzle North has been defined over 500m of strike but is open along strike and at depth.

The northernmost hole returned 11m at 2.13gpt gold from 38m, while an initial test of the southern end of the historical Puzzle pit returned 9m at 5.1gpt gold from 73m.

Argonaut analyst Royce Haese described the results as solid.

"Geometry appears complex although substantial endowment of the system is apparent," he said.

"In light of these results we will review Puzzle North and determine whether sufficient drilling has been completed to justify mining, and will update our valuation if warranted."

At Admiral Deeps, resampling of a hole that returned 5m at 60gpt gold returned 4m at 263gpt gold from 264m, including 1m at 1049gpt.

New results included 12.6m at 4.22pt gold from 287.5m, including 4m at 11.23gpt gold; and 0.6m at 41.5gpt gold from 292.7m, including 0.3m at 70.65gpt.

Genesis managing director Michael Fowler said the results highlighted the potential to increase the 1.6Moz resource.

"Our systematic approach to exploration is also really paying off, with the latest results providing significant encouragement in the Puzzle and Puzzle North areas and at the emerging Admiral Deeps prospect," he said.

"Drilling will resume [at Puzzle North] in November to infill and extend the mineralised zone, allowing us to bring this exciting new discovery into our mineral resource inventory by the end of the year."

Genesis recently announced a A$20.8 million capital raising, which will see former Saracen boss Raleigh Finlayson take over from Fowler as MD in March 2022.

The funds will be used to continue aggressive exploration at Ulysses.

"With the number of prospects that remain open, and new targets consistently identified with each drill program, Ulysses project is undeniably one of the most exciting exploration projects in Western Australia," Haese said.

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