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Anglo Australian picks up the pace at Mandilla

Company aiming towards 1 million ounces of gold

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An accelerated drilling program at Anglo Australian Resources' Mandilla gold project, outside Kalgoorlie in Western Australia, continues to extend the mineralisation.

The most recent results reported from Theia (formerly known as Mandilla East) earlier this month included high-grade hits of 7m at 6.02 grams per tonne gold from 73m and 2m at 12.52gpt gold from 158m, as well as a thick intersection of 84m at 0.61gpt gold from 71m and 17m at 1.02gpt gold from 78m.

The drilling expanded Theia 160m to the south.

The new shallow, flat-lying Eos discovery, south of Iris (formerly Mandilla South), is continuing to shape up.

The latest results included 3m at 5.85gpt gold from 52m; 6m at 2.23gpt gold from 53m; and 2m at 3.27gpt gold.

Anglo Australia has a reverse circulation rig and diamond rig working 24/7 at Mandilla.

While diamond core containing visible gold won't be assayed until next year due to the widespread skills shortages in the WA resources industry, Anglo Australian has reported an improvement in turnaround times at assays labs.

Earlier this year, companies were complaining of turnaround times blowing out to as much as 10 weeks, but Anglo Australian's latest turnaround times have averaged less than 14 days.

The results from the current program will be incorporated into an updated resource for Mandilla.

Anglo Australia has already demonstrated rapid resource growth at the project, with a maiden resource of 15.6 million tonnes at 1gpt gold for 500,400 ounces for the Theia and Iris deposits.

The company added a further 164,000oz, or 33%, to 664,600oz at 1gpt gold just 82 days later in August from just 7700m of RC and diamond drilling.

The current RC program is expected to total about 17,580m of drilling.

It is anticipated the Eos discovery will be included in the next update.

"We're on the road to a million ounces," Anglo Australian managing director Marc Ducler told the recent Boom in a Room Investor Conference.

The company has also done some metallurgical testwork, which demonstrated that gold recoveries of over 95% could be achieved after only eight hours of leaching.

"My background is as a metallurgist and these recovery numbers are as good as they get," Ducler said.

"Simple metallurgy equals low risk."

Mandilla is adjacent to the sealed Goldfields Highway and is just 70km from Kalgoorlie.

Anglo Australian was well-funded with A$8.8 million cash at the end of September.

Ducler previously ran Goldfields developer Egan Street Resources, which was acquired by Silver Lake Resources for $63 million in shares in 2019.

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