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NEWS

Sky hits the sheds

by Mark Andrews

nalysis of core from the property hosting the Cullarin gold Arundell said the company had discovered that most of the
Aproject in the 1980s could deliver a boon for Sky Metals Ltd drill core extracted 40 years ago was stored at the NSW Mines
near Goulburn in New South Wales. Department core sheds and Sky was taking the opportunity to
Sky collared market attention earlier this year after striking thoroughly assess the material it had access to.
93m @ 4.24 g/t gold from the second hole of a maiden drilling “As an example, one of the drill holes WL15, the original
programme at the Hume target at Cullarin. intersection was about 14m @ 2 g/t gold. When we looked at
The company raised $10.5 million from a two-tranche placement the drill core, we found that quite a lot of that had never been cut
to sophisticated and institutional investors soon after to fast- so we are actually able to extend that intersection of 14m to 50m
track drilling at the shallow, high-grade Hume prospect. at about 1 g/t,” Arundell said.
Follow-up drilling has so far delivered HUD007: 69m @ 2.2 g/t “Some of the older intersections were 40m @ 1 g/t but we find
gold from 49m, including 33m @ 3.58 g/t from 51m, and 14m @ intersections within that where we may have just chipped the
6.76 g/t from 68m, while HUD005 – 6m @ 6.61% zinc, 5.83% end of the drill core or not sampled properly. We can cut it in half,
lead, 1.28% copper from 273m – also proved a telling result. and we are going to get some good news flow from that. When
the job is done, we will be rolling the drill rigs back on site again.”
The company stated the results meant gold mineralisation at
Hume was now identified over 400m of strike associated with At the time of print, Sky was analysing another 10-15 holes at
base metal sulphide mineralisation, silica-sericite alteration and the State’s core shed and preparing for its next round of drilling.
proximity to Hume Fault. Arundell said discussions were under way with a drilling
“We are starting to get a really good handle on where the grade contractor around drilling some deeper holes to follow-up
is,” Sky chief executive Mark Arundell told GMJ. HUD007.
“The extent of the system is probably one of the major things “That will involve a different type of drilling to what we are doing
that has surprised me. It is pretty unusual to see this alteration beforehand with navigational drilling and wedges and that sort
in the rocks and this amount of sulphide in the rocks and pyrite of thing to test the depth extent of the mineralisation,” Arundell
all the way through. said.
“We think the alteration system continues to at least 4km, so “HUD007 was drilled to the south [about 15m] of HUD002 [93m
it is a very major system, it is pretty much reeled with pyrite all @ 4.24 g/t gold] and the original hole, so we wanted to drill
the way through. The rocks are definitely taking a beating, we nearby to see if there were issues with recoveries, which is what
need to find where the gold is in those beaten up rocks because we had in the first hole. HUD007 hit 14m at just under 7 g/t within
they look like they have had a huge amount of fluid running right an interval of 69m @ about 2.2 g/t.”
through them which is great,” he said. Arundell said HUD007 confirmed the tenor and scale of high-
Sky’s own drilling at Cullarin has been fruitful and it is also finding grade mineralisation intersected in HUD002.
some leverage from work that was completed during the 1980s.

Sky Metals is hitting mineralisation in the top 40-50m of surface
at the Cullarin project, 200km west of Sydney

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