Golden Mile South Project

The Golden Mile South Project is located within the Kalgoorlie region of the Eastern Goldfields. Its contiguous 100 km2 (25 km2 of which is under application) tenement package is approximately 5 km southeast of the Kalgoorlie Super Pit (+70Moz Au) and 5 km north of the New Celebration/Jubilee gold mine (~4 Moz Au).

Easy access to the infrastructure and facilities of the Kalgoorlie region, makes exploration at the Golden Mile South Project relatively cheap by global standards.

Local Geology

The Golden Mile South Project covers rock packages that are affected by three major structures; the Boulder-Lefroy Fault, the Gidji Fault and the Boorara Shear. All three structures host a number of major gold deposits.

It is considered that the Golden Mile South Project is prospective for lode-style mineralisation ranging from major large scale deposits in the region, such as the Golden Mile, Mt Charlotte, New Celebration/Jubilee, and Kanowna Belle, to narrow high-grade vein-style deposits typified by Kundana, Frog's Leg and Binduli.

The tenement area is almost entirely covered with a veneer of soils underlain by a variable thickness of depostied clays and sands.

The interpreted geology of the Golden Mile South Project tenements is dominated by metamorphosed sedimentary rocks and felsic volcanic/intrusive rocks of the Black Flag Group, together with lesser basalts and ultramafics and minor dolerite.

A large magnetic anomaly in the northeast section of the Golden MIle South Project area is potentially due to hydrothermal magnetite development, which may be linked to faults and to a large hidden intrusion at depth. Intrusions of this nature have been proposed as the source of gold mineralising fluids within the Eastern Goldfields.

Portions of the Golden Mile Dolerite and associated ultramafic units and sediments, as seen within the Kalgoorlie Super Pit, may be present at depth in the northwest portion of the Golden MIle South Project. Thick units of dolerite were identified in historical Western Mining Corporation ("WMC") deep diamond drilling just 1.5 km to the northwest of the tenements, and published geological maps identify these units further south at New Celebration and St Ives.

There is also work done that indicates the Kalgoorlie Super Pit structural trend may continue into the Golden Mile South Project area, as shown by seismic, gravity and magnetic profiling completed by Geoscience Australia.

Orrex is continuing its analysis of the data collected to generate a deep exploratory drill programme targeting the Golden Mile Dolerite.

Exploration Program

A range of standard rock structures associated with fertile regional structures are present in the Golden Mile South Project area. Orrex has used a range of criteria typical for targeting of lode-style gold deposits in combination with empirical data to generate a focussed portfolio of targets for exploration. This work, which is on-going, has produced ten targets areas to date.

Orrex advanced the Golden Mile South Project by completing three aircore drill programs consisting of regional and infill lines over three target areas. A number of anomalous results which strengthened target potential were intersected within weathered bedrock samples and in transported cover. Initial results from these programs has resulted in the progression of the Lakeside Prospect discussed further below.


The latest aircore program at the Lakeside Prospect extended and confirmed a northeast trending gold mineralised alteration zone. This zone is up to 75m wide and at least 400m in strike (open to the north and south). There also appears to be a correlation gold mineralisation and the intersection of a NNW trending shear zone and alteration zone.

Of note was the presence of a 4 metre composite returning 69.3g/t Au in drill hole 11LKA484; repeat assays returned results of 12.0 g/t Au and 8.2 g/t Au which may indicate a significant nugget gold effect. This hole also contained iron gravel unlike other holes which may indicate it is free gold from a source deposit in the vicinity. The sample consisted primarily of weathered bedrock material, however it sampled over the transported/bedrock interface. A program of 1 metre re-samples is being undertaken to establish whether the source of the gold is from within the weatehred bedrock or has been transported.

Based on these results, Orrex has commenced planning an RC drill program to further test the zone of mineralisation.