In a significant breakthrough, Barton Gold (ASX: BGD) (OTCQB: BGDFF) has identified broad mineralisation 50 to 100 metres below the modelled pit floor at its Tunkillia gold project in South Australia.

The company completed 5,064m of reverse circulation drilling at the 223 deposit as part of its ongoing optimised scoping study (OSS) aimed at expediting a pre-feasibility study.

The new results support the potential extensions of the 223 mineral resource estimate (MRE) and open pit depth.

Growth potential

“We are pleased to confirm further extensions of Tunkillia mineralisation below the ‘main pit’ floor modelled in our July 2024 initial scoping study (ISS),” managing director Alexander Scanlon said.

“The maximum open pit depth was 256m, which now has potential to grow.”

“Our OSS is underway, with the goal of materially optimising capital and operating costs for long-term value.”

Tunkillia remodelling

With a wealth of new data in hand, Barton has commenced remodelling of the Tunkillia MRE.

Barton aims to re-optimise both the MRE and the open pit design based on prior and ongoing technical analysis.

It is currently working with multiple third-party technical specialists to review prior and new metallurgical and comminution test work, mine scheduling, comminution circuit design, capital and operating cost modelling, effective mill throughput rates and various scenarios integrating these factors.

Undeveloped project

Tunkillia is South Australia’s largest undeveloped gold-only project, with Barton successfully growing the project’s MRE to a total of 1.5 million ounces of gold JORC resources in 2024, including the addition of the new Area 51 deposit.

The ISS demonstrated a 5.0 million tonnes per annum operation producing approximately 130,000ozpa of gold and approximately 311,000ozpa of silver, with a competitive all-in sustaining cost of approximately $1,917/oz gold.

It also showed a 40% equity internal rate of return and a 1.9-year payback period.