Projects - Australia
Updated September 2015
Since early 2014 Genesis has acquired two highly prospective gold projects in Western Australia. The acquisitions build on the Company’s strategy in Western Australia to cheaply acquire low-risk gold projects with strong potential for shallow, high-grade resources capable of rapid and cheap development.
Ulysses Gold Project
The Ulysses Project (“the Project” or “Ulysses”) is centred about 30km south of Leonora and 200km north of Kalgoorlie in Western Australia. The Project comprises a granted mining lease (M40/166) and two granted exploration licences (E40/295 and E40/312). It contains a shallow JORC compliant resource (Ulysses Deposit) of 138,000 oz gold with numerous, shallow high-grade drill intersections within the resource.
Genesis announced the acquisition of Ulysses from a private group Ulysses Mining Pty Ltd in June 2015. M40/166 was the subject of a JV until early 2015 between St Barbara Ltd (60%) and Dalrymple/Norilsk (40%).
Genesis is targeting production from Ulysses in 2016. There is significant potential at the Project to develop a +4 year mine life based on the optimisation of the existing resource and the estimated extensions at depth and along strike of the known resource and adjacent exploration targets on the mining lease.
Ulysses is located in the minerals rich and highly prospective Eastern Goldfields of Western Australia. It is located 30km south of the Sons of Gwalia (6Moz of Production and 1.8Moz Reserve) mine and along strike of Orient Well and Kookynie mine camps which have produced over 0.7Moz. It is close to world leading mining infrastructure which will allow toll treatment of ore from Ulysses.
The Ulysses Deposit was mined by Sons of Gwalia in 2002 producing 266,358 t @ 2.92 g/t Au for 24,985 Oz Au. Ore was treated at the Gwalia Treatment plant. St Barbara Limited acquired the project in April 2004 as part of the purchase of the Sons of Gwalia Gold Division. No further drilling has taken place.
No exploration has been completed on M40/166 since mining was completed in 2002. Exploration on the two exploration licences has been restricted to surface geochemical sampling and first pass, wide spaced drill testing. No significant exploration has occurred on the exploration licences since 2004. Numerous high priority exploration targets remain at the Project.
Viking Gold Project
The Viking Gold Project (“Viking” or “the Viking Project”) comprises 5 granted exploration licences that cover some 500km² and is located approximately 600km east of Perth and 30km south east of the town of Norseman in Western Australia. Access to the project area from Kalgoorlie is via the sealed Celebration and Kambalda roads to the Coolgardie–Esperance Highway to Norseman then various 4WD tracks within the Project. Access into the Project is east along the old Telegraph Track, 18km south of Norseman via the Coolgardie–Esperance Highway.
The Viking Project offers Genesis the unique opportunity to define shallow, high-grade gold resources capable of being rapidly advanced towards development in a new geological terrane. Genesis has taken advantage of the high-quality +$5 million dataset and near surface drill targets that had been rapidly generated by AngloGold Ashanti between 2010 and 2013.
Viking is close to existing under-utilised gold mills and mining infrastructure and Genesis is focussed on defining shallow gold resources capable of being rapidly and cheaply advanced towards development.
Genesis purchased Viking from AngloGold Ashanti Australia Limited during the March 2014 Quarter. The Project comprises a significant landholding in the Proterozoic Albany-Fraser Orogen (“AFO”) and adjoining eastern margin of the Archaean Yilgarn Craton in what is considered an emerging mineral province that has delivered the Tropicana gold and Nova-Bollinger nickel discoveries.
The Project had received limited exploration prior to AngloGold Ashanti commencing ground acquisition in 2007. The majority of the historic work completed in the Project area was by Western Collieries in the early 1980s exploring for lignite/coal within palaeochannels along the eastern margin of the tenements. No economic coal occurrences were identified.
AngloGold Ashanti completed regional and infill auger sampling between 2010 and 2012 at Viking. The extensive and coherent Beaker Prospect was identified from this geochemical survey. Beaker comprises four zones of anomalous gold (+20 ppb gold) in soil (peak 356.5 ppb gold) nested within a broad 7km by 6km anomaly (Beaker 1 through 4). Mineralised trends at Beaker are interpreted to be orientated north to north west similar to the Kalgoorlie Greenstone Terrane and north east parallel to the Albany Fraser Orogeny.
Wide spaced aircore and diamond drilling by AngloGold in 2012 returned a number of highly anomalous intersections.
Genesis completed two RC drilling programs in 2014 targeting the Beaker 4 and Beaker 2 anomalies with significant results returned from both of these prospects. This drilling confirmed the potential to host near surface resources capable of being toll treated or potentially in a stand alone scenario.
A number of auger defined geochemical anomalies remain to be drill tested at Viking.