Pyramid Hill Gold Project

Location

The 100%-owned Pyramid Hill Gold Project is a district scale holding comprising an extensive 4,500km2 area located in the Central Goldfields region of Victoria, Australia; one of the most exciting, underexplored high-grade gold provinces worldwide

The Project comprises three key districts within the North Bendigo and North Stawell Zones: the Muckleford, Mt William and Percydale areas.

 The central Muckleford Area extends to the north-west of the world-class >22Moz @ 15g/t Au Bendigo Goldfield. The Mt William Area extends to the north-east of one of the world’s highest-grade gold mines, the >7Moz c. 30g/t Au head grade Fosterville Gold Mine owned by Kirkland Lake Gold (NYSE / TSX: KL | ASX: KLA). The Percydale Area is located north-west of the the historical St Arnaud Goldfield.

The ‘Gold Undercover1’ initiative by the Victorian Government estimated a potential ~32Moz (P50) of undiscovered gold beneath Murray Basin cover in the Bendigo Zone, where Chalice holds ~60% of the total prospective ~7,000km2 area.

Figure 1. Pyramid Hill Project tenement holdings and regional gold occurances. 

The Opportunity

Chalice is now a dominant player in the Bendigo Zone of Victoria – a domain that has historically produced >60Moz of high-grade gold. The region is now capturing global attention once again, largely thanks to Kirkland Lake Gold’s Fosterville turnaround story.

Historically, all high-grade gold discoveries in the region have come from outcropping (easy to find) areas such as Bendigo (~22Moz @ 15g/t Au); Ballarat (~14Moz @ 12g/t Au) and Castlemaine (~6Moz @ 13g/t Au). New under cover exploration has confirmed the Bendigo Zone geology extends to the north, however it remains poorly explored presenting a significant opportunity for large-scale, high-grade gold deposits. 

Figure 2. The Bendigo Zone host geology extends to the north however it goes under cover and is poorly explored (dark green areas). 

Drilling

A maiden 15,000m reconnaissance drill programme commenced in November 2018 at the Muckleford Area, testing three large-scale target areasNW of Bendigo – the West, South and East Targets.

Figure 2. Planned Aircore / RC drill collars and gold-in-soil anomaly contours over 1VD gravity. 

Chalice has designed a systematic and comprehensive program, with wide spaced (3km+) reconnaissance drill lines underway utilising a new, cost effective multi-purpose AC/RC drill rig.

Encouraging early anomalous gold and pathfinder results received to date include:

  • South Target: Anomalous gold-in-quartz intersected ~3km to the north along strike from anomalous gold values in historical drill holes, indicating a possible strike-extensive gold zone associated with the Muckleford Fault; and,
  • West Target: 15-30m wide zones of anomalous arsenic intersected within four contiguous, 100m spaced holes, indicating a possible halo to proximal gold mineralisation.

For the latest information please refer to our Investor Presentation and ASX Announcements.

Acquisition Terms

The Pyramid Hill Gold Project was staked in late 2017 and is 100% owned.

*Lisitsin, V., Olshina, A., Moore, D.H. & Willman, C.E., 2007. Assessment of undiscovered mesozonal orogenic gold endowment under cover in the northern part of the Bendigo Zone. GeoScience Victoria Gold Undercover Report 2, Department of primary Industries.