Nelson Resources (ASX:NES) mobilises for underground drill testing at Gold Point

Nelson Resources has commenced mobilisation of drilling equipment and technical crews to its Gold Point Gold-Silver Project in Nevada, ahead of the company’s maiden underground drilling program at the historic Orleans Mine.

The mobilisation follows completion of underground rehabilitation works in the upper levels of Orleans, which restored access to key underground positions required for drill testing.

Drill platforms have now been established and finalised for the initial program, which will target interpreted extensions of historically mined, but not fully depleted, high-grade vein positions within the Orleans vein system.

Highlights

• Drilling equipment and technical crews have commenced mobilisation to Gold Point ahead of the maiden underground drilling program at Orleans Mine.
• Initial drilling is expected to comprise a minimum of 4 short underground holes of approximately 20m each.
• Follow-up drilling is expected to include up to 15 diamond core holes using a Bazooka underground drill.
• Recent chip sampling returned 77.9g/t Au and 46.1g/t Ag over 1m from fault breccia adjacent to a historic stope on the 300’ level.
• Gold Point includes more than 5km of underground workings across 5 historic mines and more than 20 additional shafts.

The program marks Nelson’s transition from access rehabilitation and underground preparation into active drill testing at Gold Point.

The company stated the strategy is focused on using existing underground infrastructure to drill closer to the target, improve drill geometry and reduce the amount of drilling required compared with a surface-only approach.

By drilling from existing underground positions, Nelson expects to improve targeting accuracy and reduce drilling metres compared with testing the same targets from surface.

Nelson’s initial underground drilling program is designed to directly test high-grade remnant and unmined vein positions adjacent to existing historic stopes within the Orleans Mine, with the first phase expected to comprise a minimum of 4 short holes, each up to approximately 20m long.

Drill chip samples will be collected from this preliminary phase, as diamond core drilling is not considered effective in this specific underground environment.

This initial program is expected to be followed by up to 15 diamond core holes using a Bazooka drill, designed to test extensions of the Orleans vein up to approximately 40m beyond the existing workings, as well as interpreted high-grade extensions outside current mine development and potential parallel structures in the footwall position.

The Orleans Mine is the key initial focus because rehabilitation has restored access to the 300’ level, where recent chip sampling returned 77.9g/t Au and 46.1g/t Ag over 1m from fault breccia adjacent to a historic stope, approximately 150m below surface.

The initial drilling program is designed to test remnant and unmined vein positions close to historic stopes, where historical mining may not have fully depleted the high-grade vein system.

The program will also provide geological information for Nelson’s broader 3D model, including vein continuity, alteration, structural controls, drill cuttings, core data and underground survey information.

Nelson Non-Executive Chairman Gernot Abl stated,

“Drilling from underground changes the economics and precision of the program. It allows Nelson to test high-grade vein positions from much closer to the target, with shorter holes, better angles and materially fewer drilling metres than would be required from surface.”

Gold Point includes more than 5km of underground workings across 5 historic mines and more than 20 additional shafts, giving Nelson multiple historical access points across the district.

The company stated that for the first time in more than 140 years, the historic district has been consolidated under a single owner, enabling a unified, camp-scale exploration approach across the broader Gold Point system.

The Company’s strategy is to combine underground rehabilitation, mapping, chip sampling, LiDAR surveying, geophysics and targeted drilling to systematically test remnant and unmined high-grade vein material near historic stopes, extensions of known high-grade veins beyond existing workings, parallel vein structures in the footwall and hanging wall positions, additional historic mines and shafts across the Gold Point system, and newly recognised intrusion-related, skarn and porphyry targets across the broader project area.

With drilling equipment and crews mobilising, drill testing of the initial Orleans targets is expected to commence shortly after equipment setup is completed onsite.

Near-term activities include completion of drill setup and safety checks at Orleans, commencement of the initial 4-hole short underground drilling program, collection and submission of drill chip samples for assay, planning for follow-up Bazooka diamond core drilling, and integration of underground mapping, sampling, LiDAR and drilling data into the 3D model.

Nelson also stated rehabilitation planning is well advanced at the Great Western Mine, with works expected to commence alongside Orleans drilling activities, while this work is expected to refine targets within the Orleans Mine and support future underground exploration across Gold Point.

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