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Murray Ward
Kaiser Reef is pulling the trigger on a comprehensive exploration and refurbishment offensive at its historic Maldon gold project in Victoria, as it systematically prepares to hunt for the next high-grade discovery in one of Australia’s most storied gold regions.
The company is ticking off the final items on a substantial refurbishment checklist at its Union Hill mine, with underground rehabilitation scheduled to kick off in the first week of May.
Union Hill hosts a resource of 186,000 ounces grading an impressive 4.4 grams per tonne (g/t) of gold and comes with its own 200,000-tonne-per-annum gold processing facility.
The refurbishment program involved stripping the decline where necessary. The work also established a northern access drilling platform at Union Hill North, which Kaiser says should offer the perfect vantage point for the drillers to test previously untouched sections of the Eaglehawk and Ladies reefs.
‘Maldon represents a district-scale gold opportunity for Kaiser.’
Kaiser Reef managing director Brad Valiukas
To ensure everything is “drill-ready,” Kaiser has completed a massive infrastructure program, including installing water tanks, treatment systems and a new electrical supply, as well as compressed air and radio systems.
The company has also refurbished key mobile equipment, secured explosives and fuel storage and recruited experienced operators. With all activity fully permitted, drilling is expected to kick off next quarter.
Kaiser Reef managing director Brad Valiukas said: “Maldon represents a district-scale gold opportunity for Kaiser, with numerous historical mines and lines of working that remain substantially underexplored.”
While work moves forward at the underground operations, 1090 metres of surface drilling to clear ground for an upcoming expansion of its tailings storage facility has recently delivered some unexpected results. Surprisingly, the team discovered gold that had been completely missed by historical mining work in the area.
Standout results included a 1-metre hit grading a whopping 16.99 grams per tonne (g/t) gold from 6m depth. Another hole landed 8m at 2.99g/t gold from 10m and a further hole delivered 5m running at 2.71g/t gold from surface.
These sweet spot hits have prompted the company to consider follow-up reverse circulation drilling to further scope out the potential.
Additionally, Kaiser has just finished a soil survey across a fresh 2.7-square-kilometre area north of Maldon. The area has never been tested, making it a genuine wildcard with “gamechanger” potential.
The first samples are already at the lab, with results due in the next few weeks. The assays will allow the company to pinpoint exactly where the drill rods should spin next.
In addition to the work at Maldon, the company’s cash generating Henty gold mine in Tasmania is the focus of a strategic ramp-up to increase production to 35,000 ounces per annum by late FY2027. Kaiser’s plans to expand underground development to open up more high-grade stopes, while optimising the processing plant to match the increased ore flow.
Next steps for Kaiser at Maldon include a resistivity survey at its Nuggetty prospect, now underway, to map old workings and pinpoint new gold targets, with groundwork wrapping up this week.
In particular, the company says it’s keen to return to its high-grade Nuggetty South prospect, once permitting is finalised, to test a compelling 170m gap in the strike.
Previous hits at Nuggetty South include 3.4m grading 34g/t of gold, featuring a bonanza 0.35 metres grading 187.5g/t. A further hole also delivered 4.3m grading 11.2g/t gold, 470 metres south of the main shaft.
The drill bit will also be pointed at a newly interpreted “shallow-plunging” zone at Nuggety, dubbed the West Lode, in hopes of a repeat performance of the legendary Nuggetty Reef. which coughed up 301,000 ounces at a jaw-dropping grade of 187g/t gold in the late 1800’s.
With major infrastructure upgrades now complete, Kaiser looks to be moving at full speed, transforming Maldon into a modern gold producing engine.
By putting boots on the ground and helicopters in the air, the company is ticking all the boxes to unlock the site’s potential. With the rigs about to start humming and major infrastructure ready to go, the next few months could shape up as game changer for this Victorian gold hunter.
Is your ASX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au
