Gold nugget find fuels nearology rush
The discovery of gold nuggets in shallow rock south of Karratha and talk of Witwatersrand-style conglomerate gold mineralisation has sparked a nearology play even before any resource has been proven.
The buzz started with the David Lenigas-led Artemis Resources, which struck a joint venture agreement with Canada’s Novo Resources over its Pilbara landholding this year, delivering a massive spike in its share price when the latter discovered watermelon-seed shaped gold nuggets in surface rock at the Purdy’s Reward prospect.
Shares in De Grey Mining are up more than 50 per cent since the middle of last month after a review of its Pilbara project revealed a 12km target zone with the same geology that hosts the Novo/ Artemis discoveries.
De Grey’s exploration manager Phil Tornatora said the potential for Witwatersrand-style gold deposits in the Pilbara was very exciting.
Venturex Resources is the latest stock to catch South African gold fever, last week announcing it would review its Whim Creek project for potential gold anomalies in light of recent announcements by Novo, Artemis and De Grey.
Until now, Venturex has been more interested in the copper and zinc potential of its Pilbara landholdings.
The news comes as Canada’s Kirkland Lake Gold also announced a $C56 million ($56.5 million) investment in Novo Resources, boosting its stake in the explorer to 18.2 per cent.
Kirkland Lake chief executive Tony Makuch said the investment in Novo was an important part of its strategy to grow the value of its Australian franchise, which already includes land positions in Victoria and the NT.
Novo already counts mining giant Newmont, prospector Mark Creasy and investor Eric Sprott, who is also the chairman of Kirkland Lake Gold, among its significant shareholders.
A scene from a YouTube video purporting to show a sample at Purdy’s Reward.