Scorpion Minerals Limited (ASX:SCN), an Australian mineral exploration and resource development company focused on discovering world-class deposits, has announced encouraging results from its Reverse Circulation (RC) drilling program at the Pharos Gold Project in Western Australia. Assay results from July drilling confirmed significant gold mineralisation near the surface at the Cap Lamp prospect, including intercepts of 5m @ 2.59 g/t Au from 6m and 1m @ 9.52 g/t Au from 5m. These results are adjacent to historical high-grade intercepts, reinforcing the prospectivity of the area.
The company has designed a follow-up drilling campaign to test multiple historical high-grade results at Lantern, Candle and Candle North. CEO Michael Fotios stated that the company is cementing its position as one of the leading gold explorers in the Murchison region with this campaign. Scorpion has also built the largest landholding along the Dalgaranga–Big Bell shear corridor which remains largely untested by historic exploration.
In addition to the drilling update, Scorpion Minerals announced a strategic Memorandum of Understanding (MOU) agreement with Gylden Resources Pty Ltd, the owner of the Kirkalocka Project and a 2.1Mtpa CIL processing plant. Under the MOU, Scorpion and Gylden will collaborate to pursue development and processing opportunities via toll milling, ore purchase agreements, or joint ventures. Scorpion will provide its technical and regional expertise to assist Gylden with the evaluation of its existing resources and targets.
SCN has also secured three exploration licences southeast of Gylden’s Kirkalocka project and processing plant. Furthermore, Scorpion’s cash position has been strengthened through early option exercise commitments, with additional funds expected in the coming weeks. The SCN Board is also considering joint venture and/or securitisation options for the Mt Mulcahy Cu-Zn-Ag-Au deposit in WA. Planned exploration activities include follow-up RC drilling, detailed geological mapping, and airborne magnetic surveys.