Gwanda East Project

The Gwanda East Project is located in the Gwanda Greenstone Belt and covers Prestwood Mine, Sally Mine, Colleen Bawn Mine, Valley Mine and other smaller mines including Bye & Bye, Act, Beaufort, Wilson and Ettrick. These mines are situated within an almost contiguous block of claims, held by Prospect Resources, which cover approximately 25km2 of the gold bearing Gwanda Greenstone Belt.

Prestwood Mine (Production Commencing Soon)

Historic Production of 499kg, or approx. 16,000oz of gold at 33.1g/t

The Prestwood Mine consists of multiple veins in greenstones at the monzonite contact. The reef is open ended down dip below 250m. It is considered particularly prospective as it lies in the same geological setting as the Farvic Gold Mine.

The Prestwood Gold Mine was mined intermittently from the early part of the 20th Century until after WWII. It was then briefly mined again at the turn of the 21st Century. Prospect Resources acquired the property in 2014, and immediately began an evaluation exercise. The main aspects of the work to date have been a ground magnetic survey, followed by a limited RC drilling programme to assess the depth and strike extent of the historically mined mineralisation.

High grade gold was intersected from a maiden 6 hole-1281m RC drill programme in May 2014. Five of six holes drilled intersected intact Main Reef down dip of the existing workings to 195m below surface.

The highlight Results from under the main gold reef include: BPC001: 9.23g/t Au over 1m, at 153m and BPC005: 9.94 g/t Au over 1m at 193m.

The results confirmed that economic reef grades continue below and along strike of the historic gold workings.
A high-grade intercept of 12.3g/t Au over 1m within shallower shear zones confirms open pit development potential.

The results to date have given sufficient encouragement to Prospect, to begin re-opening the shaft. The power line has been re-established, generators installed, and the shaft re-opened to 2 Level. Underground drilling for the parallels and mineralised monzonite contact is planned during Q4.
It is anticipated that the production will resume from the deepest level; Level 4 during 2015.


Figure 1: Simplified geological model for the Bucks and Prestwood projected over Quick Bird Satellite.

The two significant ore shoots at the Bucks, the Prestwood Main and Prestwood B, are all developed in south-west – northeast striking shear zones. These zones partially control the contact between the monzonites and greenstone. The monzonite sub-outcrop is shown in blue crosses

The Bucks Reef Gold Mine

The historic Bucks Reef Gold produced approximately 1,443kg of gold (approx. 46,168oz) at 27.0g/t.

A series of ore bodies are hosted by greenstones, close to the southern edge of a monzonite intrusion. They are quartz filled fissures striking north north-east and dipping steeply to the northwest. The two main ore shoots, a north easterly and a south-westerly one, were developed to 130m (4 level) and 300m (9 level) respectively. Both were accessed by vertical shafts the West and Bucks Main. Another reef on the west or hanging-wall side of the south-western shoot was opened up to about 70 m.

Wall rock alteration with widespread arsenopyrite is reported between the ore shoots.

The Bucks Reef commenced operations in 1902, and by in 1909 had the reputation of being the highest grade producer in the country. Work ceased on the northeast shoot in 1912, but continued intermittently on the south-westerly one until WWII. The premature closure of the mine was likely due to an in-efficient underground benching method mining, rather than grade issues.

Bucks Artisanal Zone

Artisanal activity which began in Q2 in the vicinity of the Bucks Mine has continued to expose high grade mineralisation within a structure parallel to that hosting the Bucks and the Prestwood Mines. The artisanal zone now extends for around 200m, and is producing high grades from both quartz veining and sheared metabasalt and monzonite. This zone exploits a shear zone that parallels the dominant SW-NE structures that host the Bucks and Prestwood orebodies

This is consistent with the intercepts from the 2014 RC drilling programme, and the current geological model.

Strategic Setting & Significance
The Bucks & Prestwood Mines consist of multiple veins in greenstones at or close to the monzonite contact. The Company is of the view that it is particularly prospective as it lies in the same geological setting as the nearby Farvic Gold Mine, located 4km to the east. The significance of mineralisation being intersected at the contact of the greenstones and monzonites cannot be overstated. This mineralisation style is very subtle, supported by the fact there is no surface expression at all at the Farvic Mine. The known monzonite extends for over 5km of strike, within ground held by Prospect.

The evidence of mineralised parallels, cross shears and the monzonite contact is very exciting, particularly when considered with the geological model that has been refined by ground magnetics. Future surface work will consist of Induced Polarisation surveys to define sub-outcropping disseminated halos, followed by a short hole RAB drilling program to identify broader disseminated targets.

 


Figure 2: Positions of Current and Former Producers in the Gwanda Greenstone Belt.

A number of the mines lie at the contact zone of the monzonite intrusions and greenstones, which forms a highly prospective geological contrast. The known strike extent of the monzonites is almost 6km (5kms of which is within Prospect’s ground).

Sally Mine (Historic Production of 756kg of gold at 6.9g/t)
The Sally Mine consists of wide quartz stockwork (up to 4m) dipping north in granodiorite.

Colleen Bawn Mine (Historic Production of 1,063kg of gold at 15.1g/t)
The Collen Bawn Mines consists of a quartz reef in greenstone close to monzonite and thrusted limestone contacts. It was historically a sulphide rich, refractory ore that caused recovery problems. These issues can now be addressed using modern processing techniques such as fine grinding.