Red Hill

Red Hill Vanadium Project, WA
(AUC 100% interest)

The Red Hill Vanadium Project (“Red Hill”) lies 20km north of the southern wheatbelt town of Katanning, located 240km southeast of Perth, Western Australia. The project comprises four exploration licences for a total area of 450km².

Red Hill is an advanced vanadium exploration project which includes the Mine Hill (E70/4863) Red Hill (E70/5142) Kalang (E70/5142) and Martling (E70/5142) prospects. Past exploration includes 108 RC and six diamond drill holes which have intersected significant widths of vanadium (V2O5) mineralisation from surface, with thicknesses of up to 60m and multiple zones of mineralisation identified.

Key prospects

Drilling on the four prospect areas has tested vanadium-magnetite mineralisation over a 2km strike length.

Past exploration, including 114 drill holes (108 RC holes for 8,291m and 6 diamond holes for 788m), identified mineralisation with relatively shallow dips from surface to a lower limit of approximately 80m. Based on Ausgold’s review of the project, a further 16 high priority targets which cover a total strike length of over 17km have been identified.

Within the Red Hill prospect vanadiferous titano-magnetite mineralisation is defined by drilling over a strike of 2km. The layered mafic intrusion presents as an open fold striking north-south and dipping shallowly towards the west to steepening to the east.

Significant intercepts at Red Hill include:

  • 56m at 0.44% V2O5 and 22.94 % Fe from 0m, including 3m at 1.14% V2O5, and 27.09% Fe in 12KTR096
  • 20m at 0.65% V2O5 and 24.3 % Fe from 6m, including 2m at 1.03% V2O5, and 27.09% Fe in 08KTR075
  • 3m @ 1.12 % V2O5 from 12m in 08KTR009
  • 4m @ 1.07 % V2O5 from 61m 08KTR013
  • 8m @ 0.71% V2O5 from 79m, including 1m @1.32% V2O5, from 83m in 10KTD005

Mine Hill prospect consists of layered gabbro and pyroxenite over a strike length of 800m with significant intercepts including:

  • 5m @ 0.4% V2O5 from 35m in 12KTR092
  • 2m @ 0.9% V2O5 from 17m and 16m @ 0.56% V2O5 from 41m in 10KTD001

Vanadiferous titano-magnetite at Martling prospect been intersected in 4 drill holes. Significant intercepts include

  • 4m @ 0.49% V2O5 from 54m in 08KTR079.

Exploration targets

Exploration potential is considered high within the magnetite rich zones which are mapped along a 17km strike length. Historical drilling has intersected significant V2O5 mineralisation greater than 1% in multiple zones. The interpretation of geophysics, including ground magnetic surveys, provides an effective exploration tool. However, given there is strong vanadium mineralisation in areas of low to moderate magnetic intensity, other geophysical methods including ground gravity will likely delineate further targets.

The base of the main sill or within the upper feeder complex represent the highest V2O5 grades. The mineralisation is contained within both magma chambers and feeder zones which have the potential for higher metal endowment. Additional ground-based gravity will be used to delineate these intrusions and feeder zones due to the strong density contrast compared to the surrounding gneiss and granite. This will better delineate drill targets in these areas.

Ausgold’s exploration on Red Hill to date has included the collection of additional data from previous owners, reprocessing airborne geophysics, modelling ground magnetics, developing a new geological interpretation, and conducting geological mapping to assess the extent of the intrusive complex that hosts the mineralisation. Currently, Ausgold has interpreted magnetite mineralisation extending over 30km within this intrusive complex.

Figure 1 - Red Hill Vanadium Project showing the interpreted vanadiferous – magnetite mineralisation


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