Daisy Milano Mine - WA (Silver Lake 100%)
The Daisy Milano gold deposit is hosted by a dilational zone within a north-south trending shear zone. The mineralisation occurs as a swarm of thin quartz veins in two major lodes; typically less than two metres in width, dipping at about 80° east, plunging to the south and lengthening in strike extent at depth.
The mineralised lodes observed underground have many similarities to lode structures of Kalgoorlie's Golden Mile (located to the northwest), in terms of the nature of shearing and veining, alteration assemblage and gold tenor.
The mine is accessed via a decline from the surface. The decline is well advanced ahead of ore development and stoping activities and currently extends down to a vertical depth of approximately 500 metres.
Daisy Milano recommenced production under Silver Lake's ownership in early December 2007. The perception at this time based on limited information was that minimal mineralisation extended south of the dolerite dyke as indicated in Figure 1.
The Silver Lake management team has gained a better understanding of the mineralisation south of the dolerite dyke since taking ownership in December 2007. The mineralisation south of the dyke has been accessed on multiple levels and a recent infill drilling program has revealed encouraging results.
Figure 2 represents the latest ore body outline at Daisy Milano which currently extends 150 metres south of the dolerite dyke and is open down plunge. In addition there are areas north of the dolerite dyke above the 15 level that extend outside of the previously mined areas.
Ore from the Daisy Milano mine is processed through Silver Lakes' Lakewood Gold Processing Facility located 5 km south east of Kalgoorlie. Metallurgical processing is conventional and relatively straightforward. The ore is of modest hardness and approximately 80% of gold content is recovered in a gravity circuit prior to cyanide leaching leading to an overall recovery averaging 96%.
Resources
Measured Resources | Indicated Resources | Inferred Resources | Total Resources | |||||||||
| Deposit | Ore t '000s | Grade g/t Au | Total Oz Au '000s | Ore t '000s | Grade g/t Au | Total Oz Au '000s | Ore t '000s | Grade g/t Au | Total Oz Au '000s | Ore t '000s | Grade g/t Au | Total Oz Au '000s |
| Daisy Milano | 181.5 | 30.6 | 178.6 | 562.2 | 17.2 | 310.9 | 326.0 | 12.3 | 128.9 | 1,069.7 | 18.0 | 618.4 |
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