Doray announces bonanza-grade discovery at Deflector

PERTH (miningweekly.com) – The share price of gold miner Doray Minerals rose by more than 10% on Tuesday on news of the bonanza-grade Da Vinci discovery at the company’s Deflector project, in Western Australia.

Drilling has intercepted visible mineralisation, with one hole delivering results of 7.5 m at 29.7 g/t gold, including 1.5 m at 110 g/t gold and 2.8 m at 24.2 g/t gold. Copper assays from this hole are still pending.

Doray told shareholders on Tuesday that the Da Vinci lode was completely open along strike and at depth, and that current drilling had not tested the persistence of mineralisation towards the surface. Planning was under way for an extensive reverse circulation drilling programme designed to rapidly test the extent of mineralisation.

“We are thrilled with the results from Da Vinci as they open up the possibility of adding years to our mine life at Deflector,” said MD Leigh Junk.

“We have successfully identified 120 m of strike length at this new discovery and look forward to unlocking its full potential.”

Meanwhile, Doray reported gold production of 21 781 oz for the June quarter, which was down from the record 29 779 oz produced in the previous quarter, with the Andy Well mine delivering 10 548 oz and the Deflector project a further 11 233 oz.

Doray took the decision to suspend mining at the Andy Well underground mine in November as the focus turned to the Gnaweeda deposit.

Meanwhile, gold sold for the quarter reached 26 587 oz, generating revenues of A$27.56-million.