Nov 21, 2024

Larvotto Resources Hits 7m @ 22.28g/t AuEq at Clarks Gully, Hillgrove Project, New South Wales

Introduction:

Larvotto Resources Limited (ASX: LRV) (Market Cap: $184M | Last Close: $0.545 | Cash: $4.4M ) has reported significant gold-antimony intercepts from its Clarks Gully RC drilling program at the Hillgrove Project in New South Wales, highlighted by 7m @ 22.28g/t AuEq from 117m.

Drill Results:

7m @ 22.28g/t AuEq from 117m (Clarks Gully) (CLG104)
6m @ 15.5g/t AuEq from 98m (Clarks Gully) (CLG106)
7m @ 9.34g/t AuEq from 77m (Clarks Gully) (CLG109)
9m @ 5.48g/t AuEq from 113m (Clarks Gully) (CLG107)
6m @ 6.28g/t AuEq from 54m (Clarks Gully) (CLG100)
5m @ 6.93g/t AuEq from 76m (Clarks Gully) (CLG108)
4m @ 7.47g/t AuEq from 68m (Clarks Gully) (CLG109)‍
2m @ 11.72g/t AuEq from 48m (Clarks Gully) (CLG086)

Project Overview:

The Hillgrove Project is located in New South Wales, Australia. The Clarks Gully deposit currently hosts a Mineral Resource of 266kt @ 3.8% Sb and 2.0g/t Au for 10.6g/t AuEq. The project benefits from existing infrastructure and is situated in a tier 1 mining jurisdiction.

The overall Hillgrove Project contains a 1.7Moz AuEq Mineral Resource. Clarks Gully is expected to provide early high-grade gold and antimony feed for the planned Hillgrove processing plant.

Program Details:

The 4,469 meter RC drilling program at Clarks Gully aimed to infill and extend the current Mineral Resource. Results have been received for 40 of 54 holes drilled. The program successfully infilled Inferred and Indicated zones, extended known mineralization at depth and along strike, and tested a new geochemical anomaly south of the current deposit.

Understanding These Results:

The reported intercepts represent significant gold-antimony mineralization that extends and further defines the current Clarks Gully Mineral Resource. Gold equivalent (AuEq) values are calculated using gold and antimony prices of US$2,200/oz and US$15,000/t respectively, with recoveries of 83.6% for gold and 89.6% for antimony.

The drilling has confirmed continuation of mineralization down-dip into a previously under-explored zone below and along strike from the current open pit mine plan. A new mineralized zone was also identified south of the planned open pit, associated with a geochemical anomaly.

Management Commentary:

Ron Heeks, Managing Director of Larvotto Resources, stated:

“The exciting Clarks Gully drill results released today, including an intercept of 7m @ 22.3 g/t AuEq, should extend and further define the current 266kt AuEq Mineral Resource at the high-grade Clarks Gully deposit.”

“The drilling has confirmed the continuation of mineralisation down-dip into a previously under-explored zone which sits below and along strike from the current Clarks Gully open pit mine plan. The excellent results indicate another deeper round of drilling is required to confirm and extend the mineralisation beyond the current resource.”

“A new mineralised zone, tested by several first pass holes, has also identified mineralisation associated with a geochemical anomaly immediately south of the planned open pit at Clarks Gully (Figure 1). Further drilling of this area will be undertaken to further define the mineralisation.”

“The current drilling program at Hillgrove represents an exciting phase as we continue to intersect highgrade gold and antimony mineralisation at Clarks Gully. We eagerly await the remaining RC assays.”

“At Bakers Creek, ongoing diamond drilling has encountered visible gold mineralisation which further expands upon previously identified high-grade gold mineralisation delineated in the March 2024 drilling program. Identifying visible gold within metres of the expected location of the Big Reef mineralised zone at Bakers Creek supports the interpretation of high-grade gold in the area. Ongoing drilling of the Bakers Creek system is designed to follow up the spectacular hit of 31m @ 65.8g/t Au from 244m from prior drilling completed earlier in 2024.”

“To see visible gold mineralisation exactly where it is targeted is a wonderful confirmation of the geological understanding of the area. Hole BKC016A is expected to intersect more interpreted mineralised zones before it is completed. The Bakers Creek high-grade gold mineralisation is currently not included within the Hillgrove Minerals Resources or the previously announced Hillgrove Exploration Target – this demonstrates the potential for substantial additional resources to be added to the current 1.7Moz Hillgrove Mineral Resource .”

Next Steps & Catalysts:

Assay results are pending for the remaining 14 RC drill holes at Clarks Gully. These are expected to be received in the coming weeks.

Further drilling is planned to follow up on the new mineralized zone identified south of the current open pit design. An updated Mineral Resource estimate for Clarks Gully is anticipated in the upcoming months. Additional deep diamond drilling is also being considered to test the northern extent of mineralization and evaluate underground mining potential.

Commodity Outlook:

Gold serves multiple markets, including investment assets, central bank reserves, jewellery manufacturing and industrial applications in electronics. Currently trading at US$2,652/oz (November 21, 2024), the metal has experienced record highs in 2024 despite recent volatility linked to U.S. political shifts and Federal Reserve policy expectations.

Gold and antimony continue to see strong demand. Gold maintains its status as a safe-haven asset, while antimony is a critical mineral with applications in flame retardants, batteries, and other industrial uses.

Conclusion:

The latest results from Clarks Gully demonstrate potential to expand the current resource base. With mineralization remaining open at depth and along strike, the project continues to demonstrate characteristics of a high-grade gold-antimony system with growth potential.

Sources:

LRV Drill Results Announcement

Additional Figures:

Australia

ASX

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Nov 7, 2024