Mt Malcolm Mines is on a path to revitalise gold production at its namesake project in a corner of WA's Goldfields renowned for high-grade mines.

The company has just appointed Dr Spero Carras from Carras Mining to assess Malcolm's emerging resource base.

Dr Carras has spent more than five decades in the mining industry and has extensive experience in the Leonora area.

Managing director Trevor Dixon said the updated data review marked a pivotal step in the project's life cycle, which aims to establish a JORC-compliant resource base across the Malcolm project.

Exploration results continue to show promise and a bulk sampling project at Malcolm's Golden Crown prospect earlier this year generated about A$1.4 million in doré sales.

High-grade historic production

At the former townsite of Malcolm, east of Leonora, waste ore from a local mine was used to line the roads and people reportedly took to digging up the streets when gold nuggets were found in the road base, around the turn of the last century.

Mt Malcolm has amalgamated previously disjointed tenements to form the Malcolm project, which spans more than 200 square kilometres on the Norseman–Wiluna Greenstone Belt and is surrounded by major gold mines including Granny Smith, Sunrise Dam and King of the Hills.

High-grade finds continue, with rock chips sampled last year from the Golden Crown prospect assaying up to 458.39g/t gold.

 

Golden Crown historically produced at almost 1oz to the tonne, recording 1,720oz from 1,863t between 1899-1904.

During this year's bulk sampling program, gravity recoveries from higher-grade material at Golden Crown reached up to 22.4g/t, reaffirming the company's belief in the project.

The emerging developer is aiming to establish a robust resource base and investigate low capex mining options, to capitalise on the record gold price which rose above A$5,800/oz this week.

Proving up modern potential

Dixon and the small and capable team at Mt Malcolm bring valuable Goldfields mining experience and are notching up important milestones as they prove up the project's modern potential.

The latest intercepts from Sunday Underground include 8m at 1.2g/t gold from surface and 4m at 1.74g/t from 30m beneath the old Sunday workings.

Dixon said it was encouraging first-pass drilling at Sunday, which produced about 1,325 ounces of gold at 21.2g/t between 1897-1912.

"It's not unlike Golden Crown in terms of the quantum of historic production," Dixon said.

At the Dumbarton prospect, results including 3m at 2.19g/t from 58m have confirmed mineralisation over a 700m strike length at the broader Sunday Picnic area.

were imminent at the time of writing from the South Picnic infill program and Dixon is keen to drill other brownfields targets including Emu Egg, where previous testing of old workings returned 2m at 14.7g/t.

Invaluable assets in mining hotspot

"Leonora is a great place to be," Dixon said.

"We have the right geology and we have brownfields opportunities.

"There's no way in the wide world you could buy this project – 200 square kilometres of prospective ground – for our market cap of about $7 million.

"We're undervalued but we know we've got something good and we've demonstrated we know what we're doing.

"We're taking this project to the next level."