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Spectrum outlines 355,500-ounce maiden resource for Penny West gold project

Spectrum Metals Ltd. announced a maiden JORC 2012-compliant mineral resource at the Penny West gold project in Western Australia of 355,500 ounces of contained gold in the indicated and inferred categories.

The resource is contained in 799,000 tonnes of ore grading 13.8 g/t gold, with 75% of the estimate in the indicated category, according to an Oct. 24 news release.

The resource includes 569,000 tonnes at 16.8 g/t gold containing 306,800 ounces from Penny North.

The estimate incorporated the results of Spectrum's drilling program in 2019 and includes all available drilling results received as of Oct. 14.

Mineralization is open at depth and along strike and has "very strong" extension potential, the company said.

Spectrum has started on a maiden reserve, targeting an update in the March quarter of 2020, alongside planned drilling at Magenta and Columbia to bring the prospects to resource status.

The company is facing proceedings in the Supreme Court of Western Australia over its acquisition of Penny West in December 2018.