Horizon controls a number of prospective tenements within the Kalgoorlie region in addition to Boorara and all within trucking distance of the Boorara site. These additional projects include Binduli, Teal, Baden Powell, Windanya and Kanowna North. Together these projects fall under the Kalgoorlie Regional area.

Binduli

The 100% owned Binduli gold project area comprises approximately 98.8 km2 and is located 5 to 20 km west of Kalgoorlie-Boulder, immediately adjacent to the south and west of the Company’s Teal gold mine. It is also adjacent to the Frog’s Leg underground and White Foil open pit gold mines operated by Evolution Mining.

Project geology at Binduli comprises Achaean felsic to intermediate volcanic and volcanoclastic rocks, porphyry intrusions and sediments within the hinge of the Goongarrie – Mt Pleasant Anticline. The area is bound to the west by the economically important Zuleika Shear Zone and to the west by the Abattoir Fault. The Zuleika Shear Zone and major faults and splays related to it are host to numerous significant gold deposits, a number of which are currently in production or development.

There are a number of priority targets within the project where historic drilling has intersected significant gold mineralisation including;

Bee Eater Prospect – 4 m @ 21.1 g/t Au and 1 m @ 7.5 g/t Au;
Honey Eater – 5 m @ 5.74 g/t Au, 2 m @ 4.71 g/t Au and 3 m @ 3.25 g/t Au;
Coot & Crake – 14 m @ 2.55 g/t Au, 9 m @ 1.88 g/t Au and 20 m @ 6.67 g/t Au; and
Darter – 10 m @ 4.44 g/t Au and 2 m @ 1.84 g/t Au.

As a result of a successful 2018 drill programme, a detailed independent Mineral Resource Estimate compliant with the JORC 2012 Code for Crake stands at:

1.12 Mt @ 1.59 g/t Au for 57,700 ounces at a 1.0 g/t Au lower grade cut-off

The Binduli project is a high priority area for Horizon. Extension and resource drilling at
Crake will continue as a priority, together with high priority targets including Coote, Darter and Honeyeater. Most of these areas have not been subjected to adequate drilling and have considerable upside potential.

Teal

The Teal project is located on granted Mining Leases M26/499, M26/621, M26/346, M26/549 and Miscellaneous Licence L26/261 approximately 11 km northwest of Kalgoorlie in Western Australia. The Teal camp comprises three main deposits, namely Teal, Jacques Find and Peyes Farm, in addition to new discoveries made in 2018.

The geology at the Teal project area is dominated by Black Flag sediments (felsic volcanics and volcanoclastics) with lesser amounts of porphyry and intermediate volcanics. Fresh rock gold is typically associated with quartz and sulphides and faulting has displaced and pinched out some of the mineralisation. Primary mineralisation at depth exhibits semi-refractory properties and optimal recoveries are achieved through ultra-fine grinding, pressure oxidation or roasting. The shallow oxide supergene mineralisation is similar to the Teal gold mine where recoveries above 93% where achieved.

Open pit mining of Stage 1 commenced in late 2016 at the Teal deposit, and Stage 2 commencing in September 2017, with mining of both stages completed in March 2018 with final gold production occurring in the June 2018 quarter. The mine performed strongly against the feasibility study metrics with tonnes, grade, recovery and ounces up, resulting in a large increase in revenue.

Following a substantial amount of drilling, including a large 55,000 metres drilling program carried out in 2018, resources have continued to grow at Teal, Jacques Find and Peyes Farm.

The independent JORC (2012) Mineral Resource for the Teal Project, after depletion from mining Teal Stages 1 and 2, stands at:

4.25 Mt @ 2.11 g/t Au for 289,000 ounces at a 1.0 g/t Au lower grade cut-off with over 85% in the Indicated Resource Category with mineralisation open in all directions.

The Teal and Peyes Farm prospects occur within a package of predominantly felsic volcanic rocks, 700 metres west of the Abattoir Shear ultramafic contact. Mineralisation at Peyes Farm outcrops and a series of shallow workings aligned in a north-south orientation occur over a strike length of 300 metres and targeted quartz-arsenopyrite veining.

Jacques Find was discovered by Horizon with deeper RC drilling beneath shallow low grade hits in late 2016 and lies 600 m south and strikes parallel to the Teal deposit. The stratigraphy at Jacques Find is dominated by a steep dipping, north to north northwest striking sequence of felsic tuffs, porphyries and intermediate volcanics.

Teal East, located 100 metres to the east of the Teal Open pit, and Teal West, located near the Teal ROM pad, were discovered in 2018.

Further stages of the Teal project shall focus on open pit development for extraction of the oxide and transitional ore as part of the mining production pipeline. In addition, metallurgical test work will continue to determine optimal processing pathways for the primary mineralisation with further discussions to be held with suitable processing plant owners in close proximity.

Baden Powell and Windanya

The Baden Powell and Windanya project area is located within the highly prospective Bardoc Tectonic Zone (“BTZ”), a major greenstone belt between
Kalgoorlie and Menzies approximately 60 km north-west of Kalgoorlie.

RC drilling completed in September 2017 at the Baden Powell prospect returned the highest grades from the project to date. The drilling focussed on extensions at depth to the south of the historic shallow workings, with the best result being:

  • 17m @ 3.00 g/t Au from 104 m depth (including 7 m @ 5.95 g/t Au from 111 m)

These results confirmed good tenor at depth and that the mineralisation is still open below the base of drilling.

At the Olympia prospect, located 2.5 km northeast of the Baden Powell Pit, shallow aircore drilling focussed on testing part of the 3,800 metres by 500 metres gold-in-soil auger anomaly (maximum assay 169 ppb Au) with anomalous levels of moderately oxidised quartz–sulphide related gold and supergene mineralisation intercepted at 50 to 70 metres vertical depth at grade up to 1.4 g/t Au.

Future drilling at Olympia will focus on two key areas to test both the quartz sulphide mineralisation at depth and for the presence of a larger supergene blanket, similar to that seen at the 1.3 Moz Aphrodite deposit 4 km along strike to the north.

Kanowna North

The Kanowna North gold project is located 35 km north of Kalgoorlie over prospective shear zones and granite-greenstone contacts where only limited reconnaissance style drilling has occurred.

The Kanowna North project comprises one granted Mining Licence (M27/487) and five Prospecting Licences covering some 500 hectares and is located 17 km northwest of the +10 Moz Kanowna Belle Mining Complex and 9 km south of the +1 Moz Mulgarrie Mining Complex.

Local prospectors have owned the project continuously for over 20 years and have reported the recovery of over 300 oz of gold nuggets from surface metal detecting and grading activity over a continuous 2 km long strike zone.

Horizon considers the project to have excellent potential as there is demonstrated gold at surface and the shape of some nuggets suggest they may not have travelled too far from the source. For example, in one area prospectors uncovered and mapped insitu quartz veins immediately below a nugget patch that has not been subjected to specific drilling.