GBM Resources Limited announced an updated Mineral Resource Estimate (MRE) for Yandan of 15.9 Mt @ 1.0 g/t Au for 514,500 oz Au. The main deposits in the MRE are - East Hill of 12.8 Mt @ 1.1 g/t Au for 443,000 oz Au and the maiden MRE for Illamahta of 2.2 Mt @ 0.8 g/t Au for 55,500 oz Au. The Yandan Project comprises 2 mining leases and 4 exploration permits and is located 150 km SSE of Charters Towers in northeast Queensland. The project contains known deposits (Yandan Main, Yandan South, East Hill, and Illamahta) and numerous prospects and is hosted in the Saint Anns Formation sedimentary rocks and Yandan Andesite, within a 22 km long by 3 km wide, north-south elongate fault bounded subbasin, known as the Yandan Tough. The project is underlain by Devonian to Carboniferous aged sedimentary and volcanic rocks of the Drummond Basin that host the Yandan, Twin Hills, Wirralie, Mt Coolon and Pajingo Gold Mines. The combined resource across the Yandan Project now stand at 15.9 Mt @ 1.0 g/t Au for 514,500 oz Au with 47% of the resource now classified as Indicated. Together with the recently released Twin Hills resources, GBM's Drummond Basin resources now stand at 45.6 Mt at 1.26 g/t Au for 1,844,200 ounces. A new MRE for East Hill deposit (Figures 3, 4 and 5) has been completed and comprises 12.8 Mt @ 1.1 g/t Au for 443,000 oz Au with 54% of East Hill resources now classified as Indicated, where the previous resource was all classified as Inferred. The new MRE was completed following the FY22 drilling program, collection of SG data, and re-assessment of the geology model. Mineralisation is consistent with the previous MRE and historic drill intercepts. The East Hill ore body comprises two main pods of mineralisation that together extend from surface downward for 380 m. Overall, the system dips moderately to the south and plunges to the west with no clear links to the adjacent Yandan Main or Yandan South ore bodies. The cut-off grade at East Hill was increased to 0.4 g/t Au (to bring in line with the recent Twin Hills
MRE update) and together with the new drilling/SG data and geological model greatly improved the deposit by reducing tonnes by 7.26 Mt and increasing the head grade by 38% to 1.1 g/t Au. The Yandan South MRE was not reviewed at this stage as no new drilling or geological information has been gathered. Of significances is the East Hill MRE high-grade core of 1.1 Mt @ 5.7 g/t Au for 201,000 oz Au. which has the potential with further drilling to add additional high grade ounces to the resource. The FY22 drill program focussed on testing the high-grade core of the East Hill resource while investigating the potential for strike and dip extensions to mineralisation. In addition, the drilling aimed to test GBM's geological model. Thirteen diamond drill holes were completed for 5,676 m with directional drilling used as needed to intersect key targets and to ensure drilling intercepted the veins at a high angle. East Hill mineralisation is hosted in the Yandan andesite volcanic unit at the base of the Saint Anns Formation. Gold mineralisation at East Hill is developed over a 380 m vertical interval and is associated with an As, Sb and Zn plume that encloses the gold deposit. Mineralisation varies from breccia and veins with grey silica-pyrite infill near surface to dominantly colloform/crustiform and bladed textured quartz-chalcedony-carbonate-adularia-pyrite sheeted veins at depth. High-grade veins are typically < 10 cm wide but up to 1.5 m thick and returned assays of up to 347 g/t Au over 1 m from 335.5 m in YAN010. Quartz textures typical of the deeper parts of an epithermal system were not observed. The highest density veining and highest gold grades are developed in the hanging wall of the moderately NW dipping Generator Fault (Figures 4 and 5). The relationship between high-grade mineralisation and the Generator Fault was previously unclear. The latest drilling has demonstrated that low sulphidation style veining and alteration are present under the fault. Together with a reinterpreted geology model GBM now believes the Generator Fault crosscuts and offsets mineralisation and that there is potential to find higher grade mineralisation at depth. GBM's technical team is working through the reinterpreted geological model to generate priority exploration targets to extend the mineralised zones at East Hill. The maiden MRE for Illamahta deposit comprises 2.19 Mt @ 0.8 g/t Au for 55,500 oz Au, including 1.15 Mt @ 0.73 g/t Au for 26,900 oz Au of oxide ore calculated at a cut-off grade of 0.4 g/t Au. Gold mineralisation occurs in several bedding parallel layers that dip shallowly to the northwest. The Illamahta resource has been defined for more than 330 m along a NW strike, is typically 160 m wide and extends from surface downward for 80 m.