Greenstone Resources Limited (ASX: GSR) (Greenstone or the Company) is pleased to provide an interim update on the results received from Burbanks South as part of its broader and ongoing drill campaign across the Burbanks Gold Project, 9.0 kilometres south of Coolgardie, Western Australia.

The recently completed drill program at Burbanks South consisted of 23 shallow Reverse Circulation (RC) drill holes totalling 1,900 metres which served to validate a number of historical drill holes and, importantly, confirm a new nearsurface discovery which has never been mined. The Burbanks South discovery lies 400 metres directly along strike from the Birthday Gift and Main Lode Deposits which collectively produced over 420,000oz at 10.9g/t Au, in doing so extending the strike of known mineralisation at the Burbanks Gold Project to over 4.5 kilometres.

This recent 1,900 metre drill campaign, in combination with over 2,500 metres of historical RC drilling, has identified a zone of mineralisation with a strike extent of over 400 metres which remains open in all directions. Importantly, all exploration to date in this area has been limited to the top 100 metres below surface. Despite the shallow nature of exploration completed to date, the development of three high grade plunges have now been identified, plunges which are a typical feature observed at both the Birthday Gift and Main Lode Deposits. These high-grade plunges will form the focus of future drill campaigns at depth.

Managing Director and CEO, Chris Hansen, commented: 'The team have worked tirelessly over the past weeks to expediate the delivery of these first results, and we are pleased to confirm the new discovery at Burbanks South. Leveraging off the historical drilling, we have now delineated a significant zone of continuous mineralisation starting near surface, extending to over 100 metres depth, over 400 metres along strike, with three high-grade plunges now developing at depth, and importantly mineralisation remains open in all directions.

The initial results of our maiden program clearly demonstrates the potential to add significant ounces to the Burbanks Gold Project through both new near-surface discoveries, and extensions of known high-grade lodes at depth. We look forward to keeping shareholders updated as we complete the subsequent drill campaigns across Main Lode, Birthday Gift and Burbanks North over the coming weeks'

TECHNICAL DISCUSSION

The Burbanks Gold Project includes the Burbanks Mining Centre, as well as over 5.0 kilometres of the highly prospective Burbanks Shear Zone, historically the most significant gold producing structure within the Coolgardie Goldfield. The Burbanks Mining Centre comprises both the Birthday Gift and Main Lode underground deposits where recorded historic underground production totalled 324,479 ounces, at an average grade of 22.7g/t Au from predominantly the upper 140 metres. However, despite this history of high-grade production, there has been limited exploration attention focussed south of the Burbanks Mining Centre, this is despite two historical drill campaigns being completed in 1995 and 2006 which served to identify near-surface and continuous mineralisation.

South of the Lady Robinson Pit (the most southern extent of historical mining) the Burbanks Shear Zone is interpreted to bifurcate into two separate shear structures, with the recent RC drill campaign at Burbanks South focussing on the eastern most shear structure (Salmon).

The mineralisation style at Salmon is directly analogous to that of the Burbanks Mining Centre (hosting both the Birthday Gift and Main Lode deposits) where mineralisation typically occurs as sulphides within highly silicified and sheared mafic units. Drilling has subsequently identified three continuous parallel lodes of mineralisation within a central shear corridor up to 20 metres wide, indicating the development of both footwall and hanging wall lodes within 2.0 - 5.0 metres of the central mineralised structure. Importantly, the initial interpretation has shown the development of up to three high-grade plunges which are a typical feature of the mineralisation style within the Burbanks Mining Centre, and which will form the focus of future drill campaigns at Salmon. The historically completed drilling has provided invaluable information which has allowed for the rapid advancement of the Burbanks South discovery, with 5,400 metres of drilling now completed in the Burbanks South area. The 2,500 metres of RC drilling historically completed along the Salmon trend combined with the recently completed 1,900 metres will provide a robust foundation to guide exploration and future resource additions

DRILLING UPDATE

Following the completion of the 1,900 metre RC drill program at Burbanks South early last week, the rig has since moved to Burbanks North where it will complete 1,800 metres of RC and diamond drilling, before moving to Main Lode. Drilling is expected to be completed by the end of December, with assays expected thereafter.

Contact:

Chris Hansen

Email: chris.hansen@greenstoneresources.com.au

(C) 2021 Electronic News Publishing, source ENP Newswire