DGO Gold Limited released the attached announcement from SensOre Ltd. regarding the commencement of drilling at Yilgarn Exploration Ventures' Balagundi JV (YEV earning an 80% interest), 20km east of Kalgoorlie. DGO holds a 40% interest in Yilgarn Exploration Ventures with SensOre holding a 60% interest. The Balagundi JV project is located in the gold-rich Norseman-Wiluna belt of the Yilgarn Block in Western Australia, east of Kalgoorlie and the 73Moz KCGM Super Pit and 20km southeast of the 7.8Moz Kanowna Belle mine, both owned and operated by Northern Star Resources.

SensOre and its subsidiary Yilgarn Exploration Ventures (YEV) (SensOre 60% and DGO Gold 40%) have interests in a number of projects in the Kalgoorlie region, including the Balagundi and Central Balagundi farm-in projects, the Maynards Dam farm-in project 1 and Providence Bore. The Balagundi project tenements contain generally north-south striking, steeply dipping porphyritic basalts and folded dolerite intrusions (sills) with sediments and known felsic intrusives. The prospective folded basalt, dolerite sediment sequence extends over +8km strike.

The western half of the project area is dominantly overlain by recent alluvial and colluvial sediments while the eastern section has residual laterite, saprock and bedrock exposures. The proposed exploration program consists of a first phase of drilling to test the central portion of the predicted target over an identified lithology and structural target. Based on the results and further geophysical and geochemical target delineation work, follow-up drilling (which may include air core, RC and diamond drilling) will be designed to test the 5km predicted mineral system to 250-500m depth.