Grade Control and Mine Geology at the Macraes Gold Project: Getting it Right Using Traditional Geology and Geostatistics

Gold mineralisation at the Macraes Gold Project is hosted in the Hyde-Macraes shear zone and can be traced for ~30 km along strike, although economic resources are confined to a seven kilometre section in the vicinity of the Macraes  township. The shear zone, which typically dips at a low angle (~20¦) to the NE, is bounded by an upper hanging wall shear and a lower footwall fault. Mineralisation occurs along the hangingwall of the shear zone as well as in low angle concordant shears and stockworks. Ore types include graphitic cataclasites with variable amounts of quartz veining, 'lode schists' and quartz-vein stockworks. Mine geology and grade control activities are designed to ensure accurate definition of ore and waste as well as the accurate prediction of ore grade. Grade control involves an integrated process of blast hole sampling, geological mapping and geostatistical modelling. Geological mapping is carried out post blasting by means of excavating trenches across are zones defined by assay data. Conditional Simulation is used to model raw assay data to define ore-waste contacts and estimate ore block grade, although, geologically defined contacts have precedence. Low angle ore zones impart a wedge shaped geometry to many ore blocks. These ore blocks are bounded by contacts that can be selectively mined to, thereby reducing misallocation of ore and minimising grade dilution.