Using Mineralisation Indicators to Estimate Grade in the Structurally Complex, High-Grade Gold Orebody at the Golden Pig Mine, Western Australia

Resource estimation and selective mining of structurally complex, high nugget orebodies presents a major challenge to the Mine Geologist. At the Golden Pig BIF-hosted gold deposit in Western Australia, an estimation method has been developed that replaces an assay-based resource estimate with one based on mineralisation intensity. Subjective coding of the mineralisation intensity has a more robust connection to local grade than drillhole assays. Indicator variograms of the five mineralisation codes are well structured with anisotropy directions similar to observed structural controls. The proportion of each mineralisation code is estimated and a weighted average of the average grade of each code calculated for a block. Initial validation has shown that the model is a good predictor of the mineralisation intensity, and the application of appropriate local average grade for each mineralisation code gives a reliable block grade estimate.