I think this is a neat idea! The digging hole craze was not entirely my jam, but throwing a horror skin on it made me immediately more interested haha. It makes me really interested to stumble into large areas, it almost gives the same feeling of like loading up a map in lethal company for the first time if that makes sense.
I actually like that the ore is not highlighted when digging around because I want to look for it, but I think a very subtle highlight when specifically looking at it would be a nice addition if decide to continue the project :)
Great job!