(MENAFN- ProactiveInvestors)
() shares are set to bolt higher after some impressive drilling results from the company's Jervois copper-silver-gold project in the Northern Territory.
Individual one metre intercepts were up to 25.4% zinc and 23.5% lead at Reward North 7.34% copper at Bellbird East and 404g/t silver at Green Parrot.
What is significant is that Jervois now has lead and zinc intersections coming from two new areas.
In addition to the known lead zinc prospects at Marshall Green Parrot and Bellbird North are now intersecting high lead and zinc grades at Reward North and Bellbird East.
Simon Milroy managing director commented:
“KGL’s commitment to drilling at Jervois continues to deliver excellent results.
"Intersections from the recently completed reverse circulation drilling program are likely to generate increases in both the open pit and underground resources that will be announced in July 2015.
"It is also particularly pleasing to see new mineralised trends discovered.”
Drilling highlights
Green Parrot:
- 14 metres at 1.49% copper 0.64% lead 0.3% zinc 160.5g/t silver 0.09g/t gold from 160 metres including 3 metres at 3.83% copper 1.08% lead 0.17% zinc 404g/t silver 0.2g/t gold; and
- 3 metres at 1.77% copper 0.2% lead 0.35% zinc 117.1g/t silver 0.24g/t gold from 190 metres.
Reward North:
- 3 metres at 7.76% lead 10.29% zinc 0.07% copper 86.6g/t silver 0.06g/t gold from 34 metres; and
- 4 metres at 5.03% lead 6.91% zinc 0.24% copper 48.2g/t silver 0.04g/t gold from 57 metres.
Bellbird East:
- 6 metres at 1.36% copper 2.72% lead 6.92% zinc 19.3g/t silver 0.06g/t gold from 65 metres; and
- 7 metres at 2.1% copper 1.11% lead 2.19% zinc 17g/t silver 0.03g/t gold from 51 metres.
Drilling program
All the assays are now in for the 10000 metre reverse circulation drilling program which commenced in early February at the Bellbird Marshall-Reward and Green Parrot Resources.
Particular emphasis was placed on targeting poorly drilled portions of these resources that have potential for high‐grade mineralisation and are within or close to the proposed open pits or planned underground mine development.
Analysis
The significance of today's mineralised hits is that Jervois now has lead and zinc intersections coming from two new areas.
In addition to the known lead zinc prospects at Marshall Green Parrot and Bellbird North are now intersecting high lead and zinc grades at Reward North and Bellbird East.
With all the assays now in the resource upgrade expected in July 2015 will be highly anticipated considering it will have results of all drilling completed since June 2014 totalling circa 20000 metres.
Well-funded
is well-funded with $7.5 million in cash at the end of March 2015 which equates to around $0.09 a share.
The company last traded at $0.165.
Milroy recently told Proactive Investors that the current cash position is sufficient to fund all of the planned work this year and retain a healthy balance while the company brings a project partner on board.
Proactive Investors Australia is the market leader in producing news articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia UK North America and Hong Kong / China.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.