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Ausgold (ASX:AUC) bumps up Katanning Gold resource to 1.54M ounces

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ASX:AUC      MCAP $61.99M
15 April 2021 16:00 (AEST)

Katanning Gold Project. Source: Ausgold

Ausgold (AUC) has spruiked a 28 per cent mineral resources upgrade at its flagship Katanning Gold project in Western Australia.

The explorer reported an increased JORC resource of 38.18 million tonnes at 1.25 g/t for 1,539,700 ounces gold, marking a 338,670-ounce increase on the total and a 14 per cent increase on its gold grade.

The new totals were revealed following an assessment of project’s central zone, which extends along a 4.5-kilometre strike length.

A programme of recent reverse circulation and diamond drills were also incorporated into the update, which included 210 holes for 30,313 metres and
five holes for 737 metres respectively.

Of the new 38.18 million tonne resource, the majority tonnage sits in the indicated category at 18.74 million tonnes, with 13.04 million tonnes in inferred and 6.40 million tonnes is measured.

Ausgold’s Managing Director Matthew Greentree said he was pleased to announce the updated resource.

“This resource upgrade provides critical mass to the KGP and supports Ausgold’s strategy to develop a standalone mining operation focused on the central zone,” he commented.

“Importantly, it also shows the exploration potential within the resource areas and regionally to significantly increase the scale of the Katanning Gold Project with targeted exploration,” he concluded.

Augold shares are trading in the grey at 4.9 cents at 4:25 pm AEST.

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