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Kaiser Reef (ASX:KAU) strikes high-grade gold from A1 Mine diamond drilling, Victoria

ASX News, Materials
ASX:KAU      MCAP $43.94M
10 June 2022 15:24 (AEDT)

Miners inspecting the Sovereign high-grade gold reef. Source: Kaiser Reef

Gold miner Kaiser Reef (KAU) has struck grades of up to 43.2 grams of gold per tonne (g/t) from a diamond drilling campaign near its A1 gold mine in eastern Victoria.

The company said its A1 Mine drilling program had continued to return “unexpectedly numerous” zones of deeper mineralisation, with the 43.2 g/t gold hit coming from a 1.92-metre interval struck 203.9 metres below surface.

While many other results from this diamond drilling work include high-grade hits, the majority of the intervals are relatively slim. For example, Kaiser struck 2069.65 g/t gold in one hole, but this only spanned over a 0.3-metre interval.

In any case, Kaiser said its latest drilling results were “very encouraging” as they represented an interpreted extension of the Sovereign lode in the A1 area, from which the company is currently producing gold.

In May, Kaiser reported a 4.6-metre hit grading 135.7 g/t gold from the first hole of its A1 mine diamond drilling plan. This hit came from a hole targeting near-term mining targets to the south of the Queens lode, where the company said very little exploration work had been completed before.

The A1 Mine program is still ongoing, with holes targeting near-term and deeper lode positions in the area and further extensions to the Sovereign lode.

Kaiser said it was the initial discovery of the Sovereign lode that led to the company’s “aggressive” drilling and development work into the deeper regions of the mine.

Shares in Kaiser Reef were up 5.56 per cent to 19 cents each at 3:23 pm AEST.

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