- Kingsland Minerals (ASX:KNG) is reporting a mammoth graphite drill hit at 285 metres
- The company graded the intersection at 6.1 per cent total graphitic content (TGC)
- A second drill hit reflected 137 metres
- Two other hits of greater than 60 metres were both reported
- The pending maiden resource estimate will only include 0.25 per cent of acreage
- Shares last traded at 27 cents
Kingsland Minerals (ASX:KNG) shares were up three per cent in the first hour of trade on the back of a 285-metre graphite drill hit.
That intersection graded at 6.1 per cent TGC and, importantly, commenced at surface.
Within that sample, a section nearly 80 metres in width graded higher at 10.5 per cent.
A second intersection at 137 metres was also reported, with that drill hit grading at 6.9 per cent TGC.
“World-class” results
“The results demonstrate that Leliyn is a world-class graphite prospect,” Kingsland Managing Director Richard Maddocks said.
“Metallurgical test-work and mineral resource estimation … [and] incoming export controls from China are all contributing to an outstanding future for the Leliyn project in the Northern Territory.”
The company has recently kicked off metallurgical testing with initial flotation analysis on materials taken from diamond drill cores.
Roughly 20 kilograms of material constituted each sample submitted.
The Chinese government also recently announced measures to slow down exports of graphite from China into the international market.
Australian graphite stocks are expected to climb as supplies dwindle.
Further drill hits
Two smaller intersections both under 70 metres were also reported at a higher grade.
The eye-catching intersection was drilled from on-site the company’s Leliyn graphite project (LGP).
Located in the Northern Territory, the project is Kingsland’s flagship asset.
It is in large part the focal point of an upcoming maiden JORC resource being commissioned by Kingsland.
Of the target area believed to host commercial-scale graphite mineralisation at the LGP, the resource will only cover some 25 per cent of the total target area.
“The Maiden Resource estimate [will] be based on only 5km of the 20km graphitic schist,” the company wrote on Monday.
Geotechs still believe the remaining 15 kilometres boasts potential exploration upside for the company.
Shares last traded at 27 cents.