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Kingwest Resources (ASX:KWR) confirms continuation of high-grade mineralisation

Mining
ASX:KWR
12 February 2020 17:45 (AEST)

Kingwest Resources (KWR) has confirmed that high grade mineralisation continues at the lowest levels of underground workings at Lady Shenton.

Lady Shenton is part of the Menzies Gold Project (MGP) which is notable for high-grade historic underground production and the limited amount of deep drilling within the area.

Results of 22 metres at 49.5g/t gold from 18 channel samples, and 45 metres at 22.3g/t gold from 37 channel samples were uncovered.

“We are very pleased that the team continues to deliver results the support our belief in the continuation of high grade gold mineralisation at depth throughout the MGP,” CEO Ed Turner commented.

“Lady Shenton was a major historic producer and the proof that very high-grade gold extends to the deepest levels of mining and is confirmed by results from our 2019 drilling in KWR027 is extremely encouraging for the next phase of extension. drilling,” he added.

Lady Shenton is comprised of several discrete shoots of high-grade gold mineralisation with the shoots plunging towards the south and having an irregular shape and thickness.

The geometry and shape of the shoots, in combination with numerous cross-faults, resulted in the mining of the lode become more challenging as the mine becomes deeper.

However, high-grade mineralisation continued to be found and the mine was gradually deepened.

Kingwest will now continue to review historic data including underground sampling at other MGP deposits in order to possibly define high-grade mineralisation

The company is planning to drill test zones of mineralisation identified in this work and also test extensions of mineralisation identified in Q4 2019.

Kingwest has ended the day up a steady 20.6 per cent with shares trading for 20.5 cents apiece in a $17.09 million market cap.

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