Koonenberry Gold (ASX:KNB) closed Tuesday up more than +10% on the receipt of promising high-grade results from diamond drilling at Enmore in New South Wales. The gold mineralisation intersected included extensions to the Sunnyside system along strike to the east as well as up dip of previous drilling.
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“The Sunnyside gold system continues to grow with shallow high-grade gold as well as extensions to the broad zones of potential bulk tonnage gold mineralisation confirmed in these latest drill results,” Koonenberry’s managing director, Dan Power, told company shareholders yesterday.
He also added the results have increased the company’s confidence in the broad zone of potential bulk tonnage gold mineralisation at Enmore. “Previously, high-grade zones were intersected at depth; the confirmation that these zones may continue towards surface is extremely encouraging,” he said.
Ten of the twelve holes completed at Sunnyside already during this phase two campaign have intersected visible gold, with early observations suggesting the Sunnyside mineralised zone may extend at depth.
“Across the Enmore project, we have accelerated geochemical sampling along prospective structures, including the Borah, Sheba and Chandler Faults. This work will ensure we have a strong pipeline of targets for drill testing,” Mr Power said.
“Along the Borah Fault, we have defined over four kilometres of strike of gold-arsenic soil anomalism, highlighting the potential for high-grade gold mineralisation on a parallel structure to Sunnyside that could demonstrate the true district scale we think exists at Enmore.”
In a move to support the understanding, Koonenberry has shifted the rig to the Postman’s Gully prospect to test underneath high-grade historical workings.
“In addition, the company has commenced geochemical sampling of highly significant historical antimony-gold anomalies in the north-west of the project,” Power said.
“These anomalies are located adjacent to the Chandler Fault, which is thought to control antimony-gold mineralisation at the 1.7 million ounce gold, 0.13 million tonne stibnite Hillgrove mine located just 20km to the north east.”
Mr Power added that a shallow intercept of 0.5m at 62.3 grams per tonne suggests that high-grade zones, previously intersected at depth, may also continue to surface.
Koonenberry also has further exploration underway at six priority targets along the Borah, Sheba, and Chandler faults right now.
KNB closed Tuesday up +10.9%, to ~2.6cps.
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