RC drill rig
Adobe Stock
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

Kula Gold (ASX:KGD) has fired up the drill rig on-site its digs at the historic Mt Palmer gold mine, formerly called Yellowdine.

Last commercially mined 80 years ago, the 160m depth 20th century mine project has been the subject of recent desktop work to define areas of interest around the immediate area.

Encouraged by underlying greenstone geology, the company kicked off a drill run on Wednesday aimed at finding, all things in order, high-grade gold.

The mine formerly known as Yellowdine sits 15km from the Marvel Loch downstream gold plant and 90km from Edna May. This, Kula said on Wednesday, “aligns with Kula’s strategy of exploring near to existing operations to fast track any discovery.”

How that differs from the strategy every other mining company employs isn’t exactly clear.

“This historically rich ‘half ounce’ gold mine has had ~200 workhours of analysis by Kula’s technical team and shows solid targets for high- grade gold mineralisation extending down plunge,” Kula MD Ric Dawson said.

Mt Palmer produced over 150Koz of gold at 15.9g/t from 1934 – 1944. Kula said on Wednesday that it was ultimately shut down by WW2.

KGD last traded at 1cps.

KGD by the numbers
More From The Market Online
Organised crime concept

Panic, paranoia, and gangland politics: HotCopper users react to Dubber’s missing $26M

HotCopper users have reacted to overnight reports Dubber has seen $26M disappear from its coffers due…
The Market Online Video

ASX Market Update: Bourse nears record approaching week’s end | November 22, 2024

The bourse is near record territory to close out the week on the back of a…
Image of four gold necklaces

Sales growth pushes Lovisa’s fortunes (and shares) upwards

Lovisa Holdings Ltd has seen its shares rise more than 2% following a sales update, and…
Image of eyes in closeup

Scientific conference spotlights PYC’s work on blindness disease treatment

PYC Therapeutics Ltd will have data from its ongoing trial into a drug candidate to treat…