KGL Resources Adds Fuel To New Copper Mining District
The company recently put out high-grade infill and extension drill results from its Jervoise project. They came just days after the release of similarly spectacular results from the nearby Bonya project.
KGL Resources (ASX:KGL) (formally Kentor Gold) added further weight to the emergence of a new copper mining district in Central Australia with its December 4 release of high-grade infill and extension drill results from its Jervoise project in the Northern Territory. The results came only days after the release of similarly spectacular results from the nearby Bonya project owned by Rox Resources (ASX:RXL). However, unlike Rox, whose share price fell on its results, KGL finished up almost 7 percent on the day; it may have been assisted by its healthy cash balance of over AU$12 million, which has removed the near-term need for it to top up funding. The results released by KGL include: 7 meters at 8.8 percent copper from 23 meters 15 meters at 3.66 percent copper from 13 meters 9 meters at 4.25 percent copper from 18 meters 16 meters at 1.69 percent copper from 2 meters The holes also contain significant silver credits and minor gold grades, and they are part of the last batch of assays from a 10,200-meter reverse-circulation program. It was aimed at better defining the shallow portion of known mineralization that will fall within planned open-pit shells, and should allow Jervoise to continue through the feasibility process. Earlier work at Jervoise Previous work at Jervoise shows a JORC resource of 25.3 million tonnes at 1.1 percent copper and 22 grams per tonne silver. It is spread across several discrete deposits around the margin of a syncline — they are all within 7 kilometers of each other and together make up the Jervoise project. That said, it is likely that these recent drill results will lead to an upgrade in that resource as extensions and higher grades are taken into account.