Imminent gold assay results a possible guide to resource expansion
Upcoming positive share price catalysts for Kairos Minerals (ASX:KAI) have been anticipated with management announcing on Thursday that its maiden drill program at the Mt York gold lithium project was progressing well with the likelihood of first assay results due by tomorrow.
As a guide to what may be about to unfold, soil results from underexplored areas have returned some strong sample grades of up to 13 grams per tonne gold.
Management highlighted the fact that a series of strike extensive high priority gold targets were located well outside of the known resource areas, a factor that augurs well for future exploration success and the prospect of the establishment of a larger than expected increase in the recently upgraded mineral resource.
To provide some perspective as to what may be imminent it is worth considering the company’s rapid exploration success since September.
KAI’s maiden drilling program commenced at Mt York at the end of September. The company recently reported an upgraded JORC 2012 indicated and inferred mineral resource estimate of the Mt York project of 5.69 million tonnes grading 1.42 grams per tonne gold for 258,000 contained ounces.
Current drilling campaign aimed at extending resource
The current phase of exploration at the project has been designed to test for extensions to the known deposits and to provide first-pass evaluation of ‘virgin’ anomalies in order to accelerate the expansion of the gold resource.
Infill soil sampling of previously identified prospective targets have also confirmed and refined the location of new targets.
More specifically, gold in soil and anomalism over extensive strike lengths has been defined at MTY012 and MTY014, centred approximately 3 kilometres south of the Iron Stirrup gold deposit.
Also, MTY020 which is located within the Gloucester Prospect, 1 kilometre to the east of the Breccia Hill gold deposit has demonstrated a continuous zone of gold in soil anomalism at more than 30ppb gold with strongly elevated supporting pathfinder multi-element geochemistry extending over 1.5 kilometres.
The following map demonstrates the close proximity to known high profile deposits, further reinforcing the need to closely examine upcoming assay results.
Prospective investors shouldn’t make investment decisions based on forward looking statements in relation to anticipated exploration results or use prior trading patterns as a guide to future share price performance. If considering an investment in KAI, independent financial advice should be sought.